March 12-16 Policy Watch: Congress to Review Drug Price Controls in Budget
March 8—The Trump administration has begun to put specifics behind its standing priority to reduce the cost of prescription drugs, including in its budget, which will be reviewed by a congressional panel next week.
How Cleveland Clinic Saved Millions Through Smarter Energy Use
The Office for a Healthy Environment at Cleveland Clinic has launched several initiatives to manage its heating, ventilation, and air conditioning costs, which can drain the energy budget. For example, using setbacks to lower the thermostat just two degrees saves $600,000 a year.
Insurers, Hospitals See Different Paths to Boosting Competition
Jan. 29—Hospital and insurer advocates urged the Trump administration to take differing approaches in its quest to increase competition in health care.
Hospitals Have Opportunity to Save $23B While Maintaining Quality
Hospitals could reduce their supply expenses by an average of 18 percent.
Henry Ford Health System Cuts Food Service Net Cost Per Patient Day
The health system achieved a 1-3 percent cost reduction by moving to self-operated services and streamlining vendors, while adding room service and healthier food options.
UI Health Cuts ED Homeless Patient Costs by 45 Percent
The Illinois public hospital pays $1,000 per patient per month to an outside agency to house 27 homeless patients in furnished, one-bedroom apartments. This investment is significantly less than the nearly $3,000 per patient per day that UI Health and managed care organizations were spending on some chronically homeless patients.
Using Physician Assistants Can Save Costs
Healthcare executives responding to a recent survey overwhelming agree that transforming costs is a “significant” or “very significant” need, but more than 50 percent have no cost reduction targets for the next five years or have a goal of 1-5 percent—a range that is far below what will be required to transform cost structures.
Using Artificial Intelligence to Reduce Long-Term Care Costs and Improve Patient Outcomes
A two-year study found that technological support for assisted living facility caregivers resulted in a 45 percent increase in patient aging in place, allowing for better quality of life for residents and cost savings of approximately $50,000 per patient per year.
Striving for Cost Optimization Instead of Cost Cutting
Cost optimization involves more than cutting a set percentage from the traditional targets, such as labor, real estate, or IT. Cost optimization is an enterprisewide effort, requiring leaders to reset their operational strategies and align with value-based payment models.
Benchmarking Helps OSF HealthCare Save $160M Annually
Spurred by a drop in operating income, OSF HealthCare embarked on a clinical and financial improvement initiative that has saved the organization $160 million each year.