TY - JOUR
T1 - Multifactor efficiency in Data Envelopment Analysis with an application to urban hospitals
AU - O'Neill, Liam
N1 - Funding Information:
∗The author wishes to acknowledge the helpful comments of Professor John Semple (Southern Methodist University) and Chris Calkins (Health Care Marketing Analysis Systems) and the anonymous reviewers. The author, of course, is solely reponsible for any errors or omissions. ∗∗This research was supported in part by funds from the McKinley Foun-dation and the Smeal College of Business.
PY - 1998
Y1 - 1998
N2 - A perennial difficulty in measuring hospital efficiency, and one with important policy implications, is how to compare teaching versus non-teaching hospitals. This problem reflects a broader methodological concern in Data Envelopment Analysis (DEA), which is the comparison of specialist and non-specialist Decision-Making Units (DMUs). This paper presents a new performance measure in DEA, termed multifactor efficiency, which represents an average partial factor productivity index summed over all output-input ratios. We apply this technique to measure the performance of 27 large, urban hospitals, including 13 teaching hospitals. These results were reviewed and validated by a panel of health care experts, and multifactor efficiency was shown to offer several benefits that enhance and complement existing performance measures in DEA.
AB - A perennial difficulty in measuring hospital efficiency, and one with important policy implications, is how to compare teaching versus non-teaching hospitals. This problem reflects a broader methodological concern in Data Envelopment Analysis (DEA), which is the comparison of specialist and non-specialist Decision-Making Units (DMUs). This paper presents a new performance measure in DEA, termed multifactor efficiency, which represents an average partial factor productivity index summed over all output-input ratios. We apply this technique to measure the performance of 27 large, urban hospitals, including 13 teaching hospitals. These results were reviewed and validated by a panel of health care experts, and multifactor efficiency was shown to offer several benefits that enhance and complement existing performance measures in DEA.
UR - http://www.scopus.com/inward/record.url?scp=0032148837&partnerID=8YFLogxK
U2 - 10.1023/A:1019030215768
DO - 10.1023/A:1019030215768
M3 - Article
C2 - 10916581
AN - SCOPUS:0032148837
VL - 1
SP - 19
EP - 27
JO - Health Care Management Science
JF - Health Care Management Science
SN - 1386-9620
IS - 1
ER -