Q&A: Case management return on investment
Q. How can a facility make a case for bringing on additional case managers and social workers?
A. Targeting the cost per case can justify the addition of case management full-time employees and other supports to the executive team if case managers (1) have authority to be clinical coordinators, (2) discuss best practice guidelines with physicians, and (3) offer thoughtful ideas to service lines and other collaborative groups that are using quality improvement methods to restructure processes and plan standards of care for specific populations.
Here is one statement to the executive team that goes beyond length of stay to cost per case and other deliverables.
1. The minimum amount of additional personnel needed to develop the new case management service is:
- One director ($90,000) = $90,000
- RN case managers (5.4 x $70,000) = $378,000
- 1.4 social workers (1.4 x $50,000) = $70,000
- Total = $538,000 + 20% benefits = $675,600
2. There are both obvious and subtle opportunities to not only experience a return on investment in establishing a conservatively staffed case management service, but to make gains on prior losses.
For more information, see Case Management Models: Best Practices for Health Systems and ACOs, Second Edition.
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