DRGs in hospital management

Abstract

One of the traditional tasks of district and hospital managers has been to attempt to explain variations in average length of stay, average cost per day and average cost per case, between different hospitals. The need for such explanations has become more acute as a result of the recent emphasis on ‘performance indicators’ as measures of the efficiency of hospitals. The task of explaining these differences has not been rendered easier by the lack of appropriate management information for this purpose.