The physician CEO advantage and hospital performance during the COVID-19 pandemic: capacity utilization and patient satisfaction

Abstract

Purpose

Prior studies have shown that physician-led hospitals have several advantages over non-physician-led hospitals. This study seeks to test whether these advantages also extend to periods of extreme disruptions such as the COVID-19 pandemic, which affect bed availability and hospital utilization.

Design/methodology/approach

The authors utilize a bounded Tobit estimation to identify differences in patient satisfaction rates and in-hospital utilization rates of top-rated hospitals in the United States.

Findings

Among top-rated US hospitals, those that are physician-led achieve higher patient satisfaction ratings and are more likely to have higher utilization rates.

Research limitations/implications

While the COVID-19 pandemic generated greater demand for inpatient beds, physician-led hospitals improved their hospitals’ capacity utilization as compared with those led by non-physician leaders. A longitudinal study to show the change over the years and whether physician Chief Executive Officers (CEOs) are more likely to improve their hospitals’ ratings than non-physician CEOs is highly recommended.

Practical implications

Recruiting and retaining physicians to lead hospitals, especially during disruptions, improve hospital’s operating efficiency and enhance patient satisfaction.

Originality/value

The paper reviews prior research on physician leadership and adds further insights into the crisis leadership literature. The authors provide evidence based on quantitative data analysis that during the COVID-19 pandemic, physician-led top-rated US hospitals experienced an improvement in operating efficiency.

Citation

Belasen, A., Belasen, A. and Feng, Z. (2023), "The physician CEO advantage and hospital performance during the COVID-19 pandemic: capacity utilization and patient satisfaction", Journal of Health Organization and Management, Vol. 37 No. 3, pp. 313-326. https://doi.org/10.1108/JHOM-04-2022-0126