Profits for not-for-profit organizations : Rosjo Dialysis Centre /

Since its establishment as a not-for-profit organization in 1998, the Rosjo Dialysis Centre in Kochi, India, has been providing dialysis facilities to economically disadvantaged patients at a nominal fee. Rosjo has a capacity to offer 21 dialysis procedures in three shifts in a single day. Donations...

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Bibliographic Details
Main Authors:	Krishnan M., Rakesh (Author), Sebastian, Francis (Author)
Format:	eBook
Language:	English
Published:	London : SAGE Publications: SAGE Business Cases Originals, 2021.
Series:	SAGE Business Cases.
Subjects:	Nonprofit organizations > Finance > Case studies. Associations sans but lucratif > Finances > Études de cas. Nonprofit organizations > Finance. Electronic books. Case studies.
Online Access:	Connect to the full text of this electronic book

Description
Summary:	Since its establishment as a not-for-profit organization in 1998, the Rosjo Dialysis Centre in Kochi, India, has been providing dialysis facilities to economically disadvantaged patients at a nominal fee. Rosjo has a capacity to offer 21 dialysis procedures in three shifts in a single day. Donations from well-wishers and corporate social responsibility (CSR) funds are the financial source of their operations. However, this source of funding fluctuates and is unreliable, forcing management to limit their operation to a single shift, leaving two shifts idle every day. Even after 20 years since their establishment, Rosjo managers have not been able to establish a financially sustainable model to survive and grow. Rosjo leadership members are in a dilemma, the solution to which students are asked to address in this case. Questions arising from this dilemma include: Are surplus or profits important for not-for-profit organizations? And should Rosjo aim to generate an operating surplus by making the idle capacity active? This case discusses how Rosjo could improve its financial situation with a thorough cost-volume-surplus analysis, by adopting a cross-subsidizing principle. This new approach could be implemented without compromising their mission of operating as a not-for-profit organization that offers charity and outreach services. The case discussion evaluates the possibilities of operating all three shifts, implementing differential pricing, and cross-subsidizing the operational costs.
Physical Description:	1 online resource.
Bibliography:	Includes bibliographical references and index.
ISBN:	9781529753233 1529753236