Category Archives: Gainsharing

6 Essential Differences Between Gainsharing and Shared Savings Programs

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With many approaches being considered by hospitals to engage physicians and align incentives we often get questions on the differences between shared savings and gainsharing.  We were excited when Becker’s Hospital CFO released on September 23, 2014 an article called “6 essential differences between gainsharing and shared savings programs” written by myself and AMS VP Anthony Stanowski.

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Motivating Physicians: Dollars and Sense

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Jo and I had a great conversation last week with Dr. Joe Bujak, MD, FACP,  the author of several books including Inside the Physician Mind: Finding Common Ground with Doctors (2008).  Bujak’s premise is that physicians are driven by their personal visions and goals, and that organizations need to align their interests Read More

AHRQ Health Care Innovations Exchange Profiles NJHA/AMS Medicare Gainsharing Pilot Demonstration

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The July 16, 2014 issue of the Agency for Healthcare Research and Quality (AHRQ) Health Care Innovation Exchange (http://innovations.ahrq.gov/profiles/hospital-gain-sharing-program-offers-incentives-physicians-based-their-efficiency-producing) reviews the results of the 3-year NJHA/AMS Medicare  Gainsharing Pilot Read More

Modern Healthcare report on the squeeze in hospital operating margins (June 23, 2014)

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Operating margin is the easiest way to determine a company’s pricing strategy and operating efficiency.   It is the simplest way to understand how much a company makes on each dollar of sales.  For non-profit hospitals, a positive operating margin means that there is money available to fund additional services; with
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The Revolution Continues

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The AMS Performance Based Incentive System® has now received 3 approvals by Medicare for use in large scale gainsharing demonstrations.  But the roots of our methodology date back to 1976, to the New Jersey demonstration that designed, developed and implemented “payment by the case”.  A recent article in the Annals of Internal Medicine lauded payment by DRG as “…arguably the most influential innovation in the history of health care financing”.  In this blog we fill in missing pieces, including the fact that the
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