Value-Based Healthcare: What is it and how do we implement it?
by Ana Díaz-Roncero, June 09, 2021
As we have seen recently, life expectancy in developed nations is increasing, having reached an average of 81 years across Europe, according to the Spanish National Statistics Institute in 2018. However, this increase in life expectancy is accompanied by an increase in chronic diseases and the related healthcare burden. This makes it ever more important to optimize the healthcare processes and make them more efficient. To do that, Value-Based Healthcare will play a critical role in the near future.
Value-Based Healthcare is a term introduced by Michael Porter. It refers to a model in which healthcare providers receive their payment as a function of patient outcomes. These results are measured based on the improvement in patient health, the reduction of the effects and incidence of chronic diseases, and the improvement in their quality of life, all based on the evidence. As a result, the big difference from the current model is that it is not centered on the process, but on the outcomes, and it puts the patient at the center.
To make this model work, it is critical to measure the patient outcomes and compare them with the related costs, with the goal of achieving more efficient processes. This model is already demonstrating promising results in patient benefits, at the same time as it reduces healthcare costs, as can be seen in the bibliographic review, “Value-Based Healthcare in Urology: A Collaborative Review”. For example, this model enables quicker recovery, an improvement in quality of life, and a reduction of physician visits and treatment costs.
One of the methods that is used most often for measuring outcomes in this model is the collection of data directly from the patient through PROMs (Patient-Reported Outcome Measures) and PREMs (Patient-Reported Experience Measures). Those forms are extremely useful in outcome-based medicine, as they enable a focus on the patient using the information that he or she provides, identifying opportunities for improvement, based on the evidence. In this way, the approach facilitates an analysis of the efficacy and profitability, improving decision-making and the services provided to the patient.
For the collection and analysis of the PROMs and PREMS, technology is a great partner, as it not only facilitates this process of capturing and analyzing the data, but also improves the exchange of this information and the coordination between healthcare providers. In addition, in the article “Value-based care in the worldwide battle against cancer”, it is confirmed that the use of technology enables the reduction of the potential loss of data, by avoiding paper records, which is critical for correct measurement of the outcomes.
To achieve this goal, at Persei vivarium we rely on Caaring®, our digital platform for remote patient monitoring. Among other features, this platform enables the collection of PROMs and PREMs directly from the patient, complementing the physician’s information and facilitating its subsequent analysis. In this way, it helps implement this outcome-based model.
With the appropriate technology, we will easily be able to measure the efficiency of the healthcare process. The transition from fee-for-service payments to outcome-based payments will thus enable us to not only reduce costs, but also to increase the quality of the care and improve the patient’s quality of life. If we really want to put the patient at the center, we must move toward this model, considering its benefits, measuring our progress, and implementing the most efficient solutions from the point of view of the patient’s health.