answer the following questions pertaining to the abstract below
Administrators routinely seek to increase contribution margin (revenue minus variable costs) to better cover fixed costs, provide indigent care, and meet other community service responsibilities. Hospitals with high operating room (OR) utilizations can allocate OR time for elective surgery to surgeons based partly on their contribution margins per hour of OR time. This applies particularly when OR caseload is limited by nursing recruitment. From a hospital's annual accounting data for elective cases, we calculated the following for each surgeon's patients: variable costs for the entire hospitalization or outpatient visit, revenues, hours of OR time, hours of regular ward time, and hours of intensive care unit (ICU) time. The contribution margin per hour of OR time varied more than 1000% among surgeons. Linear programming showed that reallocating OR time among surgeons could increase the overall hospital contribution margin for elective surgery by 7.1%. This was not achieved simply by taking OR time from surgeons with the smallest contribution margins per OR hour and giving it to the surgeons with the largest contribution margins per OR hour because different surgeons used differing amounts of hospital ward and ICU time. We conclude that to achieve substantive improvement in a hospital's perioperative financial performance despite restrictions on available OR, hospital ward, or ICU time, contribution margin per OR hour should be considered (perhaps along with OR utilization) when OR time is allocated.
Margin is an accounting term (margin = [revenue − costs]/revenue). Many hospitals operate with small margins. In the United States, hospitals' average margins were 2.7% in 1999 (1). Forty-three percent of not-for-profit hospitals had negative margins (2). Hospitals improve their margins by increasing their contribution margins (contribution margin = [revenue − variable costs]). Variable costs are those that increase with each successive patient receiving care (e.g., disposable anesthesia circuits). The remainder of hospital costs are fixed costs (e.g., surgical lights).
Many hospitals are also challenged by a growing shortage of skilled hospital nurses available at average national wage rates. This case study describes a hospital at which surgeons reported that many patients needing elective surgery were waiting months for surgery because of difficulties in recruiting additional nursing staff. In this paper, we address the dilemma of allocating surgical services in an environment where demand exceeds available capacity and the hospital is constrained by relatively small margins.
Be sure of your answers for me to consider your answers.nuuuu
What is meant by bariatric surgical procedures?
In a patient with marked obesity, is bariatric surgery better than a balloon
inserted into the stomach?
Does intravenous nutrition always have to be given via a central vein?
Why has there been an explosion of obesity in the young?
Are proteins mostly absorbed from the intestinal lumen into the blood as
What are 'congeners' in alcohol?
Cholesterol is synthesized in the body. What is the comparative
role of diet and endogenous production in the level of serum
We frequently read of the severe but 'rare' side-effect of myositis with
statins. Do these drugs have more 'common' side-effects?
Is there a relationship between brain disease and alcohol intake? Does
alcohol have a proven toxic effect on the brain?
What is the difference between malabsorption and malnutrition and how
can these be differentiated clinically