Comparison of the technical efficiency of the hospital sector: Panel data analysis of the Iranian hospitals using parametric and non-parametric approaches

Mohammad Mehdi Kiani, Behzad Raei, Parivash Afradi Asbagharani , Mahmood Yousefi, Seyed Abdolhossein Mousavi Rigi, Marzieh Salehi, Shabnam Mirabi Shiraz

Mohammad Mehdi Kiani
School of Public Health, Tehran University of Medical Sciences, Tehran, Iran

Behzad Raei
School of Public Health, Tehran University of Medical Sciences, Tehran, Iran

Parivash Afradi Asbagharani
Master of Health Services Management, Islamic Azad University, Tehran North Branch, Tehran, Iran. Email: Afradi2013@gmail.com

Mahmood Yousefi
Iranian Center of Excellence in Health Management, School of Management and Medical Informatics, Tabriz University of Medical Sciences, Tabriz, Iran

Seyed Abdolhossein Mousavi Rigi
Ph.D Student health in disaster and emergency Department of Health in Disaster and Emergency, Isfahan University of Medical Sciences, Isfahan, Iran

Marzieh Salehi
School of Management and Medical Informatics, Shiraz University of Medical Sciences, Shiraz, Iran

Shabnam Mirabi Shiraz
School of Health and Nutrition, Tabriz University of Medical Sciences, Tabriz, Iran
Online First: November 05, 2018 | Cite this Article
Kiani, M., Raei, B., Asbagharani, P., Yousefi, M., Rigi, S., Salehi, M., Shiraz, S. 2018. Comparison of the technical efficiency of the hospital sector: Panel data analysis of the Iranian hospitals using parametric and non-parametric approaches. Bali Medical Journal 8(1): 114-119. DOI:10.15562/bmj.v8i1.1242

Objective: to investigate productivity and efficiency linked to the hospitals affiliated Boshehr province before and after the implementation of the HSTP.

Material and Method: this study is a descriptive-analytical kind conducted by applying a panel data for a 5- Year time horizon. The study was carried out on 8 teaching and non-teaching hospitals of Boshehr Province. An input- oriented DEA technique combined with SFA and Malmquist indices were used to estimate the efficiency and productivity changes. Data were analyzed using Excel.22 and DEA-solver learning version 8 Software.

Result:  Our results illustrated that efficiency and technological changes over the study span were -3% and +17%, respectively. As a corollary, Malmquist index has experienced an ongoing trend equaling +14%. In spite of being a progressive trend in technical efficiency based on SFA model,  the technical efficiency of the hospitals examined was not favorable.  

Conclusion: Estimates on the basis of Malmquist index revealed that a 5-year average productivity change was +14%. However, the implementation of health system transformation plan (HSTP) has no statistically significant effect on that. So, there is considerable room for improving technical efficiency or cost containment by way of employing unused capacity or expanding outputs.  

Keyboards: Malmquist index, productivity, DEA and SFA




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