Since I am first and foremost a clinician, this is a really difficult question to answer. Often times I'm probably not the best business person because I don't always focus on return on investment. I tend to focus more on if something feels right or if whatever I am contemplating will help me help others better or if it streamlines my processes so time is saved. Obviously, if something is out of my price range, it's a no brainer... but if it is something I can afford and it fits one of the three main points I typically focus on, well... I purchase or subscribe.
My husband can create spreadsheets to do all sorts of business calculations. He knows all sorts of business formulas and can design spreadsheets to easily indicate the health of a business while at a glance know what's been changing, what created the change and in what direction the change is occurring. I have no clue how he does this sort of thing: my strength is in working with people. I am good at thinking about things though.
So, although this is not a spreadsheet that directly answers return on investment, you can see the interplay between the three main clinical areas that are part of the business picture and factors that impact business. Although I was initially thinking of the role measuring quality has on return on investment, the below table is broad and really not quality focused.
I'm not able to put dollars and cents to each of the items listed. Since every business is different, I have no clue how I'd create a helpful spreadsheet to immediately calculate return on investment. I think numbers could be determined for the various components to determine a return on investment when something new is implemented.
I look at things from a simplistic perspective. If implementing something increases revenue, decreases cost or reduces time, then it has some positive merit from a pure business perspective. Since patients/clients are part of business, the impact on them needs to be included when analyzing return on investment.
I hope I didn't oversimplify the various factors, components and interplay between them. Am I missing anything?
In the event you are interested in what FOTO has to offer when it comes to measuring and managing quality, Judy Holder is the person who loves helping you learn about more about this topic.
Until next time,