Individual Healthcare Finance Final Project (30%)
The COVID-19 pandemic has devastatingly impacted the lives of nearly everyone, including the
financial viability of Molham Hospital. A positive operating margin is essential for the long-
term survival of Molham hospital and due to the effects of the pandemic the hospital faced a
drastic halt in the volume of patients and revenue, while the expenses remained high.
The pandemic created immediate and detrimental damage to Molham’s Memorial Hospital
margins, as well as great uncertainty about the path forward toward financial stability.
Molham Memorial Hospital serves a rural population in Southwest Georgia but now faces an
uncertain future about serving this vulnerable population where healthcare is much needed.
As the CFO of Molham Memorial Hospital, evaluate your organization’s underlying fiscal
health and readiness to move forward following the pandemic.
GUIDELINES
• Discuss (thoroughly) the financial challenges faced by Molham Memorial
Hospital (hospital characteristics, staffing, differential financial strains within
community). Discuss (thoroughly) the importance and challenges of sound
financial management in health care, especially during the current pandemic.
• Develop a committee to restructure the hospital’s finance plan (describe the
selected committee members and their credentials AND describe what they will
be responsible for)
• Prepare a hypothetical annual statistical report that includes the following:
• Volume of patient visits
• Revenues (percentage of reimbursement from Medicare, Medicaid,
Commercial Insurance and Self Pay)
• Expenses (Labor, Equipment, Supply, Overhead)
• Provide your assumptions to justify all volumes, revenues and expenses
• Prepare a three-year operating budget that includes the following:
• An estimate of revenue each year
• An estimate of expenses for each year
• The cash flow (negative or positive) generated from revenues and expenses
Dr. Melissa Jordan’s HLSA 4480 Course Syllabus 9
• From your calculations, evaluate the financial risk at Molham Memorial Hospital
• Prepare a narrative summary 1000-1500 word minimum (4-5 pages for the
narrative summary) of your financial FINDINGS and RECOMMENDATIONS.
• Describe how key performance indicators and dashboards are used to monitor
financial conditions you will provide supporting documentation to support your
findings and recommendations.
*ALL OF THIS INFORMATION CAN BE FOUND IN YOUR TEXTBOOK AND ONLINE RESOURCES! BE
SURE TO CITE YOUR WORK AND DON’T FORGET THE COVER AND REFERENCE PAGE.
