Value Based Health Care - Publications - Faculty & Research - Harvard Business School

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August 2015 (Revised August 2015)
Case

Hoag Orthopedic Institute

By: Robert S. Kaplan and Jonathan Warsh

Two groups of orthopedic surgeons form a joint venture with a community hospital to establish Hoag Orthopedic Institute, a for-profit hospital and two ambulatory service centers. By controlling and integrating all aspects of the patients' medical treatment, the... View Details

Keywords: Outcomes Measurement; Bundled Payment; Health Care; Activity-based Costing And Management; Measurement and Metrics; Activity Based Costing and Management; Competitive Strategy; Medical Specialties; Health Care and Treatment; Outcome or Result; Health Industry

June 2015
Teaching Note

Schӧn Klinik: Measuring Cost and Value

By: Robert S. Kaplan

Teaching Note for Schon Klinik: Measuring Cost and Value. View Details

Keywords: Health Care and Treatment; Cost Management; Projects; Health Industry; Germany

March 2015
Teaching Note

CVS Health: Promoting Drug Adherence

By: Leslie John, John Quelch and Robert Huckman

Email mking@hbs.edu for a courtesy copy.

This Teaching Note explains the theory of the case and teaching plan for the case: CVS Health: Promoting Drug Adherence (515010). The case finds Helena Foulkes, Executive... View Details

February 2015 (Revised June 2017)
Case

Intrapreneurship at DaVita HealthCare Partners

By: Joseph B. Fuller, David J. Collis and Matthew G. Preble

Josh Golomb, president and general manager of DaVita Rx (Rx), was about to meet with Kent Thiry, CEO of Rx's corporate parent, DaVita Healthcare Partners Inc. (DaVita), in August 2013. The two would discuss whether Golomb should lead a new DaVita venture, Paladina... View Details

Keywords: Intrapreneurship; Entrepreneurial Organizations; Startup Management; Startup; Strategic Positioning; Corporate Entrepreneurship; Corporate Strategy; Business Startups; Strategic Planning; Competitive Strategy; Health Industry; United States

February 2015
Article

The Great Recession, Insurance Mandates, and the Use of In Vitro Fertilization Services in the United States

By: Sorapop Kiatpongsan, Robert S. Huckman and Mark D. Hornstein

Objective: To investigate the relationship between economic activities, insurance mandates, and the use of in vitro fertilization (IVF) in the United States.

Design: We examined the correlation between the coincident index (a proxy for overall economic... View Details

Keywords: Macroeconomics; Recessions; Medical Care; In Vitro Fertilization; Health Industry; United States

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January 2015 (Revised July 2019)
Case

CVS Health: Promoting Drug Adherence

By: Leslie John, John Quelch and Robert Huckman

Email mking@hbs.edu for a courtesy copy.

The case describes a program that CVS Health recently implemented to improve medication adherence, an important problem from a societal, public policy, and firm... View Details

Article

Time-driven Activity-based Costing of Multivessel Coronary Artery Bypass Grafting across National Boundaries to Identify Improvement Opportunities: Study Protocol

By: F. Erhun, B. Mistry, T. Platcheck, A. Milstein, V.G. Narayanan and R. S. Kaplan

Coronary artery bypass graft (CABG) surgery is a common treatment for coronary artery disease—a disease that affects over 10% of US adults and is a major cause of morbidity and mortality. In 2005, the mean cost for a CABG procedure among Medicare beneficiaries in the... View Details

Keywords: Activity Based Costing and Management; Health Disorders; Health Care and Treatment; United States; India

December 2014 (Revised July 2021)
Case

Discovery Limited

By: Michael E. Porter, Mark R. Kramer and Aldo Sesia

Discovery Ltd. is a South Africa-based insurance company. Started in the early 1990s, Discovery used behavioral economics and data collection to innovate in the health care insurance industry. Its founder Adrian Gore believed that the company's products needed to not... View Details

Keywords: Shared Value; Health Care; Financial Services; Strategy; Value Creation; Health Care and Treatment; Insurance; Growth and Development Strategy; Health Industry; Health Industry; Health Industry; South Africa

2015
Working Paper

How Should We Pay for Health Care?

By: Michael E. Porter and Robert S. Kaplan

Improving the way we pay for health care must be a central component in health care reform. Payment reform must link provider reimbursement and accountability to improving patient value: better health outcomes delivered at lower cost. Today’s deeply flawed... View Details

Keywords: Competition; Value; Health Industry

Article

Team Scaffolds: How Mesolevel Team Structures Enable Role-based Coordination in Temporary Groups

By: Melissa A. Valentine and Amy C. Edmondson

This paper shows how mesolevel structures support effective coordination in temporary groups. Prior research on coordination in temporary groups describes how roles encode individual responsibilities so that coordination between relative strangers is possible. We... View Details

Keywords: Groups and Teams; Health Care and Treatment; Cooperation; Health Industry

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Article

How Not to Cut Health Care Costs

By: Robert S. Kaplan and Derek A. Haas

Health care providers in much of the world are trying to respond to the tremendous pressure to reduce costs—but evidence suggests that many of their attempts are counterproductive, raising costs and sometimes decreasing the quality of care. Using evidence from field... View Details

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Article

Time-Driven Activity-Based Costing: A Driver for Provider Engagement in Costing Activities and Redesign Initiatives

By: Robert S. Kaplan, Nancy McLaughlin, Michael A. Burke, Nisheeta P. Setlur, Douglas R. Niedzwiecki, Alan L. Kaplan, Christopher Saigal, Aman Mahajan and Neil A. Martin

Object. To date, health care providers have devoted significant efforts to improve performance regarding patient safety and quality of care. To address the lagging involvement of health care providers in the cost component of the value equation, UCLA Health... View Details

November–December 2014
Article

Using Time-Driven Activity-Based Costing to Identify Value-Improvement Opportunities in Healthcare

By: Robert S. Kaplan, Mary L. Witkowski, Megan Abbott, Alexis Guzman, Laurence Higgins, John Meara, Erin Padden, Apurva Shah, Peter Waters, Marco Weidemeier, Samuel Wertheimer and Thomas W. Feeley

As healthcare providers cope with pricing pressures and increased accountability for performance, they should be rededicating themselves to improving the value they deliver to their patients: better outcomes and lower costs. Time-driven activity-based costing offers... View Details

Keywords: Value Creation; Activity Based Costing and Management; Health Care and Treatment; Health Industry; United States; Europe

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15 Jul 2014
Lecture

START Program: Value Based Health Care Delivery

By: Michael E. Porter

8 Jul 2014
Lecture

China: Value Based Health Care Delivery Overview

By: Michael E. Porter

2014
Working Paper

Non-Adherence in Health Care: A Positive and Normative Analysis

By: Mark Egan and Tomas J. Philipson

Non-adherence in health care results when a patient does not initiate or continue care that a provider has recommended. Previous research identifies non-adherence as a major source of waste in US health care, totaling approximately 2.3% of GDP, and have proposed a... View Details

Keywords: Health Care and Treatment; Behavior; Economics; Analysis; Mathematical Methods

9 Jun 2014
Lecture

Value Based Health Care Delivery

By: Michael E. Porter

5 Jun 2014
Lecture

From Idea to Reality: Value Based Health Care Delivery

By: Michael E. Porter

June 2014 (Revised April 2015)
Supplement

OrthoChoice: Bundled Payments in the County of Stockholm (B)

By: Michael E. Porter, Clifford M. Marks and Zachary C. Landman

By the end of 2008, all major hospitals (one of which was private) and three private specialized orthopedic centers signed OrthoChoice contracts. In 2009, hip and knee replacements in the County of Stockholm for relatively healthy patients began being reimbursed. By... View Details

Keywords: Hip Replacement; Bundled Payment; Knee Replacement; Value Agenda; Strategy; Health Care Industry; Health; Health Care and Treatment; Health Disorders; Health Industry; Sweden

Article

Better Accounting Transforms Health Care Delivery

By: Robert S. Kaplan and Mary L. Witkowski

The paper describes the theory and preliminary results for an action research program that explores the implications from better measurements of health care outcomes and costs. After summarizing Porter's outcome taxonomy (Porter 2010), we illustrate how to use process... View Details

Keywords: Activity Based Costing and Management; Research; Health Care and Treatment; Health Industry

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