Economic efficiency of radiology wards using data envelopment analysis: Case study of Iran

Abstract

Background: In evaluating the activities and performance of radiology units, the main aim of applying feasible scientific methods is to use technological and human resources optimally. One of the suitable scientific methods in this field is determining the technical, economic, and allocative efficacy of these centers. We aimed to assess the economic efficiency of radiology units of hospitals affiliated to Shiraz University of Medical Sciences, southern Iran. Methods: In this descriptive-analytical cross-sectional study, the technical, economical, and allocative efficiency of 27 radiology units of public hospitals was assessed using data envelopment analysis. The input oriented envelopment form with the assumption of the varied outputs with respect to the scale was used. Related forms were filled using the existing information in the archives of radiology centers. Input variables in this study were the number of radiology devices, the number of expert personnel, the number of technicians, equipment maintenance and depreciation costs, and the salaries of the experts and technician. Output variables included the number of admitted patients and the number of photographic film. Then, data were analyzed using the DEAP software for calculating the various forms of efficiency. Results: The mean scores of economic, technical, and allocative efficiencies of radiology units were 0.749, 0.880, and 0.852, respectively. The final score of economical efficiency was lower than the technical and allocative efficiency scores. Only 15% of radiology units were economically efficient. Conclusion: Economical efficiency can be attained when resources are used in the best possible way and not wasted. Therefore, a combination of inputs that comprise the lowest costs should be selected.

Share and Cite:

Keshtkaran, A. , Barouni, M. , Ravangard, R. and Yandrani, M. (2014) Economic efficiency of radiology wards using data envelopment analysis: Case study of Iran. Health, 6, 311-316. doi: 10.4236/health.2014.65045.

Conflicts of Interest

The authors declare no conflicts of interest.

References

[1] Saber Mahani, A., et al. (2012) Comparing the efficiency of kerman province towns in acquiring human development index via data envelopment analysis. Iranian Red Crescent Medical Journal, 14, 248-249.
[2] Despotis, D.K. (2005) A reassessment of the human development index via data envelopment analysis. Operational Research Society Journal, 56, 969-80.
[3] Cooper, W.W., Seiford, L.M. and Tone, K. (2007) Data Envelopment Analysis: A comprehensive text with models, applications, references and DEA-solver software. Springer Science and Business Media, LLC, New York.
[4] Nahid, H., et al. (2012) Cost efficiency of the family physician plan in Fars Province, Southern Iran. Iranian Journal of Medical Sciences, 37, 253-259.
[5] Giokas, D. (2002) The use of goal programming, regression analysis and data envelopment analysis for estimating efficient marginal cost of hospital services. Multi-criteria Decision Analysis, 11, 261-268.
[6] Newbrander, W., Barnum, H. and Kutzin, J. (1992) Hospital economics and financing in developing countries, WHO.
[7] Somanathan, A., Honson, K. and Doralawila, T. (2000) Operating efficiency in public sector health facilities in sirilanka: Measurement and institutional determinantes of performance. PHR.
[8] Ferrier, G.D. and Lovell, C.A.K. (1990) Measuring cost efficiency in banking econometrics and linear programming evidence. Journal of Econometrics, 46, 229-245.
http://dx.doi.org/10.1016/0304-4076(90)90057-Z
[9] Byrnes, P. (1994) Analysing technical and allocative efficiency of hospitals. In: Charnes, A., Cooper, W. and Lewin, A., Eds., DEA Theory, Methodology and Applications, Kluwer, Boston.
[10] Valdmanis, V. (1992) Sensivity Analysis for DEA Model —An empirical example using public vs. NFP hospital. Journal of Public Economics, 48, 185-205.
[11] Maindiratta, A. (1990) Largest size-efficient scale and size efficiencies of decision-making units in data envelopment analysis. Journal of Econometrics, 46, 57-72.
http://dx.doi.org/10.1016/0304-4076(90)90047-W
[12] Hatam, N. (2008) The role of data envelopment analysis (DEA) pattern in the efficiency of social security hospitals in Iran. Iranian Red Crescent Journal, 10, 2-7.
[13] Sheikhzadeh, Y., Roudsari, A.V., Vahidi, R.G., Emrouznejad, A. and Dastgiri, S. (2012) Public and private hospital services reform using data envelopment analysis to measure technical, scale, allocative, and cost efficiencies. Health Promotion Perspectives, 2, 28-41.
[14] Pouing, C.J. and Liu, J.T. (1994) Estimation of non-neutral stochastic frontier production function. Journal of Productivity Analysis, 5, 171-180.

Copyright © 2024 by authors and Scientific Research Publishing Inc.

Creative Commons License

This work and the related PDF file are licensed under a Creative Commons Attribution 4.0 International License.