The Effects of Incentive Programs on Clinical Productivity and Quality
Abstract
Productivity and quality are key components in a successful healthcare organization. In today's complex medical environment, many organizations are looking for ways to increase productivity while improving clinical outcomes and the quality of care. One approach taken by both medical groups and healthcare payers is to provide incentives for increasing productivity or improving healthcare quality. In the civilian healthcare industry, this approach is often referred to as a Pay-for-Performance (P4P) program. Under P4P models, individual providers or medical groups can receive monetary bonuses for increasing output or improving quality of care based on meeting predetermined goals or measures. Providing an incentive to increase output ensures maximum use of provider time to meet patient needs. The focus of quality incentives is to promote better health outcomes and lower the long-term cost of care. These quality measures may be based on preventive care or disease-management standards. In the long term, prevention and disease management can lead to reduced costs while improving the patient's quality of life. For these various reasons, many organizations have looked to P4P for improving overall performance. Incentive programs based on P4P concepts have been implemented at different levels in the military healthcare system. The Air Force Medical Service (AFMS) introduced its business plan model in 2003 to provide financial incentives to military treatment facilities (MTFs) that increased overall productivity. Similarly, the Army Medical Department (AMEDD) developed the Performance-Based Adjustment Model (PBAM), which gives a bonus to MTFs that utilize evidence-based medical practices and improve clinical outcomes.
Document Details
- Document Type
- Technical Report
- Publication Date
- Feb 04, 2009
- Accession Number
- ADA540137
Entities
People
- Heather M. Landon
Organizations
- Air War College