1. Resource Allocation: It helps in the efficient allocation of nursing staff by matching the number of nurses with the required patient care needs. 2. Quality of Care: Ensures patients receive the appropriate level of care based on their individual needs, thus improving overall patient outcomes. 3. Nurse Workload: Helps in balancing the workload among nurses, reducing burnout and enhancing job satisfaction. 4. Financial Planning: Assists in budgeting and financial planning by determining staffing costs and needs.