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Management practices in hospitals: A public-private comparison.
1Department of Economics and Finance, CRILDA and IZA, Università Cattolica del Sacro Cuore, Milano, Italy.
Plos One
|February 24, 2023
Summary
Public hospital ownership is linked to poorer management practices, including less effective employee incentives, across seven countries. This study highlights a 10% reduction in management scores for public hospitals compared to private ones.
Area of Science:
- Health Services Management
- Organizational Economics
- Comparative Healthcare Systems
Background:
- Management practices significantly influence healthcare outcomes.
- Public ownership is a prevalent model in many healthcare systems globally.
- Understanding the impact of ownership on hospital management is crucial for efficiency.
Purpose of the Study:
- To assess the effect of public ownership on hospital management practices.
- To compare management dimensions across public and private hospitals internationally.
- To identify factors associated with variations in hospital management.
Main Methods:
- Utilized data from the 2010 World Management Survey.
- Analyzed management practices in 1,183 hospitals across 7 countries.
- Examined dimensions including performance monitoring, target setting, and employee incentives.
Main Results:
- Significant variations in management practices were observed between and within countries.
- Public sector hospitals consistently underperformed compared to private hospitals.
- Larger hospitals demonstrated better management, with no significant difference for teaching hospitals.
Conclusions:
- Public ownership is associated with approximately a 10% lower management score.
- Public hospitals are less efficient in implementing incentive schemes for employees.
- Ownership structure is a key determinant of management quality in healthcare settings.
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