Hcs 405 Simulation Review Paper

Simulation Review Paper
Denise Coleman
HCS/405
May 4, 2011
Mrs. LaDonna Battle

Simulation Review Paper In this paper the author will discuss the financial accounting from the Cardiac Care Hospital. The author will describe the cost- cutting options that were selected, the loan option, and the outcome of the decisions made. There will be some cost equipment and a source of funding that will determine how to save the company money without affecting the quality of the care of patients. A cost- cutting option that was selected was reducing agency staff and length of stay of patients. With this option patient care would be affected slightly. The hospital would be able to save more money by reducing agency staffing, because they get paid twice as much as regular employees. And if patients are discharged early the hospital would still get paid the same if he or she stayed the prearranged time. When the
patients are discharged before time the hospital can earn more money by filling the room with another patient. The loan option that was chose is option 2 the hospital annual savings is 2,563,229. The cost- effective equipment that was select was to buy high speed CT scan, new X-Ray machine, and refurbish ultra sound equipment.
This option was chosen because it was thought to be the best interest of the company if new equipment was purchase it would last longer. But instead it was the most cost effective equipment. The funding that was chosen was HUD 242 Loan Insurance Program this was the best option for the expansion plan. With this option the hospital interest is lower and the prepayment limitations would be eight years. There would be no pacific time frame the loan would have to be used. The company would have time to make adjustments if needed without having to rush. In this simulation I learned that a person would have to have a team to help make life changing decisions for a company. Decisions should not be based on one person solution. It takes time to come up with a strategy plan long or short to control the flow of money in a business. Any decisions that are made concerning the finance can make or break a
company. If I performed this simulation again I would take my time and really balance out my options. The decisions that were made could have been chosen more wisely. When the selection on the equipment was chosen I thought it would have been better to by some of it new. That was not the best option for the company, because it was the most cost effective chose. The plan was to find the less cost effective equipment next time I would explore my option more carefully. In my future job I would apply what was learned by picking an experience team. Listen to what everyone has to say before any decisions are made. The team will not rush in making chooses, because of a deadline. One thing I learned just because it is cheaper do not make it better.

Reference AnalyzingFinancialIndicatorsforDecisonMaking(May,2011)www.ecampus.phoenix.edu/secure/aapd/vendors/tata/HCsims/healthcare_accounting/financial_indicators/healthcare_accounting_financial_indicators_frame.html