Benchmarking Strategies for Health Care Management

Mark. T. Czarnecki, MBA

With health care reform come a growing emphasis on quality and cost. Is it possible to improve quality and at the same time reduce cost? You bet- and organizations who want to make it in the competitive days ahead need to find ways to do it!

One excellent method is benchmarking. An important tool for quality management, benchmarking enables you to identify the best practices in other health care organizations-and use that information to guide your decisions. With benchmarking, you can examine the practices of others in the industry to find areas in which you can enhance quality and reduce costs.

But how do you actually do it? Find out... in Aspen's new Benchmarking Strategies for Health Care Management. In step-by -step detail, you'll learn to uncover the practices that lead to exceptional performance-and then implement them in you own organization....

How-To Guidance to Help You....

• Understand the basic principles of benchmarking. You'll learn what benchmarking is...how it fits into your organization how it fits in with TQM and CQI...and how it has been adapted in health care from other industries.
  
  
• Know your options for benchmarking study. You'll discover the different methods you can use....the basic steps common to all methods...how to follow the right sequence of steps.. and what tools are available to help you.
  
  
• Use benchmarking data to identify "best practices." You'll learn what data can and cannot do...basic statistical and analytical methods.. what type of measures are available...how to select the right data-base support your effort...and the best tools for data analysis.
  
  
• Move step-by step through a sample benchmarking study. You'll find out the basic steps in performing a generic study...how to tabulate results.. and how to manage benchmarking efforts.
  
  
• Make sure your benchmarking efforts stay within legal and ethical boundaries. You'll learn the regulations that govern benchmarking.. what role your legal department should play...how to develop a benchmarking policy...how to write a participation agreement...and the benchmarking code of conduct.
  
  
• Find out about the government programs that promote benchmarking. You'll learn about government awards available for health care benchmarking ...and how benchmarking fits into Joint Commission certification.
  
  
• Uncover new resources to help you in the benchmarking process. You'll find out where you can order the best benchmarking tools around...performance indicators, severity, risk, and outcome-adjusted data, financial and operating data, information on clinical pathways, hospital and physician-specific profiles, quality improvement systems, and much, much more.

About The Author

Mark T. Czarnecki, MBA, is President of The Benchmarking Network, Inc., in Houston, TX. He is a nationally renowned benchmarking professional with extensive experience in both industry and health care, including reviews of organization admittance and resource utilization. His firm currently conducts studies in healthcare, telecommunications, and manufacturing.

Czarnecki is the author of Benchmarking Strategies in Accounting & Finance (American Institute of Certified Public Accountants, 1993), and he has written articles on benchmarking for many journals, including Healthcare Financial Management andThe CPA Letter. He is a frequent speaker at health care meetings, including the American Hospital Association, the National Society for Patient Representation and Consumer Affairs, and the Healthcare Financial Management Association.

Table of Contents

1. Benchmarking Overview. What is Benchmarking? - Why Benchmarking? - Benchmarking Is Linked to Strategy - Benchmarking Is Not a Substitute for Professional Judgement - Benchmarking Seeds Hospital Reengineering Efforts - Why Benchmarking Is Important to Health Care Managers - Traditional Resistance to Benchmarking Efforts - History of Benchmarking - Case Study: St. Joseph's Focuses on Pneumonia (DRG #89) - Summary
   
   
2. Methodology. Appropriate Bencmarking Methodologies - Origanizational and Cultural Issues - Learn fromOther Benchmarking Experiences - Summary - Case Study: West Paces Ferry Benchmarks Caesarean Section - Case Study: Good Samaritan Looks at Operating Room Effectiveness - Case Study: Robert Packer Hospital - Case Study: Digital Equipment Benchmarks Remedial Services - Case Study: Sisters of Charity Look at Their Accounts Receivable
   
   
3. Using Data To Identify Best Practices. The Benchmarking Pyramid - Measuring the Organization - Using Multiple Measures - Data Collection Standards - Measuring the Effectiveness of the Products and Services Delivered - Normalizing Data - Analyzing Data Statistically - Evaluating Each Data Submission - Evaluating Precision vs. Cost - Building Confidence in the Finding - Summary
   
   
4. Practical Benchmarking Demonstration. Basic Framework - How to Use the Forms - Plan Benchmarking Activities - Develop a Mission Statement - Budget Time for Benchmarking Efforts - Determine Potential Areas to Benchmark: Operational....Clinical - Prioritize and Decide What To Benchmark - Define the Process - Develop a Process Flow Chart - Identify Customers - Perform Research - Identify Partners - Develop Measures To Asses Customer Needs - Compile Customer Needs - Finalize Customer Needs and Develop Point Values - Develop Performance Measures - Develop and Administer Questionnaires - Consolidate Questions - Develop a Respose Scoring Sheet - Develop a Process Questionnaire - Track Field Surveys - Scrub and Analyze Data - Identify Best Performers - Prepare for Site Visits - Gather Site Visit Information - Perform a Process Comparison - Prioritize Issues for Workshops - Write Final Reports and Present Findings - Postimplementation Follow Up - Case Study: Columbia Medical Plans Benchmarks Claims Processing - Case Study Cleveland Memorial Hospital Joins a Group to Benchmark Patient Admissions - Summary
   
   
5. Legal and Ethical Aspects. Sharing Information - Involving Your Legal Department - Antitrust Provisions - Policy Development - Participation Agreement - Case Study: Kaiser Permanente Benchmarks Appointment Access - Summary
   
   
6. Government Programs and Awards. Public Law 100-107 - The Malcolm Baldridge National Quality Award - The Deming Prize - Other National Awards - Accreditaion by the Joint Commission on Accreditation of Healthcare Organizations - Summary
   
   Appendixes: Resource Guide - State Organizations - Glossary of Terms - Sources of Additional Information
   

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