Premium Reports
Contact KLAS
 Download Report Brief  Download Full Report    Zoom in charts

Preferences

   Bookmark

Related Series

Value-Based Care Managed Services 2016
|
2016
Value-Based Reimbursement
|
2015
ACO Advisory Services 2014
|
2014

Related Segments

Related Products

Related Vendors

Related Articles

 End chart zoom
Value-Based Care Consulting 2019 Value-Based Care Consulting 2019
* A page refresh may be necessary to see the updated image

Value-Based Care Consulting 2019
Finding the Best Fit in a High-Performing Market

author - Warren Whitford
Author
Warren Whitford
 
December 19, 2019 | Read Time: 4  minutes

Current Time Inside Cache Tag Helper: 7/6/2022 7:34:39 PM and Model.reportId = 1446

Transitioning from fee-for-service to value-based care (VBC) is a top-of-mind concern for healthcare organizations. However, previous KLAS research has revealed that VBC transformation is also the area in which healthcare executives are least familiar with which firms are well positioned to help. This report examines nine firms that provide value-based care consulting services to explore the types of work these firms do (and for who), how consistently the firms perform across clients, the outcomes they deliver, and the factors that drive these outcomes.

HtmlReportContent Current Time Inside Cache Tag Helper: 7/6/2022 7:34:39 PM and Model.reportId= 1446 and Model.HtmlReportContent_LastWriteTimeUtcInTicks=637798560346212214

WHO DOES WHAT (AND FOR WHO)?

While all firms in this report perform well (scoring above an 85 out of 100) and are recommended by their clients, they excel within different scopes of engagement as measured by the complexity of their validated projects and clients.

icon1Transformational Partners: Deloitte, Lumeris, Navigant, PwC
Validated as leading some of the most complex VBC transformation projects (as defined by scope and potential impact) and as working with highly complex clients (as defined by organization size, contract risk profile, and percent of revenue derived from value-based reimbursement). Projects expected to have broad organizational impact.

icon2Problem Solvers: Optum, Premier
VBC projects tend to be ad hoc in nature or focused on solving specific challenges of moderate complexity. Clients often expect project scope to go beyond the delivery of strategies or recommendations to include the implementation of specific VBC initiatives, often resulting in measurable outcomes.

icon3Credible Sources of Information: Chartis Group, Health Catalyst, Milliman
Most validated VBC projects are of lower complexity with clients who have not yet taken on risk or are in the earlier stages of doing so. Project deliverables may vary but are typically focused on providing information and insights.

Navigant the Top Performer for Complex Projects, Advanced Clients

In terms of performance and complexity, Navigant stands out in a field of high performers. Navigant’s understanding of the market is described as both wide and deep, and the firm excels at business transformation and knowledge transfer. PwC, a firm with a similar complexity profile, stands out for having the most validated work in the payer market, whose complexity may in part explain the difference in satisfaction between PwC and Navigant clients. Although the validated complexity of their projects varies, Premier, Milliman, and Deloitte stand out as fully rated firms with overall performance scores above 90.

client organization and project complexity
client organization types
types of work being donerisk-based contracts in play

WHICH FIRMS ARE MOST CONSISTENT IN THEIR DELIVERY?

Lumeris Better Suited for Organizations Seeking a Long-Term Partner

Performance variability exists in every client base. Understanding what causes it can help clients avoid potential pitfalls and embrace drivers of success. Lumeris clients report the most variation. Most are very satisfied (with overall scores over 90 out of 100). By design, Lumeris engagements lead to a fork in the road, at which point organizations decide whether to engage the firm’s managed services. Interviewed clients who weren’t ready for long-term partnership scored Lumeris less favorably. Navigant is the most consistent of the fully rated firms. Clients have strong relationships with Navigant executives, who know clients well and help motivate them to improve beyond the confines of specific engagements. Confidence in Navigant is boosted by clear timelines and on-time delivery.

KLAS overall performance score variation

See the full report for more details about what drives each firm’s consistency or lack thereof. 

WHAT OUTCOMES HAVE BEEN ACHIEVED?

Outcomes Driven by Actuarial Expertise from Milliman, by Reliable Data and Guidance from Premier, Optum 

Provider organizations commonly describe VBC consulting firms as expensive, but most also say they get good value for their dollars. While most firms have proven they can help clients better manage risk, transformational partner firms (most notably PwC and Navigant) tend to deliver the broadest set of outcomes. Milliman clients say they pay a premium but describe the firm as highly accurate and helpful. Some blame themselves for budget issues, saying they turn to Milliman too often. Both Premier and Optum stand out for delivering tangible outcomes. In their role as problem-solvers, both are praised for providing strong, reliable data and helping clients uncover actionable opportunities for improvement. Lumeris has demonstrated the ability to help advisory clients achieve a broad set of outcomes. However, as noted above, the Lumeris clients who did not opt to move forward with the firm’s managed services offering report lower value and fewer tangible outcomes, pulling down Lumeris’ average in these metrics.

types of outcomes realized
drives tangible outcomes vs. money's worth

WHAT FACTORS DRIVE OUTCOMES?

engagement execution vs. quality of staff

Some PwC Clients Express Concern about Inexperienced Consultants

Expertise, responsiveness, and communication skills are key drivers in client satisfaction and in achieving outcomes. Some PwC clients express frustration at receiving inexperienced, junior consultants. Most say the firm was willing to swap these resources out to meet their needs. Milliman is highly praised for their staff’s expertise. Navigant consultants are noted for their professionalism, strong project management skills, and ability to meet deadlines. Deloitte’s staff listens well and communicates clearly with client executives and teams. The Health Catalyst and Optum clients who report the greatest success are those who come to the firms with specific tasks and goals in mind and then help the firms stay focused throughout the engagement.

author - Elizabeth Pew
Writer
Elizabeth Pew
author - Jess Wallace-Simpson
Designer
Jess Wallace-Simpson
 Download Report Brief  Download Full Report

This material is copyrighted. Any organization gaining unauthorized access to this report will be liable to compensate KLAS for the full retail price. Please see the KLAS DATA USE POLICY for information regarding use of this report. © 2022 KLAS Research, LLC. All Rights Reserved. NOTE: Performance scores may change significantly when including newly interviewed provider organizations, especially when added to a smaller sample size like in emerging markets with a small number of live clients. The findings presented are not meant to be conclusive data for an entire client base.