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100 Top Hospitals®:
Benchmarks for Success - 2002

Methodology

For the past decade, Solucient has consistently identified benchmark practices by using solely objective statistical analyses of public data sources, and by constantly improving and refining the study performance measures, thresholds for inclusion, and methodologies.

Over the years, researchers and statisticians both inside and outside of the Solucient organization have scrutinized the 100 Top Hospitals methodologies. In an article published in the Journal of Healthcare Management, University of Michigan researchers John R. Griffith, FACHE, and Jeffrey A. Alexander, Ph.D., concluded that the 100 Top Hospitals measures indicate relative performance on important objectives, and can be used by hospital boards to identify and prioritize areas for improvement. The authors received the American College of Healthcare Executives’ 2003 Edgar C. Hayhow Award for their work on the article.

The Study Universe

The data used in the 100 Top Hospitals study come from Solucient’s hospital database and the publicly available MEDPAR (Medicare Provider Analysis and Review) data set. Data from the hospital database are used in calculating all the financial measures for this study. This database contains more than 800 data elements for over 6,000 U.S. acute care and specialty hospitals. Data used in calculating mortality, complications, length of stay and the coding specificity rate are from the MEDPAR data set, which contains information on the more than 12 million Medicare discharges from the nation’s acute care hospitals annually.

The Comparison Groups

Bed size, teaching status, and residency program involvement have a profound effect on the types of patients a hospital treats and the scope of services it provides. We assign each hospital to one of five peer groups according to its size and teaching status:

  • Major Teaching Hospitals
  • Teaching Hospitals
  • Large Community Hospitals
  • Medium Community Hospitals
  • Small Community Hospitals

The Performance Measures  

Our methodology brings together a group of eight measures of clinical quality practice, operations, and financial management that we believe constitutes the most reliable, scientific way possible to produce benchmarks for superior hospital performance. We also believe that the use of publicly available data supports this goal.

The eight measures are:

  1. Risk-adjusted mortality index
  2. Risk-adjusted complications index
  3. Severity-adjusted average length of stay
  4. Expense per adjusted discharge, case mix- and wage-adjusted
  5. Profitability (operating profit margin)
  6. Proportion of outpatient revenue
  7. Productivity (total asset turnover ratio)
  8. Coding specificity rate

For full details, the 2002 100 Top Hospitals study abstract is now available!

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for more information or to order.

Make the 100 Top Hospitals study work for you:

Want to see how your hospital scored on the 100 Top Hospitals measures? Order a Results Report to see how you compare.

To see how your hospital’s 5-year progress compares, order a Trend Report.


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