Does Ownership Matter in the Selection of Service Providers? Evidence From Nursing Home Consumer Surveys

Ben‐Ner, Avner; Hamann, Darla J.; Ren, Ting

doi:10.1177/0899764018790698

Cited by 17 publications

(12 citation statements)

References 45 publications

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“…Under current UK legislation, they have an obligation to serve the ‘public benefit’, which is underpinned by making their residual claimants their stated beneficiaries. Although comparisons are limited, a series of studies of for‐profit and non‐profit nursing homes found that, consistent with the idea of pro‐social motivation, the latter were more likely to delegate to their employees, and provided better quality for care dimensions that are hard to monitor (Ben‐Ner et al., 2015, 2018). As the latter organizations’ public purpose is fixed, their management is in effect committed to specific pro‐social goals, enabling it to draw on ‘donated labour’ (Francois, 2003; Hansmann, 1996).…”

Section: Evidence On the Value Priorities Associated With Different Ownership Modelsmentioning

confidence: 96%

Patterns of organizational ownership and employee well‐being in Britain

Marsden

2021

Brit J Industrial Rel

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This paper seeks to contribute to the current debate about corporate governance and work relations in two ways: it extends the analysis to include employees' subjective well-being and it considers a wider range of ownership models using Hansmann's typology as a guide. It argues that a key input into subjective well-being is provided by the scope to undertake work that is intrinsically as well as extrinsically rewarding. Rosen's theory of compensating wage differences is used as a lens to examine the problems of contracting over the intrinsic and extrinsic benefits of jobs as the former are largely intangible, whereas the latter are more easily codified and enforced. This asymmetry gives rise to moral hazard problems, which make the former more dependent on trust. Ownership models help to resolve this because they provide clear signals about an employer's value priorities, and its likely adherence to them after hiring. The study uses data from the British Workplace Employment Relations Survey. The results suggest that ownership models do indeed facilitate different trade-offs between intrinsic and extrinsic rewards that may be beneficial to many workers, warranting more attention to alternative forms of ownership to promote greater employee well-being.Recent decades have seen a rapidly growing interest in the effects of corporate governance on firms' employment relations and human resource practices. Particularly salient has been the

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Section: Evidence On the Value Priorities Associated With Different Ownership Modelsmentioning

confidence: 96%

Patterns of organizational ownership and employee well‐being in Britain

Marsden

2021

Brit J Industrial Rel

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“…Empirical literature provides support that individuals tend to perceive public organizations as less effective than private organizations (Hvidman 2019). They are specifically more likely to pick for‐profits when choosing a nursing home using ownership status in their search, unless they were better educated (Ben‐Ner, Hamann, and Ren 2019). These studies and the arguments above suggest that private organizations—both nonprofit and for‐profit—are more likely to be evaluated favorably in terms of effectiveness and efficiency.…”

Section: Public Perceptions Of Government Nonprofit and For‐profit Organizationsmentioning

confidence: 99%

Sector Bias and the Credibility of Performance Information: An Experimental Study of Elder Care Provision

Meier

Song

Davis

et al. 2021

Public Administration Review

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Reporting government performance to the public is key tool in improving accountability. Some evidence, however, has shown that individuals’ anti‐public sector biases may distort performance information about public organizations. Using an experimental vignette on U.S. nursing homes, this study fills four gaps in the literature: (1) the need to include nonprofit organizations rather than just public and for‐profit, (2) consideration of the credibility of the source of performance information, (3) the use of simple commonly used performance metrics, and (4) the willingness to use services as a performance dimension. We find the public has a general but modest anti‐for‐profit sector bias in nursing home care with nonprofits perceived the most positively. Sector biases generally disappear when clear performance data are presented. The credibility of the source matters, and respondents' willingness to use organizational services is more sensitive to both sector bias and performance ratings than are performance measures. Practitioner Points In the field of long‐term care, individuals have no anti‐public sector bias, and they have more favorable views of nonprofit organizations than for‐profit organizations. Perceived sector bias disappears when simple and unambiguous performance information is introduced. The source of performance information matters: individuals perceive the information from government and nonprofit sources as more credible than that from for‐profit sources. A high degree of credibility amplifies the effect of performance information in shaping individuals’ evaluations of public services.

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“…Dubrovinsky and Winter (2015) found preliminary evidence that quality varies more in FP hospitals than across NPs. Ben-Ner, Hamann, and Ren (2018) found that consumers using ownership status in their search for nursing homes chose FPs with increased likelihood; customers with better education were more likely to choose NPs over FPs; consumers who searched more in-depth and found information about nursing home lobbies less important for selection chose NPs with greater likelihood. Clearly, the impact of hospital status on performance remains uncertain.…”

Section: Introductionmentioning

confidence: 98%

Does Hospital Status Affect Performance?

Paul

Quosigk

MacDonald

2019

Nonprofit and Voluntary Sector Quarterly

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This article investigates the impact of hospital profit status on quality of care as measured by risk-adjusted, 30-day, inpatient readmission rates gathered by the Centers for Medicare and Medicaid Services. It also evaluates the association between inpatient readmission rates and market concentration, measured by the Herfindahl–Hirschman Index, and various hospital characteristics. It concludes that nonprofit (NP) hospitals have a statistically significant negative association with readmission rates because they can focus on their mission without intense pressure to make a profit. We find no significant association between quality of care and hospital market competitiveness nor any statistically significant evidence to reject the exogeneity assumption of NP status.

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Does Ownership Matter in the Selection of Service Providers? Evidence From Nursing Home Consumer Surveys

Cited by 17 publications

References 45 publications

Patterns of organizational ownership and employee well‐being in Britain

Patterns of organizational ownership and employee well‐being in Britain

Sector Bias and the Credibility of Performance Information: An Experimental Study of Elder Care Provision

Does Hospital Status Affect Performance?

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