As reported by
THE WALL STREET JOURNAL

Quality accounts for 65% of a hospital’s overall score. The company looks at the federal government’s public reporting, including—CMS’s Core Measures, key patient-safety measures, mortality and readmission rates, and whether the hospital is accredited by the Joint Commission or included in the LeapFrog survey.

Affordability and efficiency count for another 25%. Data Advantage measures affordability by looking at the hospital’s list prices for 103 different outpatient services, ranging from chest X-rays to diagnostic colonoscopies. Gauging efficiency means looking at the cost side of the equation — how much the hospital actually spent (using data reported to Medicare) to treat patients with certain diagnoses, adjusted for severity.

Patient satisfaction makes up the final 10%. Like everyone else, Data Advantage uses survey data from discharged patients, which were recently made public through Medicare (HCAHPS). It concentrates on two questions: an overall rating of the hospital from 0 to 10, and whether the patient would recommend the facility to family and friends.