the hygienic laboratory at the university of iowa march 24, 2010
TRANSCRIPT
The Hygienic Laboratory
at The University of Iowa
March 24, 2010
Before the Worksheet: Map the Process Save File As, Instructions for Un-protecting Sheets Summary Sheet Areas to Complete Batch vs. No Batch Advantage Examples of Batch vs. No Batch Advantage Materials Labor Instrument Replacement, Maintenance, Lease Certifications
Per run or sample:
◦ Pre Client orders test and collection kits are sent out Sample collected, received, and prepared Data entry, instrument maintenance
◦ Analytical Run test Analyze results
◦ Post Result entry and communication Client is billed
Occasional:
◦ Performance evaluations◦ Column changes◦ Method development ◦ Certifications◦ Instrument and software acquisition◦ Continuing education◦ What else?
Estimate number of occurrences and divide by approximate number of tests per interval
Save as “FY2010 [test code] by [method-matrix]”
◦ Use the exact name of test code and description as found in the database
◦ Re-save same cost analysis under all test names that apply to same cost structure
Un-protect spreadsheets by clicking on “Review” in Microsoft toolbar, then clicking “Unprotect Sheet”, then typing in the password “yasmine”
Fill in the gray areas on every sheet and pink areas will be calculated automatically
If any question takes longer than five minutes to figure out HOW to answer it, make an educated guess and provide comments and assumptions either in the comments sections or the “Notes” sheet at the end of the spreadsheet
The “Materials” and “Labor” sheets are each divided into three sections, that are further divided into a ‘batch advantage’ area and a ‘no batch advantage’ area◦ Pre-analytical
◦ Analytical
Batch Advantage
No Batch Advantage
◦ Post-analytical
Batch Advantage - When a cost is reduced as run size is increased to the point of hitting full capacity per run (ex. Standards)
No Batch Advantage – When a cost is not reduced regardless of the volume of tests in the run (ex. Collection bottles or tubes)
For hard to fit activities, make assumptions and provide notes in ‘Comments’ or ‘Notes’ section
◦ Dilutions
◦ Proficiency Tests or ◦ Performance Evaluations
◦ Reruns
Continuing Calibration of Standards
Materials Batch Advantage
Cost of standards per run is calculated when this area is populated
No Batch Advantage
Labor Batch Advantage
Minutes spent preparing and setting up standards are calculated per run when this area is populated
No Batch Advantage
Rezai Writing Demonstration 3
Pipette tips
Materials Batch Advantage
Use 10 tips for QC No Batch Advantage
Use two more tips per sample in the run
Labor Batch Advantage
Many choose to list minutes in lump form for prep/setup
No Batch Advantage List extra minutes used PER sample to set up with
tips
Sample Bottles
Materials Batch Advantage No Batch Advantage
Sample bottle: $.50
Labor Batch Advantage
Sample bottle to sample for port: 5 minutes per run/batch
No Batch Advantage Sample bottle to sample for port: 2 minutes
Comments: sample bottles - assume it takes 5 minutes to setup for the run no matter how many samples in the run and an extra 2 minutes per extra sample in the run
Instrument Maintenance every few runs
◦ Extra 90 minutes of labor time every 2-4 runs◦ Divide 90 minutes by 3 runs = 30 min per run◦ List
Labor Batch Advantage
Instrument repair: $30 Comments: assume 90 minutes labor for instrument
repair every 2-4 runs
List all materials used or consumed in order to run the test
Examples include reagents, kits, shipping, lab coats, gloves, results paper, hazardous waste liners, instruments not listed under ‘Replacement’ sheet such as microscopes, and any other materials that are a direct part of the testing service process
When estimating amounts, include average amounts used for complications such as dilutions and reruns
Can omit overhead materials such as office chairs, regular trash liners, phones and other indirect materials
Materials Bulk Cost Bulk Units Units/Test Cost/Test
Reagent X $2,300 25 1 $92
1. Provide a short description of the test material2. List the amount paid to vendor per package3. List the number of units per package4. List the number of units used per test performed5. Cost per test will automatically be calculated
If a material is used for controls, standards or other batch-fixed activities (at least part of the usage is independent of the number of tests run)a. Batch Advantage: Amount of material used
regardless of batch size b. No Batch Advantage: Extra material used per
extra sample per run
1 2 3 4 5
List every type of labor associated with this test◦ Pre-analytical: Starts with client order and ends just
before running test - can also include PTs, TMDLs here◦ Analytical: Starts with running the test and ends just
before reporting of results◦ Post-analytical: Starts with result reports and ends with
payment for services
Be sure to incorporate all labor time including instrument maintenance, performance testing, and reruns
Labor Category
Minutes/Test
Hours
Avg Wages+
Labor Cost/Test
Sample prep 23 .38 $30 $11.50
1 2 3 4 5
1. List description of labor
2. List the number of minutes this type of labor consumes per test
3. Hours will be automatically calculated
4. List the average hourly wage associated with this labor
a. Use (average annual wage plus fringe)/1880 hours
b. Use1880 hours instead of 2080 since the average cost of vacation and sick days must be incorporated into the hourly labor cost
5. Cost of labor per test will automatically be calculated
If some of the labor can be considered batch advantaged but not all, divide time accordingly (see labor example in batch advantage vs. no batch advantage section)
Allows the user to “play” with different labor rates
Rezai Writing Demonstration 3
Fill in the fields shaded in gray, writing over the numbers found within some of the fields
Fill in the TOTAL number of tests that this instrument services within the referenced time period (annual)
List purchase price if instrument were to be replaced today
If planning to upgrade or innovate methods, then use price of upgrade
Describe the cost
List the amount normally paid
List the number of years paid amount covers
Annual cost will be calculated automatically
List the number of tests per year that pertain to this certification (this may mean combining workload for multiple tests into one number)
Annual cost per test will be automatically calculated
For questions on how to use the tool OR to give us feedback on how we can improve the tool, please contact:
Yasmine Rezai – [email protected] Bonnie Rubin – [email protected]
Also, thanks to Erik Lehmann, UI intern, who has refined and enhanced our test costing initiative
Rezai Writing Demonstration 3