Towards A Model of Cost Reduction for Military Hospitals

Document Type : Original Article

Authors

1 Ph.D., Candidate, Department of Health Economics, Faculty of School of Public Health, Tehran University of Medical Sciences, Tehran, Iran.

2 Associate Professor, Department of Health Economics, Faculty of School of Public Health, Tehran University of Medical Sciences, Tehran, Iran.

Abstract

Military Health System (MHS). Prior studies have proposed potential areas of reform in this sector that can result in cost reduction. The primary objective of this study is to develop a model for reducing operational costs in Armed Forces hospitals. The model was constructed through a four-stage process, including literature reviews, two rounds of expert interviews, and a Delphi study. Data collection and analysis were conducted using MAXQDA 20 and Excel 2016 for coding and summarization, while EndNote was employed for screening studies during the rapid review phase.
Key strategies identified for cost reduction include increasing hospital efficiency, improving staff performance, and minimizing operational inefficiencies such as unnecessary services, clinical errors, hospital-acquired infections, and induced demand. Additional solutions involve reducing the average length of stay, expanding preventive care, and leveraging innovative approaches. Emphasis was also placed on the localization of electronic systems and dashboards, reforming payment mechanisms, enhancing staff satisfaction through targeted incentives, and forming specialized committees in the MHS’s upstream health governance. Further recommendations of the study include implementing integrated discharge software tailored to the Armed Forces, process reengineering, resource rationalization, and the development of remote and community-based healthcare services

Keywords

References

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اقتصاد دفاع و توسعه پایدار
Volume 10, Issue 37
September 2025
Pages 9-31

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