Variance Report

You are the manager of a hospital department that cares for patients, and you just received your monthly budget results that state your salaries were higher and your supply use was lower than budgeted. Write a paper (1,000-1,200 words) that explains the following points:

1. Include what factors you should consider when writing your variance report to your vice president. Note: Your vice president expects her managers to write detailed variance reports that include all possibilities.

2. Include the relationships between interpreting operational variance report budget goals and actual results of performance.

3. Describe the variance issues to be addressed in accordance with Health Care Organizations (HCO) that require justification if they are over or under the threshold for action. Include two scholarly references in addition to your textbook. additional pointers.

First this is a scenario/case study and your paper will be addressing variance and specifically identifying the two problems presented here which is higher salaries and lower supplies. Do not use WE, OUR, US, I ANY MY, use the department instead, as you are writing on behalf of the department. You do not need to write this to the Vice President but rather use the scenario to compile a paper that explains:- What is variance and how does this apply in health care Why organizations track variance, especially in health care. Discuss budgeting for staffing and why this is difficult in health care.

Offer some possible reasons, based on your reading and research as to why salaries might be over. Consider over time, unexpected patient volume, acuity of cases and any other items that impact salary dollars in health care, such as education. Consider the issue of supplies. Usually supplies are connected to patient volume, but they can also be connected to the acuity if cases.

Departments order supplies based on previous trends in other years, so they may be overstocked in certain areas. Use your readings and research to support your findings. Provide an introduction and conclusion for your paper and do not use the personal we and I in your writing, these are only used for personal assessment papers.