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  • October 19, 2015
  • Article
  • Harvard Business Review (website)

Getting Bundled Payments Right in Health Care

By: Robert S. Kaplan, Derek A. Haas, Dereesa Reid, Jonathan Warsh and Michael E. West
  • Format:Electronic
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Abstract

Bundled payments—single payments that cover all the care for a patient’s medical condition or treatment over a specified timeframe—are increasingly being deployed to motivate the delivery of better patient outcomes at lower costs. Hoag Orthopedic Institute (HOI), a specialty orthopedic hospital in southern California, and the Rothman Institute (RI), a private-practice physician group in metropolitan Philadelphia, illustrate three keys for successful bundling: excellent data on outcomes and costs, proactive management of the patient, and alignment between physicians and hospitals.

Keywords

Health Care and Treatment; Product Marketing; Health Industry

Citation

Kaplan, Robert S., Derek A. Haas, Dereesa Reid, Jonathan Warsh, and Michael E. West. "Getting Bundled Payments Right in Health Care." Harvard Business Review (website) (October 19, 2015). (A collaboration of the editors of Harvard Business Review and the New England Journal of Medicine.)

About The Author

Robert S. Kaplan

Accounting and Management
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