IDEAS home Printed from https://ideas.repec.org/a/eee/hepoli/v92y2009i2-3p296-304.html
   My bibliography  Save this article

Time-driven activity-based costing in an outpatient clinic environment: Development, relevance and managerial impact

Author

Listed:
  • Demeere, Nathalie
  • Stouthuysen, Kristof
  • Roodhooft, Filip

Abstract

Healthcare managers are continuously urged to provide better patient services at a lower cost. To cope with these cost pressures, healthcare management needs to improve its understanding of the relevant cost drivers. Through a case study, we show how to perform a time-driven activity-based costing of five outpatient clinic's departments and provide evidence of the benefits of such an analysis.

Suggested Citation

  • Demeere, Nathalie & Stouthuysen, Kristof & Roodhooft, Filip, 2009. "Time-driven activity-based costing in an outpatient clinic environment: Development, relevance and managerial impact," Health Policy, Elsevier, vol. 92(2-3), pages 296-304, October.
    • Handle: RePEc:eee:hepoli:v:92:y:2009:i:2-3:p:296-304
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0168-8510(09)00131-6
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Eldenburg, Leslie & Kallapur, Sanjay, 1997. "Changes in hospital service mix and cost allocations in response to changes in Medicare reimbursement schemes," Journal of Accounting and Economics, Elsevier, vol. 23(1), pages 31-51, May.
    2. Cardinaels, Eddy & Roodhooft, Filip & Herck, Gustaaf van, 2004. "Drivers of cost system development in hospitals: results of a survey," Health Policy, Elsevier, vol. 69(2), pages 239-252, August.
    3. Christopher D. Ittner & William N. Lanen & David F. Larcker, 2002. "The Association Between Activity‐Based Costing and Manufacturing Performance," Journal of Accounting Research, Wiley Blackwell, vol. 40(3), pages 711-726, June.
    4. Everaert, Patricia & Bruggeman, Werner & De Creus, Gertjan, 2008. "Sanac Inc.: From ABC to time-driven ABC (TDABC) – An instructional case," Journal of Accounting Education, Elsevier, vol. 26(3), pages 118-154.
    5. Naranjo-Gil, David & Hartmann, Frank, 2007. "How CEOs use management information systems for strategy implementation in hospitals," Health Policy, Elsevier, vol. 81(1), pages 29-41, April.
    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. Mirjana Todorović & Milan Čupić & Dejan Jovanović, 2022. "Sustainable Lean Implementation: A Study Of Serbian Companies," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 67(234), pages 81-108, July – Se.
    2. Véronique Nabelsi & Véronique Plouffe, 2019. "Breast cancer treatment pathway improvement using time‐driven activity‐based costing," International Journal of Health Planning and Management, Wiley Blackwell, vol. 34(4), pages 1736-1746, October.
    3. Wen-Hsien Tsai, 2018. "A Green Quality Management Decision Model with Carbon Tax and Capacity Expansion under Activity-Based Costing (ABC)—A Case Study in the Tire Manufacturing Industry," Energies, MDPI, vol. 11(7), pages 1-30, July.
    4. Wouters, Marc & Stecher, Julia, 2017. "Development of real-time product cost measurement: A case study in a medium-sized manufacturing company," International Journal of Production Economics, Elsevier, vol. 183(PA), pages 235-244.
    5. Silvia Pilonato & Antonella Cugini, 2016. "Peculiarit? e potenzialit? della misurazione dei costi nella diagnostica per immagini," MECOSAN, FrancoAngeli Editore, vol. 2016(98), pages 105-123.
    6. Maria Isabel Pedro & Joao Cancio Martins & José António Filipe, 2018. "Competing globally with cost accounting: a case study," International Journal of Finance, Insurance and Risk Management, International Journal of Finance, Insurance and Risk Management, vol. 8(2), pages 1412-1412.
    7. Stefanini, Alessandro & Aloini, Davide & Benevento, Elisabetta & Dulmin, Riccardo & Mininno, Valeria, 2020. "A data-driven methodology for supporting resource planning of health services," Socio-Economic Planning Sciences, Elsevier, vol. 70(C).
    8. Keel, George & Savage, Carl & Rafiq, Muhammad & Mazzocato, Pamela, 2017. "Time-driven activity-based costing in health care: A systematic review of the literature," Health Policy, Elsevier, vol. 121(7), pages 755-763.
    9. Vogl, Matthias, 2013. "Improving patient-level costing in the English and the German ‘DRG’ system," Health Policy, Elsevier, vol. 109(3), pages 290-300.
    10. Luca Del Bene & Antonello De Vito & Carlo Milli & Fabio Guarracino, 2018. "L?introduzione di un sistema di prezzi di trasferimento. Il caso dell?Azienda Ospedaliero-Universitaria Pisana," MANAGEMENT CONTROL, FrancoAngeli Editore, vol. 2018(2), pages 35-60.
    11. Wen-Hsien Tsai & Jui-Chu Chang & Chu-Lun Hsieh & Tsen-Shu Tsaur & Chung-Wei Wang, 2016. "Sustainability Concept in Decision-Making: Carbon Tax Consideration for Joint Product Mix Decision," Sustainability, MDPI, vol. 8(12), pages 1-22, November.
    12. Karl Schuhmacher & Michael Burkert, 2022. "Time Is Relative: How Framing of Time Estimation Affects the Accuracy of Cost Information," Management Science, INFORMS, vol. 68(7), pages 5493-5513, July.
    13. Mahdi Javid & Mohammad Hadian & Hossein Ghaderi & Shahram Ghaffari & Masoud Salehi, 2016. "Application of the Activity-Based Costing Method for Unit-Cost Calculation in a Hospital," Global Journal of Health Science, Canadian Center of Science and Education, vol. 8(1), pages 165-165, January.
    14. Wen-Hsien Tsai & Shang-Yu Lai & Chu-Lun Hsieh, 2023. "Exploring the impact of different carbon emission cost models on corporate profitability," Annals of Operations Research, Springer, vol. 322(1), pages 41-74, March.
    15. Zuzana Špacírová & David Epstein & Leticia García-Mochón & Joan Rovira & Antonio Olry de Labry Lima & Jaime Espín, 2020. "A general framework for classifying costing methods for economic evaluation of health care," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 21(4), pages 529-542, June.
    16. Maussen, Sophie & Cardinaels, Eddy & Hoozée, Sophie, 2024. "Costing system design and honesty in managerial reporting: An experimental examination of multi-agent budget and capacity reporting," Accounting, Organizations and Society, Elsevier, vol. 112(C).
    17. Tarzibashi Omar Fikrat Fateh & Ozyapici Hasan, 2019. "The Impact of the Magnitude of Overhead Costs on the Difference Between ABC and TDABC Systems," Foundations of Management, Sciendo, vol. 11(1), pages 81-92, January.
    18. Cristina Campanale & Lino Cinquini & Andrea Tenucci, 2014. "Il Time-Driven Activity-Based Costing per la gestione dei costi in logica di spending review: riflessioni da un caso di azienda ospedaliera," MECOSAN, FrancoAngeli Editore, vol. 2014(91), pages 9-42.
    19. Helge Hollmeyer & Jonas Schreyögg & Ulrich Wahn & Doris Staab, 2011. "Staff costs of hospital-based outpatient care of patients with cystic fibrosis," Health Economics Review, Springer, vol. 1(1), pages 1-8, December.
    20. Grégoire Mercier & Gérald Naro, 2014. "Costing Hospital Surgery Services: The Method Matters," Post-Print hal-01829947, HAL.
    21. Hamide Ozyurek & Yakup Uluturk, 2016. "Flexible budgeting under time-driven activity based cost as a tool in management accounting: Application in educational institution," Journal of Administrative and Business Studies, Professor Dr. Usman Raja, vol. 2(2), pages 64-70.

    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. Eddy Cardinaels & Naomi Soderstrom, 2013. "Managing in a Complex World: Accounting and Governance Choices in Hospitals," European Accounting Review, Taylor & Francis Journals, vol. 22(4), pages 647-684, December.
    2. Cardinaels, Eddy & Roodhooft, Filip & Herck, Gustaaf van, 2004. "Drivers of cost system development in hospitals: results of a survey," Health Policy, Elsevier, vol. 69(2), pages 239-252, August.
    3. Pizzini, Mina J., 2006. "The relation between cost-system design, managers' evaluations of the relevance and usefulness of cost data, and financial performance: an empirical study of US hospitals," Accounting, Organizations and Society, Elsevier, vol. 31(2), pages 179-210, February.
    4. Maik Lachmann & Rouven Trapp & Felix Wenger, 2016. "Performance Measurement and Compensation Practices in Hospitals: An Empirical Analysis in Consideration of Ownership Types," European Accounting Review, Taylor & Francis Journals, vol. 25(4), pages 661-686, October.
    5. Jana Fibírová, 2008. "The Competitive Advantage of Management Accounting [Konkurenční výhoda manažerského účetnictví]," Český finanční a účetní časopis, Prague University of Economics and Business, vol. 2008(2), pages 78-90.
    6. Atef Aqeel Al-Bawab & Hani Al-Rawashdeh, 2016. "The Impact of the Activity Based Costing System (A.B.C.) in the Pricing of Services Banks in the Jordanian commercial Banks: A Field Study," International Business Research, Canadian Center of Science and Education, vol. 9(4), pages 1-10, April.
    7. Karim Charaf & Ahmed Fath-Allah Rahmouni & Mohamed Sabar, 2022. "The Association Between Activity-Based Costing And Performance: Empirical Evidence From Moroccan Companies," Journal of Accounting and Management Information Systems, Faculty of Accounting and Management Information Systems, The Bucharest University of Economic Studies, vol. 21(1), pages 25-50, March.
    8. Malcolm J. Beynon & Margaret Heffernan & Aoife M. McDermott, 2012. "Psychological Contracts And Job Satisfaction: Clustering Analysis Using Evidential C‐Means And Comparison With Other Techniques," Intelligent Systems in Accounting, Finance and Management, John Wiley & Sons, Ltd., vol. 19(4), pages 247-273, October.
    9. Maiga, Adam S., 2014. "Assessing self-selection and endogeneity issues in the relation between activity-based costing and performance," Advances in accounting, Elsevier, vol. 30(2), pages 251-262.
    10. Schoute, Martijn, 2011. "The relationship between product diversity, usage of advanced manufacturing technologies and activity-based costing adoption," The British Accounting Review, Elsevier, vol. 43(2), pages 120-134.
    11. Jana Pokorná, 2016. "Impact of Activity-Based Costing on Financial Performance in the Czech Republic," Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis, Mendel University Press, vol. 64(2), pages 643-652.
    12. Koreff, Jared & Weisner, Martin & Sutton, Steve G., 2021. "Data analytics (ab) use in healthcare fraud audits," International Journal of Accounting Information Systems, Elsevier, vol. 42(C).
    13. Machiel Westerdijk & Joost Zuurbier & Martijn Ludwig & Sarah Prins, 2012. "Defining care products to finance health care in the Netherlands," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 13(2), pages 203-221, April.
    14. Michael K. Chapko & Chuan‐Fen Liu & Mark Perkins & Yu‐Fang Li & John C. Fortney & Matthew L. Maciejewski, 2009. "Equivalence of two healthcare costing methods: bottom‐up and top‐down," Health Economics, John Wiley & Sons, Ltd., vol. 18(10), pages 1188-1201, October.
    15. Su, Sophia & Baird, Kevin & Phan, Thanh, 2024. "The association between ethical leadership and environmental activity management: The mediating role of employee environmental empowerment," Advances in accounting, Elsevier, vol. 65(C).
    16. Banker, Rajiv D. & Bardhan, Indranil R. & Chen, Tai-Yuan, 2008. "The role of manufacturing practices in mediating the impact of activity-based costing on plant performance," Accounting, Organizations and Society, Elsevier, vol. 33(1), pages 1-19, January.
    17. Alexander Himme, 2012. "Critical success factors of strategic cost reduction," Metrika: International Journal for Theoretical and Applied Statistics, Springer, vol. 23(3), pages 183-210, December.
    18. Vogl, Matthias, 2013. "Improving patient-level costing in the English and the German ‘DRG’ system," Health Policy, Elsevier, vol. 109(3), pages 290-300.
    19. Nikolaos Eriotis & Filippos Stamatiadis & Dimitrios Vasiliou, 2011. "Assessing Accrual Accounting Reform in Greek Public Hospitals: An Empirical Investigation," International Journal of Business and Economic Sciences Applied Research (IJBESAR), Democritus University of Thrace (DUTH), Kavala Campus, Greece, vol. 4(1), pages 153-184, March.
    20. Hadid, Wael & Hamdan, Mohammed, 2022. "Firm size and cost system sophistication: The role of firm age," The British Accounting Review, Elsevier, vol. 54(2).

    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:eee:hepoli:v:92:y:2009:i:2-3:p:296-304. 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: Catherine Liu or the person in charge (email available below). General contact details of provider: http://www.elsevier.com/locate/healthpol .

    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.