Over budget

Over budget

Discuss the question using 3 APA reference with nursing content within 5years.

Your supervisor met with you and let you know you are over the budgeted dollars for agency nurses for your unit. What are some tactics you could implement to decrease agency usage? What departments in your health care facility could you partner with?

.doc file

Attachments area
Answer preview

Over budgeting occurs when the department spends more on agency nursing above the planned expenditure. Agency nursing supplements labor, but it sometimes increases the labor cost.  To reduce agency cost and usage, I would use Information Technology (IT) to track labor costs. There are various employee systems available to track the number of staff needed at a given time. Therefore, I would benchmark the labor cost over different periods and follow the months that require more staff than others. The IT systems can track any instances of overstaffing. Data on staffing requirements should be examined daily, weekly, or monthly depending on the need (Lee & Lee 2018). I would use the data to determine when to add or reduce the staff numbers. When the nurse-patient ratio reduces, the hospital should lay off some employees to cut costs.