This paper studies the function orientation of different types and levels of public hospitals in China. Through the hierarchical diagnosis and treatment perspective to examine the functional status of public hospitals and hierarchical division of the status quo, found that the current functional orientation of the problems and shortcomings, Analysis of their impact on the medical order . Functional evolution of public hospitals should follow the hierarchical and differentiated development principles, and all levels of hospitals need to be repositioned in the background of the hierarchical diagnosis and treatment