Analysis of Business Performance of National University Hospitals for the Past 10 Years

국립대학교병원의 최근 10년 경영성과 분석

  • Yang, Jong-Hyun (Department of Health Administration, Jungwon University)
  • 양종현 (중원대학교 보건행정학과)
  • Received : 2020.08.27
  • Accepted : 2020.11.16
  • Published : 2020.12.30

Abstract

Purposes: The purposes of this study is analysis of business performance in national university hospitals in Korea. Methodology: Data from 2010 to 2019 were collected from balance sheet, income statement, and annual reports in 11 national university hospitals. The dependant variables are business performance which are operating margin to total assets, operating margin to gross revenue, and net income to gross revenue. The independent variables are the number of bed, hospital location, opening, liquidity, stability, and activity. Findings: In recent years, activity has been shown to have a lot of influence on management performance. National university hospitals increase profitability by using resources as efficiently as possible. The short-term debt and fixed assets have been increased rapidly in recent years. It was found that management performance has been increased through active investment using financial leverage. Practical Implications: Based on these results, this study will be the basic data for efficient management of national university hospitals.

Keywords

References

  1. Yang J. A Comparative Analysis of Business Performance of University Hospitals for the Past 10 Years. The Korean Journal of Health Service Management 2016;10(3):13-25. https://doi.org/10.12811/kshsm.2016.10.3.013
  2. Kwon K, Kim D, Choi D. The Analysis of the Impact Factors in Hospital"s Management Performance Indicator. Korean Industrial Economic Association 2017;30(1):105-122.
  3. Korea Health Industry Development Institute. Annual Report 2016.
  4. Yang J, Chang D, Suh C. The Determinants of the Profitability of University Hospitals in Korea. Korean journal of hospital management 2010;15(4):43-62.
  5. Hong M, Lee H, Lee D, Joo H. The Determinants of Profitability Performance in Regional Public Hospitals. Korean journal of hospital management 2009;14(2):1-20.
  6. Lee H. Factors of the Effect on Management Performance in Hospital. Yonsei University, doctorate thesis; 1990.
  7. Kim W, Lee H. The Determinants of Hospital Profitability, Health Policy and Management 1994;4(1):123-137.
  8. Choi M, Moon O, Hwang I. Factors Affecting the Financial Structure of Hospitals in Korea. Health Policy and Management 2002;12(2):43-75. https://doi.org/10.4332/KJHPA.2002.12.2.043
  9. Mun J, Park J. Analysis on the Relating Factors of Profitability of Korean Public Corporation Medical Centers. Korean journal of hospital management 2004;9(2):102-127.
  10. Cho D, Suh W. Determinant Factors of Hospital Diversification in Korea. Association of Business Administration Korea 2014;27(12):2151-2164.
  11. Choi W, Lim B. An Analysis of the Financial Performance of Korean Medicine Hospitals in Korea: Focusing on Financial Ratios and Investment Efficiency. Journal Korean Medicine 2020;41(1):1-10. https://doi.org/10.13048/jkm.20001
  12. Valvona J, Sloan F. Hospital profitability and capital structure: A comparative analysis. Health Service Research 1988;23(3):1-30.
  13. Cleverly W. Improving financial performance: A study of 50 hospitals. Hospital and Health Service Administration 1990;35(12):173-187.
  14. McCue M, Ozcan Y. Determinants of capital structure. Hospital and Health Services Administration 1992;37(1):333-346.
  15. Gapenski L. Understanding Health Care Financial Management, AUPHA press. Health Administration Press 1999:34-45.
  16. Trinh H, O'Connor S. The Strategic Behavior of US Urban Hospitals: A Longitudinal and path model examination. Health Care Management Review 2000;25(4):48-64. https://doi.org/10.1097/00004010-200010000-00005
  17. Wheeler J, Smith D, Rivenson H, Reiter K. Capital structure strategy in health care systems. The Journal of Health Care Finance 2000;26(4):42-55.
  18. Bolon D. Comparing mission statement content in for-profit and not-for-profit hospitals: Does mission really matter?. Hospital Topics 2005;83(4):2-9. https://doi.org/10.3200/HTPS.83.4.2-10
  19. Park B, Lee Y, Kim Y. Factors Affecting Profitability of General Hospitals Focused on Operating Margin. International Journal of Contents 2009;9(6):196-206.
  20. Lee J, Kim Y, Kim Y, Kim K. A Study on Decisive Factors Impact in Business Profits of Regional Medical Centers. Journal of Digital Convergence 2014;17(7):315-325.