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(To be fair, some of that overhead is marketing costs, which Medicare doesn't have. But these new plans will have marketing costs, along with everything else, including senior executive salaries). Assuming that the for-profit/non-profit mix stays the same, private-sector overhead will average 21%, or 17% more than Medicare's current level.
Price or tariff lists for services provided by other professionals were not available, and their unit costs were assumed identical to physiotherapy cost, except for the cost of visits to or by nurses were information on nurses' salaries, typical health-sector overhead costs and duration of visits were used.
Completing the Delivering Quality First savings programmes will put the BBC into the current top tier of the public and regulated private sectors, cutting overhead costs to 7percentnt - well below the public sector average of 11.2percentnt (see chart below).
d To reduce messaging overhead, sector controllers could limit the message exchange to strongest interferers, e.g., consider only neighboring base stations.
In future, unless we in this sector drive down our overhead costs, we shall lose out to private sector providers who can function with breathtakingly low overheads and, even after turning a profit, will be able to undercut us.
One of the biggest difficulties in cost containment (especially in the private sector) is in controlling overhead costs.
The cost of publicly financed care (the price of medical goods, salaries and motivation of health sector workers, payments to providers, overhead costs, and reconfiguration or coordination of care).
While there is a vibrant conversation within the nonprofit sector about the meaning of overhead and whether organizations should be measured by the percentage they spend on fundraising, one thing we know for sure is that donors prefer to fund projects directly.
In the social sector we often think about overhead as being bad.
In a collaboration of RIVM and KEMA (a technical consultancy with expertise in the energy sector) the Dutch network of overhead power lines has been digitised in 2002 from topographic maps (1 25000) [ 32].
There will always be a salary gap between the private and non-profit sectors, but our obsession with overhead only makes things worse.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com