The Diseconomies of Queue Pooling: An Empirical Investigation of Emergency Department Length of Stay

We conduct an empirical investigation of the impact of queue management on patients' average wait time and length of stay LOS. Using an emergency department's ED patient-level data from 2007 to 2010, we find that patients' average wait time and LOS are longer when physicians are assigned patients under a pooled queuing system with a fairness constraint compared to a dedicated queuing system with the same fairness constraint. Using a difference-in-differences approach, we find the dedicated queuing system is associated with a 17% decrease in average LOS and a 9% decrease in average wait time relative to the control group-a 39-minute reduction in LOS and a four-minute reduction in wait time for an average patient of medium severity in this ED. Interviews and observations of physicians suggest that the improved performance stems from the physicians' increased ownership over patients and resources that is afforded by a dedicated queuing system, which enables physicians to more actively manage the flow of patients into and out of ED beds. Our findings suggest that the benefits from improved flow management in a dedicated queuing system can be large enough to overcome the longer wait time predicted to arise from nonpooled queues. We conduct additional analyses to rule out alternate explanations for the reduced average wait time and LOS in the dedicated system, such as stinting and decreased quality of care. Our paper has implications for healthcare organizations and others seeking to reduce patient wait time and LOS without increasing costs. This paper was accepted by Serguei Netessine, operations management.

[1]  Laku Chidambaram,et al.  Is Out of Sight, Out of Mind? An Empirical Study of Social Loafing in Technology-Supported Groups , 2005, Inf. Syst. Res..

[2]  Saifallah Benjaafar,et al.  Performance bounds for the effectiveness of pooling in multi-processing systems , 1995 .

[3]  Eitan Naveh,et al.  Standardization and Discretion: Does the Environmental Standard ISO 14001 Lead to Performance Benefits? , 2006, IEEE Transactions on Engineering Management.

[4]  Fuqiang Zhang,et al.  Obtaining Fast Service in a Queueing System via Performance-Based Allocation of Demand , 2007, Manag. Sci..

[5]  S. D. Deshmukh,et al.  Managing Business Process Flows: Principles of Operations Management , 2006 .

[6]  K. Arrow,et al.  Uncertainty and the Welfare Economics of Medical Care (American Economic Review, 1963) , 2001, Uncertain Times.

[7]  Nelson P. Repenning,et al.  Capability Traps and Self-Confirming Attribution Errors in the Dynamics of Process Improvement , 2002 .

[8]  Yves Dallery,et al.  Analysis of the Impact of Team-Based Organizations in Call Center Management , 2008, Manag. Sci..

[9]  W. Hopp,et al.  Managing White‐Collar Work: An Operations‐Oriented Survey , 2009 .

[10]  Edieal J. Pinker,et al.  OM Practice - Work Expands to Fill the Time Available: Capacity Estimation and Staffing Under Parkinson's Law , 2010, Manuf. Serv. Oper. Manag..

[11]  Donald D. Eisenstein,et al.  Managing Hospital Inpatient Bed Capacity Through Partitioning Care into Focused Wings , 2015, Manuf. Serv. Oper. Manag..

[12]  David C. Chan Teamwork and Moral Hazard among Emergency Department Physicians , 2014 .

[13]  G. D. Eppen Note---Effects of Centralization on Expected Costs in a Multi-Location Newsboy Problem , 1979 .

[14]  Christoph H. Loch,et al.  Operations management and reengineering , 1998 .

[15]  Donald D. Eisenstein,et al.  Managing Hospital Bed Capacity Through Partitioning Care into Focused Wings , 2012 .

[16]  Joseph P. Newhouse,et al.  The Economics of Moral Hazard , 1969 .

[17]  M. Pauly Overinsurance and Public Provision of Insurance: The Roles of Moral Hazard and Adverse Selection , 1974 .

[18]  E. Duflo Schooling and Labor Market Consequences of School Construction in Indonesia: Evidence from an Unusual Policy Experiment , 2000 .

[19]  E. Moretti,et al.  Peers at Work , 2006, SSRN Electronic Journal.

[20]  Amy R. Ward,et al.  Fair Dynamic Routing in Large-Scale Heterogeneous-Server Systems , 2010, Oper. Res..

[21]  Wallace J. Hopp,et al.  Operations Systems with Discretionary Task Completion , 2006, Manag. Sci..

[22]  Jeffrey M. Wooldridge,et al.  Introductory Econometrics: A Modern Approach , 1999 .

[23]  S. Spear,et al.  Decoding the DNA of the Toyota Production System , 1999 .

[24]  Jan A. Van Mieghem,et al.  The Value of Partial Resource Pooling: Should a Service Network Be Integrated or Product-Focused? , 2009, Manag. Sci..

[25]  Varun Gauri,et al.  Principal–Agent Perspective , 2020 .

[26]  K. Arrow,et al.  Aspects of the theory of risk-bearing , 1966 .

[27]  Esa Hyytiä,et al.  Round-robin routing policy: value functions and mean performance with job- and server-specific costs , 2013, VALUETOOLS.

[28]  Avishai Mandelbaum,et al.  Telephone Call Centers: Tutorial, Review, and Research Prospects , 2003, Manuf. Serv. Oper. Manag..

[29]  Richard J. Zeckhauser,et al.  Medical insurance: A case study of the tradeoff between risk spreading and appropriate incentives☆ , 1970 .

[30]  Adam Wierman,et al.  Dispatching to incentivize fast service in multi-server queues , 2011, PERV.

[31]  G. J. A. Stern,et al.  Queueing Systems, Volume 2: Computer Applications , 1976 .

[32]  Kipling D. Williams,et al.  PROCESSES Social Loafing: A Meta-Analytic Review and Theoretical Integration , 2022 .

[33]  L. Beril Toktay,et al.  Queuing for Expert Services , 2004, Manag. Sci..

[34]  Mark V. Pauly,et al.  Readings in the economics of contract law: The economics of moral hazard: comment , 1982 .

[35]  Richard,et al.  Motivation through the Design of Work: Test of a Theory. , 1976 .

[36]  Wallace J. Hopp,et al.  On the Interface Between Operations and Human Resources Management , 2003, Manuf. Serv. Oper. Manag..

[37]  Christian Terwiesch,et al.  The Impact of Work Load on Service Time and Patient Safety: An Econometric Analysis of Hospital Operations , 2009, Manag. Sci..

[38]  M. Kobernick,et al.  Emergency department revisits. , 1989, Annals of emergency medicine.

[39]  Benjamin Avi-Itzhak,et al.  Fairness considerations of scheduling in multi-server and multi-queue systems , 2006, valuetools '06.

[40]  Michael H. Rothkopf,et al.  Perspectives on Queues: Combining Queues is Not Always Beneficial , 1987, Oper. Res..

[41]  Jeffrey M. Woodbridge Econometric Analysis of Cross Section and Panel Data , 2002 .

[42]  Alberto Abadie Semiparametric Difference-in-Differences Estimators , 2005 .

[43]  Ramandeep S. Randhawa,et al.  Optimal Flexibility Configurations in Newsvendor Networks: Going Beyond Chaining and Pairing , 2010, Manag. Sci..

[44]  Stephen F. Smith,et al.  Design and Analysis of Diagnostic Service Centers , 2010, Manag. Sci..

[45]  Avishai Mandelbaum,et al.  On Pooling in Queueing Networks , 1998 .

[46]  Rogelio Oliva,et al.  Cutting Corners and Working Overtime: Quality Erosion in the Service Industry , 2001, Manag. Sci..

[47]  David C. Chan Teamwork and Moral Hazard: Evidence from the Emergency Department , 2016, Journal of Political Economy.

[48]  L. Green,et al.  Strategies for cutting hospital beds: the impact on patient service. , 2001, Health services research.

[49]  Serguei Netessine,et al.  When Does the Devil Make Work? An Empirical Study of the Impact of Workload on Worker Productivity , 2014, Manag. Sci..

[50]  K. Williams,et al.  Many Hands Make Light the Work: The Causes and Consequences of Social Loafing , 1979 .

[51]  R. Zeckhauser,et al.  Insurance, Information, and Individual Action , 1971 .

[52]  Z. K. Weng,et al.  Incentive Effects Favor Nonconsolidating Queues in a Service System: the Principal-Agent Perspective , 1998 .

[53]  Kenneth L. Schultz,et al.  Modeling and worker motivation in JIT production systems , 1998 .

[54]  N. M. vanDijk,et al.  To Pool or Not to Pool in Call Centers , 2008 .

[55]  Nico M. van Dijk,et al.  Pooling is not the answer , 2009, Eur. J. Oper. Res..

[56]  D. Blumenthal,et al.  Patient Protection and Affordable Care Act , 2010 .

[57]  Scott L. Zeger,et al.  Provider Variation in Fast Track Treatment Time , 2012, Medical care.