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Q:<br/>In Plan 1, vary the work force level to meet exactly the demand

requirements by hiring or firing nurses each month. Do not use any overtime. In Plan 2, staff at a level that allows you to meet the demand during peak periods by working overtime up to a maximum of 25% of the regular time worked. In Plan 3, staff for the minimum nursing hours (that is, the number of nurses you would need if they worked maximum overtime) but do not allow them to work any overtime, instead use agency (subcontract) nurses to meet additional requirements. For your improved plan, you may consider any combination of the above that will provide a better overall plan
1. Evaluate plans 1, 2, and 3, and write up your conclusions in a memo that Gardner can share with the Nursing council. Evaluate each plan in terms of customer service, cost, operational implementation, and human resource issues.
2. Develop your own plan for next year, evaluate it, and explain why you believe it is a better plan.




Data 1: https://wileyassets.s3.amazonaws.com/Reid_Operations_Management_6e_EPROF12657/media/hospital_html/reid5e_virtual_comp_hospital_data_nurses_demand.htm


Data 2 : https://wileyassets.s3.amazonaws.com/Reid_Operations_Management_6e_EPROF12657/media/hospital_html/reid5e_virtual_comp_hospital_data_planning.htm
Planning Data
Planning Data for Developing Aggregate Staffing Plan

-Each nurse works 40 hours per week of regular time.
-Nurses are paid $25.00 per hour of regular time (this includes fringe benefits)
-Nurses are paid $35.00 per hour of overtime worked per period (this includes fringe benefits)
-Maximum number of overtimes hours able to be worked per nurse per period is 43.45 hours or 25% of the regular time worked.
-Agency nurses (subcontracted labor) costs $42.00 per hour. Subcontracted nurses are paid for the entire period when they are used.
-It is estimated to cost $4,100 to hire one permanent nurse.
-The firing cost is estimated to be equal to two-weeks salary for a nurse.
-There are twelve equal months per year. (Make sure that you calculate how many regular time hours are worked each period when the year is divided into twelve equal periods).

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