Management Evaluation of Public Hospital -Approach from Factor Analysis-

Takako Nakajima, Kiheiji Kiheiji and Masashie Manabe
Additional contact information
Takako Nakajima: Ph.D. Candidate, Osaka School of International Public Policy (OSIPP)
Kiheiji Kiheiji: Specially Appointed Researcher, Department of Medical Economics and Management, Graduate School of Medicine, Osaka University
Masashie Manabe: Associate Professor, Graduate School of simulation Studies, University of Hyogo

No 12J009, OSIPP Discussion Paper from Osaka School of International Public Policy, Osaka University

Abstract: Public hospitals in Japan are recently facing management difficulties and some are in bankruptcies. To tackle the problem, drastic management reforms are required. In this paper, we employ factor analysis to construct indices to evaluate local public hospitals in terms of financial managements, medical services and cost efficiency. The outcome amounts to 8 and reveals that financial status of each local hospital is deteriorated because they have lost profit-earning opportunities with a severe shortage of doctors. We also make a comparison in terms of stability between the outcomes from factor analysis and DEA (Date Envelopment Analysis), a traditional method to evaluate efficiency of public sector. The comparison reveals that it is inadvisable to discuss efficiency by either of the two methods because the two outcomes are sometimes irrelevant.

Keywords: Public Hospitals; Management evaluation; Factor analysis; Medical economics (search for similar items in EconPapers)
JEL-codes: C1 H41 I1 L3 (search for similar items in EconPapers)
Pages: 21 pages
Date: 2012-10
New Economics Papers: this item is included in nep-hea and nep-pbe
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.osipp.osaka-u.ac.jp/archives/DP/2012/DP2012J009.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:osp:wpaper:12j009

Access Statistics for this paper

More papers in OSIPP Discussion Paper from Osaka School of International Public Policy, Osaka University Contact information at EDIRC.
Bibliographic data for series maintained by Akiko Murashita ().