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Optimizing value utilizing Toyota Kata methodology in a multidisciplinary clinic
Paul A Merguerian1, Richard Grady1, John Waldhausen2
1Division of Urology, Seattle Children's Hospital, Seattle, WA, USA.
Optimizing value in pediatric reconstructive pelvic medicine clinics is achievable. Implementing lean management and time-driven activity-based costing reduced patient costs by 69% while maintaining high family experience scores.
Area of Science:
- Healthcare Management
- Pediatric Medicine
- Health Economics
Background:
- Healthcare value is defined by patient outcomes relative to cost.
- Optimizing value requires patient-level measurement of outcomes and costs.
- Multidisciplinary clinics improve outcomes but often incur higher costs.
Purpose of the Study:
- To reduce patient costs and enhance value in a pediatric multidisciplinary reconstructive pelvic medicine (RPM) clinic.
- To implement and evaluate lean management principles for operational efficiency.
- To measure the impact of changes on cost, patient flow, and family experience.
Main Methods:
- Utilized time-driven activity-based costing (TDABC) to determine individual patient costs.
- Applied Toyota Kata methodology to improve operational efficiency.
- Measured provider time, patient costs, value-added time (VAT), and family experience scores (FES).
Main Results:
- Clinic preparation costs were reduced by 69%, from $619 to $194 per patient.
- Achieved a significant cost reduction of 41% ($366/patient) initially, followed by a further reduction.
- Increased the number of appointments per clinic and sustained improvements in family experience scores.
Conclusions:
- Time-based cost analysis is effective for measuring individualized patient costs.
- Lean management methodology successfully optimized value in a multidisciplinary pediatric clinic.
- Significant cost reductions were achieved without compromising patient care quality or family satisfaction.
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