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ECONOMICS AND OUTCOME
IN ICU
DR PRAMOD SARWA MD,FPA ped.anesth., IDCCM
ECONOMICS
 STUDY OF ..
1.PEOPLE talent and time
2.THE LAND, BUILDING, TOOLS
3.KNOWLDEGE of how to combine them
to..
CREATE USEFUL PRODUCTS AND
SERVICE
ECONOMICS IN ICU
 ...
 The economics in intensive care can focus on
1.the management of human resources and
operating costs within an ICU itself, or
2.the use of ICU resources within a healthcare
system
QUESTION OF IMPACT
question to ask when evaluating the
economic impact of any organizational
change affecting the ICU is
 which party actually bears a
cost change?
PERSPECTIVE REGARDING
COSTS
FIXED COSTS VARIABLE COST
 operational costs
required to provide care
 STAFF SALARIES
 MONEY PAID FOR
EQUIPMENTS
 MAINTANANCE
 Differs from patient to
patient
 Associated with care of
individual , fluctuate
with PT. VOLUME
MAJORITY OF COST IN ICU CARE
Roberts RR, Frutos PW,
Ciavarella GG, et al.
Distribution of variable
vs fixed costs of hospital
care.
JAMA. 1999;
281(7):644–649.
[PubMed: 10029127]  80% of the cost spent in
ICU is FIXED COSTS
most cost reductions associated with
any system change will be small if due
to changes in variable costs only
COSTS WITHIN ICU
Luce JM, Rubenfeld
GD. Can health care
costs be reduced by
limiting intensive care
at the end of life? Am J
Respir Crit Care Med.
2002; 165(6):750–754.
[PubMed: 11897638]
 Many studies in critical care
target reductions in ICU
length of stay and equate
this outcome with a “cost
savings”
 large cost savings will only
be realized if the reductions
in fixed costs of care.
COST SHIFTING
 Reductions in costs in one area are
accompanied by rises in costs elsewhere in
order to address clinical needs.
 In most situations the actual cost savings
associated with decreased ICU length of stay
comprise only a small fraction of total costs.
 For example, Kahn and colleagues analyzed
that reducing ICU length of stay by one day
would only result in a cost savings of 0.2% of
all hospital expenditure
STAFFING
Roberts RR, Frutos PW,
Ciavarella GG, et al.
Distribution of variable
vs fixed costs of hospital
care.
JAMA. 1999;
281(7):644–649.
[PubMed: 10029127]
 Staffing—The largest and
primarily fixed costs of
operating an ICU are staff
salaries
 which are estimated to
account for over 50% of
fixed costs for all
hospitalized patients in the
US . and 33% to 69% of total
ICU costs in other countries
NURSING
Moreno R, Reis MD.
Nursing staff in
intensive care in
Europe: the mismatch
between planning and
practice. Chest. 1998;
113(3):752–758.
[PubMed: 9515
Heinz D. Hospital nurse
staffing and patient
outcomes: A review of
current literature.
Dimensions of critical
care nursing. 2004;
23(1):44. [PubMed:
14734900]853]
 Fewer data are available to
inform the most cost effective
nurse-to-patient ratio in an
ICU, although
 some studies have suggested
that higher nursing ratios
decrease adverse event rates
and lead to better patient
outcomes
“flex” system that flexibly schedules nurses based on the
anticipated workload in the unit at that time
INTENSIVIST STAFFING
Gajic O, Afessa B, Hanson AC,
et al. Effect of 24-hour
mandatory versus on-demand
critical care specialist presence
on quality of care and family and
provider satisfaction in the
intensive care unit of a teaching
hospital*. Critical Care
Medicine. 2008; 36(1):36–44.
[PubMed: 18007270]
. Banerjee R, Naessens JM,
Seferian EG, et al. Economic
implications of nighttime
attending intensivist coverage in
a medical intensive care unit*.
Critical Care Medicine. 2011;
39(6):1257–
1262. [PubMed: 21317642]
One study demonstrated
improved compliance with
recommended processes of
care, but no effect on
hospital mortality with 24
hour in-house coverage
decreased length of stay for
the sickest patients admitted
at night and cost savings
associated with the
decreased length of stay
MULTIDISCIPLINARY TEAM
Smyrnios NA, Connolly
A, Wilson MM, et al.
Effects of a multifaceted,
multidisciplinary,
hospital-wide quality
improvement program
on weaning from
mechanical ventilation.
Crit Care
Med. 2002; 30(6):1224–
1230. [PubMed:
12072672]
 Improved outcome
 Decreased length of ICU
stay.
 1 pharmacist.
 2.physiotherapist.
 3. palliative care team.
PHARMACIST
Montazeri M, Cook DJ. Impact
of a clinical pharmacist in a
multidisciplinary intensive
care unit.
Crit Care Med. 1994;
22(6):1044–1048. [PubMed:
8205814]
MacLaren R, Bond CA.
Effects of pharmacist
participation in intensive care
units on clinical and
economic outcomes of
critically ill patients with
thromboembolic or infarction-
related events.
Pharmacotherapy. 2009;
29(7):761–768. [PubMed:
19558249]
 substantial portion of the
consultations (47.1%) resulting in
decreased drug costs
 direct involvement of pharmacists
in care led to decreased charges
for medications.
 However, it is important to note
that the decreased variable costs
may be offset by the fixed costs of
the additional salaries.
PHYSICAL THERAPIST
Morris PE, Goad A, Thompson C, et al.
Early intensive care unit mobility
therapy in the treatment of acute
respiratory failure. Critical Care
Medicine. 2008; 36(8):2238–2243.
[PubMed: 18596631]
Schweickert WD, Pohlman MC,
Pohlman AS, et al. Early physical and
occupational therapy in
mechanically ventilated, critically ill
patients: a randomised controlled trial.
Lancet. 2009;373(9678):1874–1882.
[PubMed: 19446324]
Needham DM, Korupolu R.
Rehabilitation quality improvement in
an intensive care unit setting:
implementation of a quality
improvement model. Top Stroke
Rehabil. 2010; 17(4):271–281.
[PubMed: 20826415]
 early rehabilitation may leads
to improved patient outcomes,
including functional status and
length of stay
 The full economic impact along
with the cost-effectiveness of
this intervention requires
further study
STANDARDIZATION OF CARE
Wiener RS, Welch HG.
Trends in the use of the
pulmonary artery
catheter in the United
States,
1993–2004. JAMA. 2007;
298(4):423–429.
[PubMed: 17652296]
Dellinger RP, Carlet JM,
Masur H, et al.
Surviving Sepsis
Campaign guidelines for
management of
severe sepsis and septic
shock. Crit Care Med.
2004; 32(3):858–873.
[PubMed: 15090974]
 Standardization of
treatment approaches and
the use of protocols can
help reduce the use of
unproven and expensive
treatments
Cont.
 multidisciplinary staff
 the implementation of checklists ,
 prompting and the use of clinical
reminders
 adoption of clinical protocols and
treatment “bundles” .
 indication creep
HEALTHCARE SYSTEM
 organization of admission and discharge
practices and
alternatives to care .. like telemedicine
 regionalization
pro/cons/ alternative
Conclusion
 The ICU is a complex system and the
economic implications of altering care
patterns in the ICU can be difficult to unravel
 Few data
 More studies needed to measure the true
costs of care within a given healthcare
system.
Icu economics

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Icu economics

  • 1. ECONOMICS AND OUTCOME IN ICU DR PRAMOD SARWA MD,FPA ped.anesth., IDCCM
  • 2. ECONOMICS  STUDY OF .. 1.PEOPLE talent and time 2.THE LAND, BUILDING, TOOLS 3.KNOWLDEGE of how to combine them to.. CREATE USEFUL PRODUCTS AND SERVICE
  • 3. ECONOMICS IN ICU  ...  The economics in intensive care can focus on 1.the management of human resources and operating costs within an ICU itself, or 2.the use of ICU resources within a healthcare system
  • 4. QUESTION OF IMPACT question to ask when evaluating the economic impact of any organizational change affecting the ICU is  which party actually bears a cost change?
  • 5. PERSPECTIVE REGARDING COSTS FIXED COSTS VARIABLE COST  operational costs required to provide care  STAFF SALARIES  MONEY PAID FOR EQUIPMENTS  MAINTANANCE  Differs from patient to patient  Associated with care of individual , fluctuate with PT. VOLUME
  • 6. MAJORITY OF COST IN ICU CARE Roberts RR, Frutos PW, Ciavarella GG, et al. Distribution of variable vs fixed costs of hospital care. JAMA. 1999; 281(7):644–649. [PubMed: 10029127]  80% of the cost spent in ICU is FIXED COSTS most cost reductions associated with any system change will be small if due to changes in variable costs only
  • 7. COSTS WITHIN ICU Luce JM, Rubenfeld GD. Can health care costs be reduced by limiting intensive care at the end of life? Am J Respir Crit Care Med. 2002; 165(6):750–754. [PubMed: 11897638]  Many studies in critical care target reductions in ICU length of stay and equate this outcome with a “cost savings”  large cost savings will only be realized if the reductions in fixed costs of care.
  • 8. COST SHIFTING  Reductions in costs in one area are accompanied by rises in costs elsewhere in order to address clinical needs.  In most situations the actual cost savings associated with decreased ICU length of stay comprise only a small fraction of total costs.  For example, Kahn and colleagues analyzed that reducing ICU length of stay by one day would only result in a cost savings of 0.2% of all hospital expenditure
  • 9. STAFFING Roberts RR, Frutos PW, Ciavarella GG, et al. Distribution of variable vs fixed costs of hospital care. JAMA. 1999; 281(7):644–649. [PubMed: 10029127]  Staffing—The largest and primarily fixed costs of operating an ICU are staff salaries  which are estimated to account for over 50% of fixed costs for all hospitalized patients in the US . and 33% to 69% of total ICU costs in other countries
  • 10. NURSING Moreno R, Reis MD. Nursing staff in intensive care in Europe: the mismatch between planning and practice. Chest. 1998; 113(3):752–758. [PubMed: 9515 Heinz D. Hospital nurse staffing and patient outcomes: A review of current literature. Dimensions of critical care nursing. 2004; 23(1):44. [PubMed: 14734900]853]  Fewer data are available to inform the most cost effective nurse-to-patient ratio in an ICU, although  some studies have suggested that higher nursing ratios decrease adverse event rates and lead to better patient outcomes “flex” system that flexibly schedules nurses based on the anticipated workload in the unit at that time
  • 11. INTENSIVIST STAFFING Gajic O, Afessa B, Hanson AC, et al. Effect of 24-hour mandatory versus on-demand critical care specialist presence on quality of care and family and provider satisfaction in the intensive care unit of a teaching hospital*. Critical Care Medicine. 2008; 36(1):36–44. [PubMed: 18007270] . Banerjee R, Naessens JM, Seferian EG, et al. Economic implications of nighttime attending intensivist coverage in a medical intensive care unit*. Critical Care Medicine. 2011; 39(6):1257– 1262. [PubMed: 21317642] One study demonstrated improved compliance with recommended processes of care, but no effect on hospital mortality with 24 hour in-house coverage decreased length of stay for the sickest patients admitted at night and cost savings associated with the decreased length of stay
  • 12. MULTIDISCIPLINARY TEAM Smyrnios NA, Connolly A, Wilson MM, et al. Effects of a multifaceted, multidisciplinary, hospital-wide quality improvement program on weaning from mechanical ventilation. Crit Care Med. 2002; 30(6):1224– 1230. [PubMed: 12072672]  Improved outcome  Decreased length of ICU stay.  1 pharmacist.  2.physiotherapist.  3. palliative care team.
  • 13. PHARMACIST Montazeri M, Cook DJ. Impact of a clinical pharmacist in a multidisciplinary intensive care unit. Crit Care Med. 1994; 22(6):1044–1048. [PubMed: 8205814] MacLaren R, Bond CA. Effects of pharmacist participation in intensive care units on clinical and economic outcomes of critically ill patients with thromboembolic or infarction- related events. Pharmacotherapy. 2009; 29(7):761–768. [PubMed: 19558249]  substantial portion of the consultations (47.1%) resulting in decreased drug costs  direct involvement of pharmacists in care led to decreased charges for medications.  However, it is important to note that the decreased variable costs may be offset by the fixed costs of the additional salaries.
  • 14. PHYSICAL THERAPIST Morris PE, Goad A, Thompson C, et al. Early intensive care unit mobility therapy in the treatment of acute respiratory failure. Critical Care Medicine. 2008; 36(8):2238–2243. [PubMed: 18596631] Schweickert WD, Pohlman MC, Pohlman AS, et al. Early physical and occupational therapy in mechanically ventilated, critically ill patients: a randomised controlled trial. Lancet. 2009;373(9678):1874–1882. [PubMed: 19446324] Needham DM, Korupolu R. Rehabilitation quality improvement in an intensive care unit setting: implementation of a quality improvement model. Top Stroke Rehabil. 2010; 17(4):271–281. [PubMed: 20826415]  early rehabilitation may leads to improved patient outcomes, including functional status and length of stay  The full economic impact along with the cost-effectiveness of this intervention requires further study
  • 15. STANDARDIZATION OF CARE Wiener RS, Welch HG. Trends in the use of the pulmonary artery catheter in the United States, 1993–2004. JAMA. 2007; 298(4):423–429. [PubMed: 17652296] Dellinger RP, Carlet JM, Masur H, et al. Surviving Sepsis Campaign guidelines for management of severe sepsis and septic shock. Crit Care Med. 2004; 32(3):858–873. [PubMed: 15090974]  Standardization of treatment approaches and the use of protocols can help reduce the use of unproven and expensive treatments
  • 16. Cont.  multidisciplinary staff  the implementation of checklists ,  prompting and the use of clinical reminders  adoption of clinical protocols and treatment “bundles” .  indication creep
  • 17. HEALTHCARE SYSTEM  organization of admission and discharge practices and alternatives to care .. like telemedicine  regionalization pro/cons/ alternative
  • 18. Conclusion  The ICU is a complex system and the economic implications of altering care patterns in the ICU can be difficult to unravel  Few data  More studies needed to measure the true costs of care within a given healthcare system.