Association between hospital conversions to for-profit status and clinical and economic outcomes.

IMPORTANCE: An increasing number of hospitals have converted to for-profit status, prompting concerns that these hospitals will focus on payer mix and profits, avoiding disadvantaged patients and paying less attention to quality of care. OBJECTIVE: To examine characteristics of US acute care hospitals associated with conversion to for-profit status and changes following conversion. DESIGN, SETTING, AND PARTICIPANTS: Retrospective cohort study conducted among 237 converting hospitals and 631 matched control hospitals. Participants were 1,843,764 Medicare fee-for-service beneficiaries at converting hospitals and 4,828,138 at control hospitals. EXPOSURES: Conversion to for-profit status, 2003-2010. MAIN OUTCOMES AND MEASURES: Financial performance measures, quality process measures, mortality rates, Medicare volume, and patient population for the 2 years prior and the 2 years after conversion, excluding the conversion year, assessed using difference-in-difference models. RESULTS: Hospitals that converted to for-profit status were more often small or medium in size, located in the south, in an urban or suburban location, and were less often teaching institutions. Converting hospitals improved their total margins (ratio of net income to net revenue plus other income) more than controls (2.2% vs 0.4% improvement; difference in differences, 1.8% [ 95% CI, 0.5% to 3.1%]; P = .007). Converting hospitals and controls both improved their process quality metrics (6.0% vs 5.6%; difference in differences, 0.4% [95% CI, -1.1% to 2.0%]; P = .59). Mortality rates did not change at converting hospitals relative to controls for Medicare patients overall (increase of 0.1% vs 0.2%; difference in differences, -0.2% [95% CI, -0.5% to 0.2%], P = .42) or for dual-eligible or disabled patients. There was no change in converting hospitals relative to controls in annual Medicare volume (-111 vs -74 patients; difference in differences, -37 [95% CI, -224 to 150]; P = .70), Disproportionate Share Hospital Index (1.7% vs 0.4%; difference in differences, 1.3% [95% CI, -0.9% to 3.4%], P = .26), the proportion of patients with Medicaid (-0.2% vs 0.4%; difference in differences, -0.6% [95% CI, -2.0% to 0.8%]; P = .38) or the proportion of patients who were black (-0.4% vs -0.1%; difference in differences, -0.3% [95% CI, -1.9% to 1.3%]; P = .72) or Hispanic (0.1% vs -0.1%; difference in differences, 0.2% [95% CI, -0.3% to 0.7%]; P = .50). CONCLUSIONS AND RELEVANCE: Hospital conversion to for-profit status was associated with improvements in financial margins but not associated with differences in quality or mortality rates or with the proportion of poor or minority patients receiving care.

Educação continuada: concepção de enfermeiros em hospital filantrópico de alta complexidade / Continuing education as conceived by nurses in a high-complexity philanthropic hospital / Educación continua: concepción de enfermeros en hospital filantrópico de alta complejidad

Ações educativas fazem parte do processo de trabalho do enfermeiro, e neste sentido o objetivo deste artigo foi identificar a concepção dos enfermeiros sobre educação continuada. Trata-se de uma pesquisa descritiva, na abordagem qualitativa, realizada entre os meses de junho e agosto de 2011, em hospital filantrópico de alta complexidade, localizado no norte do Paraná. Os participantes da pesquisa foram 18 enfermeiros de diferentes setores e turnos, selecionados por meio de sorteio e que possuíam vínculo com a instituição há pelo menos um ano. Os resultados mostraram que há confusão na diferença entre educação continuada e permanente entre os enfermeiros da instituição. É necessária maior comunicação entre enfermeiros do setor de educação continuada e enfermeiros das unidades, no sentido de discutirem melhor o assunto e definirem, junto com os gestores, assuntos inerentes à educação continuada e alternativas para se utilizar a educação permanente como estratégia de gestão.

Educational activities are part of the nursing work process. In that regard, this paper aimed to identify how nurses conceived continuing education. This qualitative, descriptive study was conducted in June and August 2011 at a high-complexity philanthropic hospital in northern Paraná State. The participants, selected by lot, were 18 nurses from different sectors and shifts, who had been with the institution for at least one year. The results showed that the nurses confuse continuing and permanent education. Better communication is needed between nurses of the continuing education sector and nurses on the wards, to discuss the matter further and, together with the managers, define issues in continuing education and ways of using permanent education as a management strategy.

Las actividades educativas son parte del proceso de trabajo de enfermería, y en este sentido el objetivo de este trabajo fue identificar el concepto de educación continua por los enfermeros. Se trata de una pesquisa descriptiva, con enfoque cualitativo, hecha entre junio y agosto de 2011, en hospital filantrópico de alta complejidad, que se encuentra en el norte de Paraná-Brasil. Los participantes fueron 18 enfermeros de diferentes sectores y turnos, seleccionados por sorteo, y que tenían vínculo con la institución por lo menos durante un año. Los resultados mostraron que hay una confusión sobre la diferencia entre la educación continua y permanente entre los enfermeros. Es necesaria una mejor comunicación entre los sectores de educación continua de enfermería y enfermeros, para discutir el asunto y definir, junto con los gerentes, las cuestiones relativas a la educación y las alternativas para usarla educación permanente como estrategia de gestión.

The relationship between transformational leadership and social capital in hospitals--a survey of medical directors of all German hospitals.

CONTEXT: The German hospital market has been undergoing major changes in recent years. Success in this new market is determined by a multitude of factors. One is the quality of the social relationships between staff and the presence of shared values and rules. This factor can be considered an organization's "social capital." OBJECTIVE: This study investigates the relationship between social capital and leadership style in German hospitals using a written survey of medical directors. DESIGN AND SETTING: In 2008, a cross-sectional representative study was conducted with 1224 medical directors from every hospital in Germany with at least 1 internal medicine unit and 1 surgery unit. Among the scales included in the standardized questionnaire were scales used to assess the medical directors' evaluation of social capital and transformational leadership in the hospital. We used a multiple linear regression model to examine the relationship between social capital and internal coordination. We controlled for hospital ownership, teaching status, and number of beds. PARTICIPANTS: In total, we received questionnaires from 551 medical directors, resulting in a response rate of 45.2%. The participating hospitals had an average of 345 beds. The sample included public (41.3%), not-for-profit (46.9%), and for-profit (11.7%) hospitals. RESULTS: The data, which exclusively represent the perceptions of the medical directors, indicate a significant correlation between a transformational leadership style of the executive management and the social capital as perceived by medical directors. A transformational leadership style of the executive management accounted for 36% of variance of the perceived social capital. CONCLUSION: The perceived social capital in German hospitals is closely related to the leadership style of the executive management. A transformational leadership style of the executive management appears to successfully strengthen the hospital's social capital.

Hospital ownership and efficiency: a review of studies with particular focus on Germany.

The German hospital market has been subject over the past two decades to a variety of healthcare reforms. Particularly the introduction of diagnosis-related groups (DRGs) in 2004 aimed to increase efficiency of hospitals. The objective of the paper is to review recent studies comparing the efficiency of German public, private non-profit and private for-profit hospitals. The results of the studies are quite mixed. However, in line with the evidence found in studies from other countries, especially the US, the evidence from Germany suggests that private ownership (i.e., private non-profit and private for-profit) is not necessarily associated with higher efficiency compared to public ownership. This may be a surprising result to many policy makers as private for-profit hospitals are often perceived the most efficient ownership type by the public.

Provider diversity in the English NHS: a study of recent developments in four local health economies.

OBJECTIVES: To assess the impact of provider diversity on quality and innovation in the English NHS by mapping the extent of diverse provider activity and identifying the differences in performance between Third Sector Organisations (TSOs), for-profit private enterprises, and incumbent organizations within the NHS, and the factors that affect the entry and growth of new providers. METHODS: Case studies of four local health economies. Data included: semi-structured interviews with 48 managerial and clinical staff from NHS organizations and providers from the private and third sector; some documentary evidence; a focus group with service users; and routine data from the Care Quality Commission and Companies House. Data collection was mainly between November 2008 and November 2009. RESULTS: Involvement of diverse providers in the NHS is limited. Commissioners' local strategies influence degrees of diversity. Barriers to entry for TSOs include lack of economies of scale in the bidding process. Private providers have greater concern to improve patient pathways and patient experience, whereas TSOs deliver quality improvements by using a more holistic approach and a greater degree of community involvement. Entry of new providers drives NHS trusts to respond by making improvements. Information sharing diminishes as competition intensifies. CONCLUSIONS: There is scope to increase the participation of diverse providers in the NHS but care must be taken not to damage public accountability, overall productivity, equity and NHS providers (especially acute hospitals, which are likely to remain in the NHS) in the process.

Suitability of three indicators measuring the quality of coordination within hospitals.

BACKGROUND: Coordination within hospitals is a major attribute of medical care and influences quality of care. This study tested the validity of 3 indicators covering two key aspects of coordination: the transfer of written information between professionals (medical record content, radiology exam order) and the holding of multidisciplinary team meetings during treatment planning. METHODS: The study was supervised by the French health authorities (COMPAQH project). Data for the three indicators were collected in a panel of 30 to 60 volunteer hospitals by 6 Clinical Research Assistants. The metrological qualities of the indicators were assessed: (i) Feasibility was assessed using a grid of 19 potential problems, (ii) Inter-observer reliability was given by the kappa coefficient () and internal consistency by Cronbach's alpha test, (iii) Discriminatory power was given by an analysis of inter-hospital variability using the Gini coefficient as a measure of dispersion. RESULTS: Overall, 19281 data items were collected and analyzed. All three indicators presented acceptable feasibility and reliability (, 0.59 to 0.97) and showed wide differences among hospitals (Gini, 0.08 to 0.11), indicating that they are suitable for making comparisons among hospitals. CONCLUSION: This set of 3 indicators provides a proxy measurement of coordination. Further research on the indicators is needed to find out how they can generate a learning process. The medical record indicator has been included in the French national accreditation procedure for healthcare organisations. The two other indicators are currently being assessed for inclusion.

The internal processes and behavioral dynamics of hospital boards: an exploration of differences between high- and low-performing hospitals.

BACKGROUND: Nonprofit hospital boards are under increasing pressure to improve financial, clinical, and charitable and community benefit performance. Most research on board effectiveness focuses on variables measuring board structure and attributes associated with competing ideal models of board roles. However, the results do not provide clear evidence that one role is superior to another and suggest that in practice boards pursue hybrid roles. Board dynamics and processes have received less attention from researchers, but emerging theoretical frameworks highlight them as key to effective corporate governance. PURPOSE: We explored differences in board processes and behavioral dynamics between financially high- and low-performing hospitals, with the goal of developing a better understanding of the best board practices in nonprofit hospitals. METHODOLOGY/APPROACH: A comparative case study approach allowed for in-depth, qualitative assessments of how the internal workings of boards differ between low- and high-performing facilities. FINDINGS: Boards of hospitals with strong financial performance exhibited behavioral dynamics and internal processes that differed in important ways from those of hospitals with poor financial performance. PRACTICE IMPLICATIONS: Boards need to actively attend to key processes and foster positive group dynamics in decision making to be more effective in governing hospitals.

Effect of participating in Taiwan Quality Indicator Project on hospital efficiency in Taiwan.

OBJECTIVE: To examine the effect of participating in Taiwan Quality Indicator Project (TQIP) on hospital efficiency and investigate why hospitals participate in TQIP. METHODS: Our sample consists of 417 private not-for-profit hospitals in Taiwan during the 2001-2007 period. A simultaneous-equation model was performed to examine if hospitals that participated in TQIP were more efficient than hospitals that did not and investigate which variables affected the probabilities of hospitals' participation in the project. RESULTS: Our findings indicate that participating hospitals are more efficient than hospitals not participating in TQIP. In addition, hospital efficiency, hospital size, teaching status, and hospital age are positively related to participation in the project. These empirical results can be used as supporting evidence of success in improving performance through creating quality for hospitals that have participated in the project and offer insights into the value and strengths of the project. In addition, in recent years, reimbursement systems worldwide have partly moved payment methods to a pay-for-performance mechanism. In an attempt to control costs and improve quality, the policy makers should consider participating in Quality Indicator Project (QIP) as being one of the criteria to be reimbursed for performance.

Munson Medical Center: embedding a culture of safety and QI into the organization.

Munson Medical Center used community members' input in designing a new emergency department, a breast health center, and inpatient cardiology units.

Seeking perfection in healthcare. A case study in adopting Toyota Production System methods.

Virginia Mason Health System's vision to be the quality leader in healthcare means continually adopting new ways of thinking. One change has been shifting from believing defects are to be expected to believing zero defects in healthcare is not only possible, but also necessary. Generally, healthcare has advanced in technology and understanding of disease, but its business and management systems have changed little since the 1950s. Virginia Mason realized it needed a management method to help make real and measurable improvements in safety, quality, service and staff satisfaction.

Variation in quality of care within health systems.

BACKGROUND: Although many hospitals belong to health care systems, little is known about the quality of care provided by those systems, or whether characteristics of health care systems are related to the quality of care patients receive. Dimensions of the quality of care provided in 73 hospital systems were examined using hospital quality data publicly reported by the Centers for Medicare & Medicaid Services (CMS). The hospital systems consisted of six or more acute care hospitals and represented 1,510 hospitals. The study was designed to determine whether these dimensions of system quality could be reliably measured, to describe how systems varied with respect to quality of care, and to explore system characteristics potentially related to care quality. METHODS: Data were made available by CMS for 19 indicators of care quality for pneumonia, surgical infection prevention, acute myocardial infarction (AMI), and congestive heart failure. RESULTS: At the system level, reliable measures (alphas > .70) were constructed for each of the four clinical areas, and these measures were combined into a single measure of quality (alpha = .85). Variability in system quality was substantial, ranging from 94% to 70% on the combined quality measure. On the clinical area measures, the smallest range was for AMI (99%-85%), whereas the largest was for surgical infection prevention (95%-54%). System ownership and system centralization were significant predictors of quality, accounting for 30% of variance in the combined quality measure. Geographic region, inclusion of teaching hospitals, and system size were unrelated to quality. DISCUSSION: Systems vary greatly in terms of quality of care in each of the four clinical areas, with for-profit and more decentralized systems appreciably lower in quality of care. System-level quality measures and data could be used to compare processes within systems and to drive improvement efforts.

Hospital ownership and performance: evidence from stroke and cardiac treatment in Taiwan.

This paper compares program expenditure and treatment quality of stroke and cardiac patients between 1997 and 2000 across hospitals of various ownership types in Taiwan. Because Taiwan implemented national health insurance in 1995, the analysis is immune from problems arising from the complex setting of the U.S. health care market, such as segmentation of insurance status or multiple payers. Because patients may select admitted hospitals based on their observed and unobserved characteristics, we employ instrument variable (IV) estimation to account for the endogeneity of ownership status. Results of IV estimation find that patients admitted to non-profit hospitals receive better quality care, either measured by 1- or 12-month mortality rates. In terms of treatment expenditure, our results indicate no difference between non-profits and for-profits index admission expenditures, and at most 10% higher long-term expenditure for patients admitted to non-profits than to for-profits.

Best practices in healthcare investing.

A recent study looked at investment performance among the nation's not-for-profit hospitals. For the year ending Dec.31, 2006, the average return on operating funds for organizations in the top decile of performance was 16.4 percent, compared with just 10.6 percent for all study participants. Asset allocation appeared to be a primary differentiating factor.