2007
DOI: 10.1377/hlthaff.26.4.w532
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Redesigning Care Delivery In Response To A High-Performance Network: The Virginia Mason Medical Center

Abstract: ABSTRACT:We examine how an integrated delivery system responded to threatened exclusion from an insurer's high-performance network by attempting to reduce costs through fundamental redesign of care processes. Some factors facilitating this transformation, such as its structure as a large salaried medical group exclusively affiliated with a hospital, might be specific to the organization and its market. Other essential elements could be replicated. But in a fee-for-service payment system, cost reduction from re… Show more

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Cited by 45 publications
(24 citation statements)
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“…26 An exception is the experience of the Virginia Mason Medical Center in Seattle, WA in changing the care pathway for individuals presenting with LBP. 47 In the summer of 2004, the insurance company Aetna gave Virginia Mason notice that their specialty practices cost up to twice as much as other top local practices for the same care. 27 This resulted in Virginia Mason studying the care process for LBP and noting a lack of standardized, evidence-based procedures.…”
Section: Potential Pathways To Lower Imaging: the Virginia Mason Examplementioning
confidence: 99%
“…26 An exception is the experience of the Virginia Mason Medical Center in Seattle, WA in changing the care pathway for individuals presenting with LBP. 47 In the summer of 2004, the insurance company Aetna gave Virginia Mason notice that their specialty practices cost up to twice as much as other top local practices for the same care. 27 This resulted in Virginia Mason studying the care process for LBP and noting a lack of standardized, evidence-based procedures.…”
Section: Potential Pathways To Lower Imaging: the Virginia Mason Examplementioning
confidence: 99%
“…Organisations such as these have been shown to deliver high-value care at lower costs. 90,91 Advocate for integrated systems of care that maximise value…”
Section: Convert Health Care Institutions Into Rapidly Learning Organmentioning
confidence: 99%
“…3 It penalizes organizations that try to reduce unnecessary services or shift patients into low-cost settings with reduced revenues and profits, creating a sizable barrier to delivery reform. 4 FFS also encourages overuse of many costly specialty services while shortchanging important but less lucrative areas such as primary care. Welldocumented inaccuracies in Medicare hospital and physician payment have made certain services highly profitable and others money-losers.…”
Section: Option 1: Recalibrate Ffs Paymentsmentioning
confidence: 99%