Improving Healthcare Value at Baystate Medical Center through Bundled Payments

The health system's vision in 2014 was 'to transform the delivery and financing of health care to provide a high-quality, affordable, integrated and patient-centered system of care that will serve as a model for the nation.' A plan was made to expand the number of bundled payment arrangements and improve cost per case for up to three bundles. This strategy was in direct support of achieving the Triple Aim and Medicare's accountable care organization program. In 2010, a pilot was performed with a private orthopedics group for total hip replacement. That successful pilot provided early experience in aligning care across the continuum, setting up gainsharing arrangements and care model redesign. In 2013, hospital leadership decided to apply for participation in the CMMI Bundled Payments for Care Improvement demonstration project and was selected to enter that program for joint replacement and coronary artery bypass graft in 2014.