Becker's Hospital Review recently posted an article on the 10 top ways for hospitals to increase profitability.  The article got me wondering as to how Patient Assistance Programs (PAPs) might assist achieving these endpoints. 

You can see the full article here but below are the ten points with a checkmark on the items I think can benefit from optimal utilization of patient assistance programs and a short description as to why.

            Focus on the continuum of care – This subject is number one on a lot of “top ten” lists.  Making PAPs for self-administered drugs available to outpatients and discharged inpatients, especially for chronic conditions, can help improve compliance.  It’s well known that many patients eligible for these programs aren’t aware of them or don’t have the wherewithal to use them. A support network built around Rx Review’s easy-to-use software interface and central processing staff makes this very feasible.

        Design models to reduce readmissions – Here again, non- compliance with drug regimens often means an earlier return to the ER for this patient population.

• Have a good relationship with payors, and renegotiate managed care contracts

• Manage new service lines to increase market share

Control labor costs – Holding down labor cost percentages has a lot to do with the time to complete an action and the quality of the result.  The latter is often missed but the fact is that sometimes we don’t get paid (or worse, it costs much more to fix) for a failed result.  Doing it right the first time is certainly a valuable strategy in the healthcare environment.  For the same reason that you want to go to a surgeon who’s frequently and successfully done the same operation, you look for someone who knows what they are doing regardless of the subject matter.

Reduce supply costs by working with vendors and physicians – Lots of people or organizations are willing to help out in sometimes very significant ways.  It’s not uncommon for PAP programs in some areas to reach one million dollars in product replacement costs.

• Improve deficiencies in the emergency room and operating room

Create population health management programs to gather health data analytics on chronic illnesses – Extending home care to former patients via PAPs allows a vehicle to maintain a source of information on compliance with drug regimens in a high profile population.

        Consider outsourcing some services – OK, if you followed me to this point, this is a no-brainer if you don’t have an organized effort to recover drugs via patient assistance programs.  Even if you do, we know to make ourselves valuable to our clients, we have to return more in savings than it costs to outsource to us.  We do this by being very good at achieving results.  And we don’t ask for a penny until after you’ve received the replacement products in your pharmacy. 

• Revamp the energy cost strategy