HOW SHOULD NEW TECHNOLOGIES AND NEW DEVICES BE ASSESSED IN A HOSPITAL SYSTEM?

Author(s)

Alan H Mutnick, PharmD, FASHP, Director, Clincial Effectiveness1, Peter K. Wong, PhD, MBA, MS, RVP, Quality, Clinical Effectiveness & Chief Pharmacy Officer1, Karl Matuszewski, MS, PharmD, Senior Director, Clinical Knowledge Service21Mercy Health Partners, Southwest Ohio, Cincinnati, OH, USA; 2 University HealthSystem Consortium, Oak Brook, IL, USA

Organization: Mercy Health Partners, Southwest Ohio. The regional office consists of 5 acute care hospitals and 6 Long Term Care Nursing Homes with over 8000 employees and 2000 physicians on staff. Problem or Issue Addressed: There currently exists a lack of sufficient long-term cost-effectiveness data on new technologies and new devices, in order to allow healthcare decision makers to make good decisions. At the same time, the costs associated with many of these technologies and devices have out-paced the level of reimbursement given to the providers. Goals: The primary goal of our health system is to provide the appropriate information to the executives on making the right decisions, which will improve the quality of care, guard against harm to patients from the new technologies and devices, and preserve the financial well-being of our health care system. Outcomes items used in the decision: The case will use two recent examples (orthopedic implants and artificial disc implants) to illustrate the requirements for evaluating economic (costs, reimbursement) and clinical outcomes data for a cost-consequences analysis. In addition, our team has developed a model which evaluates costs, reimbursements, and incremental benefits for implementing the new technologies. Implementation Strategy: In an effort to control costs and improve quality and patient safety, our hospital system recently formed an Advisory Panel on New Technologies, New Procedures, and New Devices. The function of the Advisory Panel is to evaluate new technology in the form of programs, procedures, products, and devices. Panel members receive research and information about new technology proposed by groups or individuals for use or implementation within the organization. The information is compiled by the requesting groups or individuals in conjunction with Sourcing and other departments as appropriate. The compiled information is presented to the Advisory Panel members prior to each meeting. The Advisory Panel reviews the information and provides, to senior administration, an analysis of the new technology to facilitate executive decision-making. This analysis will include recommendations regarding identified needs of the organization prior to implementation or use of the new technology. The panel is staffed with a Pharmacoeconomist and Outcomes Researcher, in order to provide the analysis for each new item. Results: This case study demonstrates the current deficiencies in evaluating the long-term effects of newly approved technologies, and the data that are required, in order to conduct this type of analysis. One might argue that more data will incur more costs to the manufacture, which will eventually be passed on to the providers. It also illustrates the tactics that are employed to contain costs in today's dynamic health care environment. Lessons Learned: There currently are very few studies available which assess the societal costs of inappropriate use of new technologies and devices, and as demonstrated during this session, this will need to change.

Conference/Value in Health Info

2008-05, ISPOR 2008, Toronto, Ontario, Canada

Value in Health, Vol. 11, No. 3 (May/June 2008)

Code

PCASE6

Topic

Health Technology Assessment

Topic Subcategory

Decision & Deliberative Processes

Disease

Multiple Diseases

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