“Initial Capability Document”
You are the Chief Executive Officer of Smallville Hospital. The hospital currently has a 250-bed capacity. Owing to the rapid growth of Smallville (a suburb of Bigville), you are anticipating a growing need for additional hospital bed capacity. Currently, occupancy of hospital beds stands at 85%. You anticipate that next year, demand will be 100% of current capacity, that two years from now it will be 125% of current capacity, and three years from now it will be at 140% of current capacity. If growth of the community continues at its current pace, you anticipate that Smallville will commission the building of a county hospital, so that demand for beds at Smallville hospital will peak three years from now. After that, demand will be level.
You anticipate the need to add a new wing to the hospital. The new wing will accommodate 100 new beds. No new laboratory facilities will need to be built, so the new wing will basically be nothing more than a dormitory. (Note that over the past few years, Smallville hospital has been outsourcing its lab work to a laboratory located five miles away in Bigville.) Because of increased patient load, food preparation capacity will need to be expanded in the current facility