Patients arriving at the Akron Orthopedic Clinic go through 3 steps in the patie
ID: 427579 • Letter: P
Question
Patients arriving at the Akron Orthopedic Clinic go through 3 steps in the patient care process. First, patients are checked in at a check-in counter where a single receptionist checks the patient's ID, Insurance information, contact information, and collects the deductible payment. Patients also need to fill-in a medical history as part of this step. This check-in step on average takes 15 minutes to complete all the activities. In the next step, nurse talks to the patient to know their symptoms, measures the patient's temperature and blood pressure and records all this information. This step on average also takes 15 minutes; however there are always 2 nurses on duty, with each nurse attending to a single patient. The third and last step in the process is for the patient to consult with the physician, where the physician diagnoses the medical condition, prescribes the medical treatment and follow- up actions. The consultation with the physician on average takes 20 minutes per patient. There is at present only one attending physician on duty at any given time. Physicans are paid a relatively high salary of $100 per hour, nurses are paid $25 per hour and the receptionist is paid $10 per hour. Overhead costs include $25 per patient. The revenue from each patient averages $125. The maximum patient demand is 6 patients per hour What is the present total profit generated per hour? $100 $125 $140 $200Explanation / Answer
Determine capacity per hour of the process:
Process step
Registration
Pre-checkup
Consulting
Resource unit
Clerk
Nurse
Physician
Minutes per patient
15
15
20
Resource quantity
1
2
1
No. of patients served per hour (Capacity of resource unit)
4
8
3
Cost per resource unit per hour
$10
$25
$100
Total cost per hour
10
50
100
Maximum patient served per hour = minimum capacity among the resources capacity = (min(4,8,3) = 3
Maximum patient served per hour = 3 patients per hour
Cost per hour = Cost of resources per hour + patient overhead cost per hour
Cost per hour = ($10 + $50 + $100) + (no. of patient served per hour x overhead cost per patient)
Cost per hour = $160 + (3 x $25) = $160 + $75 = $235.
Revenue per hour = no. of patient served per hour x revenue per patient = 3 x $125
Revenue per hour = $375
Profit per hour = Revenue per hour – Cost per hour = $375 - $235 = $140 per hour
ANS: $140
Process step
Registration
Pre-checkup
Consulting
Resource unit
Clerk
Nurse
Physician
Minutes per patient
15
15
20
Resource quantity
1
2
1
No. of patients served per hour (Capacity of resource unit)
4
8
3
Cost per resource unit per hour
$10
$25
$100
Total cost per hour
10
50
100