Value-based partnering in healthcare: a framework for analysis.
Value-based partnering is designed to move the healthcare system beyond cost-based competition. It recognizes that the healthcare "product" is not a commodity and that much of the value in the system comes from relationships between and among four stakeholders: consumers, providers, health plans, and employers. Given the difficulty of measuring such benefits as quality of care, improved health status, and increased employee productivity, stakeholders within the system traditionally have focused on easily measurable financial considerations such as premium rates. This focus has led to a system that defines relationships in purely financial terms. In contrast, the value-based partnering model presented in this article recognizes the range of factors that stakeholders consider in their relationships with each other. This approach has the potential to change the nature of competition and presents opportunities for those organizations that can effectively partner with other stakeholders and demonstrate value, rather than just lower cost. Moreover, by recognizing the interdependencies among stakeholder groups, the approach creates a strategic reason for employers, health plans, providers, and consumers to exchange information and create long-term alliances.
Young
D W
DW
Healthcare Management Program, Boston University School of Management, Massachusetts, USA.
Barrett
D
D
Kenagy
J W
JW
Pinakiewicz
D C
DC
McCarthy
S M
SM
D003258:Consumer Behavior; D003299:Cooperative Behavior; D003695:Delivery of Health Care / Q000458:organization & administration*; D006801:Humans; D007348:Insurance, Health / Q000592:standards; D007373:Interinstitutional Relations; D007400:Interprofessional Relations; D007449:Investments; D015279:Organizational Culture; D011785:Quality Assurance, Health Care; D012941:Social Responsibility; D012945:Social Values; D014481:United States