By Mike Charley
The drive to transform the healthcare system from a volume based, fee-for-service structure to a value-based, “focus on outcomes” structure has been underway for several years. Escalating costs and imbalances between levels of care have jump started the movement to reform the health care payment system.
One of the first efforts in this arena has been the Accountable Care Organization (ACO) model. Pursuing this model has been a step in the right direction. Some ACOs have shown considerable progress in finding ways to deliver good health care while reducing costs. At the same time the model has demonstrated the many challenges in transforming health care.