The hospitals performance management model presents a series of advantages compared to the models currently used in Romania. Its main advantage compared to these is the fact that the management decisions and actions at a strategic and tactical level are connected to the system of performance planning and monitoring. The present performance management systemsare mainly oriented towards the idea of reporting the level of performance by producing data following a series of indicators, their limitation being the disconnection between the measurement of the indicators and management actions which have not been correlated with anykind of strategic priorities. The suggested model comes to correct this vision in order tocreate a complete frame in which a valid hospital performance management can take place.