IHP 450 Final Project Milestone Two: Departmental Budget and Outline Guidelines and Rubric
Prompt: Because you have done such a good job with the consulting assignments, your boss has asked you to lead the development of the department’s annual
operating budget for the healthcare facility you selected (Joslin or Venice). She has also offered to review an outline of your capital budget proposal before you
submit it for consideration by the decision makers. There are two parts to this assignment that you will submit together:
Part One: Proposal Outline
First, you will outline your proposal for your boss to review. With the goal of submitting a proposal that will help your organization and win a $2,500 bonus, you
will create a 1- to 3-page outline of your final project presentation that identifies the key points you will use to address critical elements of the final project,
providing sufficient detail to allow your boss to provide constructive feedback on your proposal. Your outline should incorporate, where applicable, the
knowledge, concepts, and principles that you have learned in Modules One through Five. Review the example proposal outline to gain an idea of what the start
of your outline may look like. The notes and ideas you generate in this outline may inform the speaker notes, visuals, and text that you will include in your final
project proposal presentation.
To complete this part of the assignment, the following items must be addressed:
I. Proposal
A. Options: What various options are available for each item in your budget proposal? Provide multiple options for your supervisor or board to
consider based on their needs.
B. Financial Research: Describe the cost-benefit of each option based on relevant information and research. Information and research can include
research on the items or vendors, organizational numbers, price quotes, and more. Be sure to provide relevant documentation in an appendix or
reference slide to show the depth of your research and the various options available.
C. Organizational Resources: Identify what resources would be needed to implement one of the options in your proposal
D. Communication: What method of communication would be used to notify departments across the organization, and what methods would be
used throughout proposal implementation? Justify the appropriateness of your suggestions.
Part Two: Departmental Budget
Second, create your annual departmental budget per your boss’s request. As part of your capital budget proposal, you will need to apply the cost of your capital
budget item, and all associated costs, to a specific department within the organization.
Using the budget sample as an example, create your own departmental operating budget in the Operating Budget sheet. Please note that this is just an example
provided to help you get started. You do not have to use all of the budget items found in the budget sample if they do not apply to your department. You may
find that additional items are appropriate to include for your department beyond what is included in the sample. Use the Capital Budget sheet to calculate the
costs of your capital budget item.
As you create your department’s budget, consider items such as hiring new staff, training, technology, and any other related costs. Also, account for the
potential revenue generated as a result of implementing the capital budget item as well as any potential expenses incurred by your department. These should be
high-level estimates.
To complete this part of the assignment, the following items, as well as those listed above, must be addressed:
I. Budget (Please Note: Respond to the following critical elements in the proposal outline, not on the Excel document)
A. Statements: What statements were utilized for formulating your proposal. Why? Select the appropriate statements for analysis and defend your
choices.
B. Expenses: What major expenses are associated with your proposal items?
C. Budgetary Accounts: What budgetary accounts (i.e., salaries) are impacted, and in what way?
D. Reasoning: Based on the previous year’s budget data, why did you select these budget items for adjustment over other options?
E. Ratios: Research the various ratio options (including ROI) used for reviewing financial statements. Determine what ratios you will use for your
proposal items and explain why.
F. Ratio Calculations: Using budget statements, formulate calculations that support each recommendation.
G. Projected Departmental Budget: Create a projected departmental budget for the upcoming year that incorporates the costs of the proposed
changes.
Rubric
Guidelines for Submission: You will submit two deliverables for this assignment. Your departmental budget must be submitted as an Excel spreadsheet. Your
proposal outline must be submitted as a single document. It should be 1–3 pages in length (plus a cover page and references) and must be written in APA
format. Use double spacing, 12-point Times New Roman font, and one-inch margins.
Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value
Proposal: Options Provides reasonable implementation options
for each proposal item
Provides implementation options for each
proposal item, but options are not
reasonable
Does not provide implementation options
for each proposal item
8.63
Proposal: Financial
Research
Describes the cost-benefit of the listed
options based on relevant research and
information
Describes the cost-benefit of the listed
options, but with gaps in relevant research
and information
Does not describe the cost-benefit of the
listed options
8.63
Proposal:
Organizational
Resources
Accurately and clearly identifies the
organizational resources that will be needed
for proposal implementation
Identifies the organizational resources that
will be needed for proposal implementation,
but lacks accuracy or clarity
Does not identify the organizational
resources that will be needed for proposal
implementation
8.63
Proposal:
Communication
Proposes methods for communicating
budgetary changes and communicating
throughout proposal implementation to
departments across the organization, and
justifies the appropriateness of these
methods
Proposes methods for communicating
budgetary changes and communicating
throughout proposal implementation to
departments across the organization, but
does not justify the appropriateness of these
methods
Does not propose methods of
communication for notifying departments
across the organization and for proposal
implementation
8.63
Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value
Budget: Statements Selects and comprehensively defends the
appropriate financial statements for use in
the proposal
Selects and defends financial statements for
use in the proposal, but statements are not
appropriate or not comprehensively
defended
Does not select and defend financial
statements for use in the proposal
8.63
Budget: Expenses Accurately identifies the major expenses
associated with the proposal and the
budgetary accounts that would be impacted
Identifies the major expenses associated
with the proposal and the budgetary
accounts that would be impacted, but
identification is not accurate
Does not identify the major expenses
associated with the proposal and the
budgetary accounts that would be impacted
8.63
Budget: Budgetary
Accounts
Identifies what budgetary accounts are
impacted and clearly states how
Identifies what budgetary accounts are
impacted but does not state how they are
impacted
Does not identify which budgetary accounts
are impacted or state how
8.63
Budget: Reasoning Justifies why the selected budgetary
accounts were chosen for adjustment based
on analysis of previous year’s budget
Justifies why the selected budgetary
accounts were chosen for adjustment, but
not based on previous year’s budget
Does not justify why the selected budgetary
accounts were chosen for adjustment
8.63
Budget: Ratios Selects appropriate ratios to use for support
of the proposal and justifies logically
Selects and justifies ratios to use for support
of the proposal, but does not select
appropriate ratios or justification is not
logical
Does not select and justify ratios to use for
support of the proposal
8.63
Budget: Ratio
Calculations
Calculates the selected ratios based on the
budget statement analysis
Calculates the selected ratios, but not based
on the budgetary statement analysis
Does not calculate the selected ratios 8.63
Budget: Projected
Departmental
Budget
Creates a projected budget that applies the
proposed changes to the specific
department
Creates a projected budget but is missing
key elements of a departmental budget
Does not create a departmental budget
applying the proposed changes to a specific
department
8.63
Articulation of
Response
Submission has no major errors related to
citations, grammar, spelling, syntax, or
organization
Submission has major errors related to
citations, grammar, spelling, syntax, or
organization that negatively impact
readability and articulation of main ideas
Submission has critical errors related to
citations, grammar, spelling, syntax, or
organization that prevent understanding of
ideas
5.07
Total 100%
