New Public Management and hospital efficiency: the case of Norwegian public hospital trusts

New Public Management-inspired reforms in the Norwegian hospital sector have introduced several features from the private sector into a predominantly public healthcare system. Since the late 1990s, several reforms have been carried out with the intention of improving the utilization of resources. Th...

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Bibliographic Details
Published in:BMC health services research 2024-01, Vol.24 (1), p.36-36, Article 36
Main Authors: Lindaas, Nils Arne, Anthun, Kjartan Sarheim, Magnussen, Jon
Format: Article
Language:English
Subjects:
Analysis
Budgets
Competition
Data envelopment analysis
Efficiency
Health care industry
Health care reform
Healthcare
Hospital
Incentives
Management
Medical care
New Public Management
Patients
Productivity
Public institutions
Quality management
Reform
Reforms
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Summary:New Public Management-inspired reforms in the Norwegian hospital sector have introduced several features from the private sector into a predominantly public healthcare system. Since the late 1990s, several reforms have been carried out with the intention of improving the utilization of resources. There is, however, limited knowledge about the long-term, and sector-wide effects of these reforms. In this study, using a panel data set of all public hospital trusts spanning nine years, we provide an analysis of the efficiency of hospital trusts using data envelopment analysis (DEA), as well as a Malmquist productivity index. Thereafter we use the efficiency scores as the dependent variable in a second-stage panel data regression analysis. We show that during the period between 2011 and 2019, on average, efficiency has increased over time. Further, in the second-stage analysis, we show that New Public Management features related to incentivization are associated with the level of hospital efficiency. We find no association between degree of competition and efficiency.
ISSN:1472-6963
1472-6963
DOI:10.1186/s12913-023-10479-7