<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=353110511707231&amp;ev=PageView&amp;noscript=1">

Bundled Payments - Success will Require New Levels of Collaboration, Innovation and Problem-Solving Skills. Is Your Selection Approach Building the Team You Need?

September 15, 2011
There’s been a good bit of denial, but it is really here – Bundled Payment.  Physicians and hospitals will be splitting an agreed upon, certainly smaller, payment for specific episodes of care.

Last Tuesday, CMS said it expects hundreds of providers to test and develop four payment models, which are intended to help hospitals and clinicians coordinate care more effectively. The bundled-payment initiative was authorized by last year's Patient Protection and Affordable Care Act.

Read more: AMA praises CMS bundled-payments program - Modern Physician

Sounds like something that only the hospital finance and billing departments need to understand, right?  Wrong.  Bundled payment means that the hospital and its physicians will need to negotiate over how to split a smaller payment pie.  The implications:

    1. Increasing emphasis on finding every opportunity to wring more costs out of the delivery system.

    1. Increasing emphasis on finding innovative ways to improve the efficiency and efficacy of care, so that process, patient satisfaction, and quality metrics move in the right direction.

    1. Increasing emphasis on coordination of care.

In essence, we need to do more with less. Those nurse managers, OR staff members and physicians that don’t see “collaboration” or innovation as part of their jobs – they just became a huge liability.  Hospital leadership will feel it first as they try to work with physicians to develop new, more cost effective care delivery models.  You had better hope that as you built that employed physician group, you looked at their ability to collaborate, tolerate change and innovate. The rest of the workforce will soon follow as we look to improve OR efficiency, and further streamline every aspect of patient care.

As hospitals look to respond to these new payment methodologies, administrators, physicians, finance and nursing will all be at the table.  Let’s make sure that HR has a seat and a plan.  We need talent strategies that match the challenge.  We need to implement a more deliberate selection strategy at every level in order to put ourselves in the best position to succeed.  Or we can continue to “post and pray” as one of my clients described their old strategy.

Bryan Warren Bryan Warren is the President of J3 Personica, a consulting, assessment, training, and coaching firm, and a guest blogger for PSI. Bryan is an expert in progressive talent strategies, with a particular focus on leader and physician selection and development.