How P4P Schemes Impact HIT Adoption in US Hospitals
Pay-for-performance Schemes and Hospital HIT Adoption
Tags: CUHK Business School, Hong Kong, Healthcare & Lifesciences, Computing Technology
This research explores the impact of pay-for-performance (P4P) programs on hospital health information technology (HIT) adoption, finding that P4P programs may reduce hospitals' investments in HIT. Participating hospitals prioritize short-term goals under P4P, diverting resources from HIT, which may lead to delayed adoption. The study also reveals that nonparticipating hospitals in the same multihospital system (MHS) are negatively affected by the spillover of these P4P programs. These findings indicate that P4P programs could inadvertently hinder technological advancements that are crucial for long-term healthcare improvements. The application of this research could inform policy adjustments to better balance incentives and innovation.
IP Type or Form Factor: Discovery & Research
TRL: 4 - minimum viable product built in lab
Industry or Tech Area: Healthcare Provider; Computing Infrastructure & Networks
