Assessing the Situation
As organizations position themselves for a value-based care delivery and payment system, they must be alert both to opportunities for reducing cost structure and to the need to build the capabilities and make the investments needed to engage in population health management. The resources on this page help identify opportunities for reducing cost structure, provide examples of how some of these strategies might be implemented, and define factors that will help determine priorities for and timing of a population health management strategy.
Opportunities for Reducing Cost Structure
Every organization has a wide range of potential cost reduction opportunities and strategies for realizing them. This opportunities map outlines main areas where opportunities for cost reduction lie within healthcare organizations and strategies that can help organizations realize these opportunities.
Download Cost Reduction Opportunities Map
The following examples provide greater detail on how to pursue select strategies outlined on the opportunities map and potential benefits of these strategies:
• Cost-spreading across multiple organizations
• Outsourcing and in-sourcing options
• Centralized services
• Redefining personnel needs and roles
Opportunities for Moving Toward Population Health Strategies
Each organization is different, and many operate in more than one market. As organizations work to reduce cost structure in their existing operations, they need to define a strategy for moving toward and investing in the capabilities needed for population health management. This slide outlines factors that will drive priorities for and speed of movement toward population health in an organization’s market or markets
Download Factors to Consider Slide