Following the hospital’s policy of ensuring quality service delivery to the customer through comprehensive market research, the hospital came to a decision to study the cost of service delivery and its correlation to customer satisfaction. The department of customer service been receiving complaints from customers about their charges in relation to their days of stay in the hospital and physician in charged of operations. Many customers cited the issue of biasness and unfair payments which were not standardized. In this regard, firm decided to conduct a research with 289 respondents who were to respond several questions posed to them. Among them, key variable in the research include the physician conducting the delivery service, type of insurance cover, which is composed of both managed care and commercial insurance, time in days that a patient occupies in the hospital and the amount charged for delivery.

The hypothesis was: There relationship between the amount charged and insurance payment of the customers. This was aim to initiate the research through assessing the dynamics of other parameters that correlate either positively or negatively with the parameters in the hypothesis.

This research would go a long was in the streamlining of the hospital policy with regard to the fair treatment of customers. The main objective of the corporate governance is the attainment of optimum customer satisfaction through fair charges and zero tolerance to any form of biasness. In so doing the research will aid in the strengthening of the core goals and values of the hospital. The research is only limited to the maternity section and the inpatients. The results would not reflect the outpatients and patients in their other section but rather pregnant women who visit the hospital for delivery purposes.

RESULTS

Days: the time in days that the patients spend in the hospital

Charges: the amount charged by the hospital for delivery and the inpatient care

PAYOR: the insurance cover: managed care and commercial insurance

 

Managed care

Time spent in hospital

Charges ($)

 

Mean

2.300518135

Mean

2966.440415

Standard Error

0.078193722

Standard Error

86.07274776

Median

2

Median

2789

Mode

2

Mode

2840

Standard Deviation

1.086301898

Standard Deviation

1195.760827

Sample Variance

1.180051813

Sample Variance

1429843.956

Kurtosis

70.34214528

Kurtosis

51.70069889

Skewness

6.767982257

Skewness

5.617920056

Range

13

Range

13969

Minimum

1

Minimum

929

Maximum

14

Maximum

14898

Sum

444

Sum

572523

Count

193

Count

193

Largest(1)

14

Largest(1)

14898

Smallest(1)

1

Smallest(1)

929

Confidence Level (95.0%)

0.154229019

Confidence Level (95.0%)

169.7695819

Commercial insurance

Number of days

Charges($)

Mean

2.020833333

Mean

2714.28125

Standard Error

0.059196311

Standard Error

68.41589263

Median

2

Median

2673.5

Mode

2

Mode

#N/A

Standard Deviation

0.580003025

Standard Deviation

670.336109

Sample Variance

0.336403509

Sample Variance

449350.499

Kurtosis

0.06519172

Kurtosis

1.619465552

Skewness

9.56547E-05

Skewness

0.59751041

Range

2

Range

4031

Minimum

1

Minimum

902

Maximum

3

Maximum

4933

Sum

194

Sum

260571

Count

96

Count

96

Largest(1)

3

Largest(1)

4933

Smallest(1)

1

Smallest(1)

902

Confidence Level (95.0%)

0.117519533

Confidence Level (95.0%)

135.8227162

 

The results show that the charges for both the managed care and commercial insurance are almost in the same range. There is no bias in the allocation of charges in both insurance cover.

The null hypothesis

Commercial insurerance: 135.8223 ***

Managed care: 169.7696 ***