VIable

NDHI
NAT IONAL DIALOGUE FOR
Healthcare Innovation
Value-Based Healthcare
Organization Overview
• Medtronic is the world’s largest medical technology
company, offering a broad range of therapies and
health care solutions to improve the lives of patients
around the globe. Medtronic’s therapies now serve
two new patients every second of the day
• Medtronic is focused on creating a sustainable value-based
healthcare strategy, consistent with the
Medtronic Mission to alleviate pain, restore health
and extend life for more patients around the world
Background
Healthcare leaders are adopting new value-based
payment and delivery systems aimed at curbing costs
and improving quality. The Department of Health and
Human Services aims to tie 50% of Medicare fee-forservice
payments to value through alternative payment
models by 2018, and is already more than halfway to
that goal.
As these value-based healthcare (VBHC) approaches
are implemented, they will increasingly determine
how technology and services are utilized in the future.
Medtronic is committed to being a leader in this transformation
of healthcare. The company’s technologies,
and the data and insights that these products generate,
can be utilized to help integrate and connect patient
care across disease state progressions or across care
continuums – a vital step in delivering on the promise
of meaningful outcomes and lower costs.
Medtronic is excited about the opportunity to participate
in the development of value-based healthcare collaborations,
sharing direct accountability for healthcare
costs and patient outcomes in its business models.
However, these agreements must reflect several key
principles, including:
• Appropriate patient risk-stratification
“
• Well-defined inclusion and exclusion criteria for
bundled services
• Open and transparent data sharing for the projection
and calculation of costs and outcomes
Toward these goals, Medtronic has adopted a comprehensive
framework, through which the company
develops innovative new business models and partnerships
that involve shared accountability.
Collaboration Details
The Medtronic 7-Step Value-Based Healthcare Framework
was established to provide a common language
and approach to advance care delivery built on three
premises:
1. Accountability for outcomes
“We are actively partnering
to drive meaningful dialogue
from thought-leaders across
healthcare about how we can
transform the incentives in
healthcare today to focus on
outcomes.”
“
Omar Ishrak
Chairman and CEO, Medtronic
2. Rigorous understanding of economic value from
the stakeholder perspective
3. Appropriately-defined time horizons to be accountable
for value
An Initiative of the
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Value-Based Healthcare