Utilization: Is More Always Better? Zone of Efficiency, Complexity, and Costs of Care

Published Online:https://doi.org/10.1287/msom.2023.0702

References

  • Argote L (1982) Input uncertainty and organizational coordination in hospital emergency units. Admin. Sci. Quart. 27(3):420–434.CrossrefGoogle Scholar
  • Bai J, Perron P (2003) Computation and analysis of multiple structural change models. J. Appl. Econometrics 18(1):1–22.CrossrefGoogle Scholar
  • Bell CM, Redelmeier DA (2001) Mortality among patients admitted to hospitals on weekends as compared with weekdays. New England J. Medicine 345(9):663–668.CrossrefGoogle Scholar
  • Berry S, Levinsohn J, Pakes A (1995) Automobile prices in market equilibrium. Econometrica 63(4):841–890.CrossrefGoogle Scholar
  • Berry Jaeker JA, Tucker AL (2017) Past the point of speeding up: The negative effects of workload saturation on efficiency and patient severity. Management Sci. 63(4):1042–1062.LinkGoogle Scholar
  • Browning TR, Heath RD (2009) Reconceptualizing the effects of lean on production costs with evidence from the F-22 program. J. Oper. Management 27(1):23–44.CrossrefGoogle Scholar
  • Christensen CM, Grossman JH, Hwang J (2009) The Innovator’s Prescription: A Disruptive Solution for Health Care (McGraw-Hill, New York).Google Scholar
  • Clark JR, Huckman RS (2012) Broadening focus: Spillovers, complementarities, and specialization in the hospital industry. Management Sci. 58(4):708–722.LinkGoogle Scholar
  • Elixhauser A, Steiner C, Harris DR, Coffey RM (1998) Comorbidity measures for use with administrative data. Medical Care 36(1):8–27.CrossrefGoogle Scholar
  • Fan Y (2013) Ownership consolidation and product characteristics: A study of the US daily newspaper market. Amer. Econom. Rev. 103(5):1598–1638.CrossrefGoogle Scholar
  • Faraj S, Xiao Y (2006) Coordination in fast-response organizations. Management Sci. 52(8):1155–1169.LinkGoogle Scholar
  • Freeman M, Savva N, Scholtes S (2021) Economies of scale and scope in hospitals: An empirical study of volume spillovers. Management Sci. 67(2):673–697.LinkGoogle Scholar
  • Friedman JH (1991) Multivariate adaptive regression splines. Ann. Statist. 19(1):1–67.CrossrefGoogle Scholar
  • Gaynor M, Anderson GF (1995) Uncertain demand, the structure of hospital costs, and the cost of empty hospital beds. J. Health Econom. 14(3):291–317.CrossrefGoogle Scholar
  • Given RS (1996) Economies of scale and scope as an explanation of merger and output diversification activities in the health maintenance organization industry. J. Health Econom. 15(6):685–713.CrossrefGoogle Scholar
  • Goldfarb A, Tucker C, Wang Y (2022) Conducting research in marketing with quasi-experiments. J. Marketing 86(3):1–20.CrossrefGoogle Scholar
  • Green LV, Nguyen V (2001) Strategies for cutting hospital beds: The impact on patient service. Health Service Res. 36(2):421–442.Google Scholar
  • Grembowski D, Schaefer J, Johnson KE, Fischer H, Moore SL, Tai-Seale M, Ricciardi R, Fraser JR, Miller D, LeRoy L (2014) A conceptual model of the role of complexity in the care of patients with multiple chronic conditions. Medical Care 52:S7–S14.CrossrefGoogle Scholar
  • Hausman JA, Taylor WE (1981) Panel data and unobservable individual effects. Econometrica 49(6):1377–1398.CrossrefGoogle Scholar
  • Hausman J, Leonard G, Zona JD (1994) Competitive analysis with differenciated products. Ann. Économ. Statist. 34:159–180.Google Scholar
  • Hoffer Gittell J (2002) Coordinating mechanisms in care provider groups: Relational coordination as a mediator and input uncertainty as a moderator of performance effects. Management Sci. 48(11):1408–1426.LinkGoogle Scholar
  • Jacobs MA, Swink M (2011) Product portfolio architectural complexity and operational performance: Incorporating the roles of learning and fixed assets. J. Oper. Management 29(7–8):677–691.CrossrefGoogle Scholar
  • KC DS (2014) Does multitasking improve performance? Evidence from the emergency department. Manufacturing Service Oper. Management 16(2):168–193.LinkGoogle Scholar
  • KC DS, Terwiesch C (2009) Impact of workload on service time and patient safety: An econometric analysis of hospital operations. Management Sci. 55(9):1486–1498.LinkGoogle Scholar
  • KC DS, Terwiesch C (2011) The effects of focus on performance: Evidence from California hospitals. Management Sci. 57(11):1897–1912.LinkGoogle Scholar
  • KC DS, Terwiesch C (2012) An econometric analysis of patient flows in the cardiac intensive care unit. Manufacturing Service Oper. Management 14(1):50–65.LinkGoogle Scholar
  • Kuntz L, Mennicken R, Scholtes S (2015) Stress on the ward: Evidence of safety tipping points in hospitals. Management Sci. 61(4):754–771.LinkGoogle Scholar
  • Kuntz L, Scholtes S, Sülz S (2019) Separate and concentrate: Accounting for patient complexity in general hospitals. Management Sci. 65(6):2482–2501.LinkGoogle Scholar
  • Lovejoy WS, Sethuraman K (2000) Congestion and complexity costs in a plant with fixed resources that strives to make schedule. Manufacturing Service Oper. Management 2(3):221–239.LinkGoogle Scholar
  • Mansfield ER, Helms BP (1982) Detecting multicollinearity. Amer. Statist. 36(3):158–160.CrossrefGoogle Scholar
  • Mihm J, Loch C, Huchzermeier A (2003) Problem–solving oscillations in complex engineering projects. Management Sci. 49(6):733–750.LinkGoogle Scholar
  • Morales-Espinoza EM, Kostov B, Salami DC, Perez ZH, Rosalen AP, Molina JO, Gonzalez-de Paz L, et al. (2016) Complexity, comorbidity, and health care costs associated with chronic widespread pain in primary care. Pain 157(4):818–826.CrossrefGoogle Scholar
  • Muggeo VMR (2003) Estimating regression models with unknown break-points. Statist. Medicine 22(19):3055–3071.CrossrefGoogle Scholar
  • Nevo A (2000) Mergers with differentiated products: The case of the ready-to-eat cereal industry. RAND J. Econom. 31(3):395–421.CrossrefGoogle Scholar
  • Oliva R, Sterman JD (2001) Cutting corners and working overtime: Quality erosion in the service industry. Management Sci. 47(7):894–914.LinkGoogle Scholar
  • Panzar JC, Willig RD (1977) Economies of scale in multi-output production. Quart. J. Econom. 91(3):481–493.CrossrefGoogle Scholar
  • Petrin A, Train K (2010) A control function approach to endogeneity in consumer choice models. J. Marketing Res. 47(1):3–13.CrossrefGoogle Scholar
  • Pich MT, Loch CH, Meyer AD (2002) On uncertainty, ambiguity, and complexity in project management. Management Sci. 48(8):1008–1023.LinkGoogle Scholar
  • Powell A, Savin S, Savva N (2012) Physician workload and hospital reimbursement: Overworked physicians generate less revenue per patient. Manufacturing Service Oper. Management 14(4):512–528.LinkGoogle Scholar
  • Ramasesh RV, Browning TR (2014) A conceptual framework for tackling knowable unknown unknowns in project management. J. Oper. Management 32(4):190–204.CrossrefGoogle Scholar
  • Rossi PE (2014) Even the rich can make themselves poor: A critical examination of IV methods in marketing applications. Marketing Sci. 33(5):655–672.LinkGoogle Scholar
  • Roth A, Tucker AL, Venkataraman S, Chilingerian J (2019) Being on the productivity frontier: Identifying “triple aim performance” hospitals. Production Oper. Management 28(9):2165–2183.CrossrefGoogle Scholar
  • Saavedra R, Earley PC, Van Dyne L (1993) Complex interdependence in task-performing groups. J. Appl. Psych. 78(1):61–72.CrossrefGoogle Scholar
  • Silberston A (1972) Economies of scale in theory and practice. Econom. J. 82(325s):369–391.Google Scholar
  • Sunder S, Thirumalai S (2024) Hospital portfolio strategy and patient choice. J. Marketing 88(1):53–76.CrossrefGoogle Scholar
  • Thirumalai S, Devaraj S (2024) Mitigating the curse of complexity: The role of focus and the implications for costs of care. J. Oper. Management 70(1):157–179.CrossrefGoogle Scholar
  • Thirumalai S, Lindsey S, Stratman JK (2022) You cannot be good at everything: Tradeoff and returns in healthcare services. Internat. J. Oper. Production Management 42(3):357–383.CrossrefGoogle Scholar
  • Tucker AL, Spear SJ (2006) Operational failures and interruptions in hospital nursing. Health Service Res. 41(3p1):643–662.CrossrefGoogle Scholar
  • Valderas JM, Starfield B, Sibbald B, Salisbury C, Roland M (2009) Defining comorbidity: Implications for understanding health and health services. Ann. Family Medicine 7(4):357–363.CrossrefGoogle Scholar
  • Wooldridge JM (2015) Control function methods in applied econometrics. J. Human Resources 50(2):420–445.CrossrefGoogle Scholar
  • Yankovic N, Green LV (2011) Identifying good nursing levels: A queuing approach. Oper. Res. 59(4):942–955.LinkGoogle Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.