Performance improvement after implementing the balanced scorecard : a large hospital's experience in Taiwan
By: CHANG, Wen-Cheng
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Contributor(s): TUNG, Yu-Chi | HUANG, Chun-Hsiung | YANG, Ming-Chin.
Material type: 
ArticlePublisher: Oxfordshire, UK : Routledge, November-December 2008Total quality management and business excellence 19, 11-12, p. 1143-1154Abstract: Mackay Memorial Hospital (MMH) is a medical centre with 2149 beds and more than 9000 outpatient visits per day. In order to enhance its competition, MMH is the first hospital in Taiwan to implement the Balanced Scorecard (BSC) fully for the entire organisation, not just for a specific department. This paper will assess both direct and indirect outcomes since its inception in 2001. From 2003 to 2005, the revenue from services not covered by the National Health Insurance (NHI) increased from NT$1407 million (US$1 = NT$32.9; 1 = NT$39.0) to NT$17,894 million. Inpatient satisfaction rose from 89.07% to 91.9%. The number of visits by disadvantaged patients (those with economic, social or physical disabilities) increased from 82,350 to 97,658 visits. The number of research projects also increased from 46 to 61 projects. The percentage of patients admitted to an intensive care unit in less than 3 hours from arrival in the emergency department increased from 47.8% in 2004 to 82.5% in 2005. BSC has thus been successfully developed and implemented at MMH, most likely for two main reasons. First, right from the beginning, the BSC executive team included the Board of Directors along with senior management personnel. Secondly, departmental BSCs were successfully launched and linked to budget planning after two years of full implementation. It is hoped that the experience of MMH in implementing BSC can be applicable to other healthcare organisations
Mackay Memorial Hospital (MMH) is a medical centre with 2149 beds and more than 9000 outpatient visits per day. In order to enhance its competition, MMH is the first hospital in Taiwan to implement the Balanced Scorecard (BSC) fully for the entire organisation, not just for a specific department. This paper will assess both direct and indirect outcomes since its inception in 2001. From 2003 to 2005, the revenue from services not covered by the National Health Insurance (NHI) increased from NT$1407 million (US$1 = NT$32.9; 1 = NT$39.0) to NT$17,894 million. Inpatient satisfaction rose from 89.07% to 91.9%. The number of visits by disadvantaged patients (those with economic, social or physical disabilities) increased from 82,350 to 97,658 visits. The number of research projects also increased from 46 to 61 projects. The percentage of patients admitted to an intensive care unit in less than 3 hours from arrival in the emergency department increased from 47.8% in 2004 to 82.5% in 2005. BSC has thus been successfully developed and implemented at MMH, most likely for two main reasons. First, right from the beginning, the BSC executive team included the Board of Directors along with senior management personnel. Secondly, departmental BSCs were successfully launched and linked to budget planning after two years of full implementation. It is hoped that the experience of MMH in implementing BSC can be applicable to other healthcare organisations
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