Why Unit Costs Matter & What To Do About It

I heard an interesting comment at a recent meeting when two managers of a provider organization were talking about the upside of value-based payment models – “we won't need to worry about unit costs and productivity anymore.”

I'm sure most managers realize that is not the case. In fact, managing unit cost is just as critical, if not more, in a value-based payment environment. Value-based payment models are focused on realigning incentives to provide high quality service while keeping the cost of services down (see <a href="https://www.openminds.com/market-intelligence/news/medicare-preparing . . .