Please help with Question 2 from Questions below

St. Dismas Medical Center, an urban, nonprofit, 450-bed ommended structure for the facility, estimated capital exrehabilitation hospital, began to see a significant decline penditure needs, estimated income from operation of the in admissions. St. Dismas's mission focuses on inpatient facility, as well as projected revenues to other Medical and outpatient rehabilitation of the severely injured and Center programs resulting from the facility's population. catastrophically ill. While the patient census varied from Two months later, the plan for an assisted living famonth to month, it appeared to the St. Dismas Board of cility was presented at a Board of Trustees meeting. Trustees that the inpatient population was slowly but The new facility would be set up as a for-profit substeadilydeclining.Thehospitalsmarketresearchersre-portedthatfewerpeoplewerebeingseverelyinjureddueprofitandnotbesubjectedtothestrictguidelinesofsidiaryoftheMedicalCentersothatitcouldgeneratea to the popularity of seat belts and bicycle/motorcycle the hospital's accrediting agencies. As a subsidiary orhelmets. In order to plan for the future of the organiza- ganization, however, the Board would still have control. tion, the Board and the CEO, Fred Splient, M.D., called The chosen facility design was a freestanding for a major strategic planning effort to take place. foramajorstrategicplanningefforttotakeplace.TheoutcomeofthestrategicplanningretreatwasHospitalforaccesstothekitchenandhospitalservices.apartment-likefacilitywithashelteredconnectiontothe that the Medical Center determined it needed to focus The facility would have 100 units with 15 to 30 of the units its efforts around two major strategic initiatives. The first, classified as "heavy-assisted" and built to code to house strategy, was to develop new programs and services population would be approximately 110 to 150 residents, that would capitalize on the existing, highly competent with most being single occupants rather than couples. rehabilitation therapy staff and St. Dismas's excellent The light-assisted apartments could hold resi- reputation in the region. At the time of the retreat, Fred Splient's parents tervedion only minor medical and social in- terventions. The residents of the heavy-assisted secwere living with him and his family. Fred was an active tion would have more medical needs and would require member of the "sandwich generation." His parents assistance getting around. The Business Development the geriatric populace. Their increased medical needs because many assisted living facilities were erected were beginning to wear on Fred and his family. It across the country, but few had a medical focus and crossed Fred's mind that life might be more pleasant if offered the types of services that St. Dismas could the hospital Board approved an expansion of the Medical offer-physical and occupational therapy programs Centerscampustoincludeanassistedlivingfacility.FredhadhisBusinessDevelopmentteamprepareaandbehaviormanagementprograms,tonameafew.TheBoardwasassuredthatthefacilitywould rough estimate of the potential return on investment of an meet the strategic initiative of growing business. The assisted living facility. He asked the team to identify dif- business plan projected an immediate increase in the costs. The team also did a complete competitive analysis Another projected deliverable of the project was to enand examined the options for services to be offered able St. Dismas to strengthen its focus on reimbased on St. Dismas's potential population base. The bursable preventive and wellness programs for the Business Development team visited several facilities healthier geriatric population. The project's longer term acrossthecountry.Theteamalsointerviewedcompa-niesthatcouldoverseethedesign,building,andopera-tientunitsbyhavingalocationwherepeoplecouldagegoalwastoincreasethecensusinthehospitalsinpa- tion of the facility for St. Dismas. The development team in place until they were in need of hospitalization, and produced a preliminary business plan based on the rec- then such a facility would be right next door. 115 St. Dismas Medical Center, an urban, nonprofit, 450-bed ommended structure for the facility, estimated capital exrehabilitation hospital, began to see a significant decline penditure needs, estimated income from operation of the in admissions. St. Dismas's mission focuses on inpatient facility, as well as projected revenues to other Medical and outpatient rehabilitation of the severely injured and Center programs resulting from the facility's population. catastrophically ill. While the patient census varied from Two months later, the plan for an assisted living famonth to month, it appeared to the St. Dismas Board of cility was presented at a Board of Trustees meeting. Trustees that the inpatient population was slowly but The new facility would be set up as a for-profit substeadilydeclining.Thehospitalsmarketresearchersre-portedthatfewerpeoplewerebeingseverelyinjureddueprofitandnotbesubjectedtothestrictguidelinesofsidiaryoftheMedicalCentersothatitcouldgeneratea to the popularity of seat belts and bicycle/motorcycle the hospital's accrediting agencies. As a subsidiary orhelmets. In order to plan for the future of the organiza- ganization, however, the Board would still have control. tion, the Board and the CEO, Fred Splient, M.D., called The chosen facility design was a freestanding for a major strategic planning effort to take place. foramajorstrategicplanningefforttotakeplace.TheoutcomeofthestrategicplanningretreatwasHospitalforaccesstothekitchenandhospitalservices.apartment-likefacilitywithashelteredconnectiontothe that the Medical Center determined it needed to focus The facility would have 100 units with 15 to 30 of the units its efforts around two major strategic initiatives. The first, classified as "heavy-assisted" and built to code to house strategy, was to develop new programs and services population would be approximately 110 to 150 residents, that would capitalize on the existing, highly competent with most being single occupants rather than couples. rehabilitation therapy staff and St. Dismas's excellent The light-assisted apartments could hold resi- reputation in the region. At the time of the retreat, Fred Splient's parents tervedion only minor medical and social in- terventions. The residents of the heavy-assisted secwere living with him and his family. Fred was an active tion would have more medical needs and would require member of the "sandwich generation." His parents assistance getting around. The Business Development the geriatric populace. Their increased medical needs because many assisted living facilities were erected were beginning to wear on Fred and his family. It across the country, but few had a medical focus and crossed Fred's mind that life might be more pleasant if offered the types of services that St. Dismas could the hospital Board approved an expansion of the Medical offer-physical and occupational therapy programs Centerscampustoincludeanassistedlivingfacility.FredhadhisBusinessDevelopmentteamprepareaandbehaviormanagementprograms,tonameafew.TheBoardwasassuredthatthefacilitywould rough estimate of the potential return on investment of an meet the strategic initiative of growing business. The assisted living facility. He asked the team to identify dif- business plan projected an immediate increase in the costs. The team also did a complete competitive analysis Another projected deliverable of the project was to enand examined the options for services to be offered able St. Dismas to strengthen its focus on reimbased on St. Dismas's potential population base. The bursable preventive and wellness programs for the Business Development team visited several facilities healthier geriatric population. The project's longer term acrossthecountry.Theteamalsointerviewedcompa-niesthatcouldoverseethedesign,building,andopera-tientunitsbyhavingalocationwherepeoplecouldagegoalwastoincreasethecensusinthehospitalsinpa- tion of the facility for St. Dismas. The development team in place until they were in need of hospitalization, and produced a preliminary business plan based on the rec- then such a facility would be right next door. 115