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Providers and Value Management

Clinicians deliver higher quality heathcare to patients and receive more compensation from payers.

why-value-management

In healthcare, the primary goal for providers, as well as other stakeholders, must be improving value for patients.

Here value is defined as the health outcomes achieved that matter most to patients relative to the cost of achieving those outcomes. Improving value requires either improving one or more outcomes without raising costs, or lowering costs without compromising outcomes, or both.

Use of time-driven activity-based costing (TDABC) can provide an effective methodology to control costs. TDABC identifies activities in an organization and assigns the cost of each activity with resources to all products and services according to the actual consumption by each activity, with time estimates for each process step.

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