HSM E-briefing
June 2007

The HSM Group, Ltd. provides the following information in the hopes that it will help you, our valued clients and friends, in your efforts to conduct better research.

Modeling Healthcare ROI: It Makes More Than Cents

It pays to do good.

When employers, payers, and health care providers are weighing the costs of a new wellness program, drug therapy or other intervention, at first glance doing what is best for the patient can seem at odds with boosting the bottom line. But in many cases, that may be a false perception.

Health care ROI models, like those created by The HSM Group, demonstrate the true cost – or profit – of a new program or intervention. Two HSM researchers have examined health care ROI models and uncovered a trend among them that may come as a surprise: The models frequently show both:

• Financial Cost Savings for interventions applied to disease states; as well as
• The expected Quality of Life Improvements, or even lives saved, for the same interventions.

In other words, it pays to do good.

As the national debate on health care increases, now is the time to read what HSM researchers Brett Plummer, PhD, and Peter Flannery, PhD, have to say about economic models. They recently wrote “Modeling Healthcare ROI: It Makes More Than Cents,” which can be found in the June 2007 issue of Quirk’s Marketing Research Review.

If you have questions about economic modeling, please call Sheryl Bronkesh, President, at 800-776-8078, ext. 314.

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