Pay for Performance is more than just a buzz word in healthcare. With the resolve of Obama Administration to bring cost savings and quality improvement initiatives to healthcare, it is imperative that healthcare organizations see the direct bottom-line impact based on their performance. The President has stressed that healthcare is about quality, not quantity.
“Replicating best practices. Incentivizing excellence. Closing cost disparities. Any legislation sent to my desk that does not achieve these goals does not earn the title of reform.”
– President Obama (in a speech on June 15, 2009 at AMA meeting in Chicago)
One of the key performance frameworks is the Hospital Quality Initiative (HQI) adopted by Centers for Medicare and Medicaid Services. Originally announced in November 2001 by the Department of Health and Human Services (HHS) and the Centers for Medicare & Medicaid Services (CMS), HQI intended to assure quality health care through accountability and public disclosure. It is inevitable that hospitals perform below a certain threshold per this framework will bear financial penalties and dire business consequences dictated by the new administration’s policies.
Following is a link to the summary statistics for clinical process measures reported by thousands of participating hospitals: https://www.cms.hhs.gov/HospitalQualityInits/Downloads/HospitalNationalLevelPerformance.pdf
Healthcare organizations providing in-patient and/or out-patient clinical services need to proactively monitor their performance against the reported benchmarks and continually improve their processes. A proven tool for monitoring “pay for performance” in healthcare is a dashboard that helps compare a specific facility’s performance against the national percentiles for all relevant clinical measures.
Constant measuring and monitoring of performance metrics along with an organizational mandate to improve the relative position against national benchmarks is bound to improve the quality and performance overall.
What performance initiatives have been launched in your organization?
President & CEO, iDashboards