Managing Finances Flashcards

1
Q

What is the importance of budgeting processes?

A

Determines how to allocate the fiscal resources necessary to accomplish the objectives, programs, and activities of nursing services. Provides nurse leaders and managers with the necessary tools to ensure resources benefit patients and the organization rather than being wasted. Has a direct effect on the quantity and quality of the nursing care provided.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Nurse leader’s role in cost containment and effectiveness?

A

HAVE direct impact on costs associated with patient care.
RECOGNIZE that they have control over unit activities that contribute to budget.
ENGAGE staff in the budget process and emphasize the financial impact on the unit.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What is the role of the nurse leader and managers in budgeting?

A

Focus on goal to gain high-quality value for every dollar spent, monitor financial status of unit or units, provide quality cost-effective nursing care, responsible for operating and capital budgets and daily, weekly, and annual productivity, and assuring resource allocation based on patient needs and valid nursing workloads.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What is the budget process?

A

A systematic plan that provides the best estimate of nursing expenses and revenues.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What is effectiveness and efficiency?

A

Providing care based on evidence and avoiding underuse and overuse of resources. Evaluating system inefficiencies and eliminating outdated processes. Taking into account necessary care activities, value-added care activities, and non-value added care actvities.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

What are the three types of budgets?

A

Operating budget, personnel budget, capital budget.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What is an operating budget?

A

Overall plan that accounts for expenses and revenues related to the day-to-day operation of a unit for a fiscal year. Includes all unit expenses and revenues.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

What is a personnel budget?

A

Part of the operating budget and the largest budget, expenses related to nursing personnel, directly related to ability of nurse leaders to supervise their staff, requires vigilant monitoring of fluctuating patient census and acuity to avoid overstaffing or understaffing.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

How do we set the personnel budget?

A

Staffing needs and staffing plan for the unit, expenses for regular salaries, hourly differentials, overtime, and nonproductive time, FTE’s needed to staff the unit to remain safe, forecast staffing needs.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

What is capital budget?

A

Includes equipment, furniture, technology hardware and software, and building renovations.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

What are the three types of budgeting?

A

Incremental budgeting, performance budgeting, and zero-based budgeting.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly