Value-based health care is more than a concept. It is a rapidly emerging practice to transform health care and make it more sustainable by improving outcomes while maintaining or lowering total costs. BCG helps health care organizations adopt this transformative model.
Health care systems have a value problem, and the usual solutions—such as cost containment—are not solving it. For more than a decade, our value-based health care consulting experts have worked with health care innovators to help organizations develop cutting-edge value-based health care strategies in order to improve patient outcomes while maintaining or lowering total costs.
Health outcomes vary widely across hospitals, regions, and countries. And this holds true irrespective of the amount of money invested in the systems: those that spend the most money do not necessarily provide the best care. There is growing evidence that a substantial portion of health care spending is, quite simply, wasted on avoidable medical complications or medically unnecessary treatments.
To address these problems, industry leaders have begun to embrace value-based health care. Health systems around the world are systematically collecting, sharing, and analyzing health outcome data by disease group and population segment. By making this data standard and transparent, clinicians can benchmark and compare performance across care sites, document variations in health outcomes, identify best practices, and steer resources toward interventions and practices that have the highest value for patients.
At BCG, we believe this value-based approach is the best way both to improve the quality of care and to curb excess health care spending.
By focusing on—and tracking—the health outcomes that matter most to patients, health care organizations achieve many benefits:
We have partnered with pioneering organizations to uncover value-based health care insights and drive a common agenda for change.
The mission of ICHOM is to serve as a catalyst for the global value-based transformation of health care by defining standard sets of outcome measures that matter most to patients and supporting the definition and dissemination of best practices.
In 2019, the World Economic Forum, in collaboration with BCG, formed the Global Coalition for Value in Healthcare, a public-private collaboration to accelerate the transition to value-based health care in health systems around the world. It serves as a global platform to share learnings, develop effective best practices, and guide the development of value-based health care models globally.
BCG and MedTech Europe, a European trade association representing the medical technology industry, have forged an ongoing collaboration on value-based procurement in medtech. They have partnered with leading procurers to develop a framework that helps contracting authorities in the health care industry make smarter procurement decisions based on an enhanced ratio of quality to price.
Our value-based health care consultants use a variety of proven benchmarks, tools, and frameworks to help track and drive progress toward value-based health care. Examples include:
Our Value-Based Health Care Maturity Assessment Framework measures the progress of different countries or health care systems as they work to deliver greater value in health care.
BCG’s Hospital Suite compiles hospital metrics across regions to facilitate global health care benchmarking in such areas as hospital infrastructure, performance, finance, quality, and contracts.
Our value-based health care consultants partner with leading companies to develop solutions in outcome measurement, health registries, value-based medical care, value-based payment models, value-based reimbursement in health care, value-based agreements, and more.
Partner and Director, Health Care Payers & Providers
Milan
