The emergence of value-based contracting.
Value-based contract development can be simplified to ensure execution, demonstrate performance, and save time and expense.
Why value-based contracts work.
Value-based contracts (VBCs) are effective and executable when care is taken to ensure collaborative process among stakeholders. Both manufacturers and payers benefit significantly when VBCs incorporate flexibility and alignment of clinical and business perspectives.
Benefits to manufacturer and payer
- Quantify clinical value into metrics meaningful to manufacturers and payers.
- Reduce the burden of supplements and rebate.
- Provide objective evaluation of a product’s impact on overall health care.
- Enable payers to quantify/qualify clinical value.
- Executable, design-driven and supported by robust data.