Bangor Family Practice

This assignment entails evaluating an excel spreadsheet and doing the essay as indicated by the attached instructions and case study .Please see attached documents. Also attached courseworkhero.co.uk is the completed assignment that I need another look at. The work has to be precise and detailed. It’s a Master’s level course. I doubt it you will need all of the attached document. The biggest ones are the excel spreadsheet, case study and instructions. 

Chelyn

 

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SE 11

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ANGOR FAMILY PHYSICIANS

EL-GENERATED DATA section. However, some values in the student version INPUT DATA

amount in base pay

A B C D Total

300,000

,0

,039

0,000

0,208

720,000

5,304

720,000

720,000

50%

A B C D Total

,800

4,667

6,255

1,881

1

2

4

2

2

1

Total $522,388

A B C D Total

91

87

12 16 8 4 40

15 12 10 18 55

1 2 0 0 3

Physician Identifier
A B C D Total
Net collections $422,256

$421,872 $501,050 $1,747,059

$0

75,000 75,000 75,000 75,000 75,000 300,000 Total should equal $300,000

30,000 30,000 30,000 30,000 30,000

$177,509

$177,443

$720,000

Work RVUs 4,667 5,055 5,475 4,967 20,164
Proportion of revenues

100.0%

Performance compensation

$0

$0

$300,000 Total should equal $300,000

Base pay 75,000 75,000 75,000 75,000 75,000 75,000 300,000 Total should equal $300,000
Profit distribution 30,000 30,000 30,000 30,000 30,000 30,000 120,000 Total should equal $120,000

Total compensation

$720,000 Total should equal $720,000

Net collections $422,256 $401,881 $421,872 $501,050 $1,747,059

522,388

74,588 74,588 74,588 298,351

136,257

Net income

100.0%

Performance compensation

$0

$0

$300,000 Total should equal $300,000

Base pay 75,000 75,000 75,000 75,000 75,000 75,000 300,000 Total should equal $300,000
Profit distribution 30,000 30,000 30,000 30,000 30,000 30,000 120,000 Total should equal $120,000

Total compensation

$720,000 Total should equal $720,000

Base pay

$75,000 $75,000 $75,000 $300,000

Profit distribution 30,000 30,000 30,000 30,000 120,000

150,000

Total compensation

$720,000

Base pay $75,000 $75,000 $75,000 $75,000 $300,000
Profit distribution 30,000 30,000 30,000 30,000 120,000
Noneconomic compensation 41,212 50,261 29,088 29,439 150,000

150,000

Total compensation

$720,000

Base pay $75,000 $75,000 $75,000 $75,000 $300,000
Profit distribution 30,000 30,000 30,000 30,000 120,000
Noneconomic compensation 41,212 50,261 29,088 29,439 150,000

150,000

Total compensation

$720,000

																																																																																																																																																																																																																																																																																																																																	C				A	Instructor Version	Copyright 2		0
	8	3	by FACHE
				B
Pay for Performance
This case requires the development of a physician compensation scheme for a four-physician family
practice. The model uses historical data for inputs along with information regarding the amount and
type of compensation to be based on performance and how performance is measured.
The model consists of a complete “base case” analysis–no changes need to be made to the existing
MO				D
section have been replaced with zeros. Thus, students must determine the appropriate input value and
enter them into the cells colored red. When this is done, any error cells will be corrected and the
base case solution will appear. Note that the model does not contain any risk analyses, so students
will have to create their own if required by the case. Furthermore, students must create their own
graphics (charts) as needed to present their results.
INPUT DATA:	KEY OUTPUT:
Compensation System Parameters:	Physician Compensation:
					Total	$				300,000	Based On
Total amount in performance plan	Net revenue		$177,509	$17		4	10		$177,443	$1	91	$			720,000
Total amount in profit distribution			12		Work RVUs			4,667	174,436		18	186,457	178,899
						$720,000		Net income		6,2	55	179,620		16	170,005	205,071
Multiple Factor Distribution:	Mult. factors*	180,929	192,865	174,817	171,388
Percentage based on financial performance		50%
Percentage based on noneconomic factors	*Multiple factors plan includes non-economic factors plus work RVUs
100%
Historical Physician Data:
	Physician Identifier
# Patients	4,023	3,567	3,966	4,244		15
# RVUs		5,055		5,475		4,967		20,164
Professional procedures	6,972	7,2	87	6,742	27,256
Gross charges	$527,820	$535,841	$602,675	$576,312	$2,242,648
		Net collections			$422,256	$	40			$421,872			$501,050			$1,747,059
Total support staff cost		$	522,388
Total facilities costs	$	298,351
Total supplies cost	$	136,257
Revenue reinvested in practice	$78,892
Physician base compensation	$600,000
Historical Support Staff Data:
Number of Employees	Total Compensation
Practice Manager	$75,168
Receptionist	48,652
Nurses	175,264
Medical assistants	52,615
Billing clerk	62,165
Laboratory technician	46,788
Other costs	61,736
Non-Economic Data:
Average patient satisfaction score	93	90	361
Number of committee meetings
Continuing education credits
Professional assn. leadership
182	221	128	130	661
MODEL-GENERATED DATA:
Compensation Based on Net Collections (Revenue)
	$401,881
	Proportion of revenues	24.2%	23.0%	24.1%	28.7%			100.0%
		Performance compensation	$72,509	$69,010						$0	$72,443	$86,039						$300,000						Total should equal $300,000
					Base pay																		75,000
					Profit distribution																														30,000						120,000			Total should equal $120,000
					Total compensation	$174,010	$191,039			Total should equal $720,000
Compensation Based on Work RVUs
23.1%	25.1%	27.2%	24.6%
$69,436	$75,208	$81,457	$73,899
$174,436	$180,208	$186,457	$178,899
Compensation Based on Net Income
Support staff allocation	119,883	133,625	139,663	129,217
Facilities allocation				74,588
Supplies allocation	31,270	34,854	36,429	33,704
$196,515	$158,814	$171,193	$263,541	$790,063
Proportion of net income	24.9%	20.1%	21.7%	33.4%
$74,620	$60,304	$65,005	$100,071
$179,620	$165,304	$170,005	$205,071
Compensation Based on Multiple Factors
											$75,000
		Noneconomic compensation			41,212			50,261			29,088			29,439						150,000
Based on net collections	36,254	34,505	36,221	43,019
$182,466	$189,766	$170,309	$177,458
Based on work RVUs	34,718	37,604	40,729	36,950
$180,929	$192,865	$174,817	$171,388
Based on net income	37,310	30,152	32,502	50,035
$183,522	$185,413	$166,591	$184,474
END

Notes: (1) The RVUs listed are work RVUs, which are only one of the three component RVUs used in Medicare physician reimbursement. (2) Over the past five years, the average annual amount reinvested in the preactice was $80,000. (3) In 2005, each physician received a bonus of approximately $28,000.
Note: The model gives equal weight to each of the three non-economic factors.