Return on Investment ROI Phase 6 Research Paper Phase 6 Assignment: Submission of final research paper. Build a bridge between the phases, create a new int

Return on Investment ROI Phase 6 Research Paper Phase 6 Assignment: Submission of final research paper. Build a bridge between the phases, create a new introduction to the Harris Board as a final presentation, add the cover sheet, abstract, Outline, and citations as presented in Phase 5.

I attached my Phases 1, 2, 3, 4 AND 5.For example, I attached my classmate work for Phase 6. Please look at his work How he did his Phase 6. Please don’t copy.

Please read it well.

Than do great work. Please read my Phase 1, 2, 3, 4 and 5.
My work – Understanding Return on Investment (ROI) – Phase 1
Hello, ladies and gentlemen. My name is (………….). I work as a Health
Administration Services Manager with the well-known accounting firm, Pennypacker
and Vandelay, Welcome to the first phase of my six presentations. The topic I will be
presenting on is Return on Investment (ROI). This will involve an overview and how
it impacts Electronic Health Records at Harris Memorial Hospital and the Harris
Community Foundation. Shall we get started?
Overview
ROI is a metric that organizations use to measure their financial gain, return or loss
form an investment. ROI applies by comparing the amount of money the company
invests and the amount of money it gains/saves from the program. Value added
Investment and Return on invest are now clearly applied by many companies. ROI is
measured by monetary metrics while you VOI is measurement of a multitude of
metrics.
History
The DuPont innovation of ROI calculations acts as one of the most significant turning
points in modern accounting and management. DuPont integrated financial
accounting, capital accounting, and cost accounting as early as the 1920’s. For
instance, DuPont measured its assets at their gross book value as opposed to net book
value which became the identity of DuPont. The basic ROI formula is: Net Profit /
Total Investment * 100 = ROI. What makes DuPont ROI calculations effective is that
it focuses on net return rather than net profits. This applies in instances where one
wants to measure how the division manager uses the property of the company to
generate profits.
The Role of ROI on Electronic Health Records (EHR)
As we all know Electronic Health Records (EHR) use both ROI and VOI metrics.
Return on investment and value on investment involves measurement of outcomes.
Measurement of investment is an important metric in measuring of VOI and ROI. The
benefit of EHR programs is usually measurable in a tangible way. Return on
investment is a metric which is used in measurement of financial gain in EHR
programs. The metric checks return or loss from investment.
There is a comparison on the amount of money that is invested in a program and the
amount of money gained. VOI on the other hand is a measure of gains in a different
way than ROI. Value on investments addresses tangible and intangible benefits that
come from wellness programs. The specific issues analyzed by the metric include the
health impact on the overall health of employees and the level of job satisfaction
among employees
ROI and VOI have both advantages and disadvantages depending on the application.
The main advantage of using value on investment is that it analyzes both tangible and
intangible gains unlike ROI which just focuses on returns on investment. ROI is on
the other hand more specific than value on investment metrics. Another advantage of
VOI is that it takes a shorter period of time.
Hard analysis
Hard analysis involves measurements that are easy to quantify and have a great
possibility of leading to success. In the case of Harris Memorial Hospital and the
Harris Community Foundation., a training analysis will lead to identification of gaps
that need to be addressed. The training strategy in this case involves provision of job
aids, coaching of employees, and leadership training to ensure that there is effective
succession planning.
Soft analysis
Soft analysis in the other hand incorporates measurements that are not easy to
quantify with immediate financial goals. There are potential challenges that the
managers and owners of the business in this case could face while addressing
organizational performance. The challenges in this case include communication
problems, inadequate tools, lack of funds and even issues such as organizational
conflict. Detecting organizational gaps in small businesses is important in making
them focus on capitalizing on strengths and addressing weaknesses. The potential
return on investment (ROI) that will be gained from the strategy developed in this
case is an essential justification.
Conclusion
Despite ROI being used widely, I feel that the ROI system has certain limitations in it.
One is that it causes incongruities between divisional objectives and company goals,
which result in motivating division managers to take uneconomic actions. Despite this
ROI system is versatile enough to be used to evaluate the efficiency.
Does anyone have a question?
Thank you for participating in my Phase 1 presentation and I will see you again in my
Phase 2 presentation.
Reference
Miller, S. (2015). Metrics beyond ROI can capture wellness outcomes. Retrieved
from https://www.shrm.org/hrdisciplines/benefits/Articl…
Schaefer, J. (2016, June 9). The Real ROI for Employee Wellness Programs.
Retrieved from Corporate Wellness
Magazine.com: http://www.corporatewellnessmagazine.com/column/th…
Swanson, R. (2009).Analysis for Improving Performance: Tools for Diagnosing
Organizations and Documenting Workplace Expertise . New York:
ReadHowYouWant
My work – Understanding Return on Investment (ROI) – Phase 2
Hello everyone here today! Good morning to all stakeholders of the Happy Hospital. I
am happy for sacrificing your time to be part of this presentation. My name is
(……………), the accounting firm Health Service Manager at Pennypacker and
Vandelay. LLC. On today’s presentation, I am going to present the Phase two
discussion. However, before I give an outline of Phase 2, allow me to give a brief
summary of my Phase 1 presentation which was about Return on Investment and its
significance to Electronic Health Records. Any organization should have a plan that
will evaluate its profits or gains because that is the primary objective of any business
enterprise (Phillips, 2012). However, profit alone does not measure the firmness of an
organization but rather its progress. A business which lacks a plan to evaluate its
profit runs a risk of becoming bankrupt. In reference to this context, the Return on
Investment is significant to an organization because it helps in establishing the profit
acquired from the investment. I also described the two types of ROI analysis which
are soft and Hard returns. These analysis works in collaboration although their impact
profit/cash flow gains in the organization are different.
Having demonstrated an overview of the phase presentation summary, I would now
wish to continue with the Phase 2 presentation. Is there anyone with any question
about Phase 1 that need to be addressed before I turn to Phase 2?
Phase II on ROI emphasizes majorly on the recommended stages that would guide to
create documentation for the rationalization of a soft return (examples of soft cost are
risk avoidance, client goodwill, patient safety, process improvement, and regulatory
compliance and support costs) and metric collection whose major objective is to
estimate the financial benefits which would be accrued from the organization.
HER systems are significant to hospitals and healthcare organizations. It helps in the
relaying information and provision of valuable data to the stakeholders and other
hospital workers (Baxter, et al, 2014). It also facilitates better decision-making
processes because it provides evidence-based data that guides in decision making.
EHR is also significant in evaluating the soft return through documentation gathering
with the help of a metric. In addition to this, strengthening the ROI is the most
significant factor and it can be established through training and implementation to
prevent any financial losses. Soft costs items tend to be transformative and are critical
to the mission and vision of healthcare facilities like risk avoidance, client goodwill,
patient safety, process improvement, regulatory compliance, and support costs.
Documenting soft returns is vital and involves identification of what needs to be
improved, creating a method of calculating benefits, and establishing the budget for
the whole process. The net benefits must also be examined. For instance, an
individual might examine the soft returns from the proposed project through
establishing an aspect which may require improvement and that would be an
opportunity. For instance, a healthcare organization might establish that there is an
opportunity to protect patients’ records with an increased number of passwords and
limit access to patient information in accordance with the organization’s objectives.
The managers would then create a formula for calculating the benefits. In the case
above, the organization will compare the costs it used to implement the project and
then compare it with the money it could have used if there was a breach. For example,
the cost of implanting an advanced password is about $5,000. In the case of a $10,000
breach, it could cost the organization up to $7 million. The benefits of this
implementation are therefore evident and include better healthcare, no breaches, and
minimal medical errors. There is also a need for IT involvement to create strict codes
that would allow specific personalities to access sensitive information. IT is essential
because it creates efficiency, increases quality delivery; ensure customer satisfaction,
and general effectiveness (Baxter, et al, 2014).
Financial Benefits and Capital Acquisition
There are various benefits that come with EHR implementation. For instance, reports
from physicians across the country indicate that there has been an improved quality
life and minimal errors. However, the cost of implementing this program is expensive
but it is worth the investment. A capital acquisition is a capital which is used to
purchase additional items/assets. A business uses this capital to acquire items like
software, inventory, equipment, and other businesses (Frost, Sonfield, Zolna, & Finer,
2014). The major objective of this purchase is to increase profitability. EHR is
expensive but it enables quality in service delivery. Acquisition capital can be
acquired through help from lenders and external investors who may be interested in
partner with the organization.
Project Management Office (PMO)
HER implementation requires more resources and time to be effective. However, it is
effective and worth because of its benefits. In this regard, various projects create a
Project Management Officer (PMO). A PMO is used to help acquire capita
acquisition to help improve quality services, enhance customer satisfaction, and create
managerial effectiveness (Phillips, 2012). The office of PMO in an organization
works to determine and maintain standards for project management in the business.
The PMO is therefore critical in enhancing organizational effectiveness.
Lastly, I would welcome anyone with a question regarding Phase II. Otherwise, thank
you for your time and would like to see you soon for the Phase III presentation.
References
Phillips, J. J. (2012). Return on investment in training and performance improvement
programs. Routledge.
Frost, J. J., Sonfield, A., Zolna, M. R., & Finer, L. B. (2014). Return on investment: a
fuller assessment of the benefits and cost savings of the US publicly funded family
planning program. The Milbank Quarterly, 92(4), 696-749.
Baxter, S., Sanderson, K., Venn, A. J., Blizzard, C. L., & Palmer, A. J. (2014). The
relationship between return on investment and quality of study methodology in
workplace health promotion programs. American Journal of Health Promotion, 28(6),
347-363.
UNDERSTANDING RETURN ON INVESTMENT (ROI) PHASE 3.
Hello, I would like to start by appreciating every one of you for continued support and
participation in my presentation. My name is ……, the accounting firm Health
Service Manager at Pennypacker and Vandelay. I want to dwell more on phase 1 and
2, but if there is anyone with any question, I give the opportunity.
In phase 3 presentation on understanding Return on Investment I will focus on
justification of capital expenditure. The critical aspects considered in the analysis will
be the amount and type of expenditure, investment decision, and detailed financial
analysis.
The essential elements in justification of expenditure can be assessed through a
primary care physician in ambulatory-care settings across the U.S, but also from
Partners HealthCare System. The same evaluation can be done using the Partners
Healthcare system developed in the United States many years ago. The system was
designed by the Massachusetts General Hospital, Brigham and the Woman’s Hospital
in the U.S. This analysis is based on statistics derived from the following group of
institutions. The study consists of 75 women under the age of 65 years and 2500
patients. Seventy-five percent of the patients used in the analysis belong to the
capitated plan. To ensure accuracy in the results the composition of the panel was
varied to 3000 from 2000 patients.
Justification needs to be developed to detail on the decision to procure EMR used in
the ambulatory offices. The justification will provide answers as to my investment
was a meaningful and worthy undertaking. Cleverly (1997) defines Return on
Investment (ROI) as the determination of the most justification of capital investment
or expenditure. In arriving at the best decision, a cost-benefit analysis should be
conducted. The assessment gives the gains that should be expected out of a particular
investment. It will also give the expected period of return and the cost to be incurred
in undertaking the investment. There are several obstacles to the analysis of return on
investment.
The first challenge in expenditure analysis is the nature of return on investment that
the procured EMR would yield to the company. Opting to purchase a new EMR
would mean that the insurance companies would reimburse the office at a higher rate
for quality services to the patients. The high rate would be due to cost-effective
results. The type of ROI will be termed as a “hard investment.” The benefits of the
option include improved utilization of radiology tests, low billing errors, better
calculation no patient charges and saving on drug expenditure (Ricardo Custodio,
Anna M. Gard, & Garth Graham, 2014). The investment will take a shorter duration
to yield profit and reimburse the cost incurred in acquiring it. Considering the
purchase of a system software after implanting the initial investment then there will
be no immediate cash inflows.
In addition to the nature of the ROI, the associated amount and scope of the
expenditure should also be considered. The consideration involves a comparison of
the cost of operating without the equipment and the cost of acquiring and
implementing the EMR equipment. The cost of implementing the electronic medical
record system for five years was $86, 400 per provider. The main benefit acquired in
implementing EMR was saving on drugs by 33% of the total. Other benefits include a
17% reduction in radiology utilization, a 15% improvement in charge capturing and
15% reduction in billing errors. The cost of purchasing, installing and implementing
the EMR comes to $40,000 (Campbell, Donelan, Rao, & Blumenthal, 2013).
Considering the product solvency and competitiveness the capital decision to buy the
EMR was suitable.
With the initial purchase cost of EMR as $42,900 and a discounted Rate of 6%, the
NPV will be -$40,326. The Present Net Value arrived as shown:
At rate x initial investment will be (6% x $42,900) = $2,574.00
The then $2,574.00 – ($2,574.00-$42,900.00) which is the initial investment.
Therefore NVP = -$40,326.00.
I am considering the alternative payment option offered by the EMR Company.
The option allows only $ 2,784.00 for five years with a discounting rate of 5%.
The NPV will be -$43,616.00.
The calculations prove that the first option was healthier compared to the second one.
The investment cost of $42,900 yields is greater NPV.
The other financial methods in justifying capital expenditure are the profitability
index. Profitability index is arrived at by dividing the NPV by the cost of the
investment.
Therefore the PI will be (-$40,326.00 / $43,616.00) = 0.92.
Research shows that viable projects for funding should have a PI greater than zero
should be funded. The positive value proves that the investment is worthy and will
yield positive returns.
The decision arrived at was based on literature analysis. The analysis concentrated on
the inpatient since the outpatients were less certain. The EMR system gain depends on
the size if the healthcare facilities in terms of patients. The cost-benefit analysis
conducted is only relevant for primary care physicians. Since diagnosis services are
on high demand for specialists, there is a likelihood of cost saving. The study offers
are the rationale for the implementation of the EMR system. The study guides
decision making on the implementation of EMR in primary care. Not all benefits of
the EMR were able to be quantified. Other benefits of EMR included improved
quality care, reduced medical errors and better healthcare access.
Based on the cost-benefit analysis it was found that EMR was a practical and efficient
purchase. The projected gains include an increased number of patients due to service
satisfaction, decreased wait time, better patient-physician communication and an
overall increase in profitability. The EMR will yield enough returns for maintenance.
It is such a profitable investment.
Does anyone have a question concerning our phase I, II and III? Thank you for
participating in the presentation.
References
Cleverley, W. (1997). Essentials of health care finance (4th Ed.). Gaithersburg, Md.:
Aspen.
Custodio, R., Gard, A., & Graham, G. (2009). Health Information Technology:
Addressing
Campbell, E. G., Donelan, K., Rao, S. R., & Blumenthal, D. (2013). Use of Electronic
Health Records in U.S. Hospitals. New England Journal of Medicine, 360(16), 16281638. doi:10.1056/nejmsa0900592
Ricardo Custodio, Anna M. Gard, & Garth Graham. (2014). Health Information
Technology: Addressing Health Disparity by Improving Quality, Increasing Access,
and Developing Workforce. Journal of Health Care for the Poor and
Underserved, 20(2), 301-307. doi:10.1353/hpu.0.0142.
UNDERSTANDING RETURN ON INVESTMENT (ROI) PHASE 4.
Good morning, ladies and gentlemen of the Board of Trustees at Harris. My name is
(…….) and I am a Health Services Manager with the Certified Public Accounting
firm, Pennypacker and Vandelay, LLC. I welcome you all to Phase 4 of my six-part
presentation. In this phase, I will be taking a look at the value and steps necessary to
conduct a look back analysis better known as, Post-implementation audit. Through
this analysis, the phase three outcomes will be evaluated to determine whether the
choices made were correct, and if not, what corrective measures can be taken
including the lessons learned. At the end of this presentation, you will be able to
understand what look-back analysis is as well as the fundamentals of postimplementation audit reviews in ROI projects. In the previous phases, we defined ROI
as an indicator often used by entities to determine the profitability of a particular
project. ROI is valuable for evaluating success over time and making informed
business decisions. It answers the question, what value did we get for our money? It
also initiates the process of establishing the next course of action (Jeffery, 2011).
Therefore, it essential for a business to carry out ROI analysis on their projects. EMR
investments can generate more revenue if aggressive advertising is carried out and
incorporating other measures. And with the help of ROI analysis, each unit adopted is
ranked. A rank with a higher return compared to the project’s costs is accepted. The
information obtained from this analysis is imperative in planning for the next course
of action.
The other component of a look-back analysis that I will focus on is the postimplementation audit. Majorly, the post-impl…
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