AbstractAimsThe goal of this research is to propose a simpler and more efficient model for evaluating healthcare establishments (HCEs). With this motivation, this study aims to discover key performance indicators (KPIs) that affect HCE performance, present a ranking model for KPIs in Indian HCEs, and evaluate Indian HCEs using the identified and prioritised KPIs.Material and MethodsThrough extensive literature review and expert opinions, this research identifies the various KPIs in HCEs, classifies them into six main categories, and prioritises them using the full consistency method (FUCOM). Further, well‐known HCEs across northern India were evaluated and ranked using Measurement Alternatives and Ranking according to Compromise Solution.ResultsThe ‘technology adoption related indicators’ is found as the most important main KPIs, whereas ‘adequate number of hospital beds and bathrooms (IE5)' as the most dominating sub‐category KPIs. Also, amongst the 20 evaluated Indian HCEs ‘healthcare establishment‐1 (HCE1)’ was found to be the best performing HCE while ‘healthcare establishment‐12 (HCE12)’ was found to be the worst‐performing HCE. The stability and consistency of the results are ascertained by performing sensitivity analysis and comparing the results with other existing methodologies.ConclusionThe findings of this study are quite important for HCEs management to fully comprehend the key areas to improve upon so that managers can improve medical standards in a targeted manner. The developed prioritisation model and methodology shown in this paper will help and motivate managers and intellectuals of HCEs to evaluate and improve the HCE's performance.