The double-edged sword for hospitals

Part of the ARRA legislative mandate includes the formation of accountable care organizations and it is, anecdotally at this point, leading to a very positive outcome for patients – a recent article on Cincinnati.com talks about Mercy Health, Over-The-Rhine and Tri-Health, all accountable care organizations that are helping improve patient care while saving significant dollars in the pockets of patients and their health insurance providers.

CEO Linda Sullivan

The downside to this emerging successful model is that the readmission rate of patient after discharge is going down. This means fewer dollars, that in the past were likely a statistical certainty, are no longer there.

This simply points to the fact that if you don’t like change, healthcare is the wrong field to be in. The rate of change has accelerated precipitously in the last three years. Hospitals, and the vendors who provide ancillary support services,must all continue the path of finding more efficiency and more effective use of technology to meet this challenge. We are up to it.

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