Healthcare Cost Containment: October 2017

Healthcare Cost Containment subscribers can access the individual articles and web exclusives listed below.

Performance Improvement

Benchmarking Helps OSF HealthCare Save $160M Annually

By David Stenerson and Linda Albery

Spurred by a drop in operating income, OSF HealthCare embarked on a clinical and financial improvement initiative that has saved the organization $160 million each year.

Web extra: OSF HealthCare Accelerated Clinical and Cost Transformation Program brochure

Containing Clinical Costs

Using Artificial Intelligence to Reduce Long-Term Care Costs and Improve Patient Outcomes

By Piali De, Keiron Stoddart, and Tom George

A two-year study found that technology support for assisted living facility caregivers resulted in a 45 percent increase in patient aging in place, allowing for better quality of life for residents and cost savings of approximately $50,000 per patient per year.

Operational Strategy

Striving for Cost Optimization Instead of Cost Cutting

By Jacques Mulder and Carole Faig

Cost optimization involves more than cutting a set percentage from the traditional targets, such as labor, real estate, or IT. Cost optimization is an enterprisewide effort, requiring leaders to reset their operational strategies and align with value-based payment models.

Value-Based Care

Targeted Care Integration Can Help Drive Success Under Risk Contracts

By Laura Ramos Hegwer

Providers can avoid many of the missed opportunities associated with risk contracts by carefully reviewing the targeted patient population, narrowing the number of performance metrics, and selecting the right clinicians to participate.

Cost Transformation Strategy

New Survey Finds Current Cost Transformation Initiatives Lack Required Urgency

By Todd Fitz

From our sponsor Kaufman, Hall & Associates

Healthcare executives responding to a recent survey overwhelming agree that transforming costs is a “significant” or “very significant” need, but more than 50 percent have no cost reduction targets for the next five years or have a 1-5 percent goal—a range that is far below what will be required to transform cost structures.

Healthcare Costs at a Glance

Using Physician Assistants Can Save Costs

Using more physician assistants can save healthcare costs and hospital salaries.