February 2022 edition : Commissioning for Better Value

Use Commissioning for Better Value (CBV) to apply a value based healthcare lens to your service needs analysis, design, implementation, review and evaluation.

CBV is an approach that complements processes such as service planning and business case development. It is commonly used:

  • to develop and review service delivery policies, proposals and contracts
  • as part of strategic planning and organisational redesign
  • when the service contract or industry is affected by innovation or change.

CBV is currently being used across many services – medical imaging, medical officer services, radiation oncology, pathology and wound products.

“The CBV framework helps our health system stakeholders to define and articulate what value is within the context of delivering meaningful patient health outcomes.”

Tony Chin, Procurement Manager, Strategic Procurement Branch, NSW Ministry of Health.

Focus on outcomes using the CBV cycle

CBV outcomes are influenced by four stages – analyse service needs, design service, implement service and review and evaluate. CBV involves four stages – analyse, design, implement and review. Depending upon the project, all or some of the stages can be applied to meet local needs. It is important to establish project governance and a project lead to oversee your CBV approach.

Analyse service needs and desired outcomes

Focus the service design on the person receiving the care to identify and develop:

  • intended outcomes
  • benefits of the intended outcomes
  • how you will measure the outcomes.

Design service delivery models to meet outcomes

When designing a service:

  • define and describe what the service is
  • assess the need and demand
  • assess who can deliver the service
  • conduct financial analysis
  • consider risks, including those that could emerge if no action is taken.

Implement service to achieve the outcomes

Relevant considerations include:

  • procurement requirements
  • funding sources and resource implications
  • service timelines and roles and responsibilities to deliver the preferred option
  • communication, transition and change management
  • risk assessment
  • outcomes measurement and benefits realisation.

Review and evaluate the outcomes and manage for continuous improvement

This can be assisted by:

  • linking performance indicators to outcomes
  • establishing an agreed performance management framework
  • conducting clinician experience and patient experience surveys.

More information

Current as at: Thursday 30 June 2022
Contact page owner: Strategic Reform and Planning