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Mt. Sinai Hospital

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Mt. Sinai Hospital Hospital Expansion Problem STRATEGIC RESOURCE ALLOCATION and PLANNING MGMT E-5050 Mt. Sinai Hospital Mt. Sinai Hospital is a 600-bed facility ... – PowerPoint PPT presentation

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Title: Mt. Sinai Hospital


1
Mt. Sinai Hospital Hospital Expansion Problem
STRATEGIC RESOURCE ALLOCATION and PLANNING MGMT
E-5050
2
Mt. Sinai Hospital
Mt. Sinai Hospital is a 600-bed facility,
complete with laboratories, operating rooms, and
x-ray equipment. In seeking to increase
revenues, the administration has decided to
make a 90-bed addition on a portion of adjacent
land currently used for staff parking. The
administration feels that the labs, operating
rooms, and x-ray department are not being fully
uti- lized at present and do not need to be
expanded to handle additional patients.
The addition of 90 beds, however, involves
deciding how many beds should be allocated to
the medical staff for medical patients and how
many to the surgical staff for surgical patients.
3
Mt. Sinai Hospital
The hospitals accounting and medical
records departments have provided the following
perti- nent information. The average hospital
stay for a medical patient is 8 days, and the
average medical patient gener- ates 2,280.00 in
revenues. The average surgical patient is in
the hospital 5 days, and receives a 1,515.00
bill. The laboratory is capable of handling
15,000 tests per year more than it is handling.
The average medical patient requires 3.1 lab
tests and the average surgical patient takes 2.6
lab tests.
4
Mt. Sinai Hospital
Furthermore, the average medical patient uses 1
x-ray, whereas the average surgical patient
requires 2 x-rays. If the hospital were expanded
by 90 beds, the x-ray de- partment could handle
up to 7,000 x-rays without signi- ficant
additional cost. Finally, the administration
estimates that up to 2,800 additional operations
could be performed in existing operating room
facilities. Medical patients, of course, do not
require surgery, whereas each surgical
patient generally has one surgery performed.
5
Mt. Sinai Hospital
  • REQUIREMENT
  • Formulate this problem so as to determine
  • how many medical beds and how many
  • surgical beds should be added to maximize
  • revenues. Assume that the hospital is open
  • 365 days a year.
  • Then solve the problem.

6
Solution
Let X1 number of medical patients
X2 number of surgical patients Maximize
revenue 2,280.00 X1 1,515.00 X2 subject
to 8X1 5X2 lt 32,850 ( patient
days available )
365 days x 90 new beds 3.1
X1 2.6 X2 lt 15,000 ( lab tests ) 1 X1
2 X2 lt 7,000 ( x-rays )
X2 lt 2,800 ( operations / surgeries )
X1, X2 gt 0
7
Solution
X1 2,791 medical patients X2 2,105 surgical
patients Revenue 9,551,659.00 per year To
convert X1 and X2 into the number of medical beds
versus surgical beds, find the total number of
hospital days for each type of patient Medical
( 2,791 patients ) ( 8 days ) 22,328
days Surgical ( 2,105 patients )( 5 days )
10,525 days This represents 68 medical days and
32 surgical days, which yields 61 medical beds
and 29 surgical beds.
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