College
College of Arts and Sciences
Mentor Information
Donna Lee Ettel-Gambino
Description
The United States healthcare system is approaching unsustainable cost levels. Within the next ten years Medicare Advantage plans face potential insolvency. Medicare Advantage plans are expanding, and many receive priority over patient care and physician payments yet operating without meaningful accountability. Many of these rising costs affect quality and lead to increased overhead expenses. 1, 2 The purpose of this project was to examine whether replacing traditional methods with safe, timely, and HIPAA-compliant digital innovation would lower cost and maximize outcomes. A quantitative, causal- comparative design was used to identify differences across groups. The independent variable was fiscal year, and the dependent variables were the types of cost savings achieved by implementing an electronic-based communication system for disseminating health information to Humana Care Members. A Multivariate Analysis of Variance (MANOVA) was conducted to compare differences across groups. When statistically significant findings were identified, follow-up Univariate Analysis of Variance (ANOVA) contrasts were performed on each dependent variable. The MANOVA results revealed statistically significant differences, Wilks’ Lambda = 0.93 (4, 428) (p < 0.003). One-way ANOVA contrasts revealed two significant outcomes: (1) time saved, F = 7.16 (2,219), p < 0.002 and (2) general printing costs, F = 6.15 (2, 219), p < 0.05. Overall mean estimates indicated that cost savings ranged between $400,000 and $500,000 for time saved and between $700,000 and $800,000 for reduced printing costs. These findings suggest that transitioning to a digital platform may generate substantial savings. These data suggest the return on investment to be approximately $1.5 million dollars.
Reducing Expenses Through Digital Innovation Among Medicare Advantage Plans
The United States healthcare system is approaching unsustainable cost levels. Within the next ten years Medicare Advantage plans face potential insolvency. Medicare Advantage plans are expanding, and many receive priority over patient care and physician payments yet operating without meaningful accountability. Many of these rising costs affect quality and lead to increased overhead expenses. 1, 2 The purpose of this project was to examine whether replacing traditional methods with safe, timely, and HIPAA-compliant digital innovation would lower cost and maximize outcomes. A quantitative, causal- comparative design was used to identify differences across groups. The independent variable was fiscal year, and the dependent variables were the types of cost savings achieved by implementing an electronic-based communication system for disseminating health information to Humana Care Members. A Multivariate Analysis of Variance (MANOVA) was conducted to compare differences across groups. When statistically significant findings were identified, follow-up Univariate Analysis of Variance (ANOVA) contrasts were performed on each dependent variable. The MANOVA results revealed statistically significant differences, Wilks’ Lambda = 0.93 (4, 428) (p < 0.003). One-way ANOVA contrasts revealed two significant outcomes: (1) time saved, F = 7.16 (2,219), p < 0.002 and (2) general printing costs, F = 6.15 (2, 219), p < 0.05. Overall mean estimates indicated that cost savings ranged between $400,000 and $500,000 for time saved and between $700,000 and $800,000 for reduced printing costs. These findings suggest that transitioning to a digital platform may generate substantial savings. These data suggest the return on investment to be approximately $1.5 million dollars.
