It Is a Brave New World: Alternative Payment Models and Value Creation in Total Joint Arthroplasty: Creating Value for TJR, Quality and Cost-Effectiveness Programs

J Arthroplasty. 2017 Jun;32(6):1717-1719. doi: 10.1016/j.arth.2017.02.013. Epub 2017 Feb 14.

Abstract

Background: The increasing cost of our country's healthcare is not sustainable. To address this crisis, the federal government is transiting healthcare reimbursement from the traditional volume-based system to a value-based system. As such, increasing healthcare value has become an essential point of discussion for all healthcare stakeholders.

Methods: The purpose of this study is to discuss the importance of healthcare value as a means to achieve this goal of value-based medicine and 3 methods to create value in total joint arthroplasty.

Results: These methods are to: (1) improve outcomes greater than the increased costs to achieve this improvement, (2) decrease costs without affecting outcomes, and (3) decrease costs while simultaneously improving outcomes.

Conclusion: Following these guidelines will help practitioners thrive in a bundled care environment.

Keywords: alternative payment models; total hip arthroplasty; total joint arthroplasty; total knee arthroplasty; value.

MeSH terms

  • Arthroplasty, Replacement / economics*
  • Arthroplasty, Replacement / standards*
  • Arthroplasty, Replacement, Knee / economics
  • Cost-Benefit Analysis
  • Delivery of Health Care
  • Health Expenditures
  • Humans
  • Patient Care Bundles / economics
  • Quality of Health Care*