Title : Measuring the impact of three healthcare improvement frameworks
Objective: To analyse the financial, clinical and cultural impact of the Balanced Scorecard (BSC), the Magnet Recognition Program® (MRP) and a revenue cycle management (RCM) program implemented at the study hospital to improve its overall performance and sustainability towards an accountable and sustainable Patient-Centred Care (PCC) model.
Methods: A cost-benefit analysis of the three management interventions over a 10 year time frame.
Results: An internal rate of return of 585%, a net present value of $A28.2 million, a benefit cost return of 31.9 and a return on investment of 16.2 was realised over the years 2005-2015. Savings achieved were related to quality and safety improvements 9%, labour efficiencies 70% and clinical practice improvements 21% yielding a 20% increase in the hospital’s overall profit margin.
Conclusion: This is the first study that has analysed the impact of these three performance improvement frameworks on the overall performance of a hospital. The findings strongly suggest that the combined impact of these three frameworks has assisted the study Hospital in its journey towards an accountable and sustainable PCC model. The advocate and support the incorporation of the three frameworks into a single, integrated PCC model.