Healthcare Management Engineering: What Does This Fancy Term Really Mean?

This Briefs Series book illustrates in depth a concept of healthcare management engineering and its domain for hospital and clinic operations. Predictive and analytic decision-making power of management engineering methodology is systematically compared t

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For further volumes: http://www.springer.com/series/10293

Alexander Kolker

Healthcare Management Engineering: What Does This Fancy Term Really Mean? The Use of Operations Management Methodology for Quantitative Decision-Making in Healthcare Settings

Alexander Kolker Children’s Hospital and Health System Milwaukee, WI 53201, USA [email protected]

ISBN 978-1-4614-2067-5 e-ISBN 978-1-4614-2068-2 DOI 10.1007/978-1-4614-2068-2 Springer New York Dordrecht Heidelberg London Library of Congress Control Number: 2011941803 © Alexander Kolker 2012 All rights reserved. This work may not be translated or copied in whole or in part without the written permission of the publisher (Springer Science+Business Media, LLC, 233 Spring Street, New York, NY 10013, USA), except for brief excerpts in connection with reviews or scholarly analysis. Use in connection with any form of information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed is forbidden. The use in this publication of trade names, trademarks, service marks, and similar terms, even if they are not identified as such, is not to be taken as an expression of opinion as to whether or not they are subject to proprietary rights. Printed on acid-free paper Springer is part of Springer Science+Business Media (www.springer.com)

You cannot do today’s job with yesterday’s methods and be in business tomorrow. Anonymous Hunch and intuitive impressions are essential for getting the work started, but it is only through the quality of the numbers at the end that the truth can be told. S. Glantz, Primer of Biostatistics, 2005. McGraw-Hill/L. Thomas, Biostatistics in Medicine. Science, 198: 675, 1977

Preface

This Brief Series book illustrates in depth a concept of healthcare management engineering and its domain for hospital and clinic operations. Predictive and analytic decision-making power of management engineering methodology is systematically compared to traditional management reasoning by applying both side by side to analyze 26 concrete operational management problems adapted from hospital and clinic practice. The problem types include: clinic, bed, and operating rooms capacity; patient flow; staffing and scheduling; resource allocation and optimization; forecasting of patient volumes and seasonal variability; business intelligence and data mining; and game theory application for allocating cost savings between cooperating providers. Detailed examples of applications are provided for quantitative methods such as discrete event simulation, queuing analytic theory, linear and probabilistic optimization, forecasting of a time series, principal component decomposition of a dataset and cluster analysis, and the Shapley value for fair gain sharing between cooperating participants. A summary of some fundamental management engineering principles is provided. The goal of the book is to help to bridge the gap in mutual understanding and communication between management engineering profess