Objective: This paper takes the implementation of DRG payment reform in a tertiary medical institution as the research object, discusses the implementation path of DRG payment in public medical institutions, and provides suggestions for the development of DRG payment reform. Methods: According to the data of DRG payment reform, a DRG payment management model was constructed by Visio 2003 process modeling method. Results: Through the analysis and summary of all aspects of DRG payment, the responsibility and division management model diagram of hospital departments and the DRG implementation path model diagram based on key elements were constructed. Conclusion: The hospital should strengthen the coordination of all departments, clarify the responsibilities and divisions, reengineer the key process, strengthen the cost-benefit management, standardize the behavior of diagnosis and treatment, and restrain excessive medical treatment.