Abstract: The present invention is directed to a system and method for enabling physicians and hospitals to objectively reduce clinical and operational variations, which act to improve the quality and cost efficiencies of care. More particularly, the present invention describes medical processes and their enabling technologies that hospitals and physicians may use to objectively identify and replicate physicians and hospital's best clinical and operational practices. The present invention does so by quantifying clinical variation between each physician's best-demonstrated use of specific medical resources and his/her inefficient use of those resources. With his or her own variations quantified, the doctor then compares the variations to those of peer physicians in the hospital who manage similar patients.