Analysis of the Efficiency of the Regional Public Hospitals using DEA-AR/AHP Combined Model

Abstract

The purpose of this empirical study is to evaluate efficiency of the regional public hospitals, using DEA(Data Envelopment Analysis). to do this, we design a DEA-AR/AHP Hybrid model to evaluate efficiency of 34 Regional Public Hospitals. the proposed model is developed by adding Acceptance Region(AR). using analytical hierarchy process(AHP). this model is compared with those of typical DEA models. Financial data used in this study were obtained from Database of the Korea Association Regional Public Hospital and analyzed using DEA model. As a result of analysis, This study found that the DEA-AR/AHP Hybrid model was superior to those typical DEA models in determining the priority among efficient hospitals. the result of this study can provide helpful information to evaluate the efficiency of public hospitals for efficient operational management, to develop more precise measurement for the priority of the efficient hospitals.