Case Study Analysis and Solutions

Case ID: 112086

Abstract:
Case Solution & Analysis for Boston Children's Hospital: Measuring Patient Costs (A) by Robert S. Kaplan, Mary L. Witkowski, Jessica A. Hohman
The case describes two pilot projects on applying activity-based costing to measuring the cost of treating patients. It presents process maps and financial data relating to the processes used during (1) an office visit to a plastic surgeon for three different diagnoses, and (2) application and removal of three different casts in the orthopedic cast room. Students calculate and compare the costs and margins of the three procedures at the two different sites using the hospital's existing cost system and a proposed new system based on time-driven activity-based costing.

Keywords:
Activity-based costing, Costing, Time management, Boston Children's Hospital Measuring Patient Costs Case Solution

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