Here at Clinica, all the cost analysis we do tells us it is going to be
very expensive to migrate to electronic medical records. We can see our
net costs will increase and that will be true for every clinic like
ours, I believe.

Our drivers are:

1) A strong desire to capture clinical data to a) make data driven,
timely and informed decisions as leaders;
2) Measure clinical data to assess (and improve) our outcomes in the
areas of chronic disease, prevention, and clinical guideline use.
3) Change our clinical paradigm from an acute care model to a dual model
that includes open access for acute visits and episodic planned care
visits, individualized by patient diagnosis and demographic information
(age, sex, primarily, although race is becoming important for certain
diseases).
4) Maintain disease registries that capture the clinical measures and
guidelines for that group of patients and to assist in identifying
patients that need services, but are not coming in. The idea is to take
responsibility for the health status of our service area, not just the
patients that are coming in, by providing outreach to those that are
not. 
5) Capture accurate clinical data to provide provider quality incentives
6) Prepare for the future, as this data will become more and more
important as the payers move to a p4p model.
7) Provide point of care guidelines and clinical tools for providers.
8) Provide point of service error-check functions for providers.

Of course, we are looking at cost, but abandoned the idea that we can
make the business case based upon the numbers. On the other hand, the
clinical case is impossible to ignore; and since we our business is our
patients, the clinical case is the business case. To me, the appropriate
use of medical software in the clinical setting is just as essential as
aspirin in heart attacks and Insulin in Type I DM. It saves lives and
improves outcomes. No one argues about whether we need medications or
not, just how to get them to patients in a cost-effective way.

So the question becomes not if we can afford it, but how we can afford
and implement it to meet the parameters outlined above. I don't attempt
to quantify the benefits because when you take that approach, the
discussions over process always obfuscate the real issues about patient
safety and clinical quality. For us, the discussion is about what we
need to do in order to afford it.  

Matt King MD
Medical Director, 
Clinica Adelante, Inc

-----Original Message-----
From: Suchi Pande [mailto:[EMAIL PROTECTED] 
Sent: Tuesday, September 20, 2005 9:05 PM
To: hardhats-members@lists.sourceforge.net
Subject: Re: [Hardhats-members] Computer World Editorial on Network
Effect

Nancy Anthracite wrote:
> You are so right.  You might be able to stick a dollar amount on money
saved 
> on maintaining and finding paper records, but how can you put a dollar
amount 
> on having a machine double check your orders for drug interactions,
always 
> having that chart at your fingertips, etc. 
> 
> "Priceless" for an answer probably won't hack it.
> 

Well..

No doubt evaluating it is tricky, but getting a ball park figure is 
not impossible and is what will persuade.

In the case you mention:

dollar amount saved for automating health records
=
(paper costs saved)
+
(Time saved in seconds * salary/ per second of worker)
+
(mistreatment costs saved per patient)


where:
(mistreatment costs saved per patient)
=
(mistreatment costs per patient) * (pre-automation - post-automation 
mistreatment rate per patient )

where
(mistreatment costs saved per patient)
=
money lost by patient + money lost by hospital in fixing problem + any 
compensation for mental trauma

etc...

(ie needs further breaking down, but you get the general principle. If 
in doubt, get a medical physicist down in radiology to help you with 
thinking this thing through - physicists tend have a way of looking at 
these kind of problems that engineers and programmers don't).

Christoph was trying to figure out how to quantify the benefits. Well, 
  show a boss the figures that come out with this kind of reasoning. 
He will leap upon them, dress them up in a powerpoint presentation, 
and call it a Cost-Benefit-Analysis and get on with persuading 
management to do a switch to EHR.

IIRC, the VA had quantified the reduction in wrong drugs given pre and 
post VISTA. So I am sure the information is out there.

regards
PJ



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