The market is much more complex than a lot of you guys realize. I dont pretend to know all the angles, however there is a definite benefit to shaving days. Long term declines in reimbursement due to more efficient patient processing are not going to come about that much later because we unnecessarily keep patients in house longer, all that does is put you on the back end of the market. Meanwhile being near the front of the market can earn you a tidy sum.
Our hospital is in a competitive market. We have gained insurance company market share by providing care for a certain diagnosis at a lower price, which is done by lowering days admitted and a lot of other steps. Despite that, our quality metrics are better than the competition, with lower complication and readmission rates. You more than make up for the slightly decreased reimbursement by cutting a day or two off the hospitalization. For us, where we hit within 5 beds of max capacity ~90 days a year getting a knee out in half the time means we can do 2x the number of knees. Obviously we arent 100% efficient in this way, but that is the basic point. Made up numbers, but 35k+35K>>45k.
We are nearing a point (3-5 years) where we will be needing to open a second shift for elective cases during the week.
Obviously my situation must be different because when the hospital makes more money, I get more money, so I am motivated to safely provide care that optimizes profit. That is not to say that we are cavalier about it, there are many times where we voice caution in the push for efficiency. That voice of caution has actually gained us respect in the eyes of the administration on many occasions, or at least that is the lip service we get...There is a certain respect given when you are sharing the profits and you put the brakes on moves that are guaranteed to net you more money.