title: Physician impact on the total cost of care.
abstract: OBJECTIVE
  Physicians' efforts at cost containment focus on decreased resource utilization and reduced length of stay. Although these efforts appear to be appropriate, little data exist to gauge their success. As such, the goal of this study is to determine trauma service cost allocations and how this information can help physicians to contain costs.
  
  
  METHODS
  The authors analyzed the costs for 696 trauma admissions at a level I trauma center for fiscal year 1997. Data were obtained from the hospital costing system. Costs analyzed were variable direct, fixed direct, and Indirect costs. Together, the fixed and indirect costs are referred to as "hospital overhead." Total Cost equals variable direct plus fixed direct plus indirect costs.
  
  
  RESULTS
  The mean variable, fixed, and indirect costs per patient were $7,998, $3,534, and $11,086, respectively. Mean total cost per patient was $22,618.
  
  
  CONCLUSIONS
  The 35% variable direct cost represents the percentage of total cost that is typically under the immediate influence of physicians, in contrast to the 65% of total cost over which physicians have little control. Physicians must gain a better understanding of cost drivers and must participate in the operations and allocations of institutional fixed direct and indirect costs if the overall cost of care is to be reduced.
authors.affiliation: Department of Surgery, University of Michigan Health System, Ann Arbor 48109-0033, USA.
authors.forename: P A
authors.initials: PA
authors.lastname: Taheri
authors.forename: D
authors.initials: D
authors.lastname: Butz
authors.forename: L C
authors.initials: LC
authors.lastname: Griffes
authors.forename: D R
authors.initials: DR
authors.lastname: Morlock
authors.forename: L J
authors.initials: LJ
authors.lastname: Greenfield
mesh_terms: D000328:Adult; D003361:Cost Allocation / Q000191:economics; D003363:Cost Control / Q000191:economics; D004180:Direct Service Costs; D017721:Hospital Costs; D006801:Humans; D010820:Physicians / Q000191:economics*; D014193:Trauma Centers / Q000191:economics; D014481:United States