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Variance Reporting

In: Business and Management

Submitted By brittanys
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A variance report is a way for business executives to gauge their company's performance by comparing one set of figures to another. This usually means comparing a planned amount to an actual amount. Companies use variance reports to analyze how close they've come to hitting the sales targets or to see if they've met their budgetary goals. A well-rounded budget variance report will address trends, overspending, and under spending. In the healthcare field variance reports are used in every department of the hospital. Each unit of patient care has a limit and goals that need to be met from the administrators’ position. The framework for cost control is following two approaches is possible: preventive and detection-correction. ( ) On the Intensive Care Unit we are given a strict budget and we over this month. We have to explain why it has been over budget. The Intensive Care unit is an area with very heavy workload and requires a two to one ratio for the care of the patients. With the budget and the twenty five bed floor we are allowed thirteen nurses a shift for the care. In our staff we have eighty-one employees staffed on our roster. With this being said we have many days when or staff is in overtime, which hurts our budget each month. On our unit we get some patients who then turn to one on one patient and at that point we are paying extra for them to be on staff. Changes in our census are another thing we work on as a floor, and try to manage at full census to allow us the nurses and secretary that are on schedule. As a manager we are given the numbers each month to follow with our employee, which includes the overhead budget for the overtime and extra hours. As a manager we have to stick to these numbers. The number one factor that we write to our president is our hours for employees, and the work load we are facing each month. When looking at the month we are

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