Date of Conferral

2020

Degree

Doctor of Business Administration (D.B.A.)

School

Management

Advisor

Edward Paluch

Abstract

Medicare reimbursement penalties are a financial concern for health care leaders when hospitals underperform in the specific measures of hospital performance defined by the Hospital Value-Based Purchasing Program. Grounded in the general contingency theory, the purpose of this correlational study was to determine the relationship between the measures of hospital performance, clinical care, person and community engagement, safety, efficiency and cost reduction, and Medicare reimbursement penalties. Secondary data from the Centers for Medicare and Medicaid Services were collected from 420 acute care urban hospitals designated as teaching facilities with a bed size between 100–299 beds for the fiscal year 2019. The results from the multiple linear regression analysis indicated the model as a whole was able to predict Medicare reimbursement penalties, F(4, 415) = 141.8, p < .001, R2 = .58. In the final model, all 4 independent variables significantly predicted Medicare reimbursement penalties. Efficiency and cost reduction (β = .453, t = 13.965, p < .001) accounted for the highest contribution to the model, followed by clinical care (β = .379, t = 11.709, p < .001), person and community engagement (β = .309, t = 9.435, p < .001), and safety (β = .195, t = 6.071, p < .001). Health care leaders must ensure that their management approach reflects a strong commitment to high quality health care delivered to patients. The implications for positive social change include the potential for health care leaders to develop effective approaches to improve access to health care for patients, improve the quality of health care delivered to patients, and reduce their overall health care costs while maximizing Medicare reimbursements for health care organizations.

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