Health Policy Manag.  2015 Dec;25(4):295-306. 10.4332/KJHPA.2015.25.4.295.

The Performance Evaluation of Public Municipal Hospitals: Data Envelopment Analysis and Panel Analysis

• Chung EY
• Seo YJ
• Lee HJ

• KMID: 2165261
• DOI: http://doi.org/10.4332/KJHPA.2015.25.4.295

Abstract

This study aims to examine the performance of public municipal hospitals through the analysis of data envelopment analysis, efficiency, profitability, and publicness by using panel data during period from 2006 to 2010. The main findings of the study are as follows. First, as a result of efficiency analysis during the period from 2006 to 2010, it was revealed that the number of staff by each job category, labor cost ratio, the number of operating beds need to be decreased. Second, the performance data represented by the indicators of efficiency, profitability and publicness were complementary and showed a tendency of being increased or decreased in same direction. Third, from the result of panel analysis, the efficiency was mainly influenced by the structural factors, while the profitability was influenced by managerial factors, and the publicness by medical environment. In conclusion, in order to enhance the performance of public municipal hospitals in Korea, it is important to harmonize the effort for efficiency, financial and policy support by central and local government, and the continuous participation of community residents.

Keyword

Public municipal hospitals; Data envelopment analysis; Panel analysis; Efficiency; Profitability; Publicness

MeSH Terms

Hospitals, Municipal*
Korea
Local Government