But there are many benefits of adopting the models.
Nearly 50% of healthcare leaders said that fewer medical errors is the biggest benefit of value-based purchasing in healthcare, according to the findings of a survey from Definitive Healthcare.
While respondents reported benefits and factors accelerating the adoption of value-based care, 25.3% said a lack of resources, including being short-staffed and having insufficient healthcare IT software, is the biggest barrier to implementing value-based care.
“As (value-based care) models continue to evolve, not only are we seeing a new level of care, but also a pressure to drive down costs and an increased focus on preventive care management,” said Jason Krantz, MBA, CEO of Definitive Healthcare.
The results of the 2019 Value-Based Care Trends survey included views from 1,090 healthcare leaders across the provider, biotech, financial services, staffing, life sciences, IT and consulting fields.
A majority of respondents (48%) said fewer medical errors is the biggest benefit to value-based care, which ultimately leads to better outcomes. Value-based care programs allow providers to spend more time focusing on preventive medicine and population health issues.
Slightly more than 28% said implementing value-based purchasing is associated with reduced costs.
Less than 18% said that increased patient satisfaction is an important benchmark that can be used to measure organizational performance.
While most leaders believed those three areas would benefit from value-based care, 6% gave ‘other’ responses.
“Accountability from the clinician side,” one respondent said. “That will have a direct impact on patient satisfaction, thus driving the intrinsic value of value-based purchasing.”
Nearly 45% of respondents said appropriate provider compensation and incentives are the best way to increase the adoption of value-based care models.
Consolidating market, mergers and acquisitions, moving more providers into the value-based care model received 18.9%.
“It’s clear that industry consolidation is accelerating the implementation of value-based care programs,” Definitive Healthcare suggested.
As the industry shifts to value-based care, independent practices are becoming less prevalent. Consolidation will only continue to increase, as it has over the last few years.
Policy requirements constituted 16.1% of the votes. The Centers for Medicare & Medicaid Services encourages value-based care reimbursement, but Definitive said the agency needs to continue increasing efforts.
Providers see a small benefit to increasing risk-sharing models like accountable care organizations.
While healthcare leaders see clear benefits for implementing value-based care models, a lack of resources and staff hinders the opportunity to accelerate adoption.
Internal and external gaps in interoperability received the second highest number of votes, representing the views of nearly 20% of respondents. Value-based care programs require a lot of healthcare data exchange and analytics, so providers and health systems must adopt interoperable technologies to succeed.
Other barriers included unpredictability of revenue stream and complexity of financial risk (17%), changing regulations and policies (16.2%) and trouble with collecting and reporting patient information (14.8%).
Many healthcare leaders (31.1%) said accountable care organizations and bundled payment arrangements will continue evolving next year. There are nearly 1,400 active accountable care organizations in the U.S., with approximately 560 participating in the Medicare Shared Savings Program, according to Definitive Healthcare. The more the payment programs evolve and become easier to understand, the more likely providers are to shift toward value-based care.
Fewer than 28% of respondents anticipate a shift away from voluntary programs in favor of mandatory participation in value-based care models.
Next year, healthcare leaders also expect providers to be more focused on benchmarking their success against their competitor’s success. This will help providers remain competitive.
“This survey shows that having the right resources — staffing, compensation, IT and software — will be key to the success of (value-based care) programs,” Krantz concluded.
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