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25. Variable labor budget: efficiency. If the assumed efficiency of the provider

ID: 2476649 • Letter: 2

Question

25. Variable labor budget: efficiency. If the assumed efficiency of the providers changed to 85% (see Exhibit I.5c.), what would be the productive capacity for January?

Exhibit 1.5c Calculation of RVU Productivity Capacity in January

Given Physician Productivity

A

Number of physician I

12

B

Number of physician II

8

C

Shifts per year per full-time physician

204

D

Hours per shift per physician

10

E

Minutes per RUV

15

F

RVUs per hour

4

G

Physician efficiency

87 %

H

Days in month

31

PA or NP Productivity

I

Number physician assistants

1

J

Number nurse practitioners

1

K

Shifts per year full-time PA or NP

230

L

Hours per day per Pa or NP

8

M

RVUs per hour

4

N

PA or No productivity

87%

O

Days in this month

31

Calculations

Physician I

Physician II

Total

P

Number

And (B)

12

8

Q

RVUs per physician per year (365 days)

(C x D x F x G)

7,099

7,099

R

RVUs per day per physician

(Q/365)

19.4

19.4

S

Days in month

(H)

31

31

T

RVU capacity

(P x R x S)

7,235

4,824

12,059

Physicians Assistants

Nurse Practitioners

U

Number

And (J)

1

1

V

RVUs per PA or NP per year

(K x L x M x N)

6,403

6,403

W

RVUs per day PA or NP

(V/365)

17.5

17.5

X

Days in this month

(O)

31

31

Y

RVU capacity this month

(U x W x X)

544

544

1,088

Z

Total RVU capacity this month

(T + Y)

Assume three weeks of vacation, 1 week of sick leave, and 2 weeks of holidays

Given Physician Productivity

A

Number of physician I

12

B

Number of physician II

8

C

Shifts per year per full-time physician

204

D

Hours per shift per physician

10

E

Minutes per RUV

15

F

RVUs per hour

4

G

Physician efficiency

87 %

H

Days in month

31

PA or NP Productivity

I

Number physician assistants

1

J

Number nurse practitioners

1

K

Shifts per year full-time PA or NP

230

L

Hours per day per Pa or NP

8

M

RVUs per hour

4

N

PA or No productivity

87%

O

Days in this month

31

Calculations

Physician I

Physician II

Total

P

Number

And (B)

12

8

Q

RVUs per physician per year (365 days)

(C x D x F x G)

7,099

7,099

R

RVUs per day per physician

(Q/365)

19.4

19.4

S

Days in month

(H)

31

31

T

RVU capacity

(P x R x S)

7,235

4,824

12,059

Physicians Assistants

Nurse Practitioners

U

Number

And (J)

1

1

V

RVUs per PA or NP per year

(K x L x M x N)

6,403

6,403

W

RVUs per day PA or NP

(V/365)

17.5

17.5

X

Days in this month

(O)

31

31

Y

RVU capacity this month

(U x W x X)

544

544

1,088

Z

Total RVU capacity this month

(T + Y)

Explanation / Answer

Given Physician Productivity A Number of physician I 12 No Of days to be considerd B Number of physician II 8 C Shifts per year per full-time physician 204 Total Days 365 D Hours per shift per physician 10 3 Weeks of Vacation 21 E Minutes per RUV 15 1 Week of sick Leave 7 F RVUs per hour 4 2 Weeks of Holidays 14 G Physician efficiency 85% H Days in month 31 Total Working Days 323 PA or NP Productivity I Number physician assistants 1 J Number nurse practitioners 1 K Shifts per year full-time PA or NP 230 L Hours per day per Pa or NP 8 M RVUs per hour 4 N PA or No productivity 85% O Days in this month 31 Calculations Physician I Physician II Total P Number And (B) 12 8 Q RVUs per physician per year (323 days) (C x D x F x G) 6,936 6,936 R RVUs per day per physician (Q/323) 21 21 S Days in month (H) 31 31 T RVU capacity (P x R x S) 7,988 5,325 13,314 Physicians Assistants Nurse Practitioners U Number And (J) 1 1 V RVUs per PA or NP per year (K x L x M x N) 6256 6256 W RVUs per day PA or NP (V/323) 19.36842 19.36842 X Days in this month (O) 31 31 Y RVU capacity this month (U x W x X) 600.4211 600.4211 1,201 Z Total RVU capacity this month (T + Y) 8,589 5,926 14,515 Based on the assumption of 85% utilisation of Capacity Considered 323 days ( after removing 2 Vacation, sick leave and Holidays)

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