Decide how many hours during the week the department must be staffed to fully operate.

The purpose of this executive summary is to provide a justification for the full-time employees of the Lab’s diagnostic medical lab, which will be added as a new department within the hospital. Initial research from different sources determined that in order for the department to fully operate, it must be staffed 8 hours (5 days) per week; additionally, using one of FTE formulas it was calculated that at least 4 full-time employees are necessary in order to meet services requirements – 1 pathologist, 2 laboratory technologists and 1 finance office clerk. Many important services are offered by the laboratory, including imaging and pathology testing. These have been shown to bring in high revenue for hospitals over time. To understand the contribution of each cost to total expenses, direct and indirect costs as well as flexible costs or semi-variable costs were broken down. This project shows how data can be used to predict the future and create decision strategies.
References:
1. US National Library of Medicine National Institutes of Health 2019 Lab Test Utilization Strategies – Radiology & Pathology Benefits Study Group [Fact Sheet]. Retrieved from https://www.radpartnershipgroupllc2018011515580740881116RADPS0002_Path_Lab_Utilization_Strategies_vFinal2 _4843784776102352974880960265866330954051119148312996522360604PVLY01242SCBX067874_.pdf

2 Amjad Ullah et al., Cost Analysis Reports Of Laboratories Operating In Major Hospitals Of Pakistan | Aegean Journal Of Applied Sciences Volume 3 Issue 1 March 2020 Pages 94 – 101 (2020). Retrieved August 6th 2020 from http://aegeansciencejournal.com/viewer/index?filename=202021817551335198288116122300191AMJAU0219SCTZ042893_.pdf

3 European Society For Medical Oncology (n.d.). Financial Models For Oncology Services Within the Hospital Setting Guidance Manual Fourth Edition 2016, [White Paper]. Retrieved September 18th 2018 from https://www.esmoaebmguidelineswikiwcsfcontentdamESMOfilesdocumentsfinancialmodelsforoncoserviceswithinhospital4thedition2016webversionfinalwithperpage112lorescompressed72dpiinddPDF&sa=U&ved=2ahUKEwjzvuC6gKvtAhVKrFkKHa9UBGkQFjAKegQIChAB&usg=AOvVaw08ByMSxsM0bPGL8evPsiSn