When we imagine the hospital of the future, it is challenging to imagine patient rooms without remote monitoring, virtual observation, and some form of artificial intelligence as core functions. As healthcare systems face ongoing financial and workforce pressures, this invariably raises the question of how to modernize care. The inescapable conclusion is that patient rooms must always be connected and patient-aware.
Fortunately, the integration of virtual care and artificial intelligence at the bedside is driving a revolutionary change in healthcare delivery that will enable the creation of these types of patient rooms. Audio, video and sensor-based technologies provide additional clinical insights and engagement opportunities for care teams, creating a foundation for innovation. Hospital care programs such as virtual care, virtual meetings and virtual roundings are already helping healthcare systems address challenges while providing significant benefits to patients and staff.
The challenge is to navigate the path from today’s reality to large-scale implementation amid competing project priorities and budgets. This degree of transformation does not happen overnight. When developing a healthcare modernization roadmap, healthcare executives need evidence of the key drivers of value in IT investments that balance the costs of scaling implementation with short- and long-term goals. Understanding the economic impact of care programs is critical to strategic planning and resource allocation.
To better understand the critical areas where healthcare organizations are seeing return on investment (ROI) in optimizing technology-enabled clinical workflow, Caregility and Sage Growth Partners have partnered to examine trends and determine what type of tool could assist healthcare systems in supporting the mass implementation of newfangled technologies in every patient room.
Caregility and Sage conducted in-depth interviews with leading health systems across the United States to determine where health care organizations are realizing ROI with virtual inpatient care initiatives. Three key areas of influence and one fundamental truth were discovered. The fundamental truth is that there is no silver bullet that will deliver the real return on investment that most chief financial officers (CFOs) expect. However, there are significant initial steps and building blocks that together create a mighty foundation of economic value that leads to greater financial return on investment.
These elements save employees time, allowing them to focus on tasks that have a greater impact. This also enables organizations to augment metrics where necessary, leading to real ROI.
The three areas of influence are:
1. Reduction of resource costs
One of the most compelling economics of virtual acute care models is the potential to reduce staffing costs, particularly in nursing. Virtual care relieves much of the administrative burden on bedside nurses. By shifting tasks such as admissions and discharges to virtual nurses, organizations free bedside nurses to perform higher-value tasks. This recovered time reduces costs associated with nurses working accidental overtime at the bedside.
With clinical task redistribution tools, hospitals can optimize their workforce to reduce reliance on costly fleeting staff or fleeting nurses. Nurses report greater job satisfaction with a collaborative care approach, leading to reduced turnover and recruitment costs. WITH average turnover costs per nurse with a total value of approximately $56,280, reducing turnover by just 10% can result in significant savings.
Telehealth-based emergency care also allows health systems to expand the reach of specialist physicians to satellite locations rather than employing dedicated staff in low-utilization facilities. Virtual engagement reduces “windshield time” lost while commuting between locations.
2. Postponement of clinical costs
Another recurring area of financial impact that has been confirmed through research is the ability of virtual acute care programs to prevent hospital-acquired conditions that add significant costs to hospital care. Healthcare systems have seen reductions in catheter-associated urinary tract infections (CAUTI), central line-associated bloodstream infections (CLABSI), pressure injuries and patient falls. These improvements are attributed to increased monitoring capabilities and greater adherence to clinical best practices, made possible by targeted support from virtual clinicians.
Preventing these conditions reduces costs, shortens hospital stays, and improves patient satisfaction and throughput. Hospitals can also avoid readmissions and the associated costs by using virtual bedside assistance to streamline the discharge process and ensure patients leave the hospital with better education and support.
While this research initiative examined the impact of virtual acute care on interventions for patient falls, specifically CAUTIs, CLABSIs, and pressure injuries, additional patient outcomes may benefit from similar focused clinical quality improvement efforts.
3. Savings thanks to recovered bedside hours
Time is one of the most valuable assets in healthcare. Virtual emergency care initiatives enable hospitals to reclaim hours spent at the bedside. Virtual redistribution of nursing tasks allows bedside nurses to focus on direct patient care, working fully within their authority, rather than getting bogged down in administrative responsibilities.
Hospital report savings up to 25% time that bedside nurses typically spend on documentation when virtually completing hospital admissions. Virtual discharges save nurses at the patient’s bedside up to 67% time typically spent completing redundancy paperwork. In the average hospital, this cumulative time savings translates into the equivalent work of many full-time nursing staff.
While the economic impact is compelling, the benefits of inpatient telehealth programs go far beyond profits. These initiatives create positive outcomes that touch every aspect of health care delivery. Executives have observed benefits that are more challenging to quantify financially in virtual acute care, including the ability to retain experienced nurses nearing retirement by moving them to virtual positions. Additionally, they reported seeing a 20% augment in patient satisfaction, as reflected in HCAHPS scores, due to the uninterrupted nature of virtual interaction, as well as overwhelming staff satisfaction with on-demand access to remote clinical assistance at the bedside.
There is broad agreement on the widespread utilize of video communications and AI-powered bedside monitoring. The impact on downstream patient efficiency and throughput and the implications for adjusted metrics designed for collaborative care teams make a compelling case for further development. Experience gained from on-site virtual care programs also provides a key foundation for expansion to home care models.
These forward-looking technologies are key to modernizing healthcare delivery and creating more proactive, continuous care models. It’s not just about meeting current operational requirements – it’s about elevating the level of capabilities in healthcare. As care evolves, organizations that adopt virtual engagement and artificial intelligence at the bedside will have the infrastructure and experience necessary to seamlessly implement modern technologies and care models, ensuring they remain at the forefront of healthcare innovation.