CareSafe’s budget illustrates potential for a bigger surplus opportunity. The organization offers different types of therapy settings, which could use some improvement and fewer funds spent for those services. CareSafe could combine the service of home assessments along with any of the other kinds of therapy. The social worker already has to meet with the individual(s) and then he or she may also set up a session for therapy. The benefit of combining the services would eliminate the minutes spent with the client and the usage of more supplies. The fallback would come in the form of the client or the social worker lacking focus or not equipped for an initial evaluation and then beginning a session.

In addition, the organization’s surplus can increase by using the administrative department. The administrative assistants work together with the social workers to complete important tasks. The company can train the assistants in a certain field, so the employee will work faster and attain more knowledge for that certain area. For example, one administrative aide can work with the social workers who deal with individual counseling whereas another associate handles the clients and workers in the group therapy field. This would also cut down on minutes spent working with different tasks and therapy sectors. On the other hand, the employees would not be able to pick up the slack for one another if each does not know about the other’s field.

Supplies can become expensive for an organization that depends on them. CareSafe spends a decent amount of funds providing supplies to the social workers and other employees. The business can purchase supplies in bulk to cut down on the amount spent for materials. The up side of less money spent on supplies would be saving money and having a large stock of resources at hand. Alternatively, when purchasing items in bulk, some materials should not be ordered in such quantities. For instance, buying calendars, certain forms, and guideline paperwork that have the ability to change, would hurt the company by causing a loss of money and materials.

An added improvement the organization can consider would involve the social worker’s schedule. With the social worker visiting the clients, if they happen to make the visiting sessions longer it could cut down on the amount of minutes each client receives. A huge chunk of the budget goes to the visits conducted by the employees and cutting down the visits would save some of the funds. Then again, the negative impact on the organization could cause an increase in the cost of minutes per visit. The amount of money going to the number of visits would shift to the rising amount of minutes per visit. In addition, a client may not need longer sessions, which in turn would waste the client’s and social worker’s time and the company’s money.

The most feasible methods that could be applied to CareSafe could be a combination of methods. Buying supplies in bulk or having contracts with suppliers could help alleviate the cost of goods that need to be purchased annually. Another possibility that could be considered would be having the administrative assistants working with the social workers to minimize individual time in completing tasks. Rather than have an assistant specialized to a task there could be a rotation to help familiarize the administration staff with all aspects of the organization. This would also eliminate the need for as many administrative assistants. While this initially may seem time consuming it would help to create a more efficient work environment where the tasks would become interchangeable.

|CareSafe Foster Systems |
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|Overall Budget |

| | | | | | | | | | | | | | | |Individual Counseling |Group Therapy |Parent Consultation |Home Assessment |Total | | | | | | | | | | | | | |Number of Visits | |4000 |5000 |7000 |7000 | | | |Price per Visit | |160 |100 |90 |55 | | | |Total Revenue | | $ 640,000 | $ 500,000 | $ 630,000 | $ 385,000 | $ 2,155,000 | | | | | | | | | | | | | |Variable Expenses per Visit | | | | | | | | | |Social Worker | | | | | | | | | | |minutes per visit | |55 |50 |25 |10 | | | | | |wage per minute | | $ 1.40 | $ 1.40 | $ 1.40 | $ 1.40 | | | | | |total expense per visit | | $ 77.00 | $ 70.00 | $ 35.00 | $ 14.00 | | | | |Administrative Assistant | | | | | | | | | | |minutes per visit | |10 |15 |15 |10 | | | | | |wage per minute | | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | | | | | |total expense per visit | | $ 10.00 | $ 15.00 | $ 15.00 | $ 10.00 | | | | |Supplies | | | | | | | | | | |units per visit | |4 |3 |3 |2 | | | | | |expense per minute | | $ 4.20 | $ 4.20 | $ 4.20 | $ 4.20 | | | | | |total expense per visit | | $ 16.80 | $ 12.60 | $ 12.60 | $ 8.40 | | | | | | | | | | | | | | | |Total Variable Expenses per visit | | $ 103.80 | $ 97.60 | $ 62.60 | $ 32.40 | | | | | | | | | | | | | | |Total Variable Expenses | | $ 415,200 | $ 488,000 | $ 438,200 | $ 226,800 | $ 1,568,200 | | | | | | | | | | | | | |Contribution | | $ 224,800 | $ 12,000 | $ 191,800 | $ 158,200 | $ 586,800 | | | | | | | | | | | | | |Total Fixed Expenses | | | | | | $ 320,000 | | |Overhead | | | | | | $ 200,000 | | | | | | | | | | | | | |Surplus/Deficit | | | | | | $ 66,800 | |