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http://dx.doi.org/10.5762/KAIS.2017.18.4.614

Financial performance analysis based on efficiency evaluation of Regional Public Hospital  

Lee, Jin-Woo (Dept. of Public Health Administration Busan Digital University)
Publication Information
Journal of the Korea Academia-Industrial cooperation Society / v.18, no.4, 2017 , pp. 614-623 More about this Journal
Abstract
The purpose of this study is to analyze the impact of the financial performance of regional public hospitals on their efficiency. In addition, the analysis of their efficiency using environmental factors, such as the market share, operating mode, and size of the regional public hospitals, as well as the factors influencing their efficiency, are selected by selecting the input and output factors of the hospitals and some differences were found between them. The DEA index and financial performance of the 31 regional public hospitals were calculated for the three years from 2012 to 2014. ANOVA and hierarchical regression analysis were used. As a result, there was a significant difference in their efficiency according to the environmental factors, such as the city scale of the regional public hospital, the number of hospital beds, and their business performance, productivity, and publicness. The medical profit margin (p<0.05), labor cost investment efficiency (p<0.05) and HHI (p<0.05) were found to affect the efficiency. In order to identify the inefficiencies of the regional public hospitals and increase their efficiency, it is necessary to measure the efficiency of the input resources and to reduce their cost. In addition, if the regional public hospitals were to provide specialized services, such as specialized functions of medical care that would give them a competitive advantage over private hospitals, their operational efficiency would be enhanced and they would be able to fulfill their role as public medical institutions.
Keywords
Competition in the Region; Efficiency; Financial performance; Productivity; Profitability;
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Times Cited By KSCI : 14  (Citation Analysis)
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