• Korea Journal of Hospital Management
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• v.7 no.4
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• pp.1-23
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• 2002

This study examined the influence of the separation of prescribing and dispensing roles(SPD) policy implemented in Korea in July 2000, especially on the change in the net profit of medical institutions. Using the data set from the Korea's National Health Insurance and the previous research, this study elicited the following main results. First, tertiary care institutions was estimated to lose about 631 billion won after the SPD policy. Second, general hospitals and hospitals gained about 557 billion and 564 billion won, respectively. Third, it is shown that clinics also gained 389-659 billion won. Finally, however, the change in net profit of medical institutions after the SPD policy largely depends on different estimation models. Moreover, it also varies from the assumptions on the price differential of a reimbursable drug which worked as cross-subsidy to insufficient physician's fee before the SPD policy. Despite such limitations as lack of data outside of the National Health Insurance's coverage, this study differs from others. This is the first research to explore the effect of the SPD policy on different types of medical institutions and to attempt to purely focus on the SPD policy. In this study, we can draw the policy implication that preparing for a policy change, the government should set up the policy evaluation system to collect the concerned data and develop the methodologies in advance to the policy implementation.

• Journal of Korean Academy of Nursing
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• v.45 no.4
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• pp.565-575
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• 2015

Purpose: The purpose of the study was to examine mission statements and their elements and to investigate correlations between mission statements and organizational performance. Methods: The current research was a descriptive study based on the examination of mission statements of 353 hospitals that posted mission statements on their webpage and 92 hospitals that made their income statements public. Results: The most common mission element was 'identification of principal services', which accounted for 92.6%. Mission statements of hospitals included the average of 4.82 mission elements out of 9, and the objective of medical quality improvement was 0.81 among 6 objectives of IOM (Institute of Medicine). Net profit of hospitals with mission statements that have above average number of mission elements were significantly higher (t=2.71, p=.008) than those of other hospitals. Net profit was significantly correlated with mission statements (r=.26, p<.001), and mission elements (r=.29, p<.001). Conclusion: The results of the study empirically reveal that mission statements in the hospital affect organizational performance. That is, better organizational performance is shown for hospitals with better, more diversified, and more firmly stated mission statements which include identification of target customers, identification of principal services, contribution to society as a non-profit organization, and concern for employees.

• The Journal of Economics, Marketing and Management
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• v.6 no.1
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• pp.1-8
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• 2018

Purpose - Local social commerce market has grown up remarkably. And, Coupang has shown new delivery strategy of rocket delivery. Making new paradigm at local market, Coupang has expanded market scale. This study investigated state of local social commerce market, weight and promotion strategy of Coupang market to find out competitiveness edge of Coupang. Research design, data, and methodology - The study investigated state and concept of social commerce to find out state, problems and competitiveness of social commerce. New distribution service was short of precedent studies. Statistical analysis and experimental analysis were not used, and interview was done to investigate three of social commerce businesses. Results - CRM construction is insufficient to have poor system, Local delivery system could not be made enough at overnight delivery and customers were dissatisfied with ties with another company. Promotion shall be done by delivery system for increase of profitability, funding for more investment, chatbot to build new customer control system, and new delivery system to produce profit. Conclusions - Coupang and others have grown up rapidly to worsen profit and to jeopardize survival. Excessive initial investment has threatened the businesses, for instance, low sales of Amazon, excessive expenses, bench marking of logistics system, and others.

• The Korean Society of Law and Medicine
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• v.20 no.3
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• pp.143-174
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• 2019

Our Constitution obliges the state to protect the health of the people, and the Medical Law, which embodied Constitution, sets out in detail the matters related to open the medical institution, and one of them is to prohibit the operation of multiple medical institutions. By the way, virtually multiple medical institutions could be opened and operated because the Supreme Court had interpreted that several medical institutions could be opened if medical activities were not performed directly at the additional medical institution which was opened under the another doctor's license. However, some health care providers opened the several medical institutions with another doctor's license for the purpose of the maximization of profit, and did illegal medical cares like the unfair luring of patients, over-treatment, and commission treatment. Also, realistic problems such as the infringed health rights have arisen. Accordingly, lawmakers had come to amend the Medical Law to readjust the system of opening for medical institution so that medical personnel could not open or operate more than one medical institution for any reason. For this reason, the Constitutional Court recently declared a constitutional decision through a long period of in-depth deliberation because the constitutional petition and the adjudication on the constitutionality of statutes had been filed on whether Article 33 paragraph 8 of the revised medical law is unconstitutional. The Constitutional Court acknowledged the "justice of purpose" in view of the importance of public medical institutions, of the prevention from seduction of for-profit patients and from over-treatment, and of the fact that health care should not be the object of commercial transactions. Given the risk that medical personnel might be subject to outside capital, the concern that the holder of the medical institution's opening certificate and the actual operator may be separated, the principle that the human body and life should not be just a means, and the current system's inability to identify over-treatment, it also acknowledged the 'minimum infringement'. Furthermore, The Constitutional Court judged it is constitutional in compliance with the principle of restricting fundamental rights, such as 'balance of legal interests'. In this regard, legislative complements are needed in order to effectively prevent the for-profit management and the over-treatment the Constitutional Court is concerned about. In this regard, consumer groups actively support the need for legislation, and health care providers groups also agree on the need for legislation. Therefore, the legislators should respect the recent Constitutional Court's decision and in the near future complete the complementary legislation to reflect the people's interests.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.13 no.2
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• pp.1-13
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• 2018

This study examines the relationship between the organizational general characteristics (industry, size, location, development stage, and company age) and success factors of Korean venture firms using secondary data. Among the industries with the highest sales figures in 2016 are food / fiber / (non) metals, and the smallest category was software development. The sectors with the highest net profit were computer / semiconductor / electronic components, and the smallest category was telecommunication equipment / broadcasting equipment. The industries with the largest sales growth rate are IT / broadcasting services and software development. The industries with the highest net profit margin of sales are energy / medical / precision, and the smallest is telecommunication equipment / broadcasting equipment. In terms of the number of employees, venture firms with more than 100 employees have the largest sales and net profit, with employees between 1 and 9 have the smallest. However, these results are predictable. In general, the number of employees is highly correlated with sales and net profit. Rather, the sales growth rate and the net profit margin of sales may be meaningful. In particular, with employees between 50 ~ 99, the growth rate of sales and the net profit margin of sales were high. In terms of location, Seoul / Incheon / Gyeonggi were the regions with the highest sales and Daejeon / Sejong / Chungcheong / Gangwon were the least regions. Gwangju / Jeolla / Jeju and Seoul / Incheon / Gyeonggi were almost similar in the areas with the largest net profit. However, Daejeon / Sejong / Chungcheong / Gangwon had the lowest net profit. Unusually, the areas with the highest sales growth rate and the highest net profit margin of sales were Gwangju / Jeolla / Jeju, and the smallest areas were Busan / Jeonnam / Ulsan In the relationship between the stage of development and the performance of the company, the sales of maturity and decline stages were the highest and establishing stage was the lowest. Net profit was also the highest in mature stage and the smallest in establishing stage. The sales growth rate shows a typical pattern in the order of establishing stage, early growth stage, high growth stage, maturity stage, and decline stage. In terms of business performance, sales and net profit are the highest with 21 years or more of company age, and the smallest is less than 3 years. In addition, the sales growth rate was the highest in three years or less, and the net profit margin of sales was the highest in 4 to 10 years. This study can present lots of useful implications by suggesting integrated research model and examining the success factors of Korean venture firms and presenting the application methods of secondary data in analyzing the current status of venture industry in Korea.

• Journal of Korea Society of Industrial Information Systems
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• v.12 no.4
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• pp.131-137
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• 2007

The development of logical and systematical oriental hospital system is very important because most of oriental hospitals are taking pain of the competition's of the hospital and the medical market open. The setup of oriental medical is to enhance medical services and to maximize the efficiency of the management of the hospital. This paper develop the oriental hospital CRM based wire and wireless for digital oriental hospital mixed oriental hospital area and IT technology to maximize the profit the hospital

• Health Policy and Management
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• v.22 no.4
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• pp.676-695
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• 2012

This study purposes to examine the relationship between high performance-HRM system of medical doctor and the effectiveness of hospital. The high performance-HRM practices were derived from reviewing the literature of SHRM(Strategic Human Resource Management) and investigating some cases of Korean leading hospitals. The result reveals that the high performance-HRM system of medical doctor is significantly related with subject measurement such as financial performance, employees' turnover, and customer(patient) satisfaction. Moreover, it is positively related to objective performance such as hospital's profit growth, yearly patient growth. Based on the result, the academic and practical implications are suggested and then the limitation and further research directions are discussed.

• Health Policy and Management
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• v.20 no.3
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• pp.123-137
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• 2010

The main purpose of this article is for deriving functions related to the prediction of the closure of the hospitals, and finding out how the discriminant functions affect the closure of the hospitals. Empirical data were collected from 3 years financial statements of 41 private hospitals closed down from 2000 till 2006 and 62 private hospitals in business till now. As a result, the functions related to the prediction of the closure of the private hospital are 4 indices: Return on Assets, Operating Margin, Normal Profit Total Assets, Interest expenses to Total borrowings and bonds payable. From these discriminant functions predicting the closure, I found that the profitability indices - Return on Assets, Operating Margin, Normal Profit Total Assets - are the significant affecting factors. The discriminant functions predicting the closure of the group of the hospitals, 3 years before the closure were Normal Profit to Gross Revenues, Total borrowings and bonds payable to total assets, Total Assets Turnover, Total borrowings and bonds payable to Revenues, Interest expenses to Total borrowings and bonds payable and among them Normal Profit to Gross Revenues, Total borrowings and bonds payable to total assets, Total Assets Turnover, Total borrowings and bonds payable to Revenues are the significant affecting factors. However 2 years before the closure, the discriminant functions predicting the closure of the hospital were Interest expenses to Total borrowings and bonds payable and it was the significant affecting factor. And, one year before the closure, the discriminant functions predicting the closure were Total Assets Turnover, Fixed Assets Turnover, Growth Rate of Total Assets, Growth Rate of Revenues, Interest expenses to Revenues, Interest expenses to Total borrowings and bonds payable. Among them, Total Assets Turnover, Growth Rate of Revenues, Interest expenses to Revenues were the significant affecting factors.

• Health Policy and Management
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• v.12 no.2
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• pp.43-75
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• 2002

This study focuses on the factors that make the financial structure of hospitals in Korea different, and on recommended courses of action that could be very helpful to hospitals in maintaining a sound financial structure. Data used in this study were collected from 132 hospitals with complete general data of present conditions as well as financial statements. They were chosen from the 174 hospitals that passed the standardization audit undertaken by the Korean Hospital Association from 1996 to 2000 for the purpose of accrediting training hospitals. The dependent variable in this study is financial structure. It consists of liabilities as against total assets (total liabilities to total assets, short-term liabilities to total assets, long-term liabilities to total assets, short-term borrowings to total assets, long-term borrowings to total assets). The independent variables are ownership type, hospital type, location, whether or not a representative is a director of the hospital, the possibility of changing a hospital director, bed size, period of establishment, asset structure, profitability, growth, tax shields, business risk, competition. The factors that appear to have the strongest impact on the liabilities to total assets of all the hospitals sampled are ownership type, hospital type, profitability, tax shields, and business risk. It was found that not-for-profit private hospitals and for-profit private hospitals have more liabilities than public hospitals, and tertiary medical institutions have less liabilities than the secondary general hospitals. Moreover, hospitals earning more at the expense of high business risk have a distinct tendency to lower liabilities. Concerning the current ratio, it was found that factors such as ownership type, hospital type, period of establishment, asset structure, and business risk are the more significant variables. The current ratio of public hospitals is higher than that of both not-for-profit private hospitals and for-profit private hospitals, and the current ratio of tertiary medical institutions is higher than that of general hospitals. As business risk is higher in hospitals compared to other businesses, the current ratio becomes higher; this is because it is assumed that for fear of bankruptcy, hospitals lessen liabilities to total assets. On the other hand, as hospitals become older, the fixed assets to total assets become lower. It is remarkable that in hospitals, the factors affecting liabilities to total assets have an opposite regression coefficient sign against factors affecting current ratio. It brings out the same results borne out by the old financial theories and researches, in which a lot of the liabilities of hospitals are considered as the cause of worsening liquidity. Therefore, it is very important for hospitals to maintain a sound financial structure in order to survive using the rational acquisition and maintenance of capital.

• Journal of Digital Convergence
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• v.12 no.7
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• pp.315-325
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• 2014

This study is investigates decisive factors impacting business profits of regional medical centers by utilizing their environmental characteristics to provide useful basic data to seek for a method to establish financial soundness and profitability. The research objects are medical treatment record and management indicators of 31 regional medical centers for the past three years from 2010 through 2012. The method of analysis are ANOVA and Multiple Regression Analysis. The results revealed the debt and management ratio in the profit rate of total medical liabilities and net worth, current balance in the medical profit on medical revenue, and hospital bed turnover rate, emergency hospitalization rate, rate of labor cost, and rate of material cost in the business profits as the decisive factors. It is recommended to identify financial feedback and establish diversified management strategies through accurate management analysis to secure financial soundness and profitability in medical centers.