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  • Title: Input-output analysis and the hospital budgeting process.
    Author: Cleverly WO.
    Journal: Health Serv Res; 1975; 10(1):36-50. PubMed ID: 1205865.
    Abstract:
    Two hospitals budget systems, a conventional budget and an input-output budget, are compared to determine how they affect management decisions in pricing, output, planning, and cost control. Analysis of data from a 210-bed not-for-profit hospital indicates that adoption of the input-output budget could cause substantial changes in posted hospital rates in individual departments but probably would have no impact on hospital output determination. The input-output approach promises to be a more accurate system for cost control and planning because, unlike the conventional approach, it generates objective signals for investigating variances of expenses from budgeted levels.
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