• Korea Journal of Hospital Management
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• v.8 no.3
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• pp.118-142
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• 2003

This study is aimed at evaluating the financial structure of hospitals before and after the separation of prescription and drug dispensing policy started to be implemented in July 2000 and at making a suitable hospital managerial strategy through the verification of the factors which have effect on their profitability. This study investigated the hospitals which have passed the accredition review to be designated as a accredited training hospital each year for three years from 1999 to 2001. Those hospitals were selected from members of the Korea Hospital Association. 106 hospitals were targeted for analysis except for the hospitals whose financial statements and managerial performance were not reported faithfully. The financial indicators used in this study were stability indicators(liability to total assets, ratio of debt to fund balance, fixed ratio), liquidity indicators(current ratio, quick ratio), activity indicators(total assets turnover, fixed assets turnover), profitability indicators(net profit to total assets, net profit to net worth, operating margin), and operating expenses to patient revenues indicators(drug and supplies costs/payroll/overhead expenses). The result of this study are as follows: First, the analysis of the increase of loss-making hospitals before and after. The separation of prescription and drug dispensing policy shows that the number of loss-making hospitals increase after the separation(22.6% before the separation; 31.1% after the separation). However, there was no significant statistical difference. Second, the analysis of operating expenses to patient revenues indicators showed that the ratio of drug and supplies cost became lower in all hospitals but the ratio of payroll/overhead expenses became higher. Additionally, the factor which have the greatest effect on profitability was operating expenses to patient revenues indicators (drug and supplies costs/payroll/overhead expenses). Third, the analysis of managerial performance by four types of loss-loss, loss-profit, profit-loss and profit-profit compared the results before the separation with those after the separation revealed as follows : Reliance on liability to total assets became higher in the profit-loss type($56.2%{\rightarrow}66.4%$), lower in the loss-profit type($82.7%{\rightarrow}74.5%$). Total assets turnover became higher in the profit-profit type($1.3{\rightarrow}1.5$), but lower in the loss-profit type($0.8{\rightarrow}0.7$). Operating margin decreased to minus 5.9% from 4.3% in the profit-loss type, but increased to 7.2% from minus 7.8% in the loss-profit type. Forth, operating expenses to revenues indicators showed that the increase of payroll was the biggest in the profit-loss type($39.2%{\rightarrow}49.9%$) and that overhead cost decreased in the loss-profit type but that rather increased in other types.

• The Journal of the Korea Contents Association
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• v.21 no.6
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• pp.588-597
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• 2021

In Korea, the standard for calculating the profit of a general insurance, which constitutes the loading in the premium, is not specified, and most of the non-life insurance companies reflect 2~5% of the premium as profit margin. Although the transparency of pricing is required due to the nature of insurance products, there are insufficient standards and empirical studies on the determination of insurance price factors in the domestic insurance industry. In this study, we propose a method of calculating the expected profit margin of general insurance. A way for calculating the expected profit margin of the general insurance is to reflect the shareholder demand on the capital that the insurance company should secure against the risk of loss due to the profit/loss volatility, as a ratio to the insurance premium. Shareholders should be compensated for the risks associated with their insurance operations, and the opportunity cost of these shareholders is to be reflected in premiums. In this study, we calculate the amount of capital that the company should accumulate to prepare insurance risk for each product, and insurance risk is defined as the volatility of insurance operating profit/loss. And insurance risk is calculated using stochastic simulation based on Dynamic Financial Analysis (DFA) methodology. Finally, we calculate the expected profit margins for 25 products and analyzed the difference between those and the profit ratio of domestic general insurance.

• Journal of the Korean Society for Precision Engineering
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• v.20 no.9
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• pp.188-196
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• 2003

In order to increase competitiveness and to gain economic benefit, companies ask more and more how to recycle their products in a efficient way. So far, to answer this question, companies are not sufficiently supported by suitable methods specially in the area of disassembly process planning. For this reason, we develop in collaboration with an industrial partner a new method for generating an optimal disassembly sequence. In the presented paper this method will be described in detail by considering the exiting assembly information, disassembly method and disassembly depth. PLM (Profit-Loss Margin) curve that is used to determine disassembly depth consists of profit value, disassembly cost and disassembly effect. Using assessment parameters, generated alternative disassembly sequences are evaluated and optimal disassembly sequence is proposed. This method is applied to generate the optimal disassembly sequence of Door Trim as an example.

• International Journal of Precision Engineering and Manufacturing
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• v.6 no.1
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• pp.42-50
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• 2005

In order to increase competitiveness and to gain economic benefit, companies ask more and more how to recycle their products in an efficient way. So far, to answer this question, companies are not sufficiently supported by suitable methods specially in the area of disassembly process planning. For this reason, we develop in collaboration with an industrial partner a new method for generating an optimal disassembly sequence. In this paper this method will be described in detail by considering the exiting assembly information, disassembly method and disassembly depth. PLM(Profit-Loss Margin) curve that is used to determine disassembly depth consists of profit value, disassembly cost and disassembly effect. Using assessment parameters, generated alternative disassembly sequences are evaluated and an optimal disassembly sequence is proposed. This method is applied to generate the optimal disassembly sequence of Door Trim as an example.

• Management & Information Systems Review
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• v.38 no.4
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• pp.25-39
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• 2019

The purpose of this study is to analyze the management performance of hospitals by analyzing the ratio of stability, profitability ratio, and growth rate through the financial ratios of medical institutions using accounting information disclosure data of medical institutions, financial status table and profit and loss statement. The main goal is to analyze and analyze financial statements of medical institutions' accounting information in 2016 and 2017, analyze the difference and analyze the general characteristics and financial ratios by type, type and size of medical institutions, The financial characteristics of medical institutions were identified. The ratio of stability, profitability, and growth rate through financial ratios were compared and analyzed. In addition, we analyzed the correlation between the medical profit margin, the total asset profit margin, the medical profit margin rate, and the net profit margin of the medical institutions through the financial ratios of accounting information disclosure data of medical institutions. The main results are as follows: First, the size of the hospital and the size of the debt through the change of assets, liabilities and capital of the financial statement are increasing, the size of own capital is relatively decreased, and the management performance is getting worse It is showing. Second, the increase in average medical revenues in the income statement is small, and the average increase in net profit is small. Thus, medical institutions were able to confirm the difficulty in creating profits through medical activities. In addition, there was a large difference in the debt ratio, the stability ratio, and the profitability ratio of the general hospitals and the general hospitals according to the types of medical institutions, and the difference in the average financial ratios of national and public hospitals, school corporation hospitals, I could confirm. The correlation between independent variables in the correlation was -0.904 between the capital ratio and the total assets turnover ratio, -0.800 between the labor cost ratio and the hospital income ratio, and -0.631 between the labor cost ratio and the foreign profit ratio. In order to improve the management deterioration of hospitals by using accounting information disclosure data of medical institutions, it is necessary to have a large effect on the net profit margin of the medical care and the net profit margin of the total assets.

• Korea Journal of Hospital Management
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• v.2 no.1
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• pp.1-21
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• 1997

In order to analyze the shifts in the volume and profits of Computed Tomography(CT) and Magnetic Resonance Imaging(MRI) utilization for a year before and after the implementation of insurance coverage for CT, this study has been undertaken examining CT and MRI cost data from 'Y' University Hospital situated in Seoul, Korea. Following are the results of this study: 1. The medical insurance payment for CT, implemented on January 1, 1996, increased CT utilization from January 1996 to April 1996 due to low insurance premiums: however, from May 1996 the number of CT cases significantly decreased as a result of strengthened medical cost reviews and the new 'Detailed standards for approval of CT' announced near the end of April 1996 by the insurer. 2. Since the implementation of insurance coverage for CT, CT fee reduction rates for reimbursements by the insurer to the hospital were 50% and 40% for January and February, respectively, and 31% and 15% for March and April. A significant point in the lowering of the reduction rate was reached in May at 11%; furthermore, since June the reduction rate fell below the average reduction rate for reimbursements for all procedures. If the 'Detailed standards for approval of CT' had been announced before the implementation of insurance coverage for CT, CT utilization would not have been so high due to the need to meet those 'standards'. In addition, loss of hospital profits resulting from the reduction for reimbursements would not have occurred. 3. The shifts in MRI utilization showed that there was no particular change with the beginning of insurance coverage for CT, and the introduction of the 'Detailed standards for approval of CT' made MRI utilization increase because MRI is free of restrictions imposed by the insurer. 4. The relationship between CT utilization and MRI utilization showed that they were supplementary to each other before insurance coverage for CT, but that CT was substituted for MRI because of strengthened medical cost reviews after t~e beginning of insurance coverage for CT. 5. The shifts in volume by patient characteristics showed that the number of inappropriate case patients, according to the insurer's "Standards for approval", decreased more than the number of appropriate case patients after the introduction of insurance coverage for CT. Therefore, the health insurance fee schemes for CT have influenced patient care. 6. The shifts in profits from CT utilization showed a net profit decrease of 31.6%. In order to match the pre-coverage profit level, 5,471 more cases would need to be seen and productivity would need to be increased by 32.7%. This profit decrease resulted from a decrease of CT utilization and low reimbursements. With insurance coverage, net profits from CT were 24.4%, and a margin of safety ratio was 39.6%. Because of the net profits and margin of safety ratio, CT utilization fees for insured appropriate cases could not be considered inappropriate. 7. The shifts in profits from MRI utilization before and after the introduction of CT coverage showed that in order to match pre-CT coverage profit levels, 2,011 more cases would need to be seen and productivity would need to be increased by 9.2%. The reasons for needing to increase the number of cases and productivity result from cost burdens created by adding new MRI units. But with CT coverage already begun, MRI utilization increased. Combined with a minor increase in the MRI fee schedule, MRI utilization showed a net profit increase of 18.5%. Net profits of 62.8% and a 'margin of safety ratio' of 43.1% for MRI utilization showed that the hospital relied on this non-covered procedure for profits. 8. The shifts in profits from CT and MRI utilization showed the net profits from CT decreased by 2.33billion Won while the net profits from MRI increased by 815.7million Won. Overall, these two together showed a net profit decrease of 1.51billion Won. The shifts in utilization showed a functional substitutionary relationship, but the shifts in profits did not show a substitutionary relationship. From these results, We can conclude that if insurance is to be expanded to include previously uncovered procedures using expensive medical equipment, detailed standards should be prepared in advance. The decrease in profits from the shifts in coverage and changes in fees is a difficult burden that should be shared, not carried by the hospital alone. Also, a new or improved fee schedule system should include revised standards between items listed and the appropriateness of the fee schedule should constantly be ensured. This study focused on one university hospital in Seoul and is therefore limited in general applicability. But it is valuable for considering current issues and problems, such as the influence of CT coverage on hospital management. Future studies will hopefully expand the scope of the issues considered here.

• Journal of Biosystems Engineering
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• v.40 no.4
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• pp.409-416
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• 2015

Purpose: This study evaluates a new banana bulk packaging method under the real transport conditions of Sri Lanka. Methods: A field evaluation of optimized 8-mm thick Styrofoam sheets used as the cushioning material was applied. A trial transport was conducted from Thambuttegama to Colombo using a medium-sized open truck, with banana leaves as the control material. Data were recorded at the farmer, transporter, retailer, and consumer stages of the supply chain. Mechanical damage, physiological loss in weight, fruit firmness, total soluble solids, ripeness index, visual quality ratings, and the physical damage index of the bananas were measured at each stage. A cost-benefit analysis was also conducted for both packaging methods. Results: The 8-mm styrofoam sheets significantly reduced (p < 0.05) the mechanical damage from 26.3% to 12.9% compared to the conventional method for long-distance transport, and the physiological loss in weight showed a decrease of 2.88%. The loss of firmness of the fruits followed a simmilar pattern for both methods until reaching the retailer, but at the consumer was significantly higher (p < 0.05) for the control. However, the physical damage index at the retail stage for the control showed symptoms of physical injury, whereas the bananas transported using the cushioning materials exhibited only minor symptoms. Further, the visual quality of the fruits after transport from the farmer to the consumer was preserved, which is one of the main factors affecting consumer preference and retail price. The proposed method increases the profit margin by 51.2% for Embul bananas owing to the reduced postharvest losses. Conclusion: The 8-mm thick Styrofoam sheets reduced the physical damage to the bananas, with the quality parameters maintained at the prefered level. Moreover, profits may be increased.

• Korean Chemical Engineering Research
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• v.56 no.5
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• pp.655-662
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• 2018

To respond effectively to climate change following the launch of the new climate system, the government is seeking to expand the use of distributed power resources. Among them, the district heating system centered on Combined Heat and Power (CHP) is accepted as the most realistic alternative. On the other hand, the government recently announced the change of energy paradigm focusing on eco-friendly power generation from the base power generation through $8^{th}$ Basic Plan for Long-term Electricity Supply and Demand(BPE). In this study, we analyzed the quantitative effects of profit and loss on the CHP operating business by changing patterns of the heat production, caused by the change of energy paradigm. To do this, the power market long-term simulation was carried out according to the $7^{th}$ and $8^{th}$ BPE respectively, using the commercialized power market integrated analysis program. In addition, the CHP operating model is organized to calculate the power and heat production level for each CHP operation mode by utilizing the operating performance of 830MW class CHP in Seoul metropolitan area. Based on this, the operation optimization is performed for realizing the maximum operating profit and loss during the life-cycle of CHP through the commercialized integrated energy optimization program. As a result, it can be seen that the change of the energy paradigm of the government increased the level of the ordered power supply by Korean Power Exchange(KPX), decreased the cost of the heat production, and increased the operating contribution margin by 90.9 billion won for the 30 years.

• Korean Journal of Poultry Science
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• v.20 no.2
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• pp.107-114
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• 1993

The structure change in the broiler industry of Korea has been taking place very rapidly toward the direction of integrated production and marketing system. During the course of the evolution into the integrated structure, however, a number of small business entities, uncountable nationally but a minimum of a dozen, that previously engaged in the supply of production factors or live bird transaction also tended to get involved in the new system as a disguised or pseudo-integrator, having brought a lot of problems not only to the farmers but also to the development of integrated structure. The pseudo-integrator is generally characterized by limited functions in such a way of supplying chicks and feeds to and collecting grown birds from farmers under the contract at a fixed farmer's payment in practically the same pattern as a partial or quasi-integration, which intends to act as if an integrator in a stratagem to simply enjoy a margin simply from selling supplies and buying products for a certain period of time. The grower making a contract with appears to be a farmer who used to be an Independent and speculating but not able to join in the normal system of evolving integration. The problems of a pseudo-integrator center on the financial loss to a contract farmer, because the falsified integrator has to become easily bankrupt and run away when the price of live broiler continually stays below the cost of production, even though he is able to make a tremendous profit otherwise which is the real purpose of the operation for. It is true that the volatile market, fluctuating the price up more than doubled in a month and down to a half in a few weeks, makes the pseudo-integrator find the room for such a fraudulence. In addition, its activity also adversely affect the evolution of the integration due to rather negative image on structure change in general. It is recommended that the farmers need to better understand the real picture of the integrated system so as not to be swindled by a disguised, small scale agribusiness agent. By the same token, it is also equally required to have the whole industry integrated completely as early as possible. The Joint effort to get rid of pseudo-integrators' problems shall be put for the industry development moving toward the integration. No doubt a pseudo-integrator must be a temporary player for chance emerging during the course of structure change into the integrated, though.