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Identification and ranking of specific balanced scorecard performance measures for hospitals: A case study of private hospitals in the Klang Valley area, Malaysia

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  • Farshad Behrouzi
  • Azanizawati Ma'aram

Abstract

Performance measurement is a necessity for private hospitals as they need to be efficient, attract customers, increase profitability, and survive in the competitive environment of the health care industry. Hospitals typically struggle to identify appropriate performance measures because of lack of reliable source of performance measures for private hospitals. Despite numerous studies on performance measurement, few studies have focused on performance measures in private hospitals. This paper aims to fill that gap by identifying and ranking a specific set of performance measures that are feasible and relevant for private hospitals. Forty‐four health care performance measures in four balanced scorecard (BSC) performance perspectives (financial, customer, internal business processes, and learning and growth) were compiled and filtered based on “feasibility” and “relevance” criteria using a questionnaire survey in private hospitals in the Klang Valley area, Malaysia. Since all collected data were in numeric format, data analysis was performed quantitatively. Consequently, 31 BSC performance measures were identified for private hospitals. Next, the 31 performance measures went through a ranking survey in Klang Valley private hospitals. Therefore, a weight between 0 and 1 with a range of 0.095 to 0.207 was obtained for each performance measure to help hospitals quantify their overall performance more accurately.

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  • Farshad Behrouzi & Azanizawati Ma'aram, 2019. "Identification and ranking of specific balanced scorecard performance measures for hospitals: A case study of private hospitals in the Klang Valley area, Malaysia," International Journal of Health Planning and Management, Wiley Blackwell, vol. 34(4), pages 1364-1376, October.
    • Handle: RePEc:bla:ijhplm:v:34:y:2019:i:4:p:1364-1376
    DOI: 10.1002/hpm.2799
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    References listed on IDEAS

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    1. Bruce Gurd & Tian Gao, 2008. "Lives in the balance: an analysis of the balanced scorecard (BSC) in healthcare organizations," International Journal of Productivity and Performance Management, Emerald Group Publishing Limited, vol. 57(1), pages 6-21, January.
    2. Berg, Marc & Meijerink, Yvonne & Gras, Marit & Goossensen, Anne & Schellekens, Wim & Haeck, Jan & Kallewaard, Marjon & Kingma, Herre, 2005. "Feasibility first: Developing public performance indicators on patient safety and clinical effectiveness for Dutch hospitals," Health Policy, Elsevier, vol. 75(1), pages 59-73, December.
    3. El-Jardali, Fadi & Saleh, Shadi & Ataya, Nour & Jamal, Diana, 2011. "Design, implementation and scaling up of the balanced scorecard for hospitals in Lebanon: Policy coherence and application lessons for low and middle income countries," Health Policy, Elsevier, vol. 103(2), pages 305-314.
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    1. Chieh-Yu Lin & Fu-Chiang Shih & Yi-Hui Ho, 2023. "Applying the Balanced Scorecard to Build Service Performance Measurements of Medical Institutions: An AHP-DEMATEL Approach," IJERPH, MDPI, vol. 20(2), pages 1-17, January.

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