Hospitals, health systems and value-based payment: How do they work together?

The pressure to improve healthcare outcomes and reduce unnecessary use of healthcare resources weighs heavily on hospital and health system administrators working with tight margins. Success under value-based payment requires new data, sophisticated analytics and different approaches to care delivery---all of which add cost.  Improvements in value-based care delivery reduce the use of the emergency department and inpatient beds and thus reduce the main source of hospital and health system revenue.

Mark Sonneborn from the Minnesota Hospital Association describes how MHA’s members are facing this challenge and their successful work on reducing avoidable readmissions. He talks about some of the challenges his members face when resources and rules fail to align with the outcomes we all want and need.

Mark’s description of the MHA members’ work is useful to any state hospital association, health system or hospital considering the journey from volume to value. Listen to my interview with Mark in the latest episode of the Inside Angle podcast.

L. Gordon Moore, MD, is Senior Medical Director, Clinical Strategy and Value-based Care for 3M Health Information Systems.