Geisinger Steps Up on Value-Based Care as Part of Risant Health
In the ever-evolving landscape of healthcare in the United States, a significant shift is underway, one that aims to redefine how care is delivered and experienced. At the forefront of this transformation is Dr. Jaewon Ryu, CEO of Risant Health and former president and CEO of Geisinger, who advocates for a move away from a hospital-centric model toward a more proactive, value-based care approach. This article delves into the implications of this shift, the role of Geisinger within Risant Health, and the broader benefits of value-based care.
The Need for Change in Healthcare Delivery
Dr. Ryu’s perspective on the current state of healthcare is clear: it is overly focused on hospitals. While hospitals are undeniably crucial for treating severe conditions, he emphasizes the importance of addressing health issues before they escalate. “People, despite our best efforts, will always have very serious conditions that they need to be in hospitals for,” he notes. However, he believes that identifying potential health problems early, preventing them altogether, or managing them in alternative settings can lead to better outcomes for patients.
This preventive approach is the cornerstone of value-based care, a model that prioritizes patient health outcomes over the volume of services provided. Risant Health, a nonprofit organization launched by Kaiser Foundation Hospitals, aims to accelerate the adoption of this model across the healthcare system.
Geisinger: A Pioneer in Value-Based Care
Founded over a century ago, Geisinger serves approximately 1.2 million people across urban and rural communities in Pennsylvania. In early 2024, Geisinger became part of Risant Health, marking a significant milestone in its ongoing commitment to value-based care. As a member of the AMA Health System Program, Geisinger is equipped with the resources necessary to drive innovation and improve patient care.
Dr. Ryu, who transitioned from leading Geisinger to heading Risant Health, assures that the core mission of Geisinger will remain intact. “There’s actually a fair amount that stays the same,” he explains, highlighting that the organization will continue to partner with other health plans and build upon its existing capabilities to transform care delivery.
The Benefits of Value-Based Care
Value-based care represents a paradigm shift in how healthcare is conceptualized and delivered. Traditionally, patients would seek medical attention only when issues arose, leading to a reactive approach to health management. In contrast, value-based care emphasizes prevention and early intervention.
Dr. Ryu articulates this shift: “We want to make sure that the delivery system is able to get involved further upstream, whether it’s focusing on prevention, primary care, the clinic environment, the home, the virtual sphere, or social issues that we know impact the health of communities.” This holistic approach aims to manage the overall health of populations rather than merely addressing episodic health crises.
Risant Health: A Catalyst for Transformation
Risant Health is dedicated to identifying and supporting nonprofit, community-based health systems that share its mission of advancing value-based care. Geisinger was the first health system to join this initiative, with the acquisition finalized in April 2024. This partnership not only enhances Geisinger’s capabilities but also provides access to a wealth of resources, technology, and capital to accelerate its transformation.
Looking ahead, Risant Health is poised to expand its network. In June 2024, it announced a definitive agreement to include Cone Health, a nonprofit healthcare network based in North Carolina, as its second member. Dr. Ryu envisions adding three to four more health systems by 2028, all of which will continue to operate independently while benefiting from Risant Health’s value-based platform.
A Vision for the Future
Dr. Ryu’s vision for Risant Health is clear: it is not a rescue mission but rather an initiative to empower already great organizations to reach new heights. “We want to see systems that are walking the talk, rather than simply talking the talk,” he asserts. The goal is to turbocharge the efforts of these health systems, particularly in their journey toward value-based care.
As healthcare continues to evolve, the emphasis on value-based care represents a promising direction for improving patient outcomes and enhancing the overall efficiency of the healthcare system. By focusing on prevention, early intervention, and holistic management of health, organizations like Geisinger and Risant Health are paving the way for a healthier future.
Conclusion
The transition to value-based care is not just a trend; it is a necessary evolution in the healthcare landscape. With leaders like Dr. Jaewon Ryu at the helm, organizations like Geisinger and Risant Health are setting the stage for a more proactive, patient-centered approach to healthcare. As they continue to expand their reach and capabilities, the potential for improved health outcomes and a more sustainable healthcare system becomes increasingly attainable.
For those interested in learning more about value-based care, the AMA offers a wealth of resources, including best practices for payment methods and strategies for improving data sharing. The journey toward a more effective healthcare system is just beginning, and the commitment to value-based care is a crucial step in that direction.
