UPDATE: Frost & Sullivan: Hospitals Must Evaluate and Define Actual Value in Order to Survive
October 21 2009 - 6:08PM
PR Newswire (US)
Revealing and well-timed white paper validates need for integrating
outcomes, improving technology Highlights case study of ON-Q(R)
Pain Relief System MOUNTAIN VIEW, Calif., Oct. 20 /PRNewswire/ --
In order for U.S. hospitals to position themselves to survive and
thrive considering rapidly changing healthcare economics, Frost
& Sullivan theorizes that hospitals must evaluate new clinical
technologies based on their impact as an actual value, rather than
as an added expense. Actual value and impact on net positive cash
flow may be more important than reimbursement for products in the
future. (Logo: http://www.newscom.com/cgi-bin/prnh/20081117/FSLOGO)
Frost & Sullivan recently published a white paper, The New
Economics of Healthcare: Evaluating Medical Technologies Based on
Actual Value as a Growth Strategy for Healthcare Providers, that
explores this topic and provides solutions for hospitals. It also
provides a case study of the ON-Q Pain Relief System®, a
leading-edge technology that can improve outcomes and provide
operational and financial benefits that will be critical to
transforming healthcare in the future. Facilities are rapidly
entering a crisis due to growing demand, decreasing reimbursement,
and dwindling investments and donations. Many are looking for ways
to take greater control over their financial destinies by changing
what they can influence the most: their clinical operations and
outcomes. Supporting the white paper, Frost & Sullivan
completed a survey of U.S. hospital professionals. All but one
respondent agreed that in the next five years it will be more
important to the economic health of hospitals to deliver improved
clinical and financial outcomes. Products able to demonstrate these
benefits will be well-positioned to take advantage of these
changes. "Whether a hospital adopts new technologies or not is not
an option," explains Charlie Whelan, Director of Healthcare
Consulting for Frost & Sullivan. "Hospitals must constantly
evaluate new technologies to improve patient outcomes, as well as
maintain competitiveness and financial viability. Hospitals will
become more like manufacturers, by adopting best practices and
standardized protocols that offer predictable outcomes in order to
reduce variations in care and drive efficiency and quality." One
such example of this changing paradigm is featured in the
whitepaper. It is a technology that delivers these types of
benefits: the ON-Q® Pain Relief System from I-Flow (NASDAQ:IFLO), a
non-narcotic, post-surgical pain relief device that reduces length
of stay and lowers costs. Hospitals that have used the device have
been able to improve clinical outcomes and reduce the use of
narcotics, thus reducing systemic narcotic-associated side effects,
and achieving operational efficiencies and lower costs. "Evaluating
the impact on reimbursement for new technologies will continue to
be critical when hospitals consider which products to adopt," adds
Whelan. "But determining the true ROI for a new technology will
become more complex in the future, and reimbursement will become
relatively less important compared to other variables." If you are
interested in receiving a copy of The New Economics of Healthcare:
Evaluating Medical Technologies Based on Actual Value as a Growth
Strategy for Healthcare Providers, please send an e-mail to Johanna
Haynes, Corporate Communications, at with the following
information: your full name, company name, title, company telephone
number, company e-mail address, city, state, and country. About
Frost & Sullivan Frost & Sullivan, the Growth Partnership
Company, enables clients to accelerate growth and achieve best in
class positions in growth, innovation and leadership. The company's
Growth Partnership Service provides the CEO and the CEO's Growth
Team with disciplined research and best practice models to drive
the generation, evaluation, and implementation of powerful growth
strategies. Frost & Sullivan leverages over 45 years of
experience in partnering with Global 1000 companies, emerging
businesses and the investment community from more than 35 offices
on six continents. To join our Growth Partnership, please visit
http://www.frost.com/. Contact: Johanna Haynes Corporate
Communications - North America P: 210.247.3870 F: 210.348.1003 E:
http://www.frost.com/
http://www.newscom.com/cgi-bin/prnh/20081117/FSLOGO
http://photoarchive.ap.org/ DATASOURCE: Frost & Sullivan
CONTACT: Johanna Haynes of Frost & Sullivan Corporate
Communications - North America, +1-210-247-3870, fax,
+1-210-348-1003, Web Site: http://www.frost.com/
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