Analytics and Decision Support in Health Care Operations Management

Analytics and Decision Support in Health Care Operations is a comprehensive introductory guide to quantitative techniques, with practical Excel-based solutions for strategic health care management. This new third edition has been extensively updated to reflect the continuously evolving field, with new coverage of predictive analytics, geographical information systems, flow process improvement, lean management, six sigma, health provider productivity and benchmarking, project management, simulation, and more. Each chapter includes additional new exercises to illustrate everyday applications, and provides clear direction on data acquisition under a variety of hospital information systems. Instructor support includes updated Excel templates, PowerPoint slides, web based chapter end supplements, and data banks to facilitate classroom instruction, and working administrators will appreciate the depth and breadth of information with clear applicability to everyday situations.

The ability to use analytics effectively is a critical skill for anyone involved in the study or practice of health services administration. This book provides a comprehensive set of methods spanning tactical, operational, and strategic decision making and analysis for both current and future health care administrators.

• Learn critical analytics and decision support techniques specific to health care administration
• Increase efficiency and effectiveness in problem-solving and decision support
• Locate appropriate data in different commonly-used hospital information systems
• Conduct analyses, simulations, productivity measurements, scheduling, and more

From statistical techniques like multiple regression, decision-tree analysis, queuing and simulation, to field-specific applications including surgical suite scheduling, roster management, quality monitoring, and more, analytics play a central role in health care administration. Analytics and Decision Support in Health Care Operations provides essential guidance on these critical skills that every professional needs.

The Author

YASAR A. OZCAN, PhD, is Charles P. Cardwell, Jr. Professor and vice chair and director of the Master of Science in Health Administration program at Virginia Commonwealth University. Extensively published in health care performance assessment, he is the founding Editor-in-Chief of Health Care Management Science. Dr. Ozcan's massive work has applied data envelopment analysis to health care facilities including hospitals, nursing homes, mental health care organizations, and more. He has taught health analytics and decision support in VCU's MHA and Executive MSHA graduate programs for more than 30 years.

Tables and Figures ix

Foreword xix

Acknowledgments xxi

The Author xxiii

Introduction xxv

Chapter-by-Chapter Revisions for the Third Edition xxvi

1: Introduction to Analytics and Decision Support in Health Care Management Operations

Historical Background and the Development of Decision Techniques

The Health Care Manager and Decision Making

Importance of Health Analytics: Information Technology (IT) and

   Decision Support Techniques

The Scope of Health Care Services, and Recent Trends

Health Care Services Management

Distinctive Characteristics of Health Care Services

Big Data and Data Flow in Health Care Organizations

Summary

Key Terms

Chapter 1- Supplement- Data Analytics in MS Excel: Creating and

Manipulating Pivot Tables

Exercises

2: Predictive Analytics

Steps in the Predictive Analytics Process

Predictive Analytics Techniques

Judgmental Predictions

Time-Series Technique

Techniques for Averaging

   Techniques for Trend

Predictive Techniques for Seasonality

Accuracy of Predictive Techniques

Prediction Control

Summary

Key Terms

Exercises

3: Decision Making in Health Care

The Decision Process

What Causes Poor Decisions?

The Decision Level and Decision Milieu

Decision Making Under Uncertainty

Payoff Table

Decision Making Under Risk

What If Payoffs Are Costs

The Decision Tree Approach

Sensitivity Analysis in Decision Making

Decision Analysis with Nonmonetary Values and Multiple Attributes

Clinical Decision Making and Implications for Management

Summary

Key Terms

Exercises

4: Facility Location

Location Methods

Cost-Profit-Volume (CPV) Analysis

Factor Rating Methods

Multi-Attribute Methods

Center-of-Gravity Method

Geographic Information Systems (GIS) in Health Care

Summary

Key Terms

Exercises

5: Facility Layout

Product Layout

Process Layout

Process Layout Methods

Method of Minimizing Distances and Costs

Computer-Based Layout Programs

Fixed Position Layout

Summary

Key Terms

Exercises

6: Flow Process Improvement-Reengineering & Lean Management

Reengineering

Lean Management

Work Design in Health Care Organizations

Work Measurement Using Time Standards

Work Measurement Using Work Sampling

Work Simplification

Worker Compensation

Summary

Key Terms

Exercises

7: Staffing

Workload Management Overview

Establishment of Workload Standards and Their Influence on Staffing

 Levels

Patient Acuity Systems

The Development of Internal Workload Standards

External Work Standards and Their Adjustments

Productivity and Workload Management

Summary

Key Terms

Exercises

8: Scheduling

Staff Scheduling

Surgical Suite Resource Scheduling

Summary

Key Terms

Exercises

9: Productivity and Performance Benchmarking

Trends in Health Care Productivity: Consequences of Reforms and

Policy Decisions

Productivity Definitions and Measurements

Commonly Used Productivity Ratios

   Adjustments for Inputs

   Adjustments for Outputs

The Relationships between Productivity and Quality in Hospital

Settings

Dealing with the Multiple Dimensions of Productivity: New Methods of    Measurement and Benchmarking

Data Envelopment Analysis

Overview on Improving Health Care Productivity

Summary

Key Terms

Exercises

10: Resource Allocation

Linear Programming

Maximization Models

Minimization Models

Integer Linear Programming

Summary

Key Terms

Exercises

11: Supply Chain and Inventory -Management

Health Care Supply Chain

Traditional Inventory Management

Economic Order Quantity Model

Classification System

Summary

Key Terms

Exercises

12: Quality Control and Improvement

Quality in Health Care

Total Quality Management (TQM) and Continuous Quality

Improvement (CQI)

Six-Sigma

Quality Measurement and Control Techniques

Monitoring Variation through Control Charts

   Control Charts for Attributes

   Control Charts for Continuous Variables

Investigation of Control Chart Patterns

Process Improvement Tools for Investigating the Presence of Quality                                           Problems and Their Causes

Summary

Key Terms

Supplement to Chapter 12- Creating a Pareto Diagram

Exercises

13: Project Management

The Characteristics of Projects

Planning and Scheduling Projects

Critical Path Method (CPM)

Probabilistic Approach

Project Compression: Trade-Offs Between Reduced Project Time and

Cost

Project Management Applications in Clinical Settings: Clinical                                          

   Pathways

Summary

Key Terms

Exercises

14: Queuing Models and Capacity -Planning

Queuing System Characteristics

Measures of Queuing System Performance

Typical Infinite-Source Models

Capacity Analysis and Costs

Summary

Key Terms

Exercises

15: Simulation

Simulation Process

Monte Carlo Simulation Method

Performance Measures and Managerial Decisions

Excel based Simulation Templates with Performance Measures and

Managerial Decisions

Summary

Key Terms

Exercises

Appendixes

Appendix A Standard Normal Distribution

Appendix B Standard Normal Distribution

Appendix C Cumulative Poisson Probabilities

Appendix D t-Distribution

References

Index

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