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Economics in Dissemination and Im Implementation Research Todd H. Wagner, PhD Jean Yoon, PhD Angela So, MPH Josephine Jacobs, PhD Wei Yu, PhD Acknowledgements & Disclosures Director, Health Economics Resource Center, Palo Alto VA


  1. Economics in Dissemination and Im Implementation Research Todd H. Wagner, PhD Jean Yoon, PhD Angela So, MPH Josephine Jacobs, PhD Wei Yu, PhD

  2. Acknowledgements & Disclosures • Director, Health Economics Resource Center, Palo Alto VA & Associate Professor, Stanford • All errors are my own • The views and opinions expressed in this presentation are those of the authors and do not necessarily reflect those of Stanford or the VA • No disclosures

  3. Far from Perfect • 30% of health spending in 2009 -- roughly $750 billion -- was wasted on unnecessary services, excessive administrative costs, fraud, and other problems. 1 1. Smith M, Saunders R, Stuckhardt L, et al., editors. Best Care at Lower Cost: The Path to Continuously Learning Health Care in America. Washington, D.C.: Institute of Medicine. The National Academies Press, 2012.

  4. Improving Value • Considerable interest and debate about how to improve the value of health care • Value= outcomes gained per dollar spent Change in outcomes Value= Change in cost • When outcomes =quality adjusted life years, then value= cost effectiveness analysis (CEA) 1. Owens D, Qaseem A, Chou R, et al. High-value, cost-conscious health care: concepts for clinicians to evaluate the benefits, harms, and costs of medical interventions. Annals of Internal Medicine 2011;154(3):174-80.

  5. Limitations of CEA • CEAs are expensive, slow and prone to misinterpretation. 1 • CEAs are rarely done on existing treatments • Limited impact on providers • Make assumptions that may not hold Important lessons • Perceptions that results do not apply to for implementation & learning health “my patients” care systems • Incentives depend on the perspective 1. Houlind K, Kjeldsen BJ, Madsen SN, et al. OPCAB surgery is cost-effective for elderly patients. Scand Cardiovasc J 2013;47(3):185-92.

  6. Concerns are not new • ISPOR recommendations on BIA: • Mauskopf J, Sullivan SD, Annemans L, et al. Principles of Good Practice for Budget Impact Analysis: Report of the ISPOR Task Force on Good Research Practices – Budget Impact Analysis. Value in Health 2007;10(5):336-347. • Sullivan SD, Mauskopf JA, Augustovski F, et al. Principles of good practice for budget impact analysis II: Report of the ISPOR Task Force on Good Research Practices – Budget Impact Analysis. Value Health 2014:17:5-14 www.ispor.org/budget-impact-health-study-guideline.pdf

  7. VA implementation & value • VA has funded a large number of quality improvement efforts through QUERI (Quality Enhancement Research Initiative). • QUERI’s mission is “to improve the health of Veterans by supporting the more rapid implementation of effective clinical practices into routine care.” • QUERI is increasingly interested in understanding the value and budgetary impact of these improvement efforts

  8. Needs Assessment • QUERI currently funds 15 national programs https://www.queri.research.va.gov/about/default.cfm • Each program has 3-4 separate studies, with the majority being implementation trials • We conducted a needs assessment to understand the need for economics support

  9. Methods • We emailed the principal investigator(s) and co- investigators of each program • 14 of the 15 programs responded and participated • Each structured interview was conducted by telephone and lasted approximately 60 minutes • All of participants agreed to audio recording; many shared their grant proposals • Transcripts were coded for rapid analysis

  10. Three main results • Gap in health economics knowledge • Lack of economic expertise • Confusion about methods and analysis

  11. Gap In Knowledge • The vast majority of the programs stated that understanding the program’s budgetary impact was critical to the long-term success of the initiatives • Only a third of the programs had specified an economic analysis in their grant • Among those that did, there was large variation in objectives and methods

  12. Lack of economic expertise • The respondents noted a dearth of experienced health economics investigators • Most noted insufficient funds to include an economic analysis as part of their program • Lack of expertise reflected a broader scarcity in health economists, even when funding existed

  13. Confusion about methods and analysis • There was uncertainty about how to estimate costs • Intervention and implementation costs were often blurred • Differing opinions about the best way to include patients’ health care costs that could have been affected by the intervention • There was uncertainty about how to analyze the data • Site-level variation

  14. Filling the gap • Based on the needs assessment, we developed two parallel work streams to support the QUERI programs: • Tailored support for three QUERI programs • General support for twelve QUERI programs

  15. Tailored support • We connected with three QUERI programs: • Chronic Pain QUERI: Improving Pain-Related Outcomes for Veterans (IMPROVE) • Measurement Science QUERI (cardiac rehab) • Personalized Care QUERI: PrOVE – PeRsonalizing Options through Veteran Engagement (exercise) • In collaboration with each program, we developed a data analysis plan for: • Implementation costs • Intervention costs • Consequence costs

  16. General support • We are utilizing the lessons learned from the tailored support to develop tools and resources for the other QUERI programs. • These tools include: • A toolbox to inform economic data measurement and analysis • Educational materials • A help desk

  17. General support • We created a web page with tools and resources www.herc.research.va.gov/include/page.asp?id=implementation

  18. Lessons learned to date 1. A cost analysis may not be necessary 2. Causality and context matter 3. Savings may be a mirage

  19. A cost analysis may not be necessary • Good opportunities • Interventions that have a large impact on health care costs • Widely adopted interventions • Intervention designed to meet an economic objective or to replace existing care • Limited or uncertain opportunity use • Close substitutes • If economic findings depend on proof of effectiveness • Low-cost interventions

  20. Causality and context matter Context is noise Context is meaningful • Generalizability • Leadership • Causality • Culture

  21. Savings may be a mirage • A program was designed to reduce patient admission and length of stay in the intensive care unit (ICU) • Each day in the ICU costs ~$5000, but the first day is the most expensive • Keeping patients out of the ICU may reduce that patient’s cost, but ICU beds are often filled by others • Savings will only be achieved if the ICUs are closed

  22. Questions twagner@Stanford.edu or todd.wagner@va.gov

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