Economic Evaluation Methods Research Articles

ПОРІВНЯЛЬНИЙ АНАЛІЗ ІНСТРУМЕНТАРІЮ ЕКОНОМІЧНОГО ОЦІНЮВАННЯ ЕФЕКТИВНОСТІ КЕРІВНИХ СИСТЕМ БІЗНЕС-ПРОЦЕСІВ ПІДПРИЄМСТВА

The article addresses the significant and timely subject of evaluating management effectiveness within business processes in today's dynamic business environment. This study aims to scrutinize and compare various economic evaluation methods that assess the effectiveness of management systems of business – processes at legal entity. By employing a comprehensive approach, the authors delve into the examination of existing tools, emphasizing their ability to integrate both financial and non-financial dimensions of management. The methodology adopted in this research includes a systematic analysis of different evaluation instruments, assessing their capabilities to provide a holistic and nuanced understanding of management effectiveness. In the article, comparative methods and information analysis techniques were employed, utilizing data gathered through the monographic method of processing scientific sources related to the research topic. The focus is on identifying methods that encompass a wide range of indicators, from financial performance metrics to qualitative aspects of management, ensuring a balanced and thorough evaluation. The findings of the study reveal a categorization of evaluation methods based on their scope, applicability, and depth of analysis. The authors have meticulously assessed the strengths and weaknesses of each method, offering insights into their suitability for various organizational contexts. This comparative analysis illuminates the complexities and nuances involved in measuring management effectiveness, highlighting the need for a multifaceted approach in this domain. From a practical standpoint, the research contributes significantly to the field by providing guidelines for selecting appropriate evaluation methods that align with the specific needs and objectives of an organization. The insights garnered from this study are instrumental for business leaders and managers in enhancing the decision-making process, facilitating the adoption of strategies that bolster the efficiency and adaptability of management systems. The matrix of comparative analysis of the toolset for economic evaluation of the effectiveness of management systems for business processes in enterprises, developed as a result of scientific research, allows for the selection of an economic evaluation toolset in accordance with the requirements and needs of the evaluation subjects. Ultimately, the article offers a valuable resource for enterprises seeking to optimize their management practices, fostering resilience and competitiveness in the evolving business landscape.

Optimization of engineering for the salt cavern oil storage (SCOS) during construction in China

Salt cavern oil storage (SCOS) is a mature underground energy storage method which is widely used in the EU and US. The construction of SCOS is a complex system that involves all kinds of engineering. In this paper, four typical problems of SCOS engineering are analyzed: economical evaluation, pipeline laying, stability analysis, and operation method. To solve these four typical problems, five mathematical optimization models (fuzzy comprehensive evaluation model, analytic hierarchy process model, grey prediction model, simulated annealing model, and systematic clustering model) are implemented. The key findings show that the investment weight of SCOS is 0.5834, which is the best investment storage method, an improved stability evaluation criterion of the SCOS is adopted based on evaluation score: 0.72–1.0 is stable; 0.54–0.72 is more stable; 0.23–0.54 is a little unstable; 0.01–0.23 is very unstable, and a new salt cavern sediment void oil storage (SVOS) operation method is proposed. The research has a significance for the implementation of large-scale SCOS in China.

OP125 How Can Health Technology Assessment Evolve To Better Consider Benefits For Patients, Their Families, And Carers?

IntroductionIn Australia, technical guidelines for the health technology assessment (HTA) of medical technologies do not formally include broader societal benefits in the base case economic evaluation; they are considered supplementary analyses. If what matters to patients is relevant and valuable, then why shouldn’t these broader benefits play a more important role? This presentation will consider the challenges and opportunities for HTA guidelines to change to allow this, and the broader implications for decision makers.MethodsA targeted literature review was undertaken to assess whether economic evaluation methods and their application in HTA are well positioned to assess what matters to patients. Practical challenges for this will be considered, particularly from the perspective of decision makers having a full understanding of broader societal benefits.ResultsPreliminary findings from the literature review suggested that taking a broader societal perspective in economic evaluations used in HTA has the potential to enable more informed decisions for policy makers. However, there are practical considerations regarding consistent approaches to assessing broader societal and patient benefits.ConclusionsFor decision makers to be fully informed on the impact of their decisions beyond healthcare budgets alone, explicit consideration of a societal perspective is necessary. However, for decisions to be equitable across different patient groups, there must be consistency in methodological approaches. Fixing this current limitation should not prevent HTA from giving what matters to patients a central role now, and refining methods on an ongoing basis.

Economic evaluation of battery energy storage system on the generation side for frequency and peak regulation considering the benefits of unit loss reduction

AbstractThe indirect benefits of battery energy storage system (BESS) on the generation side participating in auxiliary service are hardly quantified in prior works. Nevertheless, the configuration of BESS could be affected by its indirect benefits. In this paper, the authors purpose a quantitative economic evaluation method of BESS considering the indirect benefits from the reduction in unit loss and the delay in investment. First, the authors complete further the cost model of BESS for frequency and peak regulation based on the whole life cycle theory. Second, the authors quantify the indirect benefits of BESS in thermal power plants based on the theory of rotor fatigue life loss and establish a benefits model that considers the unit loss reduction during frequency regulation and the delay in investment during peak regulation. Finally, the authors propose a set of indexes for economic evaluation of the thermal power plant with BESS. The simulation results show that the total benefits of BESS can be improved effectively by considering the indirect benefits from unit loss reduction and the delay in investment, proving the effectiveness of the proposed approach which can be meaningful for the future investment in BESS on the generation side.

International commodity market and stock volatility predictability: Evidence from G7 countries

The existing literature has extensively documented the close connection between commodity and stock markets. This empirical study investigates the predictive role of seven metal commodities (gold, silver, aluminum, lead, copper, zinc, and nickel) in G7 stock volatility. The results of the individual factor analysis indicate that gold and silver outperform their peers in both statistical and economic evaluation methods. To extract comprehensive predictive content, we further investigate the forecasting performance using combination forecast, dimension reduction, and shrinkage methods. Moreover, our empirical results indicate that commodity volatility information can transmit to international equity markets through the ratio of gold to platinum prices (GP) and the ratio of silver to platinum prices (SP).

Adapting Economic Evaluation Methods to Shifting Global Health Priorities: Assessing the Value of Health System Inputs

ObjectivesWe highlight the importance of undertaking value assessments for health system inputs if allocative efficiency is to be achieve with health sector resources, with a focus on low- and middle-income countries. However, methodological challenges complicated the application of current economic evaluation techniques to health system input investments. MethodsWe undertake a review of the literature to examine how assessments of investments in health system inputs have been considered to date, highlighting several studies that have suggested ways to address the methodological issues. Additionally, we surveyed how empirical economic evaluations of health system inputs have approached these issues. Finally, we highlight the steps required to move toward a comprehensive standardized framework for undertaking economic evaluations to make value assessments for investments in health systems. ResultsAlthough the methodological challenges have been illustrated, a comprehensive framework for value assessments of health system inputs, guiding the evidence required, does not exist. The applied literature of economic evaluations of health system inputs has largely ignored the issues, likely resulting in inaccurate assessments of cost-effectiveness. ConclusionsA majority of health sector budgets are spent on health system inputs, facilitating the provision of healthcare interventions. Although economic evaluation methods are a key component in priority setting for healthcare interventions, such methods are less commonly applied to decision making for investments in health system inputs. Given the growing agenda for investments in health systems, a framework will be increasingly required to guide governments and development partners in prioritizing investments in scarce health sector budgets.

Cost-effectiveness of remote monitoring for cardiac implantable electronic devices compared with conventional follow-up: a systematic review

Abstract Background Remote monitoring (RM) of cardiovascular implantable electronic devices (CIEDs) is a form of virtual patient care that involves electronic transmission of CIED diagnostics and remote assessment of this information by clinic staff. Despite expert recommendations advocating its use, adoption remains modest due to inconsistent funding policies across health systems. Purpose This study aims to identify and synthesize existing literature in the cost-effectiveness of RM compared with in-person clinic assessments alone in patients with CIEDs. Methods We conducted a systematic review of available economic evaluations (including cost-effectiveness, cost-utility, cost-consequence analyses) and costing analyses (which examines costs but not clinical benefits) of RM following CIED implantation compared to in-person clinic follow-up alone. Study outcomes included incremental costs, quality-adjusted life years (QALYs), and incremental cost-effectiveness ratio (ICER). Results Of the 1151 unique citations, a total of 27 studies were included. The studies were from Europe (n=20), USA (n=5), or Canada (n=2). Remote transmissions, when detailed in the study, were predominantly patient- and/or physician- triggered, but some also included automatic home monitor transmissions. Fourteen studies (52%) were costing analyses, and the remaining 13 studies were economic evaluations. The majority of studies (78%; n=21) reported cost-savings associated with RM compared to in-clinic follow up alone. Of the 13 economic evaluations, there were 6 cost-utility analyses, which all reported that RM provided additional QALYs for additional costs that met country-specific thresholds for good value in health care. Studies varied greatly in the costs considered, the outcomes measured, and the time horizons used. Conclusion Remote monitoring of patients with CIEDs was associated with cost-savings in most studies and across different healthcare systems. RM may be considered cost-effective when conventional thresholds for good value in health care are adopted. Despite heterogeneity in methods of economic evaluation in the studies included, the overall data in this systematic review supports greater implementation of RM technology to improve health system costs and efficiency.

Economic Analysis of Large-Scale Renewable Energy (RE) Source Investment Incorporating Power System Transmission Costs

Recently, the proportion of renewable energy (RE) sources in a power system has been increasing worldwide to reduce carbon emissions. To effectively accommodate renewable energy, there is a growing need to develop integrated planning strategies for both renewable energy sources and transmission lines in a power system, taking into account the location-specific characteristics of renewable energy. Economically viable and rapid system expansion plans are required to resolve the problem of delayed integration of renewable energy into existing power system, which arises due to inadequate transmission facilities. To address these problems, this paper presents an integrated economic evaluation method that considers the inherently uncertain output characteristics of renewable energy, contingent on location, the costs associated with installing transmission lines, and environmental benefits. The case study is conducted using a modified power system in Korea. In the case study, it is assumed that by integrating solar power generators in a low-demand area and wind power generators in a high-demand area, wind power plants have higher construction costs than solar power generators. However, the transmission costs for wind power plants are lower than those for solar power generators due to the regional characteristics of the power grid in the installation areas because renewable energy in high-demand areas typically requires less additional power infrastructure than in low-demand areas. The results of this study show that the net benefit for the wind power plant is estimated at USD 225.4 M, while the solar power plant yields a net benefit of USD 22.9 M in the example system. These results demonstrate the effectiveness of the proposed method, underscoring its potential to mitigate the challenges faced in the practical implementation of renewable energy projects.

Methods for Economic Evaluations of Novel Oral Anticoagulants in Patients with Atrial Fibrillation: A Systematic Review.

Atrial fibrillation (AF) is a severe epidemiological and public health concern among the elderly population worldwide, with substantial economic and social burdens. Economic evaluations can play an essential role in optimizing the utilization of scarce resources. In recent years, the number of economic evaluation studies related to AF has increased due to the rising number of AF patients, the continuous updating of clinical data, and the emergence of real-world evidence. However, there are still deficiencies in model settings and parameter sources in relevant studies. This study aims to review the existing economic evaluations of novel oral anticoagulants (NOACs) in patients with AF and summarize the evidence and methods applied. A comprehensive and systematic search was conducted on electronic databases, including PubMed, Embase, Web of Science (WOS), and The Cochrane Library, from the date of database creation to November 2022. The reporting quality of included literature was assessed using the Consolidated Health Economic Evaluation Reporting Standards 2022 (CHEERS 2022) statement. A total of 102 studies were included in the review, with 200 comparisons between NOACs and vitamin K antagonists (VKAs), as well as 58 comparisons between different NOACs. The healthcare sector and payer perspectives were the most common, and accordingly, the majority of the evaluations considered only direct medical costs. Most studies used Markov cohort models with the number of health states ranging from 4 to 29. Of included studies, 80 (78%) considered event recurrence and complications, and 78 (76%) considered discontinuation and second-line therapy. All of the studies applied uncertainty analysis to explore the robustness of the results. Of all 200 NOACs-VKAs comparisons, 149 (75%) showed that NOACs were more cost-effective; this proportion was 84% (139 out of 165) in high-income countries but decreased to 29% (10 out of 35) in middle- and low-income countries. Most (82%) of the 28 items in the CHEERS 2022 checklist were elucidated in the majority of included studies. A minority (only 39%) of included studies demonstrated high reporting quality. NOACs may be more cost-effective than VKAs in patients with AF, but this conclusion applies to high-income countries, whereas VKAs may be more cost-effective in middle- and low-income countries. The reporting quality of included studies was variable, and certain methodological issues were presented. This study highlights the economic evaluation methodology of NOACs in patients with AF and provides recommendations for modeling methods and future studies.

Economic Evaluation Method of Modern Power Transmission System Based on Improved Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) and Best-Worst Method-Anti-Entropy Weight

As the demand for power supply increases, the investment in the power transmission system constantly increases. An accurate economic evaluation of the power transmission system is essential for future investment decisions and management. Applying a single method in economic evaluation leads to excessive subjective consciousness and unreasonable weight allocation. The Euclidean distance in the traditional TOPSIS method only partially works on the condition that the criteria are linearly correlated. To solve these problems, an economic evaluation method based on improved TOPSIS and BWM-anti-entropy weight is proposed. For the assignment of weights, the method retains the advantages of subjective and objective weighting methods based on the Nash equilibrium, breaks through the limitation of utilizing a single method, which contributes to one-sided results, and enhances the scientific rigor and rationality of the comprehensive weighting process. Furthermore, based on comprehensive weights, the method improves the TOPSIS by introducing the Mahalanobis distance and Pearson correlation coefficients, which can eliminate the influence of linear correlation. Finally, ten 500 kV transmission and transformation projects are analyzed and ranked to verify the method’s feasibility. Empirical analysis shows that the method can effectively evaluate the economic benefits of the power transmission system.

Cost-benefit assessment of health benefits of local climate action: scoping review

Abstract Background Local climate strategies are often linked to current priorities for transport, housing and planning but the health benefits of these strategies are often neglected in decision making. Economic information on the health benefits of climate action, including return on investment (RoI), would help support adaptation in Local Government. Aim To review methods for economic evaluation of the health benefits of local climate action (adaptation and mitigation) in high income countries. Methods We undertook a scoping review of full economic assessments that considered the health impacts of local climate action. We first reviewed climate actions and strategy documents to identify climate policies, practices and measures. We searched four electronic databases (Global Health, Web of Science, ECONLIT, and MEDLINE via OVID) for studies published from 2000 to 2022. Results 26 studies were identified. The economic assessments covered a range of interventions, mostly for mitigation objectives: active travel (n = 10); housing (n = 6), green infrastructure (n = 4), heatwave warning systems (n = 3), transport (n = 1), and food waste (n = 1). A limited range of economic methods were used, with most using benefit-cost ratios (BCR) as a measure of cost effectiveness (n = 14). The range of health outcomes that were monetised was even more limited, either benefits from reduction in indoor or ambient heat and/or air pollutants (PM) on mortality or increased physical activity. Conclusions Currently there is limited economic evidence to support decision-making for local climate action that takes health into consideration. Climate actions may also incorporate nature-based solutions but these have specific challenges for evaluation and valuation. There is a need to develop standard methods to allow decision makers to evaluate the most appropriate strategies.

Critical Assessment of An Economic Evaluation of a Healthy Lifestyle Intervention for Chronic Low Back Pain (LBP)

Abstract Background: Globally, chronic low back pain (LBP) contributes significantly to the overall burden of disease, placing a heavy load on society through absenteeism and associated healthcare costs. Finding cost-effective measures to treat and prevent low back pain is therefore of utmost importance. Methods: A critical assessment of the study by Williams et al 2018 was performed by using a variation of the well-known Drummond’s checklist for the critical appraisal of economic evaluations. Results: The authors performed appropriate statistical analyses using the available data. Means and proportions of baseline characteristics of the intervention group were compared to those of the control group to evaluate their comparability. Conclusion: Upon thorough assessment of the appropriateness of the economic evaluation methods used by Williams et al., it is conclusive that the validity of their results is valuable and trusted to a degree, soundly achieving many of the listed Drummond et al requirements, yet failing to take into account a few aspects that grant some weaknesses to the study.

Evaluation of the efficiency of internet marketing in electronic business

The interactivity of information flows is becoming a major success factor and leading to significant changes in the field of e-business. The main purpose of the study is to evaluate the effectiveness of Internet marketing in e-business. It has been determined that ensuring business efficiency is inextricably linked with the use of Internet technologies in building communications with the target audience, logistics and supply chain management. The need for the introduction of Internet marketing in electronic business is highlighted to achieve and ensure efficiency, profitability and fulfillment of key KPI indicators. The method of economic and statistical analysis and evaluation of the effectiveness of Internet marketing in the context of e-business sectors in the world was applied. The key theoretical aspects of e-business development and its main directions are considered. The main indicators for evaluating the effectiveness of Internet marketing in e-business are identified, which allow determining the final structure of Internet marketing effectiveness indicators by industry. The organization of electronic business based on the proposed KPI indicators will provide a function to control the effectiveness of marketing, logistics, which is achieved by increasing conversion, reducing costs and improving competitive positions. A statistical analysis of world sales volumes in the field of e-business was carried out using Internet marketing tools. The results of the study, in contrast to existing approaches, made it possible to substantiate the need to apply in practice the formed methodology for the formation of KPI indicators their further control to ensure the effectiveness of Internet marketing.

Features of Standardization of Methods for Economic Evaluation of Machine Technologies for Crop Production

The features of standardization of methods of economic assessment of machine technologies of plant growing in the developed draft of the interstate standard are given.

Validating the rigour of adaptive methods of economic evaluation

BackgroundThere has been a lot of debate on how to ‘generalise’ or ‘translate’ findings of economic evaluation (EE) or health technology assessment (HTA) to other country contexts. Researchers have used...

Дослідження методичних підходів до економічної оцінки інтелектуальної власності

The article examines both national and international methods of economic evaluation of intellectual property objects, which represent a complex of interrelated norms and rules that determine the concepts and principles of evaluation. The first group includes methods and methodological recommendations based on the cost assessment of the costs of creating intellectual objects and income from their consumption. The second group includes methods and methodical recommendations, in which the assessment of intellectual and innovative activity is considered from the standpoint of the effectiveness of investments in intellectual and innovative projects. The third group of methods for evaluating the effectiveness of intellectual products is used in close relationship with the type of effect that can be obtained when consuming intellectual property. The fourth group of methods evaluates the effectiveness of intelligent products and involves carrying out appropriate calculations at individual stages of their life cycle.

Energy, exergy and economic evaluation of a solar enhanced ejector expansion heat pump cycle

Recently, heat pump technology has become the preferred method in drying field. However, most existing heat pump cycles use the single-stage vapor compression with expansion valve, which has the problem of large throttling loss. The use of ejector in the heat pump cycle can recover part of the expansion work and enhance cycle performance. Therefore, this paper proposes a solar-enhanced ejector expansion heat pump cycle (SEEHP) for drying application. Based on the conventional ejector expansion heat pump cycle (EEHP), the introduction of solar energy could not only improve the heating capacity of the cycle, but also improve the performance of the ejector. The energy, exergy and economic evaluation methods are used to theoretically analyze the EEHP and SEEHP. Compared to the EEHP, the energy analysis shows that the SEEHP with R134a refrigerant has a 23.64%–39.82% increase in heating coefficient of performance (COPh) and 32.79%–33.96% increase in volumetric heating capacity (Qcv) for the given condensing temperature range. Exergy analysis results reveal that the exergy destruction of SEEHP is mainly concentrated in the solar collector, indicating that the solar collector has the greatest potential for optimization in practical application. Economic analysis shows that investing in solar energy in the SEEHP is beneficial.

Investigation into Mining Economic Evaluation Approaches Based on the Rosenblueth Point Estimate Method

Conducting technical and economic evaluations is important for mining investment and mining operation decision-making. Traditional economic evaluation methods rarely address the issue of evaluation reliability and usually require complex calculations to obtain the optimal solution. In this study, the Rosenblueth point estimate method for reliability evaluation of engineering project schemes is introduced. Combined with the cash flow method for economic evaluation of mines, the Rosenblueth point estimate method for evaluating the reliability of mining economy is established. Based on the technical and economic index of the case mine, taking the ore grade as a sensitivity indicator, empirical research on established models and methods was carried out. The results of the economic reliability evaluation and the variation rules obtained using the Rosenblueth point estimate method model were basically consistent with the actual production and operation rules of mining enterprise. The similar results also proved that the proposed model has good applicability and reliability for mining economic evaluation. Using the proposed RPEM economic reliability model, the economic reliability of a certain iron mine in Liaoning Province was calculated to be 99.95, which was a huge improvement compared with the traditional evaluation method. Additionally, the calculation process of the proposed model for economic reliability evaluation is simple and the accuracy is controllable. The economic reliability of the project can be calculated based on changes in sensitivity indicators, and the value range of sensitivity indicators can also be calculated through the required reliability. The obtained results and the proposed evaluation model provide a decision-making basis for mining investment projects and operation management.

Real-time economic and safe operation diagnosis of hydropower units

In order to ensure the safety and economy of the operation of hydropower units under the big data technology application platform and the automatic generation control system, and to tap the maximum power generation potential of the units, an effective method of economic operation evaluation of hydropower units combined with state diagnosis is proposed. Taking Unit 1 of Longtan Hydropower Station as an example, the economic evaluation and status diagnosis of the daily operating conditions are carried out, the real-time efficiency of the turbine is queried through the unit operating conditions data, and the economic operation of the unit is comprehensively evaluated using the standard water consumption index. In addition, the real-time operation condition of the unit shall be diagnosed according to the working condition zoning diagram, and the economic operation condition shall be combined with the unit state operation condition for joint assessment. It is strictly forbidden to operate the unit in the vibration zone and the vortex zone and it is determined that the unit can maximize the power generation efficiency after operating in the safe operation zone.

A systematic literature review of economic evaluation studies of interventions impacting antimicrobial resistance

BackgroundAntimicrobial resistance (AMR) is accelerated by widespread and inappropriate use of antimicrobials. Many countries, including those in low- and middle- income contexts, have started implementing interventions to tackle AMR. However, for many interventions there is little or no economic evidence with respect to their cost-effectiveness. To help better understand the scale of this evidence gap, we conducted a systematic literature review to provide a comprehensive summary on the value for money of different interventions affecting AMR.MethodsA systematic literature review was conducted of economic evaluations on interventions addressing AMR. a narrative synthesis of findings was produced. Systematic searches for relevant studies were performed across relevant databases and grey literature sources such as unpublished studies, reports, and other relevant documents. All identified economic evaluation studies were included provided that they reported an economic outcome and stated that the analysed intervention aimed to affect AMR or antimicrobial use in the abstract. Studies that reported clinical endpoints alone were excluded. Selection for final inclusion and data extraction was performed by two independent reviewers. A quality assessment of the evidence used in the included studies was also conducted.Results28,597 articles were screened and 35 articles were identified that satisfied the inclusion criteria. The review attempted to answer the following questions: (1) What interventions to address AMR have been the subject of an economic evaluation? (2) In what types of setting (e.g. high-income, low-income, regions etc.) have these economic evaluations been focused? (3) Which interventions have been estimated to be cost-effective, and has this result been replicated in other settings/contexts? (4) What economic evaluation methods or techniques have been used to evaluate these interventions? (5) What kind and quality of data has been used in conducting economic evaluations for these interventions?DiscussionThe review is one of the first of its kind, and the most recent, to systematically review the literature on the cost-effectiveness of AMR interventions. This review addresses an important evidence gap in the economics of AMR and can assist AMR researchers’ understanding of the state of the economic evaluation literature, and therefore inform future research.Systematic review registration PROSPERO (CRD42020190310).