Reference no: EM131221869
Richland Health has three hospitals in the greater Tampa, Florida area. Demand for patient services varies considerably during the fall and winter months due to the temporary influx of the aged population. From October through March, providing adequate nursing staff is extremely difficult for Richland Health. Last year, to address this problem, Richland Health contracted with Cross Country TravCorp to hire traveling nurses during these 6 months. TravCorp offered to provide nurses under the following four contract options:
|
Option
|
Length of Employment
|
Cost
|
|
1
|
One Month
|
$5,000
|
|
2
|
Two Months
|
$11,600
|
|
3
|
Three Months
|
$17,000
|
|
4
|
Four Months
|
$24,000
|
Longer contract periods are more expensive because fewer nurses are willing to commit to longer work assignments. During the next six months, Richland has projected the following needs for additional nurses.
|
Month
|
Oct.
|
Nov.
|
Dec.
|
Jan.
|
Feb.
|
March.
|
|
15
|
28
|
24
|
20
|
35
|
36
|
|
Each month, Richland can hire as many nurses as needed under each of the four options. For instance, if Richland hires five nurses in October under Option 2, Cross Country TravCorp will supply Richland with five traveling nurses who will work two months: October and November. For this, Davis must pay 5($11,600) = $58,000. Richland Health does not want to commit to any contractual obligations for traveling nurses beyond March. No traveling nurses should be employed past March.
Each nurse hired in the traveling-nurse program must receive training at the time of hire, at a cost to Richland Health of $1750 per hire, regardless of the option under which the nurse is hired. The training program is required even if the person has worked for Richland Health in the past.
Richland Health needs to know how many traveling nurses to hire in each of the 6 months under each of the 4 contract options so that it can at least meet its projected demand in each month
Part 1
Assume your manager has given you this task and you need to come up with a solution. Use the first worksheet, denoted Part 1, to determine a feasible solution that meets monthly staffing needs.
Part 2
1. Use the second worksheet to develop a linear programming model to determine the number of nurses Richland Health should hire each month under each contract option in order to meet the projected needs at a minimum total cost. Solve your LP using Microsoft Solver.
2. The current demand for traveling nurses in March is 36. If demand decreases to 31 in March, what would be the new cost? Use the Sensitivity Report to determine your answer;
What's the percentage cost savings between the plan you developed in Part 1 and the optimal plan in Part 2-a?
|
Team current productivity and output
: What do you do when the animosity from past conflict with a team member, begins affecting your team's current productivity and output?
|
|
Components of the service-profit chain
: Two important components of the service-profit chain are employees and the customer. Discuss your insights into this theory and give examples of how this theory has worked or not worked in a job you have had.
|
|
What amount of cash did harlem receive from customers
: Sales for Harlem Tool & Die during 20X1 were $600,000, 75% of them on credit and 25% for cash. During the year, accounts receivable increased from $56,000 to $67,000, an increase of $11,000. What amount of cash did Harlem receive from customers durin..
|
|
Why do you think the chairmen made these statements
: In 2006, Ben Bernanke said the goals of strong output growth and low inflation "are almost always consistent with each other."- Why do you think the chairmen made these statements?
|
|
Demand for patient services
: Richland Health has three hospitals in the greater Tampa, Florida area. Demand for patient services varies considerably during the fall and winter months due to the temporary influx of the aged population.
|
|
Operator of immigrant relocator services
: Sue Krebs is the sole owner and operator of Immigrant Relocator Services. As of the end of its accounting period, December 31, 2005, Immigrant Relocator Services has assets of $925,000 and liabilities of $285,000. What is the amount of net income dur..
|
|
Will action push money growth toward the reference value
: Suppose the growth rate of Europe's money supply exceeds the ECB's reference value, leading the ECB to raise its interest rate target. - Will this action push money growth toward the reference value?
|
|
Draw the saw tooth inventory profile
: (a) Draw the saw tooth inventory profile. What does the cycle time correspond to in this example? (b) How much used glass (in tons) would SUSTAIN need to collect in every drive to meet demand?
|
|
What are the stages of consumer behavior
: What are the stages of consumer behavior? Do these stages change, or are they constant? Using these stages, give a specific example of a consumer going through these stages and how it might affect their purchasing decisions.
|