Execute Savings Initiatives That Have the Highest Likelihood of Success

May 26, 2020

problem

Inability to Prioritize Initiatives

As healthcare organizations continue to brace for the shifttoward value-based care, the focus on achieving real cost reduction is growing. 

Organizations typically have hundreds of opportunities to reduce cost, increase efficiency, and improve. It is overwhelming to determine exactly where to start. Healthcare providers need a way to identify which initiatives should be prioritized and resourced. 

play

Execute the Savings Initiatives That Have the Highest Likelihood of Success

When this small, multi-site health system ended their engagement with a national consulting firm, they had identified areas of revenue enhancements and cost savings opportunities but no way to prioritize. 

To make this healthcare system’s savings stick, they used the StrataJazz^® Continuous Improvement (CI) tool to centralize and automated tracking initiatives, sustain results, and grow their continuous improvement efforts.

Additionally, the CI tool has enabled this organization to leverage algorithms to identify additional clinical and utilization variation opportunities. By knowing the real time financial impact and the root cause, the health system is focusing first on savings initiatives with the highest likelihood of success. 

impact

Execute on Improvement Initiatives

With the utilization of CI, the organization leverages its validated cost data to engage leadership in Finance, Quality, and Clinical Operations. With this partnership, leadership was able to identify multiple initiative across the entire organization. This Health system now has over 108 continuous improvement initiatives underway in areas prioritized by the CMO. By sustaining and expanding on results of their major consulting project, they have so far realized over $85,000 in cost savings in the first few months.