Chapter 13

Calculating the Financial Impact of Hospital Length of Stay

Introduction

A significant issue that hospital administrators face is how to reduce the length of stay (LOS) for clinical services without sacrificing the quality of care given. The LOS statistic is defined as total patient days divided by inpatient (IP) cases, and it is a significant driver of hospital net income. In fact, many financial personnel consider it the most significant measure of the effectiveness and efficiency of a hospital. The overall theory is that the less ...

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