Health care industry has remained behind other sector in terms of objectives performance evaluation perhaps is more serious in developing countries as compared to their counterpart (developed countries). This study measures and compares efficiency of Council Designated Hospitals (CDHs) and Volunteering Agency Hospitals (VAHs) in Tanzania. The study employs 34 hospitals (17 CDHs and 17 VAHs) in a non-parametric approach, known as Data Envelopment Analysis (DEA) model in the study period that cover 2009 to 2013. The study adopted Mann Whitney U to test the null hypothesis that mean distribution is equal across the CDHs and VAHs. The variables used include inpatients days, outpatients visit, and total surgical operation as the outputs, while the hospitals beds and full time equivalents (FTEs) were adopted as hospitals’ inputs. Findings records that mean variable return to scale (VRTS) technical