Value-based procurement of prostheses for total knee replacement

Cost-effectiveness evaluations concerning devices for total knee arthroplasty (TKA) have little impact on real-life management of these devices. This study explored how pharmacoeconomic models can inform the procurement of TKA devices to improve their value for money. Our study included three phases: i) literature search for data of outcome, cost, and device type in TKA; ii) development of a Markov model predicting costs, QALYs, and net monetary benefit (NMB); iii) simulation of tenders aimed at value-based device procurement. Phases 1 and 2 were managed by selecting a single study as the source of data for our analysis. In Phase 3, each TKA device was associated with its values of NMB, and the tender scores were estimated. Finally, the ranking of each device in the simulated tender was determined. We identified a study published in 2016 as our source of data. Five devices were evaluated. For these devices, QALYs were 7.3952, 7.2939, 7.4952, 7.1919, 7.2930; NMB: £142,005, £140,653, £144,184, £138,040, £140,261; tender scores: 64.53, 42.53, 100, 0, 36.15, respectively. We showed that incorporating the principles of cost-effectiveness into the tendering process is feasible for TKA devices. This can maximize the value for money for these devices.