Doncouse_Jeremy_Week4

Doncouse_Jeremy_Week4 - region and the national economy so...

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Running head: Chapter 7 1 Case Study Chapter Seven: Capacity Planning at Arnold Palmer Hospital Jeremy Doncouse Mountain State University
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Running head: Chapter 7 2 Discussion Questions 1. Given the capacity planning discussion in the text (see Figure S7.5) what approach is being taken by Arnold Palmer Hospital toward matching capacity to demand? Because Swanson is expanding the hospital in stages she is implementing a leading demand with an incremental expansion approach. 2. What kind of major changes could take place in Arnold Palmer Hospital’s demand forecast that would leave the hospital with an underutilized facility (namely, what are the risks connected with this capacity decision)? If growth in the central Florida region is as much as Swanson thinks it is she needs to be aware of several factors. First, other hospitals and other companies are probably going to try and take advantage of the growth and take market share away from Arnold Palmer. Plus, in times of growth, the cost of material will probably increase. Finally, Swanson needs to consider if the economic climate of both the local
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Unformatted text preview: region and the national economy so she can plan for and predict any turmoil (such as the market crash of the internet bubble and, more recently, in 2008). 3. Use regression analysis to forecast the point at which Swanson needs to build out the top two floors of the new building, namely, when demand will exceed 16,000 births. Swanson needs to build out the top two floors in 2012. Year Time, x Births, y X 2 xy 1995 1 6144 1 6144 Sum X 7.0 1996 2 6230 4 12460 Sum Y 930 3.3 1 1997 3 6432 9 19296 b 660 .49 1998 4 6950 16 27800 a 467 9.8 8 1999 5 7377 25 36885 2000 6 8655 36 51930 2001 7 9536 49 66752 2002 8 9825 64 78600 2003 9 10253 81 92277 2004 10 10555 100 10555 Running head: Chapter 7 3 2005 11 12316 121 13547 6 2006 12 13070 144 15684 2007 13 13600 169 17680 Sum 91 120943 819 96681 2008 14 13926.74 2009 15 14587.23 2010 16 15247.72 2011 17 15908.21 2012 18 16568.7...
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This note was uploaded on 03/08/2011 for the course MGMT 308 taught by Professor Unknown during the Spring '09 term at Mountain State.

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Doncouse_Jeremy_Week4 - region and the national economy so...

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