The State Council has released a guideline on establishing a modern hospital management system.

According to the guideline, the new system should focus on serving people’s diversified needs in health care with affordable, fair, and inclusive services.

Meanwhile, public hospitals should maintain their non-profit status under the direction and supervision of governments.

It is projected that by 2020, a modern hospital management system with clear responsibilities, scientific management, efficient operation and effective supervision will be established.

To upgrade the current hospital management system, every hospital should formulate its own charter to clarify its nature, direction, source of funds, and rights and liabilities of its employees.

The decision-making mechanism should also be improved, with hospital directors responsible for all matters related to medical care, education, scientific research and administration, while decisions should be made through work meetings.

In addition, the management of medical care safety and human resources should be improved with better finance, assets management, and performance assessment in place.

Talent training and scientific research are also highlighted in the guideline to raise competitiveness and treatment at hospitals.

According to the guideline, governments should exercise power in governance, development, key decision-making, assets, and other major matters, while allowing hospitals to decide their organization structure, recruitment and other operational affairs.

Governments should also enhance supervision on medical care quality, fees, prescription drugs and illegal behaviors.

Meanwhile, hospitals must enhance their self-discipline, and release information on quality, safety, pricing, financial status, performance assessment and other key matters for public supervision.