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New Value Paradigm

Decent Essays

The New Value Paradigm The prevailing paradigm in health care can usually be summed up in one word. In the 1970s and 1980s, the word was evidence; in the first decade of the 21st century, the word was quality. The paradigm shift from the efficiency frontier to a value frontier is occurring in healthcare. A value frontier is the linking of quality and efficiency data to identify optimum levels of healthcare performance. (Harrison, 2010) Thus the value considers not only efficiency but also quality. Continuous Quality Improvement (CQI) is the idea that no service or process is perfect and that an organization must continually strive to eliminate errors from its system to get closer to perfection. (Harrison, 2010) This requires assessment of processes and setting standards to monitor the quality of the system. Value should always be defined around the customer, and in a well-functioning health care system, the creation of value for patients should determine the rewards for all other actors in the system. (Porter, 2010) …show more content…

He has introduced a model of quality care based on structure, process and outcomes. Structure includes the environment in which healthcare is delivered, instruments and equipment, administrative processes and fiscal organization of the institution. Process considers how care is delivered. Outcomes include recovery, restoration of function and survival. (Harrison, 2010) Because care activities are interdependent, value for patients is often revealed only over time and is manifested in longer-term outcomes. The only way to accurately measure value, then, is to track patient outcomes and costs longitudinally (Porter,

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