8 - COMMUNICATION AND BUDGETING Flashcards
- refers to the transfer and understanding of meaning
communication
information must reach the receiver
transfer
requirement of successful communication
understanding
when a transmitted thought or idea was received and understood by the receiver exactly as it was envisioned by the sender
sign of successful communication
two types of communication
- interpersonal communication
- organizational communication
communication between two people
interpersonal communication
- all the patterns, networks, and systems of communication within an organization
- may be intradepartamental or interdepartamental
organizational communication
communication inside the department
intradepartamental communication
communication outside the department or with other departments
interdepartamental communication
functions of communication
- control
- motivation
- emotional expression
- information
- communication of formal guidelines are necessary to control employee behavior
control
ways communication is used as a control:
- reporting of job grievances
- provisions of job description
- relay of company policies and procedures
includes clarifying to employees:
- what is to be done
- how well they’re doing
- what can be done to improve performance
motivation
- for many employees, their work group is a primary source of social interaction
- communication in the workplace can also be used to share feelings of frustration and satisfaction and for the fulfillment of social needs
emotional expression
- communication provides the needed information to get things done in the workplace
- timeliness is crucial when relaying information
information
elements of the communication process
- sender
- message
- medium
- receiver
- feedback
- origin of the message
- must have a particular understanding of the meaning, purpose, target, and desired response of the message
sender
- may be verbal or nonverbal
- presentation is an important variable: wording, tone, voice, gesture
message
- channel through which it is received
medium
- receives and interprets the message
- provide feedback to the sender
receiver
types of organizational communication
- formal communication
- informal communication
- also known as vertical communication
- aligned with the organizational structure and hierarchy
- takes place with prescrives organizational work hierarchy
formal communication
- not defined by the organization’s structural hierarchy
informal communication
purposes of informal communication
- satisfies needs for social interaction
- improves organization performance by creating alternative, and frequently faster and more efficient, channels of communication
directions of communication
- upward/downward
- lateral
- diagonal
- manager to employee
- employee to manager
- downward
- upward
communication between employees on the same level of organization
lateral
- communication across both work areas and organizational levels
diagonal
communication networks
- chain network
- wheel network
- all-channel network
combination of vertical and horizontal flows of organizational communication into a variety of patterns
communication networks
- communication following the formal chain of command
- scalar principle
chain network
communication between leader and all the members of the team
wheel network
free-flowing communication among all members
all-channel network
communication cycle in the laboratory
- encounter between the patient and physician
- translation of physician’s decision into laboratory requisition
- performance of requisition by the laboratory
- processing and validation of laboratory result
- reporting of result to the physician
- official request of the physician to the laboratory to perform a test
laboratory requisition forms
lab request forms must ensure complete information on:
- identification of patient
- laboratory examination desired
minimum identification data on lab requisition forms:
- full name of patient
- age
- gender
- test/s
- attending physician
- if inpatient: hospital number, room, and bed number
- should include timestamp and date
- should contain complete identification of patient
- signed by the medical technologist and pathologist
- validated by the laboratory head or designated medical technologist prior to release
laboratory reports
assumes fixed level of sales or production
fixed cost
takes into account the costs that vary with volume
variable cost
unit cost formula
unit cost = variable cost + fixed cost / total units produced
relationship of total cost to unit cost
as the total cost increases, the unit cost decreases
a numerical plan for allocating resources to specific activities
budget
- the process of planning, forecasting, controlling, and monitoring the financial resources of the organization
- the process of allocating resources to pay for designated future costs
- serves as a financial control by providing managers with quantitative standards against which to measure and compare resource consumption
budgeting
2 types of variable budget
cash budget and profit budget
forecasts cash on hand and how much will be needed
cash budget
combines revenue and expense budgets of various units to determine each unit’s profit contribution
profit budget
two types of fixed budget
revenue budget and expense budget
projects future sales
revenue budget
lists primary activities and allocates dollar amount to each
expense budget
approaches in budgeting
- incremental budgeting
- zero-based budgeting
- process starting with the current budget from which managers decide whether they need additional resources and the justification for requesting it
- adjustments are based on previous experience of expected higher future costs
incremental budgeting
- process starting with an established point of zero rather than using the current budget as the basis of adding, modifying, or subtracting resources
- considered to be more helpful in scrutinizing the value of different expenditures
zero-based budgeting
- the process of planning for the laboratory as an ongoing business concern accounting for everyday needs and expenditures
- represents the financial parameters of the laboratory’s goals for the coming year
operating budget
steps in operating budget preparation
- selection of time frame
- forecasting
- scheduling
- synthesis of information
- may cover several time frames (annual, quartetly, etc)
- annual budget is considered as the main working guideline for management
selection of time frame
2 types of forecasting
- quantitative forecasting
- qualitative forecasting
application of mathematical rules to a series of past data to predict outcomes
quantitative forecasting
use of judgment and opinions of knowledgeable individuals to predict outcomes
qualitative forecasting
factors to consider in forecasting:
- shifts in patient mix of volume
- changes in medical staff composition
- changes in business parameters such as inflation and reimbursement rates
- expansion or cutbacks in services offered by the laboratory
- population fluctuations brought about by changes in the local economy
- refers to the time alloted for the budget to be drafted, reviewed, negotiated, and revised prior to the implementation
- most institutions start the process about six months before the beginning of the new budget year
scheduling
- refers to the actual write-up of budget
- the informatiom must be presented logically, in a way that is useful to the manager and the organization
- followed by review, approval, and implementation
synthesis of information
covers specific equipment acquisitions and building projects that require major financial commitments
capital budget
fixed assets such as land, buildings, machinery, and equipment
capital goods
4 types of budget
- Personnel budget
- Capital budget
- Operational budget
- Allocation (overhead) budget
- projection of personnel needs, generally expressed in full time equivalents
- a full time employee salary
- labor related expenses (salaries and benefits)
personnel budget
- it is for the “big ticket” items whose return on investment may be achieved over multiple years
- instruments
- equipments
- construction of facility
capital budget
- day-to-day cost and for “small ticket” items (depreciation and maintenance)
- reagents
- consumables
- professional fees
operational budget
- workload recording is a tool used to monitor productivity, strategic planning, and to project future budget needs
- ideally, workload recording units are weighed to reflect the labor and medical supply expense associated with each test performed
allocation budget
