Case Studies

Avera St. Luke's Hospital Reduces Post Acute Care Costs by 40 Percent

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SUCCESS STORY AVERA ST. LUKE'S HOSPITAL PREMIER BUNDLED PAYMENT SOLUTIONS "Having the line of sight on all care for the patient is so important to us. Premier's Bundled Payment Solution has been pivotal in helping Avera achieve our success." For a health system to succeed in today's healthcare environment, it is imperative to be proactive instead of reactive. Avera Health joined Premier's Bundled Payment Collaborative before they opted into the Bundled Payment for Care Improvement Initiative (BPCI). In anticipation of mandated bundles across the country, the health system realized that in order to be successful in a bundled payment program, they needed to set themselves up for success by learning as much as they could and by putting in the infrastructure they would need to support their bundled payment program. Solution St. Luke's began their care transformation for their major joint replacement bundle in two key areas: 1) Working with a physician champion to established a strong multi-disciplinary bundled payment team and oversight structure; and 2) Redeploying a nurse to develop the bundled payment nurse navigator role. Soon after, a navigator from the employed orthopedic surgery practice assumed the role full-time, as it was discovered to be a valuable and dedicated resource for their total joint bundle. The St. Luke's team, with the help of their care navigators and Premier, educated physicians on what happens in the post-acute setting and all of the costs associated with the post-acute care. Through the Premier Bundled Payment Analytics Tool, they were able to show the variability in cost in the post-acute setting, as well as the length of stay in post-acute, which was more expensive and longer than the physicians ever anticipated. The entire discharge plan and process became transparent to the care providers outside of the four walls of the hospital and started to drive results. Success Highlight: Education is Key "The educational component of Premier's Bundled Payment Solution has been critical for Avera Health. It is very rare that someone from our team is not on the bi-weekly educational calls to learn what other health systems in the collaborative are doing. The tools provided by the collaborative, certainly in the sprints, forces us to think about deploying best practices in our bundle programs. In addition, the analytics tool is extremely helpful to Avera Health." Stacey Lenker Vice president, payor strategies Avera Health 40% reduction in post acute costs WITHIN ONE YEAR 1

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