Cost Effectiveness Overview

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Return On Investment – Conservative Estimate 10 to 1

“More people die from hospital-based preventable medical injuries than from breast cancer or AIDS or motor vehicle accidents”

-Brennan et al. New England Journal Medicine 1991
Thomas et al. 1999

“Injuries drive direct health care costs totaling $9 – 15 billion per year”

- Thomas et al. 1999
- Johnson et al. 1992

Does Readiness Rounds fix all of this ________ NO

However what is the value attributable to having organization consistently focused on the top 10 failing items?

  • Operating costs are reduced due to consistent identification and action on easily identifiable performance improvement priorities
  • The potential for regulatory citation is significantly decreased
  • Impact of increasing public awareness of hospital safety and quality results
  • Reduction in cost of external consulting preparation and reviews
  • Nursing costs are reduced due to streamlining of processes
  • Quality Measurement costs are reduced due to automation of process