What is value in health care?
Value-Based Healthcare (VBHC) is a patient-centric approach to designing and managing health systems.
Healthcare organization needs to be able to make decisions on what to do and what not to do – pricing negotiations, reimbursement and coverage policies, cost and risk management. Taking all these considerations into account, patient value must be central.
The VBHC approach assesses costs incurred and services provided to patients with a focus on outcomes that are meaningful to them. As such, VBHC is about linking health care dollars spent to outcomes that matter to patients, and represents a shift away from the traditional care and funding models that focus on volumes of services, processes or products that may or may not achieve those outcomes.
This 2010 seminal publication via NEJM presents the initial concept, framework, theories and tools of VBHC developed at Harvard University.