Business Case Analysis: Establishment of an Interdisciplinary Pain Center at Dwight D. Eisenhower Army Medical Center; Projections for Fiscal Years 2010 -2014
Abstract
This project analyzes the likely costs and benefits associated with the establishment of an Interdisciplinary Pain Center (IPC) in order to reduce the Purchased Care System (PCS) costs from the local network, increase patient continuity of care and improve patient outcomes. Two options were analyzed: (1) establishment of an IPC, Most Likely (IPC ML) and (2) establishment of an IPC, Worst Case (IPC WC). The IPC ML option projects a net present value (NPV) of positive $998,670 at a 2.3 percent discount rate and return on investment (ROI) of positive 21.4 over the 60 month evaluation period versus the IPC WC option which projects a net present value (NPV) of negative ($600,130) at a 2.3 percent discount rate and return on investment (ROI) of negative (13.6) percent over the 60 month evaluation period. The IPC ML scenario breaks even in less than 24 months and is profitable the first year versus the IPC WC scenario which does not break even or become profitable during the 60 month evaluation period.
Document Details
- Document Type
- Technical Report
- Publication Date
- Apr 04, 2010
- Accession Number
- AD1200168
Entities
People
- David W. Webb
Organizations
- Dwight D. Eisenhower Army Medical Center