In the current world order, performance is everything.
Whether you’re in the entertainment industry or the healthcare business, the success today is gauged by performance. Especially for a healthcare centre, analysing the multiple facets of the business across a range of parameters is essential.
But why place such immense importance in healthcare performance analysis? What’s the reason behind this overemphasis on analysing the achievements of a medical facility? And what are the parameters across which such success is measured?
In today’s discussion, we’re going to put performance analysis under the microscope, and see what makes it tick. So stick around for an interesting read.
What To Focus On?
When it comes to measuring performance, an Australian medical facility has a lot to consider. First comes the question of which performance facet to focus on.
As government authorities continue to add new layers to regulations, authorities can have a tough time deciding which to prioritise.
This means that individual facilities should emphasise the specific metrics that pertain to their business goals. For example, some facilities may choose to enhance the patient experience, while others might focus solely on financial performance.
With the above in mind, let’s look at some common performance metrics that medical businesses in Australia should focus on.
Average Stay Length
This refers to the period between the time a patient is admitted, and their time of discharge. Stay length is a valuable performance metric, simply because it directly correlates with the efficiency and effectiveness of the care provided.
Stay length can have an impact on both patient experience and monetary performance. Also, it directly influences other essential performance parameters, such as Re-admission Rates and Bed Utilisation Rates.
One of the most important performance metrics, the mortality rate describes a medical facility’s adeptness when it comes to saving lives. It goes without saying that a low mortality rate is desirable. Lower mortality rates mean better patient care and greater Recovery Rates.
Bed Utilisation Rates
Bed Utilisation rates refer to the percentage of hospitals beds that are currently occupied. This is a vital metric that influences a hospital’s qualitative as well as monetary performance.
A bed utilisation rate that’s very low indicates suboptimal occupancy levels. This directly translates to monetary loss for the medical facility in question.
On the other hand, too much occupancy can easily lead to an infrastructural imbalance. This means a lowering of patient care quality.
Cost Per Discharge
Understanding the cost of care on an individual patient level can aid the facility to plan spends as well as profits. This dynamic metric depends on the hospital’s present case list and patient demographics.
Careful tracking of this metric, together with Operating Margins and Debt levels, can help to understand a facility’s financial health. Gaining this perspective is essential for continued business success.
The above metrics are only some of the factors across which a medical facility’s performance is measured. A clear understanding of metrics such as the above helps a medical business in a number of ways.
The Crux Of The Matter: Why Measure At All?
The reason behind measuring performance is essentially twofold. On the one hand, measuring the performance of a medical facility helps ensure that it’s working towards its business goals. A healthy profit margin means the proper growth of the business.
On the other, the performance measurement of a medical centre cannot merely be limited to the financial aspect of things. Together with this, the level of patient care that the facility provides needs to be assessed and improved upon as well.
Both aspects are essential to ensuring that the healthcare facility in question continues to operate at optimal levels. What’s more, measuring performance also guarantees that the business owners never lose sight of the larger picture. This helps to guarantee that the business continues to operate better than before.
At the end of the day, performance analysis is essential for the sustainable survival of a medical centre. And KPeyes can be your trusted partner on that path. Using the latest mix of healthcare analytics and advanced software technologies, we make sure that your medical business stays on track.