The invasive radiology department has just purchased a piece of equipment that enables it to perform many procedures faster. One of the results of this improvement is that the department is able to schedule 20% more cases on an average weekday. During the preplanning of this improvement, the director of short stay was not included and was told her staffing needs might increase by 10%. After the first month of the use of the new equipment, the short stay unit had the following variances.

a. Which of the variances are positive?

b. Which of the variances are negative?

c. What does the director need to report to senior leadership as to what has happened and why, and what she is doing to make appropriate adjustments?

Transcribed Image Text:

Volume (patients) Overtime hours (staffing) Supplies Budget 1,000 50 5,000 Actual 1,200 75 5,100 Variance 200 25 100