Innovation Lifecycle Management: Return on Value

Return on Value (ROV) in healthcare refers to the relationship between the costs of a specific healthcare intervention or treatment and the resulting health outcomes and benefits for the patient. It is a measure of the overall value or effectiveness of a given healthcare service or intervention. The goal of ROV is to improve the value of healthcare by focusing on outcomes that matter to patients and by delivering high-value care that is both clinically effective and cost-effective.

ROV is often used as a metric to evaluate the effectiveness of different healthcare services and interventions, such as different treatments for a specific condition or the use of different diagnostic tests. It is also used to assess the value of different healthcare systems, such as accountable care organizations (ACOs) or value-based care models.

The calculation of ROV can be challenging and depends on the availability of data and the methodology used to measure outcomes. It is important to consider both clinical and economic outcomes, and also to include patient-centered outcomes such as patient’s preference, quality of life, and patient reported outcomes.

The implementation of ROV as a metric in healthcare can help to improve the overall value of healthcare by identifying and promoting high-value care, reducing costs, and promoting better outcomes for patients.