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9.8 A Pediatrics Department became concerned about low morale and productivity of nursing staff after the chair of its General Pediatrics division left the organization

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9.8 A Pediatrics Department became concerned about low morale and productivity of nursing staff after the chair of its General Pediatrics division left the organization due to retirement. After a nine- month search, the Pediatrics Department was able to hire a specialized pediatrician chair for the General Pediatrics division andwould like to evaluate the effect of the new leadership on productivity. Measurements before and after the new leadership took over are displayed in Table EX 9.8. Table EX 9.8 Measurement Before New After New Leadership Leadership Total Worked Hours 16,062 14,813 Patient Visits 11,826 12,113 Reimbursement per Visit 33.00 30.87 ($) Overhead Costs ($) 28,546 29,831 Materials Costs ($) 94,421 58,447 Skill Mix Distribution RN ($28.85/hour) 0.60 0.61 LPN ($17.60/hour) 0.21 0.26 Other ($11.8/hour) 0.19 0.13 Assume that 1 LPN = .6 RN and 1 other nursing staff = 0.4 RN.a. Calculate the total worked hours/unadjusted patient visits before and after new leadership. b. Calculate the skill-mix-adjusted hours/unadjusted patient visits. c. Calculate the standardized labor costs of care/unadjusted patient visits. d. Calculate the multifactor productivity measure. e. What do you conclude about the productivity of the General Pediatrics division after the new leadership was brought in

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