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Time for Comprehensive Healthcare Costing in Kenya

Authors

Elesban Kihuba ; Mike English ; Fiammetta Bozzani ; Adrian Gheorghe ; Ulla Kou Griffiths

Abstract

Cost accounting systems are deficient in many low- and middle-income countries as costs are not automatically linked with clinical activity data. Medical supplies and equipment are generally delivered in a top-down manner directly to health facilities without sharing cost information. Moreover, budgeting and expenditure systems are usually not designed for activity-based reporting and do not provide unit cost information. Evidence from high-income health care settings shows that cost accounting systems can be effectively integrated and structured for calculating national and sub-national average unit costs. The resulting unit costs, be they for final (e.g. average cost per tuberculosis patient treated) or intermediary products (e.g. average cost per inpatient day), are used to inform decisions regarding price-setting, provider reimbursement and cost control initiatives. These values are also important parameters for cost-effectiveness analysis.

Document details

ID:UH2030-81
Year:2015
Volume:
Issue:JUNE 2015
ISBN:
Document Type:Policy Documents
Health Topic:Health Services & Policy
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Keywords
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