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Effectiveness Dimension of Performance

In: Health Care Benchmarking and Performance Evaluation

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  • Yasar A. Ozcan

    (Virginia Commonwealth University)

Abstract

The two components of health care facility performance, efficiency and effectiveness (quality), were introduced in Chap. 1. In this chapter, a closer examination of the effectiveness component is provided. Sherman and Zhu (2006) introduce quality-adjusted DEA applied to bank branches. In this discussion, they incorporate quality into DEA benchmarking in two different models. The first model adds a quality variable as an additional output into the standard DEA model. They demonstrate that, using this approach, the model may exhibit a quality/efficiency tradeoff. Of course in health care, managers would not welcome such a tradeoff sacrificing quality for efficiency. The second approach, which avoids such tradeoffs, is an evaluation of quality and efficiency independently. Using the hospital example, we illustrate these concepts below.

Suggested Citation

  • Yasar A. Ozcan, 2014. "Effectiveness Dimension of Performance," International Series in Operations Research & Management Science, in: Health Care Benchmarking and Performance Evaluation, edition 2, chapter 0, pages 109-119, Springer.
    • Handle: RePEc:spr:isochp:978-1-4899-7472-3_7
    DOI: 10.1007/978-1-4899-7472-3_7
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