Service Title Business Budget Case for Health Financial Management

This case study presents a business budget case for establishing a new medical company with the goal of creating clinics across the country and eventually becoming a public company. It includes an executive summary outlining the company's objectives and financial planning, followed by an outline detailing the aims, value, and justification for the service. The background section provides context, while the proposal section outlines the business case strategy, aims, benefits, and potential risks associated with the project. The case study also covers the process, resources, and reporting of outcomes, along with detailed financial information and a contingency plan. The financial considerations include potential savings, increased costs, and risk mitigation strategies. The study references various sources to support the analysis and recommendations. The company plans to open clinics and needs to consider the construction, advertising, and staffing of the clinic. The company needs to consider the financial aspects and also the contingency plan in order to avoid the financial crisis.

Service Title
Business Budget Case
Student Name
Student ID
1

Contents
Executive Summary....................................................................................................3
Outline........................................................................................................................ 4
Background................................................................................................................ 4
The Proposal.............................................................................................................. 4
Risks........................................................................................................................... 5
Process.......................................................................................................................5
Resources.................................................................................................................. 5
Reporting of outcomes................................................................................................5
Financial Information..................................................................................................5
Attachment 1.............................................................................................................. 5
Attachment 2.............................................................................................................. 5
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Executive Summary
This details states that the a new company will be inaugurated as the medical which
aspires to become the public company in later stage. The company invests in
creating clinics in the district in every corner of the country. The details also presents
regarding rthe financial planning which will provide back up to the project. The budget
plan is also made and hence the contingency planning is also made in accordance
with the clinic created.
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Outline
If you are providing a business case, please provide a short outline (single
paragraph) including, but not limited to, the following:
 What is to be achieved?
 What is the value to the Local Health District in this proposal?
 Why does this service need to be introduced?
Lin Medical Consulting Pvt Ltd. Is a medical company which deals with the
different kinds of medical associated work. This company is a profit making company
who aspires to diversify the business in the whole world. The company install s many
fresh drinking water in the country. The company also aspires to introduce producing
some clinic which will provide treatment to the locals. The company also wants to
invest some amount in the financial sector so that the company can increase their
fund and in later stage the company aspires to become public which will help the
company to become listed company so that they can get acess to more capital for
the development of the company.
Background
Provide background information to this business case, in order that the reader can
clearly understand the reasoning and purpose of same. It should look to include an
outline of any current processes/costs, contracts, equipment and impact at the local
as well as LHD level, as applicable.
The health service provided by Lin Medical Consulting will benefit the locals
to a greater extent. The company is providing medical check-ups to the locals in the
district. The company will greater benefit from this as there is a possibility of
increasing in the brand value (Propst & Noyes 2015). On the other hand the locals
need to move outside of the district for every day check-ups.
The Proposal
Insert a single sentence outlining the proposed business case strategy include any
recommendation.
Aims
Briefly outline the aims or goals of rolling out this proposal, what are you trying to
achieve? eg improve efficiency, improve management, increase revenue, reduce
costs, reduce number of contractors.
By creating new clinic check-ups in the district the company will not only get
the higher brand value but it will also help during the time of initial public offering as
they can get some faithful investors.
Benefits
 Efficiency gains
What are the efficiency gains in this proposal?
This will help the company to get goodwill and hence the value of the
company in the market increases a lot.
 Potential savings/increased costs
What are the projected savings in this proposal? What is the estimated decrease in
costs or are there increase costs but associated savings in productivity?
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The company aspire to save around $40,000 per month from a single clinic in the
district. In the initial stage the company has some cost expenses of $50,000 including
everything.
 What are the expected benefits of this proposal?
Factor Benefits
Patients The patients do not need to travel for a long distance just for the
check-ups which will to reduce the hassle which might come if the
clinic jwas not present.
Facility The company aspires to provide every modern amenity which a clinic
should have excluding the operation center.
Clinicians They will not only get many patients on everyday basis but the
clinicians will get many experience in terms of the work.
Other The profit margin is one of the important for which the company will
open such types of clinic and hence it is expected that the company
will get the around $40,000 per month.l
Risks
List the risks (in the table) that are associated with this proposal either perceived or
real
Risk Issue Severity Impact Mitigation Plan Notes
Financial risk Medium Huge The company
need to reduce
the cost and
expenditures
associated with
it.
The process of
reduction of
the cost
should be
implemented
from the first
month of the
inauguration.
Patients High High The company
needs to invest
more in the
advertisement
so that the
company will
help the
company gain
popularity.
Insurances Low Low The company
should be
flexible enough
to deal with the
rate changes.
The rates of
the company
do not happen
every day and
hence the
company need
not to spend
too much
effort on this.
Other High High The company
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Risk Issue Severity Impact Mitigation Plan Notes
need to keep
sufficient
amount of
personnel for the
development of
the machines
which are need
to be used.
Process
 Action (insert as a flow chart as attachment 1)
Outline the action process, nominating the staff members responsible, actions to be
undertaken in relation to this proposal.
Who will manage this plan going forward in implementation and over the life of the
plan/contract?
The administrator will manage this whole project. This will be wholly look after
the management of the company t6o ensure that everything goes in accordance witn
the plan and the company’s financial management will alo look after the financial part
of the company so that the company will help them to do so.
Resources
Provide a list of any additional resources required by this proposal, describing briefly
the extent of the extra requirement as well as the impact of same.
The company needs to contact the construction company or the bvroker who
will help the company to gain the company for a better deal and hence the company
can establish the clinic (Propst & Noyes 2015). The company also needs to take care
of the advertising agency for the advertising of the clinic in the districts so that the
patients will able to know about the company and about the new project of the
company. The company also needs to contact with the clinicians who will take care of
the clinics. This will be done by the company after contacting with the human
resource consultancy that will take care about the required persons who will help the
person for the betterment. The company will also needs to contact the janitor
company who will take care of the cleaning part of the company for the betterment.
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The company needs to hire the auditing company for the auditing of every clinic so
that the company can save themselves any kind of financial disputes. The
management of the company needs to take care of the whole thing and also the
financial management of the company also needs to chalk out every detail so that
there will no such problem regarding the funding during the project.
Reporting of outcomes
Who will monitor and report on the outcomes, savings, and any decreased costs for
this proposal? How often and who will the report be sent to?
The company’s financial management team will be the one who will look after
every financial matter. There must be an accountant should be present in every
clinics so that the every bit of financial data should be provided to the financial
management of the company. The company needs to hire a financial manager for
every clinic who will look after the cost reduction scenario of the company. The
company needs to invest little bit in the accountant team so that they are available
with the sufficient technology which are needed for conducting the accounting work.
The financial manager also needs a whole team which will headed by the main
financial management team for the betterment of the company. The company also
needs to install a separate room for the development of the financial structure of the
company. This financial team of every clinics needs to report the financial manager of
the company (Morano & Tajani 2017). This report should be done on a monthly basis
so that every bit of information which are available with the company needs to
transferred to the financial management of the company.
Financial Information
The financial considerations for this proposal will be required in detail (attach the
spreadsheet as Attachment 2).
The contingency is basically is the plan B. The company only opt for the part when
the company’s previous plan does not work due to some certain problems. The
contingency plan for the above mentioned plan includes delisting of the clinical
departments which are not raising profit (Mikes & Kaplan, 2014). This thing wills
easily available form the financial management of the clinics because they have the
information as they are responsible for the cost reduction of the company. If there
scarcity of the fund then the very step the company needs to decrease the amount of
clinics on the primary basis which will help the company to allocate the cost under
the available fund (Ding et al 2014). The company also can cut the cost which is
coming from the advertisement. The company can opt for the advertisement which is
free or comes in less part. The company also needs to less the employees so that
they can bring down the amount. The company will also need to decrease the
everyday cost so that it can be possible (Wu Olson & Dolgui 2015). The speciality
needs to be decreased so that the company can accommodate under the fund.
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References
Mikes, A., & Kaplan, R. S. (2014, October). Towards a contingency theory of
enterprise risk management. AAA.
Ding, X. D., Englot, B., Pinto, A., Speranzon, A., & Surana, A. (2014, May).
Hierarchical multi-objective planning: From mission specifications to contingency
management. In 2014 IEEE international conference on robotics and automation
(ICRA) (pp. 3735-3742). IEEE.
Wu, D., Olson, D. L., & Dolgui, A. (2015). Decision making in enterprise risk
management: A review and introduction to special issue.
Morano, P., & Tajani, F. (2017). The break-even analysis applied to urban renewal
investments: a model to evaluate the share of social housing financially sustainable
for private investors. Habitat International, 59, 10-20.
Nykamp, S., Bakker, V., Molderink, A., Hurink, J. L., & Smit, G. J. (2014). Break‐even
analysis for the storage of PV in power distribution grids. International journal of
energy research, 38(9), 1112-1128.
Lee, M., Hong, T., Koo, C., & Kim, C. J. (2018). A break-even analysis and impact
analysis of residential solar photovoltaic systems considering state solar
incentives. Technological and Economic Development of Economy, 24(2), 358-382.
St-Hilaire, S., Krause, J., Wight, K., Poirier, L., & Singh, K. (2016). Break-even
analysis for a green crab fishery in PEI, Canada. Management of Biological
Invasions, 7(3), 297-303.
Batkovskiy, A. M., Semenova, E. G., Trofimets, E. N., Trofimets, V. Y., & Fomina, A.
V. (2017). Statistical simulation of the break-even point in the margin analysis of the
company. Journal of Applied Economic Sciences, Romania: European Research
Centre of Managerial Studies in Business Administration, 12(2), 558.
Kan, K., Li, S. F., & Tsai, W. D. (2014). The impact of global budgeting on treatment
intensity and outcomes. International journal of health care finance and
economics, 14(4), 311-337.
Devine, K., Mumford, S. L., Goldman, K. N., Hodes-Wertz, B., Druckenmiller, S.,
Propst, A. M., & Noyes, N. (2015). Baby budgeting: oocyte cryopreservation in
women delaying reproduction can reduce cost per live birth. Fertility and
sterility, 103(6), 1446-1453.
World Health Organization. (2017). Tuberculosis patient cost surveys: a handbook.
Cohen, S., & Karatzimas, S. (2014). Reporting performance information in the public
sector: the moral behind the (non) application of program budgeting in
Greece. International Review of Administrative Sciences, 80(3), 619-636.
Cardoş, I. R. (2014). New trends in budgeting–a literature review. SEA–Practical
Application of Science, 2(04), 483-489.
Rogulenko, T., Ponomareva, S., Bodiaco, A., Mironenko, V., & Zelenov, V. (2016).
Budgeting-Based Organization of Internal Control. International Journal of
Environmental and Science Education, 11(11), 4104-4117.
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Attachment 1
Process flow chart for new service (use a spreadsheet as required outlining each
action and the steps required to complete the action)
Attachment 2
Financial report – total life costs for the proposal (use a spreadsheet if required)
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