Creating diagnostic related groups: a manageable way to deal with DSM-III.

Diagnostic related groups (DRGs) are being adopted as a practical tool in psychiatric classification, as well as a means of reducing health care costs. This study highlights a step-by-step description of the development of 16 outpatient and 14 inpatient DRGs from DSM-III Axis I and Axis II diagnoses on a sample of 591 children (ages 6-14). A plan for the application of diagnostic rules is presented, and issues of generalizability among different treatment populations are discussed.