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"HOSPITAL REVENUES"
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Effect of no eyeglasses sales on the quality of eye care: an experimental evidence from China
2024
Background
Eye examinations and eyeglasses acquisition are typically integrated into a cohesive procedure in China. We conducted a randomized controlled trial using incognito standardized patient (SP) approach to evaluate the impact of separating eyeglasses sales on the accuracy of final prescription.
Methods
52 SPs were trained to provide standardized responses during eye examinations, and undergoing refraction by a senior ophthalmologist at a national-level clinical center. SPs subsequently received eye examinations at 226 private optical shops and public hospitals in Shaanxi, northwestern China. The visits were randomly assigned to either control group, where SPs would typically purchase eyeglasses after refraction, or treatment group, where SPs made an advance declaration not to purchase eyeglasses prior to refraction. The dioptric difference between the final prescriptions provided by local refractionists and expert in the better-seeing eye was determined using the Vector Diopteric Distance method, and the completeness of exams was assessed against national standards. Multiple regressions were conducted to estimate the impact of no eyeglasses sales on the accuracy of the final prescription of local refractionists, as well as the completeness of examinations.
Results
Among 226 eye exams (73 in public hospitals, 153 in private optical shops), 133 (58.8%) were randomized to control group and 93 (41.2%) to no eyeglasses sales group. The inaccuracy rate of final prescriptions provided by local refractionists (≥ 1.0 D, experts’ final prescription as the reference) was 25.6% in control group, while 36.6% in no-sale group (
P
= 0.077). The likelihood of providing inaccurate final prescriptions was significantly higher in no-sale group compared to control group (OR = 1.607; 95% CI: 1.030 to 2.508;
P
= 0.037). This was particularly evident in private optical shops (OR = 2.433; 95% CI: 1.386 to 4.309;
P
= 0.002). In terms of process quality, the no-sale group performed significantly less subjective refraction (OR = 0.488; 95% CI: 0.253 to 0.940;
P
= 0.032) and less testing SP’s own eyeglasses (OR = 0.424; 95% CI: 0.201 to 0.897;
P
= 0.025). The duration of eye exams was 3.917 min shorter (95% CI: -6.798 to -1.036;
P
= 0.008) in no-sale group.
Conclusions
Separating eyeglasses sales from optical care could lead to worse quality of eye care. Policy makers should carefully consider the role of economic incentives in healthcare reform.
Journal Article
Inefficient or Not, Hospitals Are Overcharging
2021
A sizable literature related to the efficiency of the U.S. hospital sector has been produced over the past 30 years. Much of this research is based on stochastic frontier analysis. This approach is problematic for a number of reasons. For one, a functional form for a hospital’s cost function must be assumed, and a limited number of forms are tractable. Second, inefficiency is measured as the expectation of a random variable with a pre-determined distribution, with no theoretical justification for the underlying assumption, that observed cost equals minimum cost plus some non-negative, random amount. Thus, the conclusion reached by most of these studies, that U.S. hospitals are inefficient, may not be foregone. Using an entirely different methodology that obviates these shortcomings, the current study suggests that whether or not hospitals are efficient, their revenues have not been increasing in proportion to the minimum cost of providing their services. This study’s estimates of the impact of input prices and technology on production costs indicate that between 2000 and 2017, hospital revenues increased at a substantially higher rate than hospital costs. This study suggests that hospitals are pricing their services well above average cost. As a result, in 2017 over $200 billion could have been transferred from patients to the hospital sector, whether due to the proclivity of hospital administrators to purchase more inputs than are necessary for production, or to subsidize activities other than patient care.
Journal Article
Does the separating of hospital revenue from drug sales reduce the burden on patients? Evidence from China
2021
Background
Since 2015, all pilot cities of public hospital reform in China have allowed the zero-markup drug policy and implemented the policy of Separating of Hospital Revenue from Drug Sales (SHRDS). The objective of this study is to evaluate whether SHRDS policy reduces the burden on patients, and to identify the mechanism through which SHRDS policy affects healthcare expenditure.
Methods
In this study, we use large sample data of urban employee’s healthcare insurance in Chengdu, and adopt the difference in difference model (DID) to estimate the impact of the SHRDS policy on total healthcare expenditures and drug expenditure of patients, and to provide empirical evidence for deepening medical and health system reform in China.
Results
After the SHRDS policy’s implementation, the total healthcare expenditure kept growing, but the growth rate slowed down between 2014 to 2015. The total healthcare expenditure of patients decreased by only 0.6%, the actual reimbursement expenditure of patients decreased by 4.1%, the reimbursement ratio decreased by 2.6%. and the drugs expenditure dropped by 14.4%. However, the examinations expenditure increased by 18.2%, material expenditure increased significantly by 38.5%, and nursing expenditure increased by 12.7%.
Conclusions
After implementing the SHRDS policy, the significant reduction in drug expenditure led to more physicians inducing patients’ healthcare service needs, and the increased social healthcare burden was partially transferred to the patients’ personal economic burden through the decline in the reimbursement ratio. The SHRDS policy is not an effective way to control healthcare expenditure.
Journal Article
Efficiency of hospitals in COVID-19 era: a case study of an affected country
by
Yusefzadeh, Hasan
,
Nabilou, Bahram
,
Hamdollahzadeh, Anita
in
Analysis
,
Case studies
,
COVID-19
2024
Background
The COVID-19 pandemic has affected all aspects of human life and society and has damaged the global economy. Health systems and hospitals were not exempted from this situation. The performance of hospitals during the COVID-19 pandemic was affected by policies related to the pandemic and other factors. This study aimed to investigate hospital performance indicators such as admissions and revenue.
Methods
The medical records of patients with selected orthopedic and general surgical diseases were studied in two government hospitals in the capital city of Urmia in the second quarter of 2019, with the same period in 2020. Data were extracted based on the number of medical records, including length of stay, hospitalization type, sex, age, insurance, number of deaths, and readmissions from the medical records department. Payment amounts were collected from the revenue department and Hospital Information System. Two performance indicators, two result indicators, and two control indicators were used. Mean disease-specific revenue, total revenue, length of stay, and bed occupancy rate were calculated for both periods. Data were analyzed using SPSS (version 16) and the Mann-Whitney statistical test.
Results
2140 cases were studied in the two disease groups. An increase was observed in the number of hospitalizations and average length of stay during the pandemic. The mean disease-specific revenue in the quarter of 2020 was higher than in 2019. However, total revenue decreased, and the difference in the mean of total revenue was significant for the two years (
P
= 0.00) in teaching center. The number of readmissions remained unchanged throughout in the pandemic. The number of deaths due to general surgery diseases in 2020 compared to the same period in 2019 was associated with a relative increase.
Conclusions
The COVID-19 pandemic increased the slope of health care costs. The analysis of the studied variables as performance, result, and control indicators showed that hospitalization rate, bed occupancy rate, and total revenue followed a similar and decreasing pattern in the selected hospitals during the COVID-19 pandemic. Hospitals should adopt appropriate strategies so that, in conditions identical to the COVID-19 pandemic, their performance is accompanied by proper management of resources, efficiency, and minimal reduction in revenue.
Journal Article
The impact of preloaded intraocular lens implantation system (TECNIS iTec®) in routine cataract surgery in China: a time-motion analysis
2023
Objective
To evaluate the impact on surgical efficiency and labor time cost of preloaded intraocular lens (IOL) implantation system compared with manual IOL implantation system in age-related cataract surgery in China.
Methods
This study was an observational, multicenter, prospective time-motion analysis. IOL preparation time, operation time, cleaning time, number and cost of cataract surgeries in eight participating hospitals were collected. The linear mixed model was used to explore factors associated with the difference in operation time between the preloaded IOL implantation system and the manual IOL implantation system. A time-motion model was constructed to convert the operation time cost saved by using preloaded IOL into economic benefits from hospital and social perspective, respectively.
Results
There were 2,591 cases included in the study (preloaded IOL: 1,591 cases; manual IOL: 1,000 cases). The preloaded IOL implantation system was significant time-saving in both preparation time and operation time compared to the manual IOL implantation system (25.48s vs. 47.04s,
P
< 0.001 and 353.84s vs. 367.46s,
P
= 0.004, respectively). An average total of 35.18s can be saved by using preloaded IOL per procedure. The results of linear mixed model showed that the type of IOL was the main factor leading to the difference in preparation time between preloaded IOL and manual IOL implantation system. By switching from manual IOL to preloaded IOL, the model projected additional 392 surgeries can be performed each year and an increase in revenue of $565,282 per hospital, a 9% increase from hospital perspective. And the annual productivity loss saved by using preloaded IOL was $3,006 in eight hospitals from perspective of society.
Conclusion
Compared with manual IOL implantation system, the preloaded IOL implantation system reduces lens preparation time and operation time, which increases potential surgical volume and revenue, and reduces the loss of work productivity. This study provides real-world evidence to support the advantages of the preloaded IOL implantation system in improving efficiency of ophthalmic surgery in China.
Journal Article
Texas hospitals with higher health information technology expenditures have higher revenue: A longitudinal data analysis using a generalized estimating equation model
2016
Background
The benefits of health information technology (IT) adoption have been reported in the literature, but whether health IT investment increases revenue generation remains an important research question.
Methods
Texas hospital data obtained from the American Hospital Association (AHA) for 2007–2010 were used to investigate the association of health IT expenses and hospital revenue. The generalized estimation equation (GEE) with an independent error component was used to model the data controlling for cluster error within hospitals.
Results
We found that health IT expenses were significantly and positively associated with hospital revenue. Our model predicted that a 100 % increase in health IT expenditure would result in an 8 % increase in total revenue. The effect of health IT was more associated with gross outpatient revenue than gross inpatient revenue.
Conclusion
Increased health IT expenses were associated with greater hospital revenue. Future research needs to confirm our findings with a national sample of hospitals.
Journal Article
Preloaded vs manually loaded IOL delivery systems in cataract surgery in the largest ambulatory surgery center of northwestern China: an efficiency analysis
by
Yan, Hong
,
Yan, Weijia
,
Wu, Yazhen
in
Ambulatory care
,
Ambulatory Surgical Procedures
,
Blindness
2020
Background
To compare the efficiency of preloaded vs manually loaded IOL (P-IOL vs M-IOL, respectively) delivery systems in cataract surgery in the largest ambulatory surgery center of Northwestern China.
Methods
A total of 200 cases were included in this prospective, observational study. Time and motion data were collected in a one- or two-operating room (1-OR or 2-OR, respectively) scenario. A model of the efficiency and revenue implications of introducing a preloaded delivery system for IOLs in cataract surgery was used to estimate the changes in cataract throughput and hospital revenue through transitioning from the M-IOL delivery system to the P-IOL system.
Results
In the 1-OR scenario, the mean total case time was 16.9 min using P-IOL, which was a 7.7% reduction compared with M-IOL (
P
< 0.01). In the 2-OR scenario, the mean total surgeon time was 10.8 min using P-IOL, which was a 7.8% reduction compared with M-IOL (
P
< 0.05). By switching from M-IOL to P-IOL, annual throughput will increase by 5.2% (960 cases) in the 1-OR scenario and 7.7% (1440 cases) in the 2-OR scenario, accompany by an increase in revenue of approx. 284,352 USD in the 1-OR scenario and approx. 426,528 USD in the 2-OR scenario.
Conclusion
This report is the first of a comparison of two IOL delivery systems in China using different settings in the scenario. IOL delivery with preloaded systems is time saving in both the 1-OR scenario and the 2-OR scenario. Moreover, switching from the M-IOL delivery system to the P-IOL system holds potential to increase cataract throughput and hospital revenue.
Journal Article
Contextualist Inquiry into IT-enabled Hospital Revenue Cycle Management: Bridging Research and Practice
2015
Approximately a quarter of all U.S. non-for-profit hospitals operate with negative margins. In this unsustainable situation, revenue cycle management (RCM), the business process that drives revenue collection and accounts receivable administration, becomes increasingly crucial for healthcare organizations. RCM is at the center of an incredibly complex network of external and internal links, and its success chiefly depends on a smooth flow of timely, accurate information. While IS research increasingly focuses on clinical health information technologies (HITs), IT's potential as an enabler of hospitals' administrative activities remains by and large unexplored. To advance research into administrative HIT, we draw on Pettigrew's (1987, 1990) theoretical contextualist framework of organizational transformation. Contextualist inquiry is particularly well suited to the study of complex organizational change processes, and it affords a comprehensive view on the opportunities and challenges involved in transforming IT-enabled RCM. Leveraging these strengths, we review the diverse body of academic literature related to RCM transformation and juxtapose the findings with the prevalent discourse in practitioner publications on RCM. These analyses reveal major gaps between extant theory and the problems faced in practice. In conclusion, we draw on these insights to propose research themes and theoretical lenses that can help bridge the gap between theory and practice.
Journal Article
Moving toward universal coverage of social health insurance in Vietnam
by
Fuenzalida-Puelma, Hernan L
,
Dao, Huong Lan
,
Hurt, Kari L
in
ABILITY TO PAY
,
ACCESS TO HEALTH SERVICES
,
ACCESS TO SERVICES
2014
To address the growth in resultant out-of-pocket (OOP) payments and associated problems of financial barriers to access, the government issued several policies aimed at expanding coverage throughout the 1990s and 2000s, particularly for the poor and other vulnerable groups. Universal coverage (UC) can be an elusive concept and is about three objectives: (a) equity (linking care to need, and not to ability to pay); (b) financial protection (ensuring that health care use does not lead to impoverishment); (c) effective access to a comprehensive set of quality services (ensuring that providers make the right diagnosis and prescribe a treatment that is appropriate and affordable; and (d) to ensure that the financing needed to achieve UC is mobilized in a fiscally sustainable manner, and is used efficiently and equitably. The objective of this report is to assess the implementation of Vietnam social health insurance (SHI) and provide options for moving toward UC, with a view to contributing to the law revision process. It analyzes progress to date on the two major goals of the master plan. The report assesses Vietnam's readiness to meet these goals, the challenges it will face in achieving UC, and key reforms needed to overcome those challenges. It does so through a health financing lens, focusing on how resources are mobilized, pooled, and allocated, and how services are purchased. The report also examines the stewardship of financing that is, the organization, management, and governance of SHI as it has direct implications for achieving UC. The report ends by pulling together the recommendations in the form of an implementation road map.
Factors affecting hospital costs and revenue: integrating expert opinions and literature review
by
Meskarpour Amiri, Mohammad
,
Zalvand, Rostam
,
Mohammadian, Mohammad
in
Attitudes
,
Budgets
,
Classification
2022
PurposeThere is not enough comprehensive evidence on factors affecting hospital costs and revenue (HCR). The main objective of the current study is to identify and classify factors affecting HCR integrating experts' opinions and literature review.Design/methodology/approachFirst, a restricted literature review is conducted to identify the factors affecting HCR. In the second step, the targeted semi-structured interviews are conducted with 15 experts to identify, validate and classify the latent factors.FindingsIn addition to the factors identified through the literature review, 22 new important factors were added by the experts as the determinants of HCR, which were not pointed out in previous studies. The final model presented for the factors affecting HCR contains seven main groups, 22 subgroups and 70 variables.Originality/valueFactors affecting HCR will provide valuable contributions for hospital budgeting, and financial and strategic planning, and they will offer an effective horizon for future research on cost-cutting strategies.
Journal Article