Answer the following using the Analytic Solver Platform (ASP)

The da Vinci Surgical System is a robotic surgical system made by the American company Intuitive Surgical. Approved by the Food and Drug Administration in 2000, it is designed to facilitate surgery using a minimally invasive approach, and is controlled by a surgeon from a console. The system is used for prostatectomies, and increasingly for cardiac valve repair and gynecologic surgical procedures

• The hospital currently has a surgery frequency per month between 10-20 (a min of 10 a max of 20 and a median of 15 ) of the surgeries that can be performed robotically.

The greatest cost savings and/or revenue opportunities, are expected to come from fewer bed days. Each surgery under the system is estimated to be decreased by as much as 50% per surgery:

Surgery	BD From	BD To
Cardiac valve	56	28
Hysterectomy	4	2
Prostatectomies	1	0

• It is estimated that the available bed space will allow for a 5%, 10% or 15% increase in surgeries.
• The average payment for any surgery, robotic or laporoscopic, is $25k.
• The DaVinci Surgical system has an estimated life span of 20years.
• It costs between $1.5 and $2.5 million per machine.
• Annual maintenance is $ 138k.
• There is an average instrument cost of $3,400 per da Vinci procedure, as little as $3,000, as much as $4,000.
• Discount Rate (cost of Capital) is 8%

Develop a simulation on the Analytic Solver Platform that you believe will enable the board to make a sound decision. Provide print outs and/or screenshots of the simulation spreadsheet as well as the corresponding charts with an executive summary of your findings.