Corporate Services Expense Ratio (CSER)
A high percentage indicates that administrative costs are a large portion of total expenses; a low percentage indicates that administrative costs are a small portion of total expenses.
The indicator is calculated by dividing the legal entity's administrative expenses net of recoveries (including expenses for administration, finance, human resources and communications) by total expenses net of recoveries.
The unit of analysis of this indicator is a dollar of expense. The indicator is expressed as the percentage of total expenses that are in administrative departments. The indicator is calculated by fiscal year.
The denominator includes all expenses net of recoveries.
The numerator includes all expenses associated with the administrative, finance, human resources and communications functional centres.
Methodology
Name
Corporate Services Expense Ratio (CSER)
Short/Other Names
Administrative Service Expense as a Percentage of Total Expense (previously called Administrative Expenses)
Description
This indicator measures the percentage of the legal entity's total expenses that were spent in administrative departments such as finance and human resources.
Rationale
The indicator can be used by legal entities to determine whether their administrative expenses should be increased or decreased relative to their total expenses.
The indicator is influenced by finance, administrative, human resources and communications expenses, in proportion to total expenses.
This indicator can be used to improve cost-efficiency.
Interpretation
A high percentage indicates that administrative costs are a large portion of total expenses; a low percentage indicates that administrative costs are a small portion of total expenses.
HSP Framework Dimension
ºìÁì½í¹Ï±¨ system inputs and characteristics: Efficient allocation of resources
Areas of Need
Not applicable
Targets/Benchmarks
Not applicable
Available Data Years
to (fiscal years)
Geographic Coverage
- Newfoundland and Labrador
- Prince Edward Island
- New Brunswick
- Nova Scotia
- Quebec
- Ontario
- Manitoba
- Saskatchewan
- Alberta
- British Columbia
- Yukon
- Northwest Territories
Reporting Level/Disaggregation
- National
- Province/Territory
- Region
- Facility
Others: This indicator is calculated at the level of the legal entity and then aggregated to the regional, provincial/territorial and national levels. For Quebec, the établissement is the legal entity. For Ontario, hospitals and non-hospitals are the legal entities. For Yukon, the Yukon Hospital Corporation is the legal entity. For all other jurisdictions, the regional health authority is considered the legal entity.
In Ontario, non-hospitals are not reported at the facility level but are included in local health integration network (LHIN) and province-level calculations. Some non-hospitals are excluded due to data quality concerns.
Results for Manitoba and British Columbia are reported only at the provincial level due to certain limitations.
Indicator Results
Update Frequency
Every year
Latest Results Update Date
Updates
Not applicable
Description
The indicator is calculated by dividing the legal entity's administrative expenses net of recoveries (including expenses for administration, finance, human resources and communications) by total expenses net of recoveries.
The unit of analysis of this indicator is a dollar of expense. The indicator is expressed as the percentage of total expenses that are in administrative departments. The indicator is calculated by fiscal year.
Type of Measurement
Percentage or proportion
Denominator
Description:
The denominator includes all expenses net of recoveries.
Inclusions:
Codes include, for all functional and accounting centres, 7* and 8*, as well as secondary financial accounts 1 2* and 3* to 9*. External recoveries are netted to reflect the organization's expenses only.
Exclusions:
Internal recoveries (except for 1 28 Sales Revenue) are netted to offset interdepartmental transfers.
Amortization — Undistributed (9 50) and Net Gain or Loss on Disposal — Undistributed (9 51)
Numerator
Description:
The numerator includes all expenses associated with the administrative, finance, human resources and communications functional centres.
Inclusions:
Codes include functional centres 7* 1 10, 7* 1 15, 7* 1 20 and 7* 1 30, as well as secondary financial accounts 1 2* and 3* to 9*. External recoveries are netted to reflect the organization's expenses only.
Exclusions:
Internal recoveries (except for 1 28 Sales Revenue) are netted to offset interdepartmental transfers.
Amortization — Undistributed (9 50) and Net Gain or Loss on Disposal — Undistributed (9 51)
Method of Adjustment
Not applicable
Adjustment Applied
None
Geographic Assignment
Place of service
Data Sources
- CMDB
Caveats and Limitations
The indicator is calculated at the legal entity level. For most jurisdictions, this is the health region. However, for Quebec, the établissement is the legal entity; for Ontario, hospitals and non-hospitals are the legal entities; and for Yukon, the Yukon Hospital Corporation is the legal entity.
In Ontario, non-hospitals are not reported at the facility level but are included in LHIN and province-level calculations. Some non-hospitals are excluded due to data quality concerns.
Results for Manitoba and British Columbia are reported only at the provincial level due to certain limitations.
Trending Issues
Not applicable
References
Not applicable
How to cite:
Canadian Institute for ºìÁì½í¹Ï±¨ Information. Corporate Services Expense Ratio (CSER). Accessed April 3, 2025.
If you would like ºìÁì½í¹Ï±¨information in a different format, visit our Accessibility page.
Comments
Not applicable