IDEAS home Printed from https://ideas.repec.org/a/ssi/jouesi/v8y2020i2p133-146.html
   My bibliography  Save this article

The efficiency of hospitals: platform for sustainable health care system

Author

Listed:
  • Beata Gavurova

    (Tomas Bata University in Zlín, Czech Republic)

  • Kristina Kocisova

    (Technical University of Košice, Slovakia)

Abstract

Hospitals and other providers of health services are facing enormous pressure to reduce costs while providing better services for patients without lowering their quality. By utilising a two-stage dynamic Data Envelopment Analysis (DEA) approach, we explore whether there is a compromise between the production of services and the quality of services in the process of providing health care at the level of hospitals in Slovakia. While the first stage deals with the production efficiency of the hospitals, the second stage deals with the quality of service using patient-reported safety and satisfaction measures. The efficiency of hospitals in Slovakia is assessed, using hospital-level data from the database of INEKO for the years 2015 and 2018. In order to dynamically analyse the efficiency changes during the analysed period, the Malmquist index was used. The results revealed that overall technical efficiency increased over the analysed period. We can also see an increase within the service production division as well as service quality division. The results obtained represent a significant platform for the creators of health policy at the national level, and for the creators of the strategic regional health plans as a basis of continuous creation of mechanisms that are inevitable for providing a sustainable system of the Slovak health care at the regional level. The global threats of epidemics, such as COVID-19 pandemic, address the question of public health systems’ sustainability, which enormously increases.

Suggested Citation

  • Beata Gavurova & Kristina Kocisova, 2020. "The efficiency of hospitals: platform for sustainable health care system," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 8(2), pages 133-146, December.
  • Handle: RePEc:ssi:jouesi:v:8:y:2020:i:2:p:133-146
    DOI: 10.9770/jesi.2020.8.2(8)
    as

    Download full text from publisher

    File URL: https://jssidoi.org/jesi/uploads/articles/30/Gavurova_The_efficiency_of_hospitals_platform_for_sustainable_health_care_system.pdf
    Download Restriction: no

    File URL: https://jssidoi.org/jesi/article/690
    Download Restriction: no

    File URL: https://libkey.io/10.9770/jesi.2020.8.2(8)?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Rolf Färe & Shawna Grosskopf & Gerald Whittaker, 2014. "Network DEA II," International Series in Operations Research & Management Science, in: Wade D. Cook & Joe Zhu (ed.), Data Envelopment Analysis, edition 127, chapter 0, pages 307-327, Springer.
    2. Chen, Yao & Cook, Wade D. & Zhu, Joe, 2010. "Deriving the DEA frontier for two-stage processes," European Journal of Operational Research, Elsevier, vol. 202(1), pages 138-142, April.
    3. Grembowski, David & Bekemeier, Betty & Conrad, Douglas & Kreuter, William, 2010. "Are local health department expenditures related to racial disparities in mortality?," Social Science & Medicine, Elsevier, vol. 71(12), pages 2057-2065, December.
    4. Tone, Kaoru & Tsutsui, Miki, 2009. "Network DEA: A slacks-based measure approach," European Journal of Operational Research, Elsevier, vol. 197(1), pages 243-252, August.
    5. van Baal, Pieter H. & Wong, Albert, 2012. "Time to death and the forecasting of macro-level health care expenditures: Some further considerations," Journal of Health Economics, Elsevier, vol. 31(6), pages 876-887.
    6. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
    7. Luo, Xueming, 2003. "Evaluating the profitability and marketability efficiency of large banks: An application of data envelopment analysis," Journal of Business Research, Elsevier, vol. 56(8), pages 627-635, August.
    8. Nicky J. Welton & Howard H. Z. Thom, 2015. "Value of Information," Medical Decision Making, , vol. 35(5), pages 564-566, July.
    9. Yasar A. Ozcan, 2014. "Evaluation of Performance in Health Care," International Series in Operations Research & Management Science, in: Health Care Benchmarking and Performance Evaluation, edition 2, chapter 0, pages 3-14, Springer.
    10. Karlsberg Schaffer, Sarah & Sussex, Jon & Devlin, Nancy & Walker, Andrew, 2015. "Local health care expenditure plans and their opportunity costs," Health Policy, Elsevier, vol. 119(9), pages 1237-1244.
    11. Paweł Prędkiewicz & Agnieszka Bem & Paulina Ucieklak-Jeż & Rafał Siedlecki, 2019. "Public or Private? Which Source of Financing Helps to Achieve Higher Health System Efficiency?," Springer Proceedings in Business and Economics, in: Krzysztof Jajuga & Hermann Locarek-Junge & Lucjan T. Orłowski & Karsten Staehr (ed.), Contemporary Trends and Challenges in Finance, pages 191-199, Springer.
    12. Jacobs,Rowena & Smith,Peter C. & Street,Andrew, 2006. "Measuring Efficiency in Health Care," Cambridge Books, Cambridge University Press, number 9780521851442.
    13. Paulina Ucieklak-Jeż & Agnieszka Bem & Rafał Siedlecki & Paweł Prędkiewicz, 2018. "Concentration of Hospital Infrastructural Resources as a Source of Inequalities in Access to Health Care Benefits in Poland," Springer Proceedings in Business and Economics, in: Agnieszka Bem & Karolina Daszyńska-Żygadło & Taťána Hajdíková & Péter Juhász (ed.), Finance and Sustainability, pages 1-10, Springer.
    14. Chiang Kao, 2017. "Network Data Envelopment Analysis," International Series in Operations Research and Management Science, Springer, number 978-3-319-31718-2, September.
    15. Silvia Megyesiova & Vanda Lieskovska, 2018. "Analysis of the Sustainable Development Indicators in the OECD Countries," Sustainability, MDPI, vol. 10(12), pages 1-22, December.
    16. Yasar A. Ozcan, 2014. "Health Care Benchmarking and Performance Evaluation," International Series in Operations Research and Management Science, Springer, edition 2, number 978-1-4899-7472-3, September.
    17. Yasar A. Ozcan, 2014. "Advanced DEA Models," International Series in Operations Research & Management Science, in: Health Care Benchmarking and Performance Evaluation, edition 2, chapter 0, pages 121-137, Springer.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Iveta Vrabková & Sabrina Lee, 2023. "Approximating the influence of external factors on the technical efficiency score of hospital care: evidence from the federal states of Germany," Health Economics Review, Springer, vol. 13(1), pages 1-14, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zhang, Linyan & Chen, Kun, 2019. "Hierarchical network systems: An application to high-technology industry in China," Omega, Elsevier, vol. 82(C), pages 118-131.
    2. Kao, Chiang, 2014. "Network data envelopment analysis: A review," European Journal of Operational Research, Elsevier, vol. 239(1), pages 1-16.
    3. Tavakoli, Ibrahim M. & Mostafaee, Amin, 2019. "Free disposal hull efficiency scores of units with network structures," European Journal of Operational Research, Elsevier, vol. 277(3), pages 1027-1036.
    4. Khushalani, Jaya & Ozcan, Yasar A., 2017. "Are hospitals producing quality care efficiently? An analysis using Dynamic Network Data Envelopment Analysis (DEA)," Socio-Economic Planning Sciences, Elsevier, vol. 60(C), pages 15-23.
    5. Xiao, Huijuan & Wang, Daoping & Qi, Yu & Shao, Shuai & Zhou, Ya & Shan, Yuli, 2021. "The governance-production nexus of eco-efficiency in Chinese resource-based cities: A two-stage network DEA approach," Energy Economics, Elsevier, vol. 101(C).
    6. Lu, Wen-Min & Liu, John S. & Kweh, Qian Long & Wang, Chung-Wei, 2016. "Exploring the benchmarks of the Taiwanese investment trust corporations: Management and investment efficiency perspectives," European Journal of Operational Research, Elsevier, vol. 248(2), pages 607-618.
    7. Kao, Chiang, 2019. "Inefficiency identification for closed series production systems," European Journal of Operational Research, Elsevier, vol. 275(2), pages 599-607.
    8. Kao, Chiang, 2017. "Efficiency measurement and frontier projection identification for general two-stage systems in data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 261(2), pages 679-689.
    9. Simona Cohen-Kadosh & Zilla Sinuany-Stern, 2020. "Hip fracture surgery efficiency in Israeli hospitals via a network data envelopment analysis," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 28(1), pages 251-277, March.
    10. Yasar A. Ozcan & Jaya Khushalani, 2017. "Assessing efficiency of public health and medical care provision in OECD countries after a decade of reform," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 25(2), pages 325-343, June.
    11. Kao, Chiang, 2020. "Decomposition of slacks-based efficiency measures in network data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 283(2), pages 588-600.
    12. Tatiana Bencova & Andrea Bohacikova, 2022. "DEA in Performance Measurement of Two-Stage Processes: Comparative Overview of the Literature," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 5, pages 111-129.
    13. Suvvari Anandarao & S. Raja Sethu Durai & Phanindra Goyari, 2019. "Efficiency Decomposition in two-stage Data Envelopment Analysis: An application to Life Insurance companies in India," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 17(2), pages 271-285, June.
    14. Victor John M. Cantor & Kim Leng Poh, 2020. "Efficiency measurement for general network systems: a slacks-based measure model," Journal of Productivity Analysis, Springer, vol. 54(1), pages 43-57, August.
    15. Jingjing Ding & Chenpeng Feng & Gongbing Bi & Liang Liang & M. Khan, 2015. "Cone ratio models with shared resources and nontransparent allocation parameters in network DEA," Journal of Productivity Analysis, Springer, vol. 44(2), pages 137-155, October.
    16. Sebastian Kohl & Jan Schoenfelder & Andreas Fügener & Jens O. Brunner, 2019. "The use of Data Envelopment Analysis (DEA) in healthcare with a focus on hospitals," Health Care Management Science, Springer, vol. 22(2), pages 245-286, June.
    17. Lin, Tzu-Yu & Chiu, Sheng-Hsiung, 2013. "Using independent component analysis and network DEA to improve bank performance evaluation," Economic Modelling, Elsevier, vol. 32(C), pages 608-616.
    18. Kristína Kočišová & Jakub Sopko, 2020. "The Efficiency of Public Health and Medical Care Systems in EU Countries: Dynamic Network Data Envelopment Analysis," Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis, Mendel University Press, vol. 68(2), pages 383-394.
    19. Ronald G. McGarvey & Andreas Thorsen & Maggie L. Thorsen & Rohith Madhi Reddy, 2019. "Measuring efficiency of community health centers: a multi-model approach considering quality of care and heterogeneous operating environments," Health Care Management Science, Springer, vol. 22(3), pages 489-511, September.
    20. Fukuyama, Hirofumi & Mirdehghan, S.M., 2012. "Identifying the efficiency status in network DEA," European Journal of Operational Research, Elsevier, vol. 220(1), pages 85-92.

    More about this item

    Keywords

    two-stage dynamic DEA; service production division; service quality division; hospitals; Slovakia;
    All these keywords.

    JEL classification:

    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ssi:jouesi:v:8:y:2020:i:2:p:133-146. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Manuela Tvaronaviciene (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.