A Study Of Cost Analysis And The Approaches To Its Accounting In Military Hospitals

In a sense, logistics plays a decisive role in modern wars. This suggests that the construction of a modern army consists of the modernization of logistics, in which military medical institutions constitute a very important part in the rear-service guarantee. The development of military institutions should focus on the function of the military hospitals to serve the wounded and injured with high-quality treatment, and a sustainable development of high efficiency withess cost. It is of vital importance for military institutions to develop healthily and raise their overall abilities to serve the public in the time of peace. To raise the economic efficiency of military hospitals, it is necessary to control the cost which is the prime problem each hospital is facing. Hospital cost analysis and cost accounting constitute a major section in the economic management of hospitals and play a guiding role in employing and allocating the limited material and personnel resources to get the greatest benefits. Many explorations have been made into the cost analysis and its accounting in military hospitals. Compared with what has been done in this aspect in the civilian medical institutions, however, there are various kinds of problems, such as lack of effective reforms, inconsistency of cost accounting, and unreasonable allocation of costs.Based on the new ideas of military transformation of the socialization of the military logistics support put forward by Chairman Hu Jingtao, this study analyzes the practical operations of the military hospitals in logistics. Guided by his important instructions on modernizing logistics of the army, the paper discusses the cost problems existing in military hospitals by employing the basic theories in economy. The study first aims at the present situation in cost analysis and its accounting to uncover the various problems existing in the hospitals. Then, through detailed probing into these problems, the study has found out the main reasons why they've existed now. Next, suitable solutions to these problems are put forth to improve appropriately the cost accounting and cost management, resulting in some quite practical and manipulatable methods of cost accounting in military hospitals. At the same time, a theoretical guidance is provided for improving the economic efficiency of military hospitals and for strengthening their abilities to serve the army by raising the level of the cost analysis and its accounting in these hospitals.On the basis of the detailed investigations done on the cost accounting of the various types of military hospitals, especially of the"three-A"general hospitals, the study tries to make breakthroughs and to bring forth new ideas in the following. Firstly, the problems of cost accounting in the military hospitals were not analyzed just in the approaches to the cost accounting, but in the whole operation systems and management structures. And what is more, solutions to these problems have been brought about. Secondly, novel ideas have been put forward in expressing the classification of the content and basic methods of cost accounting of military hospitals. Thirdly, there has been something new in the profound analysis done in the major problems and their causes. Fourthly, beginning with carrying out duty cost accounting, strengthening the flow management of cost accounting and combining cost accounting with cost management, systematic suggestions have been recommended to perfect the management structure and operation system of the cost accounting in military hospitals. Lastly, conceptions have been offered to carry out medical cost accounting based on the No. 1 Military Medicine Network Program.In spite of what has been done above, further researches are still needed in carrying out the ideas of human-oriented cost accounting, and in dissecting the causes why problems in cost accounting arise in military hospitals.