Case 3: Asante Teaching Hospital - Activity Based Costing

Asantes not-for-profit status notwithstanding, it operated like a competitive enterprise whose revenue figure was comprised of full cost recovery from patients and their insurers. As a not-for-profit organization, Asantes challenge was to extract maximum benefits for each dollar of annual funding from the foundation. Examples of these benefits included more doctors learning at a higher level, and advances in eye surgery that created greater benefit for those suffering from cataracts. Quantifying and costing these metrics objectively (even soft ones such as better) was an important part of the challenge for the organization.

Asantes CEO was a chartered professional accountant, and was recruited in 2013 from a for-profit hospital in California, where he had earned a reputation for disciplined cost control. This skill set appealed to the board because it had the potential to broaden the number of positive patient outcomes through astute cost management.

Required

You are required as a group to analyse the above case Asante Teaching Hospital

In sum, your case report should have the following, in this order:

Table 1:

Group Case Analysis Template

Section	Indicative Content	Marks
Title Page:	[Title; your name; your course; date]	2
Abstract/Executive Summary:	[Title; abstract/executive summary]	5
Contents	Contents page provides a listing all the main headings and their location in the report	2
Main Text:	The text of your report:
	Description	10
	Analysis/Diagnosis	20
	Options/Alternatives	20
	Prescription/Recommendation	15
	Action	20
References and Bibliography	A complete listing of all the texts and resources used to prepare your report.	2
Appendices	Appendices should include a copy of the source Statement of Income, Statement of Financial Position, and Cash Flow Statement (only).	2