​​​ADVERTORIAL

When it comes to accreditation, one of the key questions asked is about the ROI. While The Joint Commission has been able to demonstrate favorable outcomes and promote its many value-based plan recognitions and more, the return-on-investment (ROI) data was missing. Until now.

A recent study conducted by the ROI Institute suggests The Joint Commission Nursing Care Center Accreditation Program offers a strong return—as much as four times over.

Sneak Peek at the R​esults

On average, nursing care centers in the study saw a 423 percent ROI. That means that for every dollar invested into accreditation, organization saw that dollar returned plus an additional $4.23.

Centers saw the strongest returns through improved competencies of staff and supervisors, reduction in turnover, increased reimbursements, and improved operations. Also notable, were several intangible benefits identified in this process including regulatory compliance, third-party recognition, and improved brand/image/reputation.

Calculating th​e ROI

The study implemented the ROI Institute's ROI Methodology, a widely recognized and used method to calculate ROI.

The four main steps of calculation were:

1. isolating the effects of accreditation;

2. converting tangible benefits to monetary value;

3. capturing accreditation costs; and

4. calculating ROI based on tangible benefits divided by costs.

Multiple categories of tangible impact—meaning impact that could be converted into monetary value—were identified and also considered, such as:

• increase in total patient revenue;

• increase in reimbursement rates;

• reduction in liability costs;

• improvement efforts;

• reduction in turnover; and

• improved operational efficiencies.

ROI Institute considered accreditation costs, such as dedicated accreditation staff or teams, facility or technology upgrades to meet requirements, any external consulting or education, annual and survey fees, and other elements as identified by participants.

Data Integrit​y

The ROI Methodology —an approach to ROI evaluation—implemented conservative measures to ensure the credibility of its findings. Some examples of this approach include:

• The organizations involved were randomly selected, reducing the possibility of selection bias.
• In addition to accreditation fees, indirect costs related to accreditation were included such as dedicated staff, materials, supplies, facilities modifications, etc.
• If respondents were not sure that accreditation influenced a particular impact measure, no impact was assumed.
• When reporting on the impact of this program, respondents isolated the data that should be credited directly to this accreditation.
• The data revealed a balanced profile of success. Very favorable reaction, learning, and application data were presented along with business impact, ROI, and intangibles.​
  

Initial Conclusions

The initial findings confirm what we have believed for a long time: accreditation pays off, and it has positive implications for both financial and clinical outcomes in nursing care centers.  Although we are still finalizing the report findings, organizations can request a copy of the white paper be sent upon completion at this site: www.jointcommission.org/ncc-roi.

For more information about our accreditation and certification offerings for nursing care centers, please visit: www.jointcommission.org/ncc.