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Cost Analysis Case Study 1

History:         A medical diagnostic device located at a medical center was experiencing intermittent data corruption.  This data corruption caused the patients to have the diagnostic procedure performed over again.  This was the third escalated call to the customer service support center (no cost information was available from the first two escalated calls).

                        Labor hours:

                        (65.8 hrs @ $ 85.00 per/hr)           $     5,593.00

                        Parts cost:                                       $     3,093.71                                

                        Cost of call:

                        (customer service company)        $     8,686.71

 

                        Lost customer revenue:

                        (50.0 hrs @ $ 1,000.00)                $   50,000.00

                        (65.8 hrs @ $ 1,000.00)                $   65,800.00

                        Total lost customer revenue:         $ 115,800.00

 

                        Total cost of call:

                        (customer service company)        $     8,686.71

                        (lost customer revenue)                $ 115,800.00

                                                                       $ 124,486.71

Result:  The computer system that interfaced with the medical diagnostic equipment had an OPEN GROUND condition present at the I.G. (Isolated Ground) receptacle.

Cost Of Repair:  Less than $200.00

 


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