Reference no: EM133722757

Case: Because you have done such a good job with the consulting assignments, your boss has asked you to lead the development of the department's annual operating budget for the healthcare facility you selected, (Joslin Diabetes Center). She has also offered to review an outline of your capital budget proposal before you submit it for consideration by the decision makers. There are two parts to this assignment that you will submit together:

Part One: Proposal Outline
First, you will outline your proposal for your boss to review. With the goal of submitting a proposal that will help your organization and win a $2,500 bonus, you will create a 1-3 page outline of your final project presentation that identifies the key points you will use to address critical elements of the final project, providing sufficient detail to allow your boss to provide constructive feedback on your proposal. Your outline should incorporate, where applicable, the knowledge, concepts, and principles that you have learned in Modules One through Five. Review the example proposal outline to gain an idea of what the start of your outline may look like. The notes and ideas you generate in this outline may inform the speaker notes, visuals, and text that you will include in your final project proposal presentation.

To complete this part of the assignment, the following items must be addressed:

Proposal

Options: What various options are available for each item in your budget proposal? Provide multiple options for your supervisor or board to consider based on their needs.

Financial Research: Describe the cost-benefit of each option based on relevant information and research. Information and research can include research on the items or vendors, organizational numbers, price quotes, and more. Be sure to provide relevant documentation in an appendix or reference slide to show the depth of your research and the various options available.

Organizational Resources: Identify what resources would be needed to implement one of the options in your proposal

Communication: What method of communication would be used to notify departments across the organization and what methods would be used throughout proposal implementation? Justify the appropriateness of your suggestions.

Part Two: Departmental Budget
Second, create your annual departmental budget per your boss' request. As part of your capital budget proposal, you will need to apply the cost of your capital budget item, and all associated costs, to a specific department within the organization.

Using the budget sample as an example, create your own departmental operating budget in the Operating Budget sheet. Please note that this is just an example provided to help you get started. You do not have to use all of the budget items found in the budget sample if they do not apply to your department. You may find that additional items are appropriate to include for your department beyond what is included in the sample. Use the Capital Budget sheet to calculate the costs of your capital budget item.

As you create your department's budget, consider items such as hiring new staff, training, technology, and any other related costs. Also account for the potential revenue generated as a result of implementing the capital budget item as well as any potential expenses incurred by your department. These should be high-level estimates.
To complete this part of the assignment, the following items, as well as those listed above, must be addressed:

Budget (Please Note: Respond to the following critical elements in the proposal outline, not on the Excel document)
Statements: What statements were utilized for formulating your proposal and why? Select the appropriate statements for analysis and defend your choices.

Expenses: What major expenses are associated with your proposal items?
Budgetary Accounts: What budgetary accounts (i.e., salaries) are impacted and in what way?

Reasoning: Based on the previous year's budget data, why did you select these budget items for adjustment over other options?
Ratios: Research the various ratio options (including ROI) used for reviewing financial statements. Determine what ratios you will use for your proposal items and explain why.

Ratio Calculations: Using budget statements, formulate calculations that support each recommendation.
Projected Departmental Budget: Create a projected departmental budget for the upcoming year that incorporates the costs of the proposed changes.