Medtronic plc has introduced a free consulting service to their hospital customers to manage their financial risks under Centers for Medicare and Medicaid Services (CMS) recently implemented Comprehensive Care for Joint Replacement (CJR) model.
In a November 10, 2012 announcement, the company said Medtronics Orthopedic Solutions was developed in partnership with physicians who have successfully implemented bundled payment programs.
The company says it will not and should not get paid unless the hospital is successful in reducing its total episode costs while improving patient quality and outcomes. “Based on the CJR model, our success fee will be aligned with the success of the CJR program. By aligning short-term needs with long-term goals, Medtronic aims to lead the way in defining success in value-based healthcare and is the right partner for your organization, ” states the company on its website.
Savings are targeted at readmission and post-acute care costs.
New Knee
Signaling a further entrance into the hip and knee market, the company announced the launch of a, “value-based total knee arthroplasty system” at the American Association of Knee and Hip Surgeons Annual Meeting (AAKHS), just concluded in Dallas, Texas. The system will be widely available in the first half of 2017.
Medtronic will support providers from pre-surgical planning through the 90th day post discharge.
Services
Specifically, the consulting services include:
“Care Pathways – A comprehensive, patient-focused program designed to uncover opportunities to reduce costs and improve efficiencies, patient satisfaction, and outcomes at every point of care. It also provides technology to monitor success and course-correct as needed. This service will be offered as a performance-based partnership; Medtronic is compensated when the company achieves successful outcomes and cost savings for customers.
Patient Monitoring with Medtronic Care Management Services (MCMS) – Our remote patient monitoring and engagement solutions are designed to help patients recover at home, deliver actionable information to providers to help enable timely and effective clinical interventions, and provide patient context and education important for self-care. With a remote patient monitoring program designed specifically for patients recovering from total hip and total knee arthroscopy, MCMS may help clinicians manage readmission risk and improve patient satisfaction—important factors in CJR evaluations.
Total Knee Arthroplasty System – Medtronic’s FDA-cleared knee implant was designed to facilitate cost savings by leading orthopedic surgeons who have significant clinical and design experience. The implants are made in the United States using well-studied materials and supported intraoperatively by trained clinical specialists.
Bleeding Control with the Aquamantys System – This well-established Medtronic technology combines radiofrequency energy and saline to provide hemostatic sealing of soft tissue and bone. Aquamantys use has been shown to decrease length of stay and hematoma rate, and increase the number of patients discharged to home self-care following primary total hip arthroplasty. In total knee arthroplasty, Aquamantys use has been shown to reduce blood loss, transfusion rates, and drain output, and to maintain hematocrit levels.”
Shared Risk/Reward
Geoff Martha, head of the company’s restorative therapies group, said, “Medtronic is here to help speed the adoption of value-based healthcare in orthopedics by helping hospitals drive down costs while keeping outcomes top of mind.”
He added that the company’s technological and operational efficiency know-how, along with insight into the various points along the care continuum, help the company develop, “effective solutions, tailored to client needs. And we back this up by sharing potential savings with our customer, which means we get paid if our program is successful in reducing episode costs for customers.”
FYI