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Author: Avi Dor Publisher: ISBN: Category : Government publications Languages : en Pages : 24
Book Description
Contract management is an arrangement in which the board of trustees of a hospital retains an outside organization to manage the facility. This report examines differences between contract-managed hospitals and hospitals managed by salaried administrators.The report uses data from the Hospital Cost and Utilization Project, 1980-87 (HCUP-2) database and the American Hospital Association Annual Survey of Hospitals for 1987 to compare contract-managed hospitals with noncontract hospitals. Contract-managed hospitals generally are smaller facilities, often located in rural areas. Adjusted for size and location, contract-managed hospitals resemble noncontract in casemix and physician speciality attributes, although they appear to provide fewer technology-intensive services. Data from HCUP-2 were used to determine the relationship between financial performance and duration of contract management. Financial ratio analysis suggests that boards of trustees of hospitals opt for services of contract-management firms when the hospitals face financial difficulties. Financially stable hospitals are less likely to do so. Given enough time, contract managers appear to be able to improve the financial condition of the hospital they manage