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Geisinger Health System's Plan to Fix America's Health Care

By: Peter CarbonaraWed Sep 17, 2008 at 1:30 AM
Dr. Alfred Casale

New Benchmarks: "Most consumers assume that everybody does everything right all of the time," says surgeon Dr. Alfred Casale. | photograph by Kyoko Hamada

How a small network of hospitals in Pennsylvania is defying convention, cutting costs, and improving health care.

EnlargeCEO Glenn Steele

Patient no. 86: Geisinger CEO Glenn Steele, who initiated the ProvenCare guarantee, became one of its early beneficiaries. As a patient, the process "was totally opaque to me," he says. "And that's exactly the way I wanted it to be." | photograph by Kyoko Hamada


There's a financial component to ProvenCare -- doctors receive bonuses based in part on following the protocol -- but Geisinger insists it's not trying to force its staff to practice what is pejoratively known in the industry as "cookbook medicine." A doctor who concludes there are good reasons not to do one of the 40 steps simply documents that decision in the patient's record. "What we're trying to do," Casale says, "is avoid the moment of smacking yourself on the head at the end of a procedure and saying, 'Jeez, I should have used antibiotics!' "

The results have been promising. A paper published in the fall of 2007 in the journal Annals of Surgery studied 181 CABG patients subject to the ProvenCare protocol between February 2006 and February 2007. Compared to nonchecklist patients, the ProvenCare group had 16% shorter hospital stays. Their bills were about 5% lower. While Casale admits that the study was small, he insists the results are still significant: "We've seen a 45% decrease in readmission rates, 60% decrease in neurologic complications -- meaningful changes that you'd certainly be happy to get even if they don't meet a statistician's level for ringing a bell." He says surgeons opted to skip a step in only three cases.

The breakthrough so far hasn't revolutionized Geisinger's business; the company's sales force hasn't yet been able to attract new employers or insurance customers on the basis of ProvenCare, although it's in discussions with insurance giant Aetna. "The idea of mistake-proofing specific problems is at the center of the patient-safety movement and care improvement," says Dr. Troyen Brennan, Aetna's chief medical officer. "I give them great credit."

What Geisinger would really like, of course, is Brennan's business. Chief innovation officer Paulus is optimistic, predicting that new customers will come as the company expands the number of procedures and diseases covered, which now include total hip replacement, cataract surgery, and programs for managing diabetes.

In the meantime, Geisinger continues to compile success stories, including that of CEO Steele, who became patient No. 86 in the ProvenCare CABG program. "I was in and out of the hospital in two-and-a-half days," he says. Casale, who was Steele's surgeon, says the case opened his eyes to how complex a routine operation really is: "Two weeks after, the head of our IT group called me and said, 'Al, I just looked through [Steele's] chart, and I want to send you a list of everybody that accessed the medical record from the time he was seen in the clinic to two weeks post-op.' There were 113 people listed -- and every one had an appropriate reason to be in that chart. It shocked all of us. We all knew this was a team sport, but to recognize it was that big a team, every one of whom is empowered to screw it up -- that makes me toss and turn in my sleep."

Which makes the value of that 40-step checklist very clear indeed.

From Issue 129 | October 2008

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Recent Comments | 13 Total

December 23, 2008 at 10:19am by Jetta Todd

May 27, 2009 at 5:32pm by Eli Shapiro

It's very encouraging for the average health care consumer when private industry tries to reform itself instead of waiting for a government mandate. In this case, it sounds like Geisinger is on the right track, except a lot more cost reduction has to be pursued or nobody will be able to afford it because the cost is so close to normal (which is outrageous without exception). If they could additionally expand into specialties, such as sleep medicine, obstetrics, and even mental health they'd be in a much better position to lower actual patient costs. If I had been able to get my sleep study and cpap machine through a similar network, I would have joined for that procedure alone, even if the costs weren't quite in line yet. I think that would be the best way to encourage this type of wonderful innovation.

August 13, 2009 at 9:11am by ioana alexa

The public plan does none of these things which is why I think that it's a bad idea. I think that public plan proponents want to just give the middle finger to the insurance companies. There are much cheaper ways to do that.
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November 2, 2009 at 7:16am by Carter Hayden

Steele decided to start with coronary-artery bypass graft (CABG, pronounced cabbage) surgery because it's a high-volume, high-margin procedure that's well studied and has low mortality and complication rates. Acai froce