How healthcare software
can support value-based care models

Introduction

Pay-for-performance value-based care models are changing how healthcare is delivered, shifting incentives from volume-based services for physicians and hospitals to improving health outcomes and care quality; providers are paid for the value they deliver rather than the number of services offered. For example, instead of rewarding the number of cataract surgeries performed, providers are reimbursed for restoring patients’ vision so they can meet their daily care needs and activities. Pay-for-performance models can transform care to focus on patients, and they are cost-effective and well-managed. This is important because many diseases – particularly major killers such as heart disease, stroke, cancer, and diabetes – are linked to or caused by lifestyle choices such as smoking.
Diagnosis, treatment, and patient follow-up are facilitated through various advanced healthcare software solutions to drive well-coordinated care delivery, patient involvement, and data-driven care management to achieve the success of the value-based care model. The impact of technology is evident in electronic health records (EHR), predictive data analytics, and automated patient management. Health providers can use this advanced technology to achieve the objectives of VBC. When an organization adopts value-based care and uses electronic health records and other advanced technological solutions in healthcare, it helps the organization to meet the demands of VBC and bring efficiency to the quality of care provided to the patients.

Understanding value-based care

Value-based care is a system of organization and payment for healthcare that seeks to deliver better patient outcomes, increase the quality of care, and reduce costs. In contrast to the traditional fee-for-service payment system that pays providers for the number of services they deliver, reimbursement under value-based care is tied to the quality of care delivered and how efficiently it is provided. Some hallmarks of value-based care include a focus on patient- and family-centered care, primary prevention, chronic disease management, and care coordination across different settings. The idea is that by providing high-quality, coordinated care, providers can improve the health of patients while reducing costs.
Whereas traditional fee-for-service models pay providers for the volume of care delivered, value-based care aims to pay providers based on the value. This might involve incentivizing providers to work towards better patient outcomes, better care coordination, and avoiding unnecessary tests and procedures. This type of care system is said to hold providers accountable for the quality of care and cost-efficiency, helps maintain focus on long-term health outcomes and patient experience rather than simply counting visits, and further supports a more comprehensive approach to care (e.g., dentists and health workers working within a larger healthcare team and having more time to communicate with one another to provide a more consolidated plan of care for patients that addresses their overall health).

Role of healthcare software in value-based care

Enhancing care coordination

Innovative healthcare software facilitates value-based care models by making it easier to coordinate care and track the flow of information across patients, providers, and insurers. Electronic Health Record (EHR) integration plays a key role. By integrating relevant patient data from across systems into a single, centralized care record, EHR integration provides “patient 360” views, crucial not just for care coordination but also for ensuring that information is shared seamlessly across providers and systems. Software designed for multi-disciplinary team collaboration allows multiple providers to consult on patient-care plans and decisions, helping different carers and care teams work collaboratively so that the patient’s overall treatment goals remain on track and care pathways remain integrated across all aspects of their health status and condition.

Improving patient engagement

The other emerging trend where healthcare software plays a crucial role is in capturing value-based care philosophies through better patient engagement. These secure patient portals grant patients access to their own health records to schedule appointments and communicate directly with their health providers. This access allows patients to be familiar with their conditions and manage their own health, something that is integral to value-based care. Mobile apps can support these efforts with self-management tools, including medication reminders, symptom tracking, and education. These apps foster patient engagement by pushing health information directly to the consumer and empowering patients to self-manage their health.

Data-driven decision making

Data-driven decision-making is fundamental to value-based care, and healthcare software offers the tools to do so. Providers can use analytics and reporting tools to go back and review outcomes-based data and performance metrics. These reports can provide insights to adjust future care. Integrated AI and predictive analytics offer providers the ability to identify high-risk patients, understand potential health issues before they happen, and make more targeted interventions. All of this ultimately leads to better care and better outcomes at lower costs.

Benefits of healthcare software for value-based care

Improved care quality and patient outcomes

Healthcare software brings substantial improvements to value-based care by increasing care quality and patient outcomes. Healthcare software like integrated EHRs and patient management modules allow for more coordinated and personalized care for individuals. With consolidated patient data and communication between care teams at their fingertips, providers can ensure proper and timely interventions for patients, helping ensure positive health outcomes. Better visibility into data helps providers track patient progress and adjust plans, as well as detect potential health issues so that intervention and management of the issue can occur before it becomes more severe or life-threatening.

Enhanced efficiency and reduced costs

Alongside this quality improvement, they improve efficiency and reduce costs. Automation of some simple tasks, such as appointment booking and data entry, minimizes administrative overhead and lowers the risk of mistakes. Enabling streamlined workflows through the proper use of data and automation allows healthcare organizations to operate more efficiently. This efficiency leads to reduced operational overlap and improved utilization of staff or resources. This, in turn, results in a better overall experience for customers (patient-service quality) and, likely, reduced spending from payors (cost). Besides improving utilization and efficiency, healthcare software also helps lower costs by reducing unnecessary procedures. Value-based care hinges on the proper utilization of resources and encourages specialists to focus on prevention.

Better alignment with regulatory requirements and performance metrics

Additional value that healthcare software provides as a value-based care facilitator is compliance with regulatory standards and consistent reporting of performance metrics. New payment models that rely on value-based care can be quite demanding regarding health metrics and standardized performance measures. Healthcare software helps healthcare organizations to meet or even exceed stakeholders’ expectations by providing tools for real-time tracking and reporting those metrics. Health organizations can be sure that they are fully compliant with regulatory standards and also that they are reporting the proper information to stakeholders’ satisfaction. Because compliance processes are automated, there is no room for error and reports can serve as solid proof of consistent performance.

Challenges and considerations

Integration with existing systems

One of the biggest technical challenges to getting this software implemented is integration with existing systems. Healthcare organizations often must manage everything from admissions to billing with a variety of legacy systems (such as electronic health records (EHRs), billing systems, and clinical management tools, among others). Getting new software to communicate with existing systems can be a headache, especially if a multitude of systems need to be connected to one another. Planning and coordination are key to developing a process for integrating various software systems without losing consistency or increasing interoperability challenges. Without integration, data shows up in patches, flows inefficiently through the system, and workflows slow down, which ultimately jeopardizes the effectiveness of value-based care pursuits. Software that is compatible and can seamlessly exchange data with an organization’s infrastructure is critical for making this kind of implementation work.

Ensuring data privacy and security

Another important aspect to keep in mind naturally is security and data privacy. Indeed, patient data is highly sensitive, and the governance of access to this data is strictly enforced at the level of laws such as HIPAA and GDPR. Healthcare organizations are concerned about making use of software in a way that does not give rise to any data breach or unauthorized access. They have to implement the most secure software systems by relying on advanced encryption algorithms, secure authentication methods, and security audits. Otherwise, they risk a broken relationship of trust with their patients and might expose themselves to legal and financial leaks. Choosing software that provides basic security and a successful track record of conformity to the mandatory security standards is essential.

Adaptation to changing healthcare regulations

Federal and state regulations are bound to change over time regarding compliance, reporting, benchmarking, and adopting best practices to meet the evolving goals and objectives of value-based care. This means the software has to be adaptable to these requirements in your day-to-day operations and provide the tools for compliance and reporting that match the most current standards. Those kinds of frequent and sometimes concurrent changes could ultimately affect how you manage your value-based care models and, ultimately, your value-based incentives. For this reason, it is advantageous for healthcare organizations to rely on software that routinely updates and supports them to remain compliant in this changing environment.

Future trends in healthcare software for value-based care

Emerging technologies and innovations

These and other emerging tech trends are reshaping the way that healthcare software can empower value-based care going forward. Chief among these is the use of artificial intelligence (AI) and machine learning to analyze patient data and predict modeling. AI-powered analytics can detect subtle patterns whose significance might otherwise be missed, which can help guide care providers toward the best decisions by identifying which patients might be in danger or predicting which patients are most likely to choose unnecessary medical interventions. Another area of emergent tech that is being increasingly applied to healthcare is telehealth and remote monitoring technologies, which empower patients to access care and be monitored remotely. That’s not only more convenient than driving to a clinic but can assist in addressing some of the key aims of value-based care by providing a window into health metrics that wouldn’t be otherwise obtainable.

Predictions for how software will continue to evolve in supporting value-based care

Moving forward, anticipate that software will become increasingly available to support value-based care as part of broader efforts to increase interoperability and integration. Future iterations might create deeper and more seamless connections between EHR and non-EHR systems (such as patient management platforms, third-party mobile applications, etc.) for better care continuity and quality and safety monitoring. Increased blockchain adaptation might also make patient information more secure and adhere to the principle of source accuracy. By embracing interoperability and blockchain technologies, disparate healthcare systems could share information openly and objectively, benefiting the patient ultimately by improving the success of same-page coordination and outcomes.

Conclusion

Healthcare software is great for value-based care models as it facilitates care coordination, patient engagement, and data-driven decision-making. Through EHR interoperability, multi-disciplinary teamwork and analytics, and predictive technology, healthcare software supports value-based care by moving away from volume-based care. As healthcare evolves, further healthcare technology innovation will be necessary to optimize patient outcomes, support operations, and comply with the regulations. To operate successfully in value-based care, utilizing the above-mentioned software solutions will be an excellent first step for all healthcare organizations seeking to navigate successfully into this complex healthcare world.