Trust and explicit transparency must be the prerequisite to value creation if the value has to be sustained in the long run. “So creating value today is not only about the quality of the product or service we deliver. It’s very much about the quality of a firm’s conduct, both internally and externally” (Prahalad, 2014). The Triple aim (Berwick, Nolan, & Whittington, 2008) outlines three major goals and it also reveals the naked lack of accountability in the US healthcare system. The concept of an integrator, as proposed in the Triple aim, is the closest thing to accountability that a consumer can grasp without needing a dictionary of terminology. Keeping the three pillars (better care, targeted health, cost) in mind and the absence of …show more content…
Hospitals are viewed unfavorably by most patients for the elevated (and often surprise) costs, care quality, and their lack of follow up to the provided care. “Who could feel sympathy for a billion-dollar corporation?” (Gunderman, 2013). Our payor-driven (as opposed to consumer-driven) health system has resulted in inflated costs, increased waste, and a race where executives continuously search for ways to increase their revenue share to stay relevant in market size, instead of improving patient care quality. Unfortunately, the increased level utilization linked payment system discourages investment in the most basic mantra: health quality.
Even though it’s not mentioned under the Triple aim, I believe that physicians stand to gain the patients’ trust (see table above) which is now ranked at 24, behind almost all major industrialized and first world nations. “But it is deeply disturbing that the more general reputation of the medical profession is in decline” (Ubel, 2014). I will argue that physicians will also gain value by working in teams and share the burden of responsibility for patient caring. Being a physician can often be a lonely experience and receiving additional support can sometimes alleviate unnecessary pressure. According to a Harvard Business Review article by Porter & Lee (2015), Geisinger Health System based in Pennsylvania utilizes pharmacists along with the medical care team for patients with chronic
Moreover, we see that some providers are focusing on what providers do and how they get reimbursed rather than what the patient needs, which is a focus that does not prioritize quality of care and therefore does not align with the Triple Aim framework. The problem presented regarding this matter is that the health care system lacks a patient-focused care of medical conditions that puts patients and their health needs first. For example, when we think of provider reimbursement, it is not in the patient’s best interest for the system to only have a simple fee-for-service structure. A structure like this one will only lead to an increase of health care expenses. Also, it fails to incentivize high-value service, which also does not align with the Triple Aim framework health care providers should go by. It is very crucial for the health care system in the United Stated to find a better balance between medical groups reimbursement and patients needs in order to reduce the risk of overutilization.
Healthcare is in a constant state of change with movements that impact rates, access and quality of care. Hospitals have become more competitive due to the rising cost of care delivery and the reduction in reimbursement from payers. This causes difficulty in delivering quality care to all patients, which is being measured by mandated patient perception surveys, Hospital Consumer Assessment of Healthcare Providers and Systems (HCAHPS). HCAHPS scores are part of value
Over the course of our countries history, the delivery of our health care system has tried to meet the needs of our growing and changing population. However, we somehow seem to fall short in delivering our goals of providing quality, affordable and accessible healthcare to our citizens. The history of our delivery system will show we continuously changed the delivery of our system however never mange to control cost. If we can come up with efficient ways to cut cost, the delivery of quality care will follow.
In 2012, the ACA found an excessive amount of readmissions of patients that were hospitalized within 30 days for the same medical conditions. This factor viewed under the ACA as a quality issue and CMS implemented value-based incentive payments based on performance in a set of quality measures. The plan is to implement a pay for performance (P4P) in formulas used by Medicare to reimbursement providers. “The objective is to link reimbursement to quality and efficiency as an incentive to improve the quality of health care, as well as reduce system-wide costs” (Shi and Singh, 2015). In addition to the P4P, nonprofit hospitals also focus on continual improvement, data and cost containment throughout the organization (Adamopoulos,
Hospitals should be encouraged to participate because improving hospital care is likely to be essential to success (McClellan et al, 2010). Accountable care organizations can be implemented through different payment models. These could include opportunities to share in demonstrated savings within a fee-for-service environment, in which providers took on no new financial risk. They could also include limited or substantial capitation arrangements, in which payments were unrelated to the volume of services provided, to the intensity of service use, or to the frequency of face-to-face meetings, and in which providers took on some financial risk for poor-quality results or failure to control costs (McClellan et al,
Though the spending has lessened in recent years ,when compared with other economically developed countries the cost of the health care in U.S is much higher and ranks poorly on quality indicators (Burke & Ryan, 2014).Evidence suggest that patient quality outcomes not generally correlated with variation spending .Beneficiaries are expected and deserved for high quality care within affordable
Ransom, E. R., Joshi, M. S., Nash, D. B., & Ransom, S. B. (Eds.). (2008). The healthcare quality
Healthcare in the U.S is most expensive than any other developed country. The U.S spends far more on per capita as compared to any other developed. U.S scores low on many outcome measures, inefficiencies and wastes and quality measures as compared to other countries. The Patient Protection and Affordable Care Act is developed to strengthen these failures in the health care system. The U.S healthcare is transforming care from volume based reimbursements to value based payments. The healthcare law works around providing more patient centered care and better preventive care. One of the payment reforms with Obamacare is to penalize the hospitals with high readmission rates for the three conditions – Acute Myocardial Infarction, Heart Failures and Pneumonia.
Through the history of health care, the standard of care changed from protecting our patient from injury and illness to a systemic entity to make money for insurance companies. Access to services and clinical outcomes are dependent on what health insurance providers will “pay” for in a clinical or community setting; as a result, patient safety, care and satisfaction has been negatively impacted.
The Affordable Care Act (ACA) legislated in 2010, has changed the United States health care industry. In addition to universal healthcare, one of the principles of the ACA is the ideal of accountable care. Specifically, adopting an Accountable Care organization (ACO) for Medicare beneficiaries under the fee for service program. An ACO seeks to hold providers and health organizations accountable for not only the quality of health care they provide to a population, but also keeping the cost of care down (1). This is accomplished by offering financial incentives to the healthcare providers that cooperate in, circumventing avoidable tests and procedures. The ACO model, seeks to remove present obstacles to refining the value of care, including a payment system that rewards the volume and intensity of provided services instead of quality and cost performance and commonly held assumptions that more medical care is equivalent to higher quality care (2) .A successful ACO model, will have developed quality clinical work and continual improvement while effectively managing costs, however this is contingent upon its ability to encourage hospitals, physicians, post-acute care facilities, and other providers involved to form connections that aid in coordination of care delivery throughout different settings and groups, and evaluate data on costs and outcomes(3). This establishes the ACO will need to have organizational aptitude to institute an administrative body to manage patient care,
Quality and financial viability being closely tied is an extremely salient point. Furthermore, the Affordable Care Act has influenced the requirement for high-quality, cost-effective care provision by implementing Value Based Purchasing (Aroh, Colella, Douglas, & Eddings, 2015). In addition, there are presently Centers for Medicare and Medicaid (CMS) quality indicators that effect reimbursement for hospitals (Xu, Burgess Jr, Cabral, Soria-Saucedo, & Kazis, 2015). For example, if a facility does not meet the indicator threshold for catheter associated urinary tract infections, central line infections and/or pressure ulcers their reimbursement is affected. Given that the quality of care provided by a hospital is
The patchy and skewed state of the U.S. health care system has become an advocate for payment and delivery system reforms. Traditional fee-for service (FFS) payment structures increase volume rather than quality care, and lead to a provision of medical services across the disjointed provider scenery. Despite several attempts to recover care delivery, health care costs continue to escalate. The Accountable Care Organization (ACO) model seeks to reverse the trends by stimulating a synchronized restructure of the payment and delivery systems to attract higher quality, lower cost care.
In the early 2000s, serious deficiencies in quality health care had been highlighted by the Institute of Medicine (James, 2012). Recently, the use of financial incentives to reward for improving quality of care is a growing interest for many. Pay-for-performance programs provide bonuses to health care providers for meeting or exceeding quality measures. However, physicians in the United States have traditionally been paid for quantity versus quality of care (Blum, 2011). Utilizing incentive models, such as patient-centered medical home, pay-for-performance, and the fee-for-service payments are the most commonly used programs. Incentive programs may also reward on improvements that occur over time, such as year-to-year decreases in hospital readmission rates or decreasing hemoglobin A1c values in diabetic patients (Blum, 2011). Hospital can incur financial penalties under the Medicare guidelines for individuals who acquire certain preventable conditions during their hospital stay, such as urinary tract infections from use of catheters and pressure ulcers. However, there is insufficient evidence to support whether or not financial incentives improve quality of primary health care. In addition, it is unclear whether financial incentives could potentially cause harm as they only incentivize based on certain health indicators. Therefore, physicians may spend more time focusing on meeting those indicators while paying less attention to other important issues
Quality is one of the most essential elements of healthcare. As stated by the Agency of Health Research and Quality, “Everyday, millions of Americans receive high-quality health care that helps to maintain or restore their health and ability to function” (Agency of Health Research and Quality, 2014). Improvements have become vital to the success of health care organizations and in the Healthcare Quality Book, it is explained that quality in the U.S. healthcare system is not at the standard that it should be (Ransom, Joshi, Nash & Ransom, 2008). Although this has been a reoccurring issue, attempts to fix the insufficiency have been less successful than expected.
Hospitals and health systems in the U.S. are experiencing a remarkable transformation in their business models directed from numerous influences that are projected to ultimately turn the industry around. Pressures include providers troubled with the quantity of services they are responsible for, to providers who concentrate on presenting high-cost services that give emphasis to sustaining healthy populations (Dunn & Becker, 2013).