What is the value-based model?
The value-based model is a concept which involves rewarding service providers according to the quality of their output.
How is it used for health care model payment?
In the healthcare model payment, the model is used for rewarding healthcare providers such as doctors, nurses, and other staff according to the outcomes of their patient’s health. Healthcare practitioners are typically rewarded based on their ability to help patients overcome diseases, reduce the effects of chronic illnesses, and live healthier lifestyles.
What is the Merit-Based Incentive Payment MACRA model?
The Merit-Based Incentive Payment MACRA model is an incentive used to adjust payments made to health care providers, based on their performance score. Physicians who enroll in this system normally receive a payment bonus if their performance is above average. If their performance is below average, they may suffer a payment penalty where their normal wage may be deducted. If their performance score is average or at per with the expected quality, then their basic wage does not suffer any adjustment.
How does it help hospitals and physicians?
The Merit-Based Incentive Payment MACRA model helps hospitals because it encourages physicians to be efficient while using the least amount of resources in their delivery of healthcare services. Therefore, hospitals have reduced running costs leading to increased productivity. Additionally, the model rewards healthcare providers who work toward implementing healthcare reform strategies such as greater care coordination and a focus on patient safety. This generally leads to an improved hospital reputation.
The model helps physicians because it rewards physicians who provide excellent services. Hard-work and discipline are generally rewarded through this concept. The model also helps primary care physicians because it avails new technology and staffing resources dedicated to quality measurement, improvement, and reporting, which are steps toward optimizing healthcare quality.
Other traditional models used for stakeholders include:
- Plan-Do-Study-Act (PDSA) which aims at making positive adjustments in health care processes to give favorable outcomes. One of the unique features of this model is the recurring nature of impacting and assessing change, most effectively accomplished through small and frequent PDSAs rather than big and tasking ones.
- Six Sigma is a model that involves designing, assessing, and improving a healthcare entity to optimize patient satisfaction and productivity while increasing financial stability.
- Failure modes and effects analysis (FMEA) is an evaluation model that identifies and eliminates known or potential setbacks and problems from a healthcare system or process before they actually occur.