VALUE BASED HEALTHCARE

VALUE-BASED HEALTHCARE

LEADERSHIP FOR SUSTAINABLE VALUE-BASED HEALTHCARE

THE HEALTH CAPTAINS CLUB PROMOTES TO FOCUS ON VALUE AND POSITIVE OUTCOMES FOR THE PATIENT IN THE TRANSFORMATION FROM DISEASE-REACTIVE HEALTHCARE TOWARDS MORE PREDICTIVE, PREVENTIVE, PRECISION AND PARTICIPATORY MEDICINE FOR MORE SUSTAINABLE VALUE-BASED HEALTHCARE DELIVERY AT SCALE IMPLEMENTING AND BALANCING SUSTAINABLE MEDICINE WITH HEALTHSPAN MEDICINE FOR ALL TO REDUCE THE SICKSPAN BASED ON THE VALUE-BASED HEALTHCARE DELIVERY MODELL AS DEVELOPED AND DEPLOYED BY PROFESSOR MICHAEL PORTER AT HARVARD BUSINESS SCHOOL AND TILL TODAY REVISED, ADAPTED AND EXPANDED BY MANY COLLEAGUES WORLDWIDE

WELCOME ABOARD

Value-Based Healthcare (VBHC):

Summary

Definition:

Value-Based Healthcare (VBHC) is a healthcare delivery model in which providers, including hospitals and physicians, are paid based on patient health outcomes. Unlike traditional fee-for-service models that reward volume, VBHC rewards value: the quality and efficiency of care delivered. The goal is to improve patient outcomes while reducing overall healthcare costs.

Key equation: Value = Health outcomes / Cost of delivering outcomes

The concept was popularized by Michael E. Porter and Elizabeth Teisberg in their 2006 book “Redefining Health Care.”

“The fundamental goal in healthcare must be value for patients, not access, volume, convenience, or process.”

Michael Porter – Distinguished Professor Harvard Business School

International Showcases of VBHC

1. Netherlands – St. Antonius Hospital

Implemented integrated care pathways and outcome measurement in cardiovascular care.
Partnered with insurers to reimburse based on outcomes, not services.

2. Sweden – Karolinska University Hospital

Developed comprehensive outcome registries.
Focused on value-driven care by restructuring around patient conditions (e.g., prostate cancer).

3. USA – Cleveland Clinic

Restructured care delivery around patient outcomes.
Established patient-centered care teams and rigorous outcome measurement.

4. United Kingdom – NHS England’s VBHC Programme

Launched pilot projects measuring and rewarding improvements in outcomes for chronic conditions like diabetes and cancer.

5. Spain – Ribera Salud Group (Valencia Region)

Public-private integrated model with a capitation-based payment tied to performance and patient satisfaction.

Key Organizations in the VBHC Field

1. International Consortium for Health Outcomes Measurement (ICHOM)

Develops standardized outcome sets for conditions worldwide.

2. World Economic Forum (WEF)

Promotes VBHC as a path to sustainable healthcare systems.

3. Health Outcomes Observatory (H2O)

EU initiative focused on enabling patient-reported outcomes.

4. Institute for Strategy and Competitiveness (Harvard Business School)

Led by Michael Porter, supports VBHC theory and practice.

5. OECD – Health Division

Evaluates and recommends health policy reforms including VBHC frameworks.

References and Suggested Reading

1. Porter, M.E. & Teisberg, E.O. (2006). Redefining Health Care: Creating Value-Based Competition on Results.
2. ICHOM ([https://www.ichom.org](https://www.ichom.org))
3. World Economic Forum Reports on VBHC ([https://www.weforum.org](https://www.weforum.org))
4. OECD Health at a Glance reports ([https://www.oecd.org/health/](https://www.oecd.org/health/))
5. European Commission on Value-Based Healthcare ([https://health.ec.europa.eu/](https://health.ec.europa.eu/))
6. Gray, M. (2017). Value Based Healthcare. BMJ Books.

Some value-based Healthcare Lectures by Professor Michael Porter to highlight #VBHC

#SustainableHealth & #SustainableHealthcare

World Health Summit: Perspectives on sustainable Health