Implementing salary cost per unit of service productivity standards.
Productivity standards based upon labor hours or full-time equivalents were acceptable in the cost-based reimbursement environment of the 1960s and 1970s. In the prospective payment environment of the 1990s, however, they do not enable hospitals to manage their labor expense precisely enough. The author describes an alternative productivity system to measure, report, and manage productive labor expense per unit of service.
Strasen
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Patient Care Services, National Medical Enterprises, Santa Monica, CA.
D002140:California; D004469:Economics, Hospital / Q000639:trends*; D004471:Economics, Nursing / Q000639:trends*; D004649:Employee Incentive Plans / Q000191:economics; D012456:Salaries and Fringe Benefits