MIDTERMS

• Financial Management


  Systematic process of overseeing and controlling acquisition and utilization of supplies
• Material Management


  • Ensure both availability and cost effectiveness
  • How you manage consumables and equipment in laboratory
• Salary – Highest expense; Materials – 2nd
• Purchasing


  • Oversee ordering of supplies
  • Processing invoices from vendors
• Stockroom (Central Supply)


  • Maintains security and inventory levels
  • Issues supplies throughout facility
• Material Management Goals


  • Supplies arrive in timely manner
  • Spoilage reduced to minimum
  • Back orders and delays avoided
  • Storage space used to best advantage
  • Most economically advantageous price obtained
  • Financial resources not tied up in inventory
• Clinical Laboratories


  • Businesses
  • Require raw materials for successful operation
  • Equipment idled by breakdowns of lack of supplies is an economic less for business
  • Same situation in clinical laboratory can seriously interfere with delivery of patient care
• Purchasing Sequence


  1. Product Specification or Research

  2. Purchasing of Supplies

  3. Receiving and Accounts Payable

  4. Records and Inventory Control
• Product Specification


  Document that outlines product feature
• Henry Mintzberg


  Roles of leaders:
• Roles of leaders


  • Spokesperson
  • Budgetary
  • Resource Allocator
  • Figurehead
  • Decision Maker
  • Liaison
• Planning document


  Used by organizing that forecast both relationship between funds and expenses
• Thorough budgeting, organization turns its strategic plans into daily operations
• Budgeting Approaches


  • Centralized
  • Decentralized
• Centralized budgeting


  • Fully controlled by leaders or management
  • Top management are the ones deciding what to do with organization's money
• Decentralized budgeting


  • There is participation of lower level
  • Staff and other supervisory and managerial tasks/ranks
  • Create budget proposal
  • Taken from different departments
  • Need to defend to top management
• Budgeting Types


  • Fixed Ceiling Budget
  • Open-Ended Budget
  • Flexible Budget
  • Sunset Budget
  • Zero-based Budget
  • Contingency Budget
• Fixed Ceiling Budget


  • Uppermost spending limits set by organization
  • E.g., In laboratory department, top management of hospital set 2.5M for this year budget
  • Ensure when proposing budget, it comes down to that 2.5M or fixed budget
• Open-Ended Budget


  • Dangerous type
  • Has no specific amount declared
  • Open for all
  • Limitless
• Flexible Budget


  • One can adjust
  • Line-item realignment every 6 months
• Sunset Budget


  • Self-destructing and cessation budget
  • E.g., After school year, all unused budgets go back to main source of budget
• Zero-based Budget


  • Start from nothing
  • E.g., Starting business laboratory and no previous record of budgeting
• Contingency Budget


  • Used during emergency
  • Usually, 15% of entire budget
• Operational Budget


  • Deals with process of planning for laboratory as ongoing business concern accounting for everyday need
  • Budget you create for operating business
• Operational Budget Preparation


  1. Time Frame

  2. Forecasting Stage

  3. Scheduling Stage

  4. Synthesis of Information
• Direct Cost


  • Personnel Services
  • Maintenance and Other Operating Expenses
  • Equipment
• Personnel Services


  Wages and Salaries (Sahod)
• Maintenance and Other Operating Expenses

  • Repair, consumables, reagents
  • Everything that you use to operate laboratory itself
• Indirect Cost


  • Maintenance
  • Building Repairs
  • Meeting Operations
  • Representations
  • Workshops and Seminars