Budget Case Study

Laura has analyzed that four of the five medical units she oversees have remained steady over the past 2 years. However, a fifth unit has had a steady increase in patients volume during that time and is currently at 88% capacity. It has been projected that within the next 12 months the volume of patients move through that unit will increase by 20%. Laura needs to determine if the current FTEs for the unit will be sufficient to ensure quality and safe care continues to be provided.

You have determined the unit for which Laura must make FTE projections.

Additional info:

• The budgeted hours of care per patient day (HPDD-budgeted) is 8.8%
• Each employee receives 17% paid non-productive hours/years
• Laura determines the allocation of the HPPD to nursing and non-nursing personnel. Laura is not included in the HPPD calculation, but the unit secretary included.
• Nurses will work 12 hours, techs will work 8 hours

1) Calculate the number of direct FTES needed for the unit (Show the formulas used and all calculations)

2) Calculate TOTAL FTEs needed accounting for non-productive time.