LTC Accreditation Demonstrates ROI While Standards Are Simplified
On the heels of a return-on-investment (ROI) study showing that Joint Commission accreditation has positive implications for both financial and clinical outcomes in nursing care centers, the organization is trimming down or revising numerous quality standards and freezing accreditation fees in 2023. This is encouraging news for any type of long-term care (LTC) organization facing re-accreditation or who have yet to take the plunge.
In total, 168 standards (14%) were cut and another 14 revised effective January 1, 2023, with another round of revisions to come in six months. Standards chosen for elimination were selected because they were either redundant, no longer addressed an important issue, or required time and resources that outstripped any estimated benefits.
The study is the first time that The Joint Commission demonstrated specific ROI; in the past it has been able to validate favorable outcomes and promote its many value-based plan recognitions and more. The study conducted by the ROI Institute suggests that accreditation offers a strong return — as much as four times over.
On average, nursing care centers in the study saw a 423% ROI. That means that for every dollar invested into accreditation, organizations saw that dollar returned plus an additional $4.23.
As might be expected for any type of validated accreditation, centers saw the strongest returns through improved competencies of staff and supervisors, reduction in turnover, increased reimbursements, and improved operations. Also notable were several intangible benefits identified in this process including regulatory compliance, third-party recognition, and improved brand/image/reputation.
ROI Institute considered accreditation costs, such as dedicated accreditation staff or teams, facility or technology upgrades to meet requirements, any external consulting or education, annual and survey fees, and other elements as identified by participants.
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