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A business model for telemedicine.
J Navein1, D Arose, A Pietermich
1Casualty Care Research Center, Uniformed Services University of the Health Sciences, Bethesda, USA. navein@tatrc.org
Journal of Telemedicine and Telecare
|October 27, 1999
Summary
Implementing telemedicine in the US Military Healthcare System in Europe could save $3.7 million annually. This technology can replace 31,000 conventional consultations, avoiding unnecessary evacuations and improving healthcare delivery.
Area of Science:
- Healthcare Management
- Telemedicine Technology
- Military Health Systems
Background:
- The US Military Healthcare System sought to evaluate telemedicine in Europe.
- A clinical and business case study was commissioned to assess its viability and cost-effectiveness.
Purpose of the Study:
- Identify major cost areas by specialty across European locations.
- Assess the feasibility of implementing telemedicine as an alternative to conventional care.
- Conduct a comprehensive cost-benefit analysis of telemedicine adoption.
Main Methods:
- Analyzed 2000 consecutive air referrals to determine potential telemedicine impact.
- Evaluated cost areas and potential savings associated with telemedicine implementation.
- Assessed the business and clinical case for widespread telemedicine use.
Main Results:
- Telemedicine could replace 31,000 conventional consultations annually in Europe.
- Potential annual savings estimated at $3.7 million in travel costs.
- Estimated savings of 25,000 working days per year through telemedicine adoption.
Conclusions:
- The clinical and business case for telemedicine in the US Military Healthcare System in Europe is strong.
- Telemedicine presents a viable and cost-effective solution for healthcare delivery.
- Successful telemedicine implementation is supported by robust clinical and financial justification.