Utilization of efficiency analyses in an educational department: making an informed decision.

The decision to utilize cost-benefit and cost-effectiveness analysis in a hospital education department may not represent the most efficient use of the department's resources. To make an informed decision requires an understanding of the potentialities and limitations of efficiency analysis and an appraisal of the decision's impact on the department. A critical examination of the pros and cons of cost-benefit and cost-effectiveness analysis is presented, followed by a suggested framework for decision-making.