The Average Daily Census (ADC) and the Target Budget

The Average Daily Census (ADC) and the Target Budget

One of the greatest challenges unit managers and CNOs face is predicting and working with the average daily census (ADC), particularly as it relates to the target budget. The average daily inpatient census refers to the number of patients present at the official census-taking time each day. For example, a patient admitted to the coronary care unit at 1:00 pm and who dies at 4:00 pm the same day is a patient admitted and discharged the same day. The ADC is typically calculated each night at midnight. It is a challenge to predict what the ADC will be on any given day. The target budget is targeted or predicted in the zero-based operating budget based on the previous years’ ADC. The target budget is typically projected at least one year in advance. A lot of information goes into the computation of a target budget, and there are many variances once the budget is formulated and approved. Using the readings for the week, the South University Online Library, and the Internet, respond to the following: Explain how the ADC contributes to the target budget. Describe two major challenges in determining the actual target budget and ADC. Identify two major challenges for unit managers and CNOs due to the variances between the actual target budget and the ADC. Comment on the postings of at least two peers. Evaluation Criteria: Explained how the ADC contributes to the target budget. Described two major challenges with the actual target budget and ADC. Identified two major challenges for unit managers and CNOs due to the variances between the actual target budget and the ADC. Justified your answers with appropriate research and reasoning. Commented on the postings of at least two peers.