Using Predictive Analytics for Care Management
and Coordination
Chicago Technology for VBHC
January 30, 2017
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 2
Agenda
Evolution
of Bundles
Care
Management
Predictive
Analytics
Q&A
Essential
Capabilities
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 3
CMS Goals: Triple Aim
Source: CMS CJR Introduction Slides
More coordinated, higher quality careBetter Care
Smarter Spending Hold hospitals accountable for total episode spending
Heathier People
& Communities
Result of “Better Care” and “Smarter Spending”
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 4
A Commitment to Value and Quality
HSS = The Department of Health and Human Services; APM = Alternative Payment Model; FFS = fee-for-service. Source: CMS, 2015.
Historical Performance
20%
68%
60%
32%
20%
2011 2014
HHS Goals
30%
50%
55%
40%
15% 10%
2016 2018
… efficient, coordinated and high quality care
Traditional Medicare FFS
Other FFS linked to quality
APMs (Bundled Payment)
80% 85% 90%
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 5
Bundled Payment: An Evolving Model
5
ACE
“Expand and Scale”
2018 2020
Permanent Payment
Model
Voluntary
Voluntary
Mandatory
2013
BPCI
2009
ACE
2016
CJR
Mandatory
EPM
SHFFT
2017
???
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 6
Bundles Are Gaining Momentum…why?
September 25, 2016
June 28, 2016
“Bundled payments
will finally unleash
the competition that
patients want.”
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 7
CMS Costs Are Declining
9.6%
3.5%
-0.6% -0.6%
-1.6% -1.6%
-2.8%
-0.04
-0.02
0
0.02
0.04
0.06
0.08
0.1
0.12
2009 2010 2011 2012 2013 2014 2015
CMS National Trend Factors, MS-DRG 470, 2009-2015
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 8
Outcomes Are Improving
%
32
INCREASED PATIENTS
GOING HOME
FEWER
READMISSIONS
56 %
LOWER
EPISODE COSTS
$
15 %
Reference: PinpointCare BPCI customer data
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 9
Creating Competition within Census-Based Regions
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 10
Determining CJR Target Prices: Years 1 and 2
$27,400
$23,820
Average Historical
Payment
(2012-2014)
Target Price
Weighting
2/3
1/3
$25,000 3% CMS
Discount
$24,250
Target Price
Hospital:
Region:
*Trended forward to current year
Trend
Factor*
1.0
1.0
($750)
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 11
Risk & Opportunity: Stop Gain and Stop Loss Limits
5% 5%
10%
20% 20%
-5%
-10%
-20% -20%
-25%
-20%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
Y1 Y2 Y3 Y4 Y5
Capped Upside
Capped Downside
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 12
Hospital Type
% Change
(Y1 to Y5)
High Payment -16%
Moderate Payment -9%
Low Payment -4%
The Race to the Bottom
$20,000
$21,000
$22,000
$23,000
$24,000
$25,000
$26,000
$27,000
$28,000
$29,000
$30,000
Historical Payment Ave
(2012-2014)
2016 2017 2018 2019 2020
Declining Target Price within Region
3% Discount
33% Region Rebasing 2014-16
67% Region
100% Region
Rebasing 2016-18
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 13
Aligning
Stakeholders
Integrating
Data
Redesigning
Care
Optimizing
Resources
Focusing on Essential Capabilities
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 14
The Traditional Payment and Data Model
Hospital
Doctor
SNF
HHAOPT
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 15
Bundled Payment: A Single Payment for an Episode of Care
Hospital
Doctor
SNF
HHAOPT
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 16
Data Challenges Persist
9 months old!
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 17
PinpointCare Empowers Customers to Break Traditional Models
PinpointCare Model
Traditioanl Call Center Model
1:250
Call
Center
1:750
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 18
Reducing Variability in Episode Cost Dramatically Reduces the Risk
Episode Cost
EpisodeCount
With PinpointCare Model and Technology
Off-PlanOn-PlanOn-Plan
© 2016 popHeatlh Strategies, LLC | Confidential and Proprietary. Do not distribute or copy. 19
Predictive Analytics: Data, Analytics, and Integration
• Proactive identification of high-risk patients
• Real-time ‘pulse’ of program performance
• Ongoing feedback loop
• Single-source application
Decision Data
Extracts
Real-time Data
In-Flight
Historical Historical Future
Q&A
Dennis O’Donnell, MHA, PT
dodonnell@pophealthstrategies.com
dodonnell@pinpointcare.com
(224) 548-4812

Using Predictive Analytics For Care Management And Coordination

  • 1.
    Using Predictive Analyticsfor Care Management and Coordination Chicago Technology for VBHC January 30, 2017
  • 2.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 2 Agenda Evolution of Bundles Care Management Predictive Analytics Q&A Essential Capabilities
  • 3.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 3 CMS Goals: Triple Aim Source: CMS CJR Introduction Slides More coordinated, higher quality careBetter Care Smarter Spending Hold hospitals accountable for total episode spending Heathier People & Communities Result of “Better Care” and “Smarter Spending”
  • 4.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 4 A Commitment to Value and Quality HSS = The Department of Health and Human Services; APM = Alternative Payment Model; FFS = fee-for-service. Source: CMS, 2015. Historical Performance 20% 68% 60% 32% 20% 2011 2014 HHS Goals 30% 50% 55% 40% 15% 10% 2016 2018 … efficient, coordinated and high quality care Traditional Medicare FFS Other FFS linked to quality APMs (Bundled Payment) 80% 85% 90%
  • 5.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 5 Bundled Payment: An Evolving Model 5 ACE “Expand and Scale” 2018 2020 Permanent Payment Model Voluntary Voluntary Mandatory 2013 BPCI 2009 ACE 2016 CJR Mandatory EPM SHFFT 2017 ???
  • 6.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 6 Bundles Are Gaining Momentum…why? September 25, 2016 June 28, 2016 “Bundled payments will finally unleash the competition that patients want.”
  • 7.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 7 CMS Costs Are Declining 9.6% 3.5% -0.6% -0.6% -1.6% -1.6% -2.8% -0.04 -0.02 0 0.02 0.04 0.06 0.08 0.1 0.12 2009 2010 2011 2012 2013 2014 2015 CMS National Trend Factors, MS-DRG 470, 2009-2015
  • 8.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 8 Outcomes Are Improving % 32 INCREASED PATIENTS GOING HOME FEWER READMISSIONS 56 % LOWER EPISODE COSTS $ 15 % Reference: PinpointCare BPCI customer data
  • 9.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 9 Creating Competition within Census-Based Regions
  • 10.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 10 Determining CJR Target Prices: Years 1 and 2 $27,400 $23,820 Average Historical Payment (2012-2014) Target Price Weighting 2/3 1/3 $25,000 3% CMS Discount $24,250 Target Price Hospital: Region: *Trended forward to current year Trend Factor* 1.0 1.0 ($750)
  • 11.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 11 Risk & Opportunity: Stop Gain and Stop Loss Limits 5% 5% 10% 20% 20% -5% -10% -20% -20% -25% -20% -15% -10% -5% 0% 5% 10% 15% 20% 25% Y1 Y2 Y3 Y4 Y5 Capped Upside Capped Downside
  • 12.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 12 Hospital Type % Change (Y1 to Y5) High Payment -16% Moderate Payment -9% Low Payment -4% The Race to the Bottom $20,000 $21,000 $22,000 $23,000 $24,000 $25,000 $26,000 $27,000 $28,000 $29,000 $30,000 Historical Payment Ave (2012-2014) 2016 2017 2018 2019 2020 Declining Target Price within Region 3% Discount 33% Region Rebasing 2014-16 67% Region 100% Region Rebasing 2016-18
  • 13.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 13 Aligning Stakeholders Integrating Data Redesigning Care Optimizing Resources Focusing on Essential Capabilities
  • 14.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 14 The Traditional Payment and Data Model Hospital Doctor SNF HHAOPT
  • 15.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 15 Bundled Payment: A Single Payment for an Episode of Care Hospital Doctor SNF HHAOPT
  • 16.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 16 Data Challenges Persist 9 months old!
  • 17.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 17 PinpointCare Empowers Customers to Break Traditional Models PinpointCare Model Traditioanl Call Center Model 1:250 Call Center 1:750
  • 18.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 18 Reducing Variability in Episode Cost Dramatically Reduces the Risk Episode Cost EpisodeCount With PinpointCare Model and Technology Off-PlanOn-PlanOn-Plan
  • 19.
    © 2016 popHeatlhStrategies, LLC | Confidential and Proprietary. Do not distribute or copy. 19 Predictive Analytics: Data, Analytics, and Integration • Proactive identification of high-risk patients • Real-time ‘pulse’ of program performance • Ongoing feedback loop • Single-source application Decision Data Extracts Real-time Data In-Flight Historical Historical Future
  • 20.
    Q&A Dennis O’Donnell, MHA,PT dodonnell@pophealthstrategies.com dodonnell@pinpointcare.com (224) 548-4812