Pricing of health services through data envelopment analysis

Dariush Mohamadi Zanjirani¹ Alireza dehghani²

1) exp:Iran University of Isfahan Department of Management
2) exp:Iran University of Isfahan Department of Management Email:

IOI Code : XAKK-CGDGZ
Publication : International Conference on Applied Research in Management and Industrial Engineering (mieconf.com)
Abstract :
    Attempt is made here to develop an approach in pricing health services, the orthopedic field in specific, based on a scientific and practical method, the coalition goal-oriented programming through Data Envelopment Analysis (DEA). The statistical population, due to constraints of accessibility to limited data, consists of 12 orthopedic service providing units. Since in DEA, different solutions, as the weighted vector of decision variables, are obtained at every trial in calculating the efficiency of a given unit, this model applies the generalized common weights to yield unique solutions (weights). After solving this proposed Model and estimating the optimal prices, to measure the validity of solution by selecting the qualified criteria for assessing, two methods are applied. The TOPSIS and ‘Cost allocation’ based on Workload are applied to compare achieved prices with the real prices. The obtained results indicate that the prices of the DEA are not far from the real figures.

Keywords : data envelopment analysis (dea) health services pricing common weights