Measuring Patient Value

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Children’s Hospital Case Study (I can provide the case study)

Develop a time-driven activity-based cost model to estimate the costs of physician office visits and of performing specific procedures in an orthopedic cast room. Compare these estimates to those of the provider’s existing cost system and to note their large disparities.

Questions:

  1. Why should Drs. Meara and Waters be interested in seeing the development of more accurate costs? (250 words or less)

  2. Calculate the costs and margins of the three different office visits using:

    • RCC method
    • TDABC method

    (Show your results on a spreadsheet–upload as a .pdf file)

  3. Calculate the costs and margins of the three different orthopedic casts using:

    • RVU method
    • TDABC method

    (Show your results on a spreadsheet–upload as a .pdf file)

  4. Should the TDABC pilots be extended through the hospital? If so, how? (500 words or less)

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