Collected Quality & Cost Results from Healthcare Value Network Members

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I was at the ThedaCare Center for Healthcare Value office a few months ago when Dr. John Toussaint reported that he had gotten a call from Dr. Don Berwick, the head of Medicare and Medicaid. Dr. Berwick wanted a collection of results from healthcare organizations that are improving quality and reducing costs, through approaches like Lean management.

We scurried and collected results from a number of Healthcare Value Network member organizations and sent the data to D.C. Ā Toussaint posted that collection of data on his website and I'm happy to share highlights here.

Here are some of the shared results:

  • From January 2009 to March 2011, Akron Children's Hospital has Ā reduced costs by over $8 million and reduced appointment access waiting times by a Ā total of 74,608 days.
  • Group Health (podcast with them yesterday) Ā achieved 29% fewer emergency room visits, 6% fewer hospitalizations and a $10.3 per member, per month savings after 21 months.
  • Through the intense Ā improvement efforts of the Henry Ford Hospital “No Harm” campaign in 2010, total costs were reduced to Ā $34,465,612, a $4.4 million dollar improvement with a cost-savings of $85 per patient.
  • Inova Health's E.D. “left without being seen” rates dropped from 2% to .48%, waiting time Ā decreased by 31%, time to see the doctor dropped from 55 minutes to 22 minutes.
  • Quality improvements at Seattle Children's Hospital Ā include a 66% reduction in TPN medication error rates, a 50% reduction in ICU bloodstream infections, and 20% fewer ventilator days for patients. They haveavoided $200 million in capital costs by using CPI to increase capacity in lieu of building additional patient rooms and ambulatory services space. They have also reduced patient costs by 3.7% and supply expenses by $2.5 million.

Here is a link to a PDF document that has all of the data and examples.


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Mark Graban
Mark Graban is an internationally-recognized consultant, author, and professional speaker, and podcaster with experience in healthcare, manufacturing, and startups. Mark's new book is The Mistakes That Make Us: Cultivating a Culture of Learning and Innovation. He is also the author of Measures of Success: React Less, Lead Better, Improve More, the Shingo Award-winning books Lean Hospitals and Healthcare Kaizen, and the anthology Practicing Lean. Mark is also a Senior Advisor to the technology company KaiNexus.

1 COMMENT

  1. Hi Mark

    I’m often asked for evidence that Lean approaches work in healthcare and you’ve kindly provided some compelling material. So a big thank you for helping me do my job!

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