A Study On The Application Of Balanced Scorecard In Performance Management Of Public Hospitals

Before the reform of the public hospitals, public hospital in China running in the lack of competitive pressure environment, the medical treatment and service are lack of efficiency and power. The hospital was running under the planned economy system. In order to improve the efficiency of the health care system, the government began to gradually carry out the reform of the medical and health system and market economic system in twentieth century,which make the medical service in sufficient quantity and efficiency has greatly improved. But the supervision measures of the administrative department of health are not in place, public hospitals also have exposed the problems of fairness and the nature of the public has been also gradually fade. Many hospitals can only focus on economic interests, ignoring the need of patients, not caring about the main work of hospital. These problems are to be solved by the new medical reform. With the release of " Deepening the implementation plan of the reform of the medical and health system in 2009~2011”, remodeling the public welfare of public hospitals has become the main target of the reform. In the current policy environment, where is the direction of development of public hospitals, and how to find the balance between the operating efficiency and maintaining the public ? This requires us to proceed from the hospital itself management, and have a comprehensive understanding of hospital organization structure, operation mode and performance management. The evaluation of hospital performance as an effective supervisory and management system, is not only an important means of self supervision and self constraint, but also a new management tool that implement the strategic management under the new competition environment.Therefore, this paper will start from the concept of performance management,researching on the developing of the performance management of domestic and foreign hospitals, analysising of the current performance management of hospital, finding out a suitable way for hospital performance evaluation index system. All ofthis is to provide an effective basis for performance management of the hospital, and let the leadership be conscious of the fact that the management of hospital should not only in the tactic management, but on a higher level that is highly to hospital management strategy, for improving the hospital performance management system. The application of Balanced Scorecard in hospitals could help the managers not only focus on these financial indicators, but also pay attention to some such as the patient’s point of view, the inter process of hospital, its learning evaluation, which could improve the efficiency of hospital operations and meet the social expectations and demands on public hospitals. Then, according to the four aspects of the Balanced Scorecard and Delphi method, we could select representative indicators in evaluating hospital performance. We use the AHP method to determine the corresponding weight of each index, establishing the index system of performance evaluation of public hospitals. Finally, choosing a public hospital of our province as an example to analysis the basic situation and the achievement of the application of BSC. This paper’s research on the hospital performance management will have a positive effect and a significance of reference.