Measurement and Health Care Management

Abstract

Over recent decades many health care organisations have ‘modernised’ their management accounting systems by using the balanced scorecard (BSC). However, public health care involves multi‐dimensional goals and resolving conflicts of interest. The question is whether a management control system based on measurements is suitable in a health care context. Light can be shed on this question using a study of the application of a BSC over a ten‐year period at Högland Hospital. The study shows that the BSC and measurements of output and behaviour became a way of approaching unanswered questions about processes and quality development. Medical professionals with management responsibility, in co‐operation with medical professionals responsible for different specialities, determined measures and targets and the measurements were integrated into activity processes and affected activities.

Examining the joint effects of strategic priorities, use of management control systems, and personal background on hospital performance

“…This study is an attempt to respond to recent calls for a better understanding of the factors that support the effectiveness of MCS in healthcare organisations (Abernethy et al, 2007;King and Clarkson, 2015), particularly performance measurement systems in hospitals (Aidemark and Funck, 2009;Cardinaels and Soderstrom, 2013). To do so, we analysed the two following research questions: (1) line with a recent call to adopt a multi-theoretical approach to management control research (Krishnan, 2010).…”

“…However, formal management control systems (MCS) are seen to be problematic in hospitals (Aidemark and Funck, 2009). …”

“…Over the past two decades, the literature on MCS in hospitals has emphasised the importance of aligning the use of MCS with hospital strategies (e.g., Aidemark and Funck, 2009;Ballantine et al, 1998;Chilingerian and Sherman, 1987;Wardhani et al, 2009), an alignment that should lead to positive organisational outcomes, such as hospital performance (King et al, 2010). Inherent in these arguments is the implicit assumption that the individual behaviour of clinicians dominating the core operations of a hospital can be controlled towards the successful achievement of hospital strategies.…”

“…Over the past two decades, the literature on MCS in hospitals has emphasised the importance of aligning the use of MCS with hospital strategies (e.g., Aidemark and Funck, 2009;Ballantine et al, 1998;Chilingerian and Sherman, 1987;Wardhani et al, 2009), an alignment that should lead to positive organisational outcomes, such as hospital performance 2 Management control systems are defined as "formal, information-based routines and procedures managers use to maintain or alter patterns in organisational activities" (Simons, 1995, p. 5). Formal performance measurement systems are an essential aspect of formal management control systems (Chenhall, 2005;Henri, 2006).…”

Balanced scorecard edge over memorandum of understanding for public enterprises in India

“…It has gained widespread acceptance as a useful performance management tool for business organisations (Kald and Nilsson, 2000;Malmi, 2001;Rigby, 2001;Hallman, 2005;Anagnostopoulos and Sekap, 2010;Kollberg and Elg, 2010). In many of the countries including Australia, New Zealand, Greek, Malaysia, Italy, the USA, Canada, the UK Sweden, Singapore, Netherland, European countries, BSC has proved its results and has recorded success, being opted by many government as well as private organisations (Chang et al, 2002;Chow-Chua and Goh, 2002;Zelman et al, 2003;Asbroek et al, 2004;Northcott and France, 2005;Chan, 2004;Peters et al, 2007;Aidemark and Funck, 2009;Wilson et al, 2003;Bolívar et al, 2010;Anagnostopoulos and Elmasides, 2010;Tze et al, 2010;Northcott and Taulapapa, 2012).…”