There is countless research done regarding the benefits of observation unit's across the country.
"Clinical observation units were initially created to minimize Medicare payment denials for questionable admissions or short inpatient stays. With the rise of managed care, these units also can contribute to ensuring optimal reimbursement by helping manage patient flow. Hermann Hospital initially opened an observation unit in 1992"
"Compared to patients receiving observation services elsewhere in the hospital, patients cared for in observation units with defined protocols, have a 23-28 percent shorter lengths of stay, a 17-44 percent lower probability of subsequent inpatient admission, and $950 million in potential national cost savings each year. Furthermore, we estimate that 11.7 percent of short-stay inpatients nationwide could be treated in an observation unit, with possible savings of $5.5-$8.5 billion annually"
"It is estimated that if hospitals without observation units had them in place, the average cost savings per patient would be $1,572, the annual hospital savings would be $4.6 million, and the national cost savings would be $3.1 billion"
The observation unit at Dixie Regional Medical Center saves the hospital money, and frees up inpatient beds. There are no downfalls to the observation unit. Our goal is to contribute to the greatness of Dixie Regional Medical Center and to help out in any way.
References:
Baugh, C. W., Venkatesh, A. K., Hiltion, J. A., Samuel, P. A., Schuur, J. D., & Bohan, J. S. (2012). Making greater use of dedicated hospital observation units for many short-stay patients could save #3.1 billion a year. Health Affairs. 3(10), 2314-2315.
Lenox, A. C., & New, H. (1997). Clinical observation units help manage costs and care. Healthcare Financial Management 51(4). 88-9.
Ross, M. A., Hockenberry, J. M., mUtter, R., Barrett, M., Wheatley, M., & Pitts, S, R., (2013). Protocol-driven emergency department observation units offer savings, shorter stays, and reduced admissions. Health Affairs, 32(12), 2149-56.
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