December 6, 2019
An operational performance improvement initiative that helped St. Peter's Health save $25.5 million was featured recently in a case study by Navigant, the consulting firm that helped guide the work.
St. Peter's worked with Navigant throughout 2017-2018 on a series of performance improvement initiatives to achieve the savings. The cost savings will help St. Peter's continue to make critical investments to improve the value of care for the communities it serves.
According to the case study, St. Peter’s engaged Navigant in late 2017 to provide a rapid assessment of opportunities for performance improvement and operational transformation in nine areas: payer contracting, revenue cycle, physician enterprise, corporate services, inpatient cost to treat, supply chain, pharmacy, laboratory, and hospital enterprise.
Navigant uncovered $14.7 million in savings opportunities within two months, and in January 2018 presented a road map for performance improvement to the St. Peter’s leadership team and board of directors. St. Peter’s then partnered with Navigant on several initiatives to improve the value of care by increasing quality and reducing costs, resulting in a $25.5 million savings.
“As community hospitals across the country struggle with operating income challenges, St. Peter’s Health isn’t just surviving — it’s thriving," Wade Johnson, St. Peter's CEO, said in the case study. "We’re grateful to Navigant for being a true partner in our transformation, with on-the-ground support from senior leaders and a proven model for operational change.”