🇦🇺Australia

Deficiency Response Costs

3 verified sources

Definition

Survey reports provided within 6 weeks identify improvement areas; links to Star Ratings, potentially causing funding impacts or remediation.

Key Findings

  • Financial Impact: AUD 10,000-100,000 per major deficiency (remediation, lost revenue from rating drops at 1-2% occupancy loss)
  • Frequency: Annually, plus follow-ups
  • Root Cause: Manual processes in survey prep leading to unidentified quality gaps

Why This Matters

The Pitch: Nursing homes in Australia 🇦🇺 incur AUD 20,000+ yearly in rework from survey deficiencies. Automation flags issues pre-survey.

Affected Stakeholders

Quality Managers, Clinical Leads

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Financial Impact

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Current Workarounds

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Methodology & Sources

Data collected via OSINT from regulatory filings, industry audits, and verified case studies.

Evidence Sources:

Related Business Risks

Survey Preparation Fines

AUD 5,000-50,000 per sanction (typical Commission fines for quality failures); 4-8 hours staff time per survey (entire day disruption for 50+ resident homes)

Survey Day Capacity Loss

AUD 1,500-4,000 per survey (staff wages at AUD 50/hr for 30-80 hours equivalent disruption in 50-resident home)

Non-compliance Fines for Care Plan Documentation Failures

AUD 50,000 - 500,000 in fines/penalties per audit failure; lost funding subsidies up to 100% of revenue for non-compliant providers

Lost Government Subsidies from Documentation Gaps

AUD 1,000 - 5,000 per resident per month in lost subsidies; 20-30% revenue leakage for non-compliant documentation

Staff Time Waste on Manual Care Plan Development

20-40 hours per resident per year at AUD 50/hour = AUD 1,000 - 2,000 per resident; 5-10% staff capacity loss

Produktivitätsverlust durch Kommunikationsfehler zwischen Pflege, Küche und Ernährungsberatung

Logic-based estimate: 360–1,080 hours per year of avoidable rework and communication time in a mid-sized home, worth ~$25,000–$50,000 AUD in labour plus $5,000–$30,000 AUD in wasted food and missed billable care opportunities, i.e. $30,000–$80,000 AUD annual capacity loss.

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