In the near future, the German legislative and health insurance agencies will increasingly demand proof of quality in hospital health care. The role of quality management in hospitals is emphasized by the introduction of per-case payment (DRG) in Germany. The implementation of internal quality management at an early stage sets the course of a systematic and continuous quality improvement process, with the goal to increase performance and results by efficient utilization of resources. The decision for or against one or another quality management model appears to be difficult, since the possible impacts of the quality management system can hardly be foreseen. As this article shows, the Self-Assessment method of the European Foundation for Quality Management (EFQM) provides a valuable and efficient tool to introduce quality management in a hospital environment. The Self-Assessment method enables a systematic survey of levels of performance and outcome of the hospital. Furthermore, it provides an appropriate basis to identify areas of strengths and weaknesses. A high degree of motivation of the personnel is fostered by the creation of a local guidance circle, a coordinating group, and several Self-Assessment teams. However, formulation and deployment of improvement actions are necessary for the long-term implementation of quality management. The application of Self-Assessment in quality management appears a suitable tool to promote excellence.