EconPapers    
Economics at your fingertips  
 

An iterative approach for case mix planning under uncertainty

Nickolas Freeman, Ming Zhao and Sharif Melouk

Omega, 2018, vol. 76, issue C, 160-173

Abstract: Case mix planning refers to allocating available time in the operating rooms composing an operating theater (OT) among different surgical specialties. Case mix planning is an important tool for achieving the goals of a hospital with respect to quality of care and financial position. Case mix planning is becoming increasingly prevalent as hospital reimbursement continues to shift from fee-for-service to reimbursement based on diagnostic-related groups. Existing approaches for case mix planning in the academic and medical literature follow a traditional approach that identifies a single “optimal” solution. To ensure tractability, such approaches often exclude several complicating factors such as uncertain patient arrivals, uncertain operation time requirements, and the arrival of patients requiring urgent care. The exclusions limit the applicability of the solution in practice. Thus, we develop a multi-phase approach that utilizes mathematical programming and simulation to generate a pool of candidate solutions. Using simulation allows us to evaluate each candidate solution with respect to a broad range of strategic and operational performance measures including expected patient reimbursement, overutilization of the OT, and the utilization of downstream recovery wards. Providing a pool of solutions, instead of a single solution, gives decision-makers several options from which they may select based on hospital goals. We conduct experiments based on a large, publicly available dataset that documents patient admissions in 203 U.S. hospitals. In comparison to a more traditional single-solution approach, we show that our solution pool approach identifies case mix plans with higher expected patient reimbursement, lower overutilization of OT time, and lower variability in the number of beds required in downstream recovery wards.

Keywords: Health care management; Math programming; Simulation (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0305048316304029
Full text for ScienceDirect subscribers only

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:eee:jomega:v:76:y:2018:i:c:p:160-173

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/supportfaq.cws_home/regional
https://shop.elsevie ... _01_ooc_1&version=01

DOI: 10.1016/j.omega.2017.04.006

Access Statistics for this article

Omega is currently edited by B. Lev

More articles in Omega from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

 
Page updated 2025-03-19
Handle: RePEc:eee:jomega:v:76:y:2018:i:c:p:160-173