Shortages In Diagnostics Clinical Laboratory Staffing Sample College Essay

1.1 Introduction

Diagnostics is important in modern healthcare because it provides crucial data for precise disease diagnosis, therapy planning, and patient outcome monitoring. Clinical laboratories, which are the cornerstone of diagnostic testing behind the scenes, perform a range of sophisticated activities to obtain reliable and accurate results. A key challenge now affecting the diagnostics industry is a shortage of clinical laboratory employees. According to a report released by the American Association for Clinical Chemistry (AACC), demand for laboratory professionals is expected to outstrip supply by nearly 11% by 2025, resulting in a shortage of approximately 46,000 competent personnel (Wu et al., 2018). This graph illustrates how critical the staffing issue is and how vital it is to find solutions.

The objective of this project is to explore the causes and consequences of staff shortages in clinical diagnostic laboratories and propose strategies to mitigate the problem. By shedding light on this issue, we aim to contribute to the development of sustainable solutions that can help ensure the availability of competent laboratory professionals to meet growing healthcare demands.

This project, which deals with an important aspect of hospital administration and workforce planning, strongly connects to the DHA’s area of competence. We investigate the complicated dynamics of human resource management in the healthcare industry by examining the staffing difficulties that clinical laboratories face. Maintaining high-quality diagnostic services and improving patient care results depend on effective staffing and budgeting.

The significance of this project extends beyond the laboratory setting. Accurate and timely diagnostics are essential for proper disease identification and management, leading to better patient outcomes, reduced healthcare costs, and improved population health. By investigating the underlying causes of clinical laboratory staffing shortages and proposing effective strategies, this project can enhance the healthcare system’s overall efficiency and effectiveness.

1.2 Capstone Topic

The Department of Health Administration (DHA) specialization seeks to equip students with the knowledge and skills needed to manage and lead healthcare organizations. The project under this specialty tries to tackle major concerns and challenges faced by the healthcare business, with an emphasis on improving healthcare management practices and patient care outcomes. The primary goal of this research is to study and propose solutions to clinical diagnostic laboratory staffing shortages. The shortage of clinical laboratory technicians has become a severe issue for the healthcare industry, affecting the accuracy and timeliness of diagnostic testing. This effort seeks to improve healthcare management practices by investigating the causes and consequences of shortages and suggesting evidence-based solutions.

This project is closely aligned with DHA’s specialization as it encompasses various aspects of healthcare management. Staffing is a critical component of effective healthcare operations, and understaffing in clinical laboratories can have significant implications for patient care and organizational performance. By analyzing staffing challenges in clinical diagnostic laboratories, this project explores the complexities of human resource management in a healthcare environment, a key area of interest within the DHA specialization.

Furthermore, this project aligns with the broader goals of the DHA specialization, which include enhancing healthcare quality, improving patient outcomes, and optimizing resource utilization. The shortages in diagnostics clinical laboratory staffing directly impact the quality and timeliness of diagnostic testing, potentially leading to delayed diagnoses, suboptimal treatment plans, and compromised patient safety.

1.2.1 Problem of Practice

General Health Care Administration Problem

The general healthcare administration problem that exists throughout the healthcare industry is the shortage of qualified and skilled staff in various healthcare settings, including diagnostics clinical laboratories. A significant gap between the demand for clinical laboratory professionals and the available workforce manifests this shortage. The harm caused by this problem includes delayed diagnostic testing, increased turnaround times for test results, compromised patient safety, and reduced quality of patient care (Himmerich et al., 2021).

According to Himmerich et al. (2021), there is a nationwide shortage of laboratory professionals, with an estimated deficit of 11,000 laboratory professionals in the United States alone. This shortage has been attributed to factors such as an aging workforce, retirement of experienced laboratory professionals, lack of educational programs, and limited career advancement opportunities. The scarcity of qualified staff in diagnostics clinical laboratories creates adverse consequences for health care administration practitioners, as it hinders the smooth functioning of laboratory operations, affects the accuracy and timeliness of test results, and increases the workload and stress levels of existing staff.

Specific Health Care Administration Problem

The specific healthcare administration problem within the context of diagnostics clinical laboratory staffing is the shortage of trained and certified medical laboratory scientists and technicians. This problem is particularly prevalent in rural areas, where access to qualified laboratory professionals is even more limited. The manifestation of this problem is evident in the difficulty healthcare organizations face in recruiting and retaining skilled laboratory staff, resulting in increased vacancy rates, an excessive workload on existing staff, and compromised quality and efficiency of laboratory services (Osaro & Chima, 2014).

Osaro & Chima (2014) revealed that 55% of laboratory directors reported difficulty in recruiting medical laboratory professionals, and 78% reported difficulty in retaining them. This shortage leads to reduced access to diagnostic testing, increased turnaround times for test results, and potential errors due to increased workload and burnout among existing staff. These adverse consequences not only affect laboratory operations but also impact the overall delivery of healthcare services and patient outcomes.

1.3.1 Project Need

The proposed initiative, which focuses on clinical laboratory staffing shortages for diagnostics, covers a critical gap in the healthcare sector. The problems that healthcare managers have in locating and retaining qualified laboratory professionals, which have been acknowledged and documented in the literature, justify this requirement. A number of academic and practitioner publications released in the last five years highlight the importance of this project.

Nanyingi et al. (2015) highlight the shortage of medical laboratory scientists in the United States and the impact it has on healthcare organizations. The author underlines the difficulties that laboratory directors face in attracting and retaining talented staff, which has a detrimental influence on laboratory services and raises vacancy rates.

This article supports the need for the proposed project by acknowledging the existence of a staffing problem within diagnostics clinical laboratories. Additionally, a study by Funnye-Doby (2016) conducted by the Association of Pathology Chairs highlights the clinical laboratory workforce shortage as a significant concern. The authors provide data and statistics that reinforce the need to address the shortage of qualified laboratory professionals. Their findings support the feasibility of the project by providing evidence of the widespread impact of this problem across the healthcare industry.

Nanyingi et al. (2015) also conducted a vacancy survey of medical laboratories in the United States, as described in their paper. The survey results demonstrate the difficulty healthcare organizations have in filling laboratory positions, as well as any potential consequences of the personnel shortage. This paper contributes to the body of material arguing for the necessity of the proposed initiative by highlighting the scope of the issue and its effects on laboratory operations and patient care.

The purpose of this project is to investigate the root causes of staffing shortages in clinical laboratories for diagnosis and to propose solutions to the problem. The project question, “What are the primary causes of the shortages in diagnostics clinical laboratory staffing, and how can healthcare administrators overcome these challenges?” needs answering to provide healthcare administrators with valuable insights and evidence-based solutions.

1.3.2 Project Question

Project Question: What are the primary factors contributing to the shortages in diagnostics clinical laboratory staffing, and what strategies can healthcare administrators implement to address these challenges effectively?

The project’s purpose, to investigate the root causes of the staffing shortfall and recommend remedies to healthcare executives, is relevant to the topic because it explicitly targets the issue of staffing shortages in diagnostic and clinical laboratories. The approach of the research, which employs both qualitative and quantitative data analysis methods, is also in line with the question. The qualitative portion of the study will conduct interviews and surveys with laboratory directors, laboratory professionals, and laboratory professionals to gain insights into healthcare administrators’ perspectives and experiences regarding the factors causing diagnostics clinical laboratory staffing shortages. The quantitative element of the study will involve assessing current data and making connections to uncover trends, patterns, and correlations related to the staffing shortage.

The project question focuses on understanding the causes of shortages and identifying effective strategies to address them, which is consistent with the purpose and focus of the project. By investigating these factors and proposing evidence-based solutions, the project aims to contribute to the knowledge and practice of healthcare administration in the context of staffing for clinical diagnostic laboratories.

1.3.3 Project Justification

The project’s purpose and study topic are supported by a lack of a full understanding of the variables driving staffing shortages in diagnostic and clinical laboratories, as well as a lack of knowledge about efficient remedies to this problem. The current literature emphasizes the increased demand for laboratory services as well as the associated shortage of trained laboratory employees, resulting in delayed diagnoses, substandard patient care, and greater healthcare costs (Kalra, 2004; Ducatman et al., 2020).

The effort intends to overcome this gap by undertaking a full investigation of the determinants driving staffing shortages and providing evidence-based recommendations that hospital executives may use to mitigate the problem. By exploring the perspectives of healthcare administrators, laboratory directors, and laboratory professionals, the project will provide valuable insights into the specific practices and challenges within diagnostics clinical laboratory staffing.

The anticipated results of the project include a comprehensive understanding of the underlying causes of the staffing shortages, identification of key factors influencing the shortages, and the development of effective strategies for healthcare administrators to address these challenges. The findings will inform administrators about the necessary improvements and interventions required in their practices to mitigate the staffing shortage and ensure adequate laboratory staffing for quality patient care.

The project’s outcomes are significant in terms of improving both the individual and the community. Addressing staffing shortages in diagnostic and clinical laboratories will result in improved patient outcomes, lower healthcare costs, and increased operational performance within healthcare organizations. Furthermore, hospital administrators can create a supportive and welcoming work environment for laboratory staff by implementing evidence-based approaches that increase job satisfaction, reduce turnover rates, and promote workforce retention (Kalra, 2004). The project’s findings will give hospital executives the knowledge and insight they need to make sound decisions and implement preventative steps to address staffing shortages. This will improve diagnostic clinical laboratory services in general, benefiting patient care and healthcare delivery in general.

1.3.4 Project Context: Company or Industry

The problem of shortages in diagnostics clinical laboratory staffing exists within the context of the healthcare industry, specifically in diagnostics clinical laboratory settings. This industry plays a crucial role in providing accurate and timely diagnostic services, which are vital for effective patient care and treatment decision-making. However, the industry is currently facing significant challenges related to staffing shortages, leading to adverse consequences for healthcare organizations and patients.

Personnel shortages in diagnostic clinical laboratory settings are a result of a variety of events, trends, and issues. One obvious trend is the increased need for laboratory services as a result of population growth, aging populations, and advances in medical technology. The additional burden this increased demand places on laboratory technicians exacerbates the current staffing restrictions. The retirement of seasoned laboratory staff, the lack of training programs, and the ignorance of laboratory professionals all contribute to the shortage of competent specialists (Ducatman et al., 2020).

The absence of diagnostic clinical laboratory staff has an impact on patient treatment, posing major problems for healthcare systems. Slow turnaround times, decreased accuracy, and delays in diagnostic test results may have a negative impact on patient outcomes and satisfaction. Furthermore, healthcare institutions may incur additional expenditures as a result of outsourcing laboratory services or employing and onboarding new workers. These issues highlight the importance of filling staffing deficits in diagnostic clinical laboratory settings.

The planned research could have a significant impact on the clinical laboratory diagnostics business. The project’s findings can help stakeholders in the industry, such as laboratory directors, healthcare administrators, and policymakers, by investigating the factors that contribute to staffing shortages and providing practical solutions. The insights gained from the project can guide decision-making processes, resource allocation, and the development of policies and interventions aimed at improving staffing levels and workforce retention in diagnostics clinical laboratories.

1.3.5 Project Context: Terms and Definitions

Staffing Shortages: Refers to the inadequate availability of qualified personnel in a specific field or industry, resulting in a shortage of workforce to meet the demands and needs. (CDC, 2022)

Diagnostics Clinical Laboratory: A specialized laboratory facility that performs various tests and analyses on patient samples to aid in the diagnosis, monitoring, and treatment of diseases and medical conditions. It encompasses disciplines such as clinical chemistry, hematology, microbiology, immunology, and molecular diagnostics. (CDC, 2022).

Healthcare Administration: The management and organization of healthcare systems and facilities to ensure efficient delivery of quality care. It involves planning, coordinating, and overseeing various administrative functions within healthcare organizations. (CDC, 2022)

Workforce Retention: The ability to attract, engage, and retain employees within an organization over an extended period. It involves implementing strategies and practices that promote job satisfaction, professional development, and a positive work environment to reduce turnover. (CDC, 2022)

Turnaround Time: The time interval between the submission of a sample or test request and the delivery of the final test result. It represents the speed and efficiency with which diagnostic tests are processed and completed. (CDC, 2022)

Patient Care: The provision of medical services and support to individuals seeking healthcare. It encompasses diagnosis, treatment, prevention, and management of illnesses and injuries, with a focus on promoting overall well-being and optimal patient outcomes. (CDC, 2022)

Operational Efficiency: The ability of an organization or system to utilize resources effectively and efficiently in carrying out its functions and achieving its objectives. It involves optimizing processes, minimizing waste, and maximizing productivity to improve overall performance. (CDC, 2022)

Financial Sustainability: The ability of an organization or system to maintain long-term financial viability and stability. It involves generating sufficient revenue, managing expenses, and implementing sound financial practices to ensure ongoing operations and the ability to invest in future growth. (CDC, 2022)

Furthermore, the project’s outcomes can assist industry professionals in understanding the impact of staffing shortages on operational efficiency, patient care, and financial sustainability. By implementing evidence-based strategies and best practices, the industry can mitigate the adverse effects of staffing shortages, enhance workforce retention, and ensure the availability of qualified laboratory professionals to meet the growing demand for diagnostic services.

1.4 Doctor of Health Care Administration Project Specifications

The Doctor of Health Care Administration (DHA) project holds significant importance in addressing the identified problem of shortages in diagnostics clinical laboratory staffing. Through this project, we aim to gain valuable insights into the causes and consequences of staffing shortages, as well as develop strategies and recommendations to mitigate this issue within the healthcare administration field.

In the following sections, we will delve into the project specifications, including the problem statement, research methodology, data analysis plan, and anticipated outcomes. By examining the problem from various angles and utilizing appropriate research approaches, we aim to provide practical solutions that can contribute to improving workforce retention, operational efficiency, and overall patient care within diagnostics clinical laboratories.

The subsequent sections will provide a comprehensive overview of the project, detailing the problem’s context, the research question, and the specific approach that will be employed to address the identified gaps in practice. Through rigorous analysis and examination of relevant literature, we will explore the factors contributing to staffing shortages and their impact on healthcare administration, allowing us to develop evidence-based recommendations that can drive positive change within the industry.

1.4.1 Importance of the Project

The proposed study on staffing shortages in clinical laboratories for diagnostics is critical to healthcare management. It addresses a significant subject with far-reaching implications for practitioners and the overall running of healthcare institutions. By investigating the causes and implications of staffing shortages in diagnostics clinical laboratories, we may throw light on the challenges administrators face and identify opportunities for improvement.

One of the primary reasons this topic is critical to the practice of health care administration is the direct impact it has on patient care and outcomes. Clinical diagnostic laboratories with insufficient staff may have test result delays, longer turnaround times, and probable errors, all of which could have a detrimental influence on patient diagnosis and treatment. This problem poses a significant risk to patient safety and quality of care, making it essential for administrators to address and find effective solutions.

Staffing shortages pose a number of challenges and quandaries for practitioners in the profession. These include the difficulty in attracting and retaining skilled laboratory personnel, increased workload and stress on present employees, and the need to maintain operational performance in the face of resource restrictions. Furthermore, changes in regulatory requirements, technological improvement, and demographic trends increase the complexity of diagnostic clinical laboratories while also providing opportunities for advancement.

To demonstrate the project’s importance, numerous academic and professional writings emphasize the importance of tackling personnel shortages in healthcare management. Cortelyou-Ward (2011), for example, emphasizes the importance of laboratory staffing in providing precise and speedy diagnostic services, emphasizing the need for effective strategies to attract and retain skilled professionals. Another article by Strasser et al. (2016) discusses the impact of workforce shortages on the quality and efficiency of laboratory services, emphasizing the importance of addressing this problem to enhance overall healthcare delivery.

Furthermore, a publication by Lee-Lewandrowski et al. (2003) emphasizes the financial implications of staffing shortages in diagnostics clinical laboratories, highlighting the potential cost savings and operational efficiencies that can be achieved through effective workforce management. These citations provide evidence of the importance of the problem to healthcare administrators and practitioners, underscoring the need for focused attention and solutions in this area.

1.4.2 Approach for the Project

A general qualitative inquiry technique will be utilized to collect and analyze data for this study. This qualitative technique will allow for comprehensive research of the reasons for diagnostic clinical laboratory staffing shortages, as well as provide useful information on the experiences and perspectives of healthcare administrators and practitioners.

Data Collection

Semi-structured interviews with key stakeholders such as hospital administrators, laboratory directors, and laboratory personnel will be the primary data collection method. The interview questions are designed to elicit detailed explanations of the difficulties, causes, and consequences of diagnostic clinical laboratory staffing shortages. The interviews will take either in-person or online, depending on the participant’s interests and availability.

Document analysis will be employed to extract relevant data from academic publications, technical reports, and online secondary data sources. These websites will provide useful information about the present state of the healthcare sector, trends in clinical laboratory staffing, and current staffing shortage management strategies.

Data Analysis

The data acquired through interviews and document analysis will be examined using thematic analysis. With the use of this qualitative analysis technique, recurring themes and patterns in the data are identified, and their implications and meanings are explained. As part of the study, the data will be coded, and similar codes will be collected into themes. Following that, the concepts will be compared and contrasted. This process will make it feasible to comprehend the root reasons for staffing shortages in great detail and identify workable remedies.

Barriers and Challenges

One potential challenge in data collection may be the availability and willingness of participants to engage in interviews. To address this, a diverse and representative sample of stakeholders will be identified and recruited using purposive sampling techniques. Efforts will be made to establish rapport and trust with participants to encourage their participation. Another challenge may arise from the sensitive nature of discussing staffing shortages and potential organizational weaknesses. To mitigate this, confidentiality and anonymity will be assured to participants, and ethical considerations will be followed throughout the research process.

1.5 Summary

This study focuses on the issue of staffing shortages in clinical laboratories for diagnostics and how it affects healthcare management practice. The effort is motivated by the need to address this issue and find effective ways to decrease staffing shortages in diagnostic and clinical laboratories. The core issue of the study is, “What are the underlying causes and potential solutions for shortages in diagnostics clinical laboratory staffing?”

The scholarly and practitioner literature highlighting the problems and consequences of staffing shortages in diagnostics clinical laboratories provides evidence of practice gaps and serves as a rationale for the project. The project’s findings are intended to enrich and improve healthcare administration practice by providing insights into the problems driving staffing shortages and potential solutions.

The project is situated within the context of the healthcare industry, where there is an increasing demand for diagnostics services and a growing need for qualified laboratory staff. The industry faces challenges such as workforce attrition, limited resources, and changing healthcare dynamics, which contribute to staffing shortages in diagnostics clinical laboratories.

To address these issues, a generic qualitative inquiry approach will be employed based on semi-structured interviews and document analysis. Document analysis will provide further information from scholarly literature, technical reports, and online secondary data sources, while interviews will gather perspectives from hospital administrators, laboratory directors, and laboratory staff. Thematic analysis of the data collected will reveal key themes and trends. To completely appreciate the diagnostics personnel shortages, the project plan comprises thorough data collection, analysis, and interpretation.

References

Centers for Disease Control and Prevention. (2022, September 23). Strategies to Mitigate Healthcare Personnel Staffing Shortages. Retrieved June 17, 2023, from https://www.cdc.gov/coronavirus/2019-ncov/hcp/mitigating-staff-shortages.html

Cortelyou-Ward, K., Ramirez, B., & Rotarius, T. (2011). The laboratory workforce shortage: a managerial perspective. The Health Care Manager, 30(2), 148–155.

Ducatman, B. S., Ducatman, A. M., Crawford, J. M., Laposata, M., & Sanfilippo, F. (2020). The value proposition for pathologists: a population health approach. Academic Pathology, p. 7, 2374289519898857.

Funnye-Doby, C. (2016). Awareness of clinical laboratory sciences and shortage of clinical laboratory scientists in the 21st century (Doctoral dissertation, Walden University).

Himmerich, H., Kan, C., Au, K., & Treasure, J. (2021). Pharmacological treatment of eating disorders, comorbid mental health problems, malnutrition and physical health consequences. Pharmacology & therapeutics, p. 217, 107667.

Kalra, J. (2004). Medical errors: impact on clinical laboratories and other critical areas. Clinical biochemistry, 37(12), 1052–1062.

Lee-Lewandrowski, E., Corboy, D., Lewandrowski, K., Sinclair, J., McDermot, S., & Benzer, T. I. (2003). Implementation of a point-of-care satellite laboratory in the emergency department of an academic medical center: impact on test turnaround time and patient emergency department length of stay. Archives of pathology & laboratory medicine, 127(4), 456-460.

Nanyingi, M., Govule, P., Maniple, E., Onzima, R. A. D., Mugisha, J. F., & Katongole, S. P. (2015). Application of Workload Indicators of Staffing Needs (WISN) in Determining Health Workers’ Requirements for Mityana General Hospital, Uganda.

Osaro, E., & Chima, N. (2014). Challenges of a negative work load and implications on morale, productivity and quality of service delivered in NHS laboratories in England. Asian Pacific journal of tropical biomedicine, 4(6), 421-429.

Strasser, R., Kam, S. M., & Regalado, S. M. (2016). Rural health care access and policy in developing countries. Annual review of public health, 37, 395-412.

Wu, A. H., Christenson, R. H., Greene, D. N., Jaffe, A. S., Kavsak, P. A., Ordonez-Llanos, J., & Apple, F. S. (2018). Clinical laboratory practice recommendations for the use of cardiac troponin in acute coronary syndrome: expert opinion from the Academy of the American Association for Clinical Chemistry and the Task Force on Clinical Applications of Cardiac Bio-Markers of the International Federation of Clinical Chemistry and Laboratory Medicine. Clinical Chemistry, 64(4), 645–655.

Simple And Compound Interest And The Ethical Issues Sample Paper

Introduction

Generally, interest is the cost of borrowing money, for instance, the interest charged on a loan balance by the bank or the lenders, depending on the loan circumstances. In contrast, interest can be defined as the rate charged for the deposited money. However, the mathematics of interest is correct; the custom of charging, computing, and disclosing is full of discrepancies and hence often controversial on ethical concerns. This paper examines some general use of interest, which must be corrected as unfair and illogical on the ethical ground. In addition, the paper will examine the use of interest using some theories, such as practical and formalist schools of ethical theories, that recognize them as inappropriate in public life. It also seeks to provide a detailed analysis of the similarities and differences between simple and compound interests from a broader way of ethics.

Simple Interest (SI)

Simple interest (SI) is the mathematical method used to compute the interest amount charged on a loan for the principal amount.SI is calculated by multiplying the outstanding principal by the daily interest rate by the number of days between payments. It means that simple interest is a fixed proportion of the principal figure of a loan. The formula for the calculation of simple interest is :( Principal (P)* Daily interest rate(r)*Number of days between payments (T) subjected to the outstanding interest so that the interest is paid off and the remaining amount goes to the remaining loan balance(Ambuehl et al., 2022). The approach benefits the borrowers who pay early since the interest paid is less, and the remaining amount is left to cater to a more significant proportion of the outstanding principal amount balance.

Contrary, suppose the payment of the loan is paid late. In that case, more of the loan payment goes towards paying off the interest, leaving an outstanding residual loan balance. Simple interest is oftenly applied for short-term loans that require an early offset. For instance, Makau took on a simple interest rate of $21,000, which attracts an annual interest rate of 3%. Makau decides to repay the loan in 5 years. The amount payable in 5 years would be calculated as follows: SI=p*r*n=$21,000*0.03*5=$3,150. Therefore the total amount of loan payable by Makau would be; principal + interest earned on laon=$21,000+$3,150=$24,150.

Compound Interest

Compound interest(CI) is a mathematical method used for interest on saving computed based on the initial principal and the accumulated interest from previous periods. Compound interest is calculated based on the outstanding principal and any interest accumulated in the previous periods. It is calculated based frequently on the year, such as on a monthly or half of the year or quarterly basis of the year. A greater degree of calculation based on higher periods results in a more rapid interest growth rate. It implies that the current interest is compounding interest.

In compound interest, the amount obtained after calculation exceeds the amount of money calculated by the simple interest because, in simple interest, the amount of money is obtained only from the amount of principal. The computation of interest using compound interest increases the interest on a personal loan since the next principal is obtained by adding the previous interest, which implies a greater degree of subsequent interest in the personal loan(Busch et al., 2022). The formula for the compound interest calculation is CI=[P(1+i)^n-P]; Where P=outstanding principal,i=annual interest rate; n=number of compounding periods. For instance, Makau took a 2-year loan of $10,000 at an interest rate of 5%, compounding annually. Compute the amount of compound interest earned. In this case, the amount of interest payable would be; CI=[P(1+i)^n-1]; $10,000(1+0.05)^2-1]=$10,000(1.1025-1)=$1,025; Amount payable in 2 years=$10,000+$$1,025=$11,025.

Simple and Compound Interest Similarities and Differences

Both simple and compound interest is computed based on the principal amount outstanding on the personal loan. On the other hand, principal refers to the amount of money initially borrowed(loan) from the bank or invested. Also, both compound and simple interest are used to compute interest on the amount of money saved or borrowed. The difference between simple and compound interest occurs when simple interest is computed based on the principal amount of the loan. In contrast, compound interest is computed based on the principal amount and the accumulated interest of the prior periods, such as half-yearly, quarterly, or even daily.

The formula for the simple interest computation is SI=p*r*n, whereas the formula for the compound interest calculation is computed as CI=[p(1+i)^n-p]. For instance, Makau took a loan with a simple interest of $10,000, attracting an annual interest of 5%. He repaid the loan in 2 years. therefore,the amount repayable would be SI=p*r*n=$10,000*0.05*2=$1,000, amount repayable =$10,000+$1,000=$11,000. On the other hand, Makau took a 2-year loan of $10,000 at an interest rate of 5%, compounding annually. Compute the amount of compound interest earned. In this case, CI=[p(1+i)^n-1]=10,000(1+0.05)^2-1=$1,025; the amount repayable=$10,000+$1,025=$11,025. This implies that interest obtained in the compound interest calculation is larger than simple interest because of accumulated previous interest on the principal.

Ethical Issues of Simple and Compound Interest

However, the mathematics of the interest is the same price but questionable on ethical grounds, .for instance, estimation of intrayear rates and deceptive advertising. The interest rate paid based on the annual percentage rate(APR) is invariable. Intryear rates show ethical issues if computed based on the APR. For instance, APR computed annually will not show a discrepancy, while APR calculation based on a nonannual basis will show ethical issues(Manthiram et al., 2022). Other ethical issues arise when practice lenders use deceptive advertising to profit themselves on the certificate of deposit deception method rather than employing a more elaborate method of simple interest plus principle.

Conclusion

Interest is defined as the amount charged on a loan. Mathematics of interest is correct since the methods such as simple and compound interests employ a precise mechanism that minimizes errors. For instance, simple interest refers to interest charged annually on the principal amount. In contrast, compound interest refers to interest charged on the principal amount plus accumulated interest based on the greater degree of periods. The amount paid using compound interest is greater than the amount payable on simple interest because of the previously accumulated interest added to the principal amount. Although, there are some ethical issues, such as computation of the effective APR and deceptive advertising, need to be rectified.

References

Ambuehl, S., Bernheim, B. D., & Lusardi, A. (2022). Evaluating deliberative competence: A simple method with an application to financial choice. American Economic Review112(11), 3584-3626.

https://www.aeaweb.org/doi/10.1257/aer.20210290

Busch, M., Ahlberg, E., Ahlberg, E., & Laasonen, K. (2022). How to Predict the p K an of Any Compound in Any Solvent. ACS omega7(20), 17369-17383.

https://scholar.google.com/citations?user=oT0dXuYAAAAJ&hl=en&oi=sra

Manthiram, A., Lutkenhaus, J. L., Fu, Y., Bai, P., Kim, B. G., Lee, S. W., … & Penner, R. M. (2022). Technological pathways toward sustainable batteries. One Earth5(3), 203-206.

https://www.sciencedirect.com/science/article/pii/S2590332222000951

Social Learning Theory Essay Sample For College

Introduction

Social Learning Theory and Observational Learning aim to explain how environmental factors shape an individual’s behavior patterns (Khechine et al., 2020). Pioneering theories established by luminaries such as Albert Bandura suggest that there exist three fundamental mechanisms for acquiring knowledge: direct reinforcement, either positive or negative, limitation of other’s belief systems, actions and attitudes which may exist around us; indirect impact arising out of being influenced by those circulating around us -Vicarious Reinforcement. (Khechine et al., 2020). This essay analyzes each component to understand its specific relation to Social Learning Theory and Observational Learning.

Summary

Working within a suitable environment – it is increasingly apparent that social learning theory can be used as an effective tool for anyone seeking to advance their abilities regarding interpersonal interactions (Gualtieri et al., .2020). Concerning myself – this translates into recognizing the value of exchanging precise messages with peers and leadership figures alike while taking note of verbal cues given back by those who receive them most frequently throughout interactions- essential traits which make up clear communication etiquette which many may often overlook times on instinct alone. Further still – observations made from imitating professionals who demonstrate good communication skills at work and studying behaviors present across groups with associated successes or failures, have allowed me to indirectly reinforce and solidify my communication skills(Gualtieri et al., .2020). These three elements of social learning theory culminate in significant – even drastic – personal and communicational growth.

Over time at work, I have understood how vital it is to employ social learning theory underpinning effective communication strategies fully (Philip et al., 2019). Essentially, handling the flow of information involves engaging clear and focused contextual messages that are easily consumable for colleagues and peers alike. This facilitates an open culture at work where suggestions are made confidently without hesitation or fear arising from misunderstanding one another’s points (Corbett & Spinello, 2020). One crucial lesson that emerged from conducting myself this way is ensuring this becomes a habit applied repeatedly across everyday circumstances-proving beneficial-the management continually reminds us through positive reception and corrective guidance on occasions where we could use recalibration. Empathy played an important role(Philip et al., 2019); Being observant about body language cues while making efforts helped replicate some leaders’ effective communication patterns, allowing me to enhance my interpersonal skills across the work teams. Encountering some inevitable communication challenges, even with significant efforts invested, has inevitably arisen; however, I have taken note of both positive and undesirable communication behaviors through colleagues from whom I could model effective communication.

Conclusion

My path towards becoming more proficient at communicating has been paved well with the tenets set forth by social learning theory -therein lies its usefulness for any communicator wanting improvement proficiency-wise, particularly so – like myself. By closely studying accomplished communicators’ thought-out mannerisms/behaviors, I have learned effective techniques to set positive communication paths during conversations. Empathy and body, language acuities role has also come to the forefront, teaching me the significance of better understanding peers’ and colleagues’ needs. Thus, I have created a more pleasant open work environment that motivates collaborative efforts among members. Furthermore, this journey has presented challenges in communication, giving birth to a further refinement of my skills. Social learning theory has undoubtedly been instrumental in my voyage thus far as a communicator and remains an asset for future journeys.

References

Khechine, H., Raymond, B., & Augier, M. (2020). Adopting a social learning system: Intrinsic value in the UTAUT model. British Journal of Educational Technology, 51(6), 2306-2325. https://bera-journals.onlinelibrary.wiley.com/doi/abs/10.1111/bjet.12905

Gualtieri, L., Palomba, I., Merati, F. A., Rauch, E., & Vidoni, R. (2020). Design of human-centered collaborative assembly workstations to improve operators’ physical ergonomics and production efficiency: A case study. Sustainability, 12(9), 3606. https://www.mdpi.com/704076

Philip, S., Woodward‐Kron, R., & Manias, E. (2019). Overseas qualified nurses’ communication with other nurses and health professionals: An observational study. Journal of Clinical Nursing, 28(19-20), pp. 3505–3521. https://onlinelibrary.wiley.com/doi/abs/10.1111/jocn.14942

Corbett, F., & Spinello, E. (2020). Connectivism and leadership: Harnessing a learning theory for the digital age to redefine leadership in the twenty-first century. Heliyon, 6(1), e03250. https://www.sciencedirect.com/science/article/pii/S2405844020300955