OPERATION MANAGEMENT

Operation Management and Accounting



Operation Management and Accounting

Accounting

Diagnosis Related Groups (DRG) analysis tool

The diagnosis related groups (DRGs) are a patient classification system widely used to know and the hospital case mix. DRGs are useful in the management and financing of hospitals because hospital patients classified into homogeneous groups in terms of resource consumption. Moreover, the analytical laboratories provide management statistics (number of tests carried out by emergency, backgrounds, stationed different periods of time) and very useful for analytical and financial accounting services and hospitals. Since the management of hospitals looks set to cost analysis processes, it seems appropriate to begin to analyze our analytical costs by DRG.

Breakeven Point for DRG Using weighted average contribution margin approach

The newly introduced DRG system in USA implied for those involved in health care institutions a variety of challenges. The focus of the local action of the actors is the patient. He expects to ease his physical discomfort individual high-quality patient care. The polar opposite of these expectations is at the microeconomic level of the hospital, the DRG system. The fixed-price packages to be treated for diseases, defined in the DRGs that reflect the dilemma of hospitals in Germany. Legally prescribed quality outcome for impaired DRG payment reflects the set of legislative challenge to the health facility hospital. In the present publication is a case study of the DRG using the newly developed cost accounting approach to answer the target hospital Costing are economically oriented question on which patients in the hospital, the break-even point for this hospital performance occurs. By definition is laterally inverted the break-even points as of this date the monetary resources consumption evaluated for this health facility is no longer covered by revenue. Desirably placed in one of two hospitals redeeming Evaluation Costs covered structures for the DRG in the context of the performed

DRG break-even point analysis is shown. Based on the insights of the cost structure analysis was generated using the business concept of business re-engineering a quality-and cost-effective standard of care treatment with stored path together with the involved employees? The DRG system can thus these existentially necessary reorganization of the hospitals financially rewarding, if the achieved savings are not misused by the learning feature of this remuneration system for financial recovery of the German health care from the societal perspective.

DRG Promotes advertising Program

Health Promoting Entities, whatever its nature, should establish systems for cost, billing and ...