Sumathi Sundram - UEA Sumathi Sundram - UEA 1 Defining and measuring Knowledge Capital in Health Care Presenter: Sumathi Sundram University Of East Anglia - Health Economics Group / Norwich Business School Co – Author: Dr Pinar Guven- Uslu University of East Anglia – Norwich Business School
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Sumathi Sundram - UEA 1 Defining and measuring Knowledge Capital in Health Care Presenter: Sumathi Sundram University Of East Anglia - Health Economics.
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Sumathi Sundram - UEASumathi Sundram - UEA
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Defining and measuring Knowledge Capital in Health Care
Presenter: Sumathi Sundram
University Of East Anglia - Health Economics Group / Norwich Business School
Co – Author: Dr Pinar Guven- Uslu
University of East Anglia – Norwich Business School
Primary Care Trusts Primary Care Trusts - HMOs- HMOs
PolicyPolicy - Centralised, national- Centralised, national
FundingFunding - Top down to PCTs- Top down to PCTs
Care ProvidersCare Providers - Public Sector, - Public Sector, mainlymainly
Private Sector, limited Private Sector, limited
UK context of Health Care
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Maximise Investment in HealthMaximise Investment in Health
Define and measure Knowledge Capital in health Define and measure Knowledge Capital in health care organisationcare organisation
Stock of embedded knowledge generating Stock of embedded knowledge generating capacitycapacity
Method to define and measure knowledge capital Method to define and measure knowledge capital in monetary and non monetary termsin monetary and non monetary terms
Purpose of Research
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Knowledge Capital
Edvinsson & Sullivan define :
“Intellectual/ Knowledge Capital as the
knowledge that is constantly being developed
in organisations together with its’ ability to
convert these assets into revenue”
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Theory of Knowledge creating organisations
Meritum Project categorisation
Theoretical Frameworks
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Research/ Knowledge Creation in Research/ Knowledge Creation in HealthHealth
““Public Good” certain outputs non- rival, non Public Good” certain outputs non- rival, non
excludableexcludable
Research & Development key driver for Health Research & Development key driver for Health
ImprovementImprovement
Economic potential of public sector research Economic potential of public sector research
establishments establishments
Research key resource in healthcare servicesResearch key resource in healthcare services
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Why Knowledge Capital in Health
Theoretical basis for management of knowledge creation
or research in health
Difficulty in agreeing resource allocation basis
Lack explicit recognition of phenomena
R&D capacity part of knowledge capital base
Optimal path of investment in health to maximise all
benefits (inc) knowledge generation/ research capacity
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MethodologyMethodology
Literature Review Literature Review
Mixed Methods - Bottom up costing & Mixed Methods - Bottom up costing & Qualitative methodsQualitative methods
Operational and Financial reports analysisOperational and Financial reports analysis
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Adapted from Nonaka, Nomura and Kametsu , & Umemoto (1999)
Experiential Knowledge
Conceptual Knowledge
Routine Knowledge
Interacting &
Capturing
Identifying & Sharing
Selecting & Adapting
Tacit Knowledge
Explicit Knowledge
Tacit Knowledge
Explicit Knowledge
Systemic Knowledge
Organising &
Formalising Research & Health and Social Care delivery
Primary Knowledge
Secondary Knowledge
Application Knowledge
Practical Knowledge
socialisation
Externalisation
Combination
Internalisation
Knowledge Creation Cycle – Health
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Emerging Condition
Pulmonary Hypertension Pulmonary Hypertension – Cusp of Research – Clinical CareCusp of Research – Clinical Care– Provision in care pathway, specialist tertiary/ Provision in care pathway, specialist tertiary/
specialist community services support specialist community services support – Defined as a National Specialist serviceDefined as a National Specialist service
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Case Study HospitalCase Study Hospital
Specialist Cardio Thoracic Hospital
One of 5 National Centres for1
Pulmonary Hypertension (PH)
Heart & Lung Transplant,
Sleep Studies
International & National Center for Pulmonary Thromboendartecomy (PTE)
Patients from England, Wales and Scotland
1.Department of Health National specialist commissioning group “Service specification for the national pulmonary hypertension services (NPHS) January 2003 http://www.dh.gov.uk/assetRoot/04/13/08/99/04130899.pdf
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Patient pathways –Pulmonary Hypertension services
Identify and cost resources - services & research
Cost the resources for Pulmonary Hypertension
Cost vs reimbursement per NHS (HRGs)
Purpose – Bottom Up Costing
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Pulmonary Hypertension Pulmonary Hypertension
Activity Profile: 2005/06
Assessments: FCEs ( Finished consultant Episodes)
Thoracic Day ward 62
Inpatient 66
Total Assessments 127
Follow–ups: FCEs & Attendances
Inpatient FCEs 186
Thoracic Day ward attendances 291
Outpatient attendances 303
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Pulmonary Hypertension – Multi- Disciplinary TeamPulmonary Hypertension - costed resource profile Unit/Avg Total Total
£ £ £
Multi- Disciplinary Team - Assessment & FollowupConsultant physician -(2 Wte) sessions 304,200 SpR + Res Registrar- net of Deanery contribution) 166,036 Specialist nurse coordinator wte 42,624 Specialist Nurse 42,624 Social worker band 7.3 wte 4,791 Dietician wte 4,791 Physiotherapy wte 4,791 Palliativecare 19,500 Secretary/admin wte 61,750 Pharmacy support wte 20,800 Radiologist session 15,600 Data coordination &Audit/evaluation 12,350
Post discharge Nurse 21,312 Total Cost of Multi- Disciplinary Team - Assessment & Followup 721,171 721,171
D06 - minor thoracic conditions requiring <2days stay), D07 – Fibre optic Bronchoscopy (requiring <2 days stay)E14 – Cardiac Cath and angiography without complications and co-morbities)E37- other Cardiac Diagnoses (ranging from viral carditis to haemorrhage, not elsewhere captured)E38 – Electrophysiology and other Percutaneous Cardiac Procedures>18 E39 – Electrophysiology and other Percutaneous Cardiac Procedures>19 E40 – Other Cardiothoracic or Circulatory procedures >18E41 – Other Cardiothoracic or Circulatory procedures >19E99 – Complex Elderly with a Cardiac Primary Diagnosis P25 – Cardiac Conditions (includes Aortic Stenosis, multiple valve disease, Primary Pulmonary Hypertension etc) Q12 – Therapeutic Endovascular ProceduresQ19 – Vascular access for renal replacement therapy
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Costed Profile vs ReimbursedCosted Profile vs Reimbursed
Pulmonary Hypertension - costed resource profile ( 2005-06) No Unit/Avg Total Total Nature of CostYear 2005-06 £ £ £Total Cost of Multi- Disciplinary Team - Assessment & Followup 721,171 721,171 Fixed costTotal Variable Cost Assessment - Thoracic Day ward Attendances62 1,161 71,955 Total Variable Cost Assessment - Inpatient FCEs 65 3,926 255,221 327,176 Variable cost- Assessments
Total Assessment cost(inpat and Outpat)/unit costs(incMDT input)65 5,033 679,244 Propotion of Fixed cost + Variable cost
Total Followup cost/ unit cost- inc MDT input 780 2,163 1,687,191 Propotion of Fixed cost + Variable cost
Total (inc central/overhead costs) excluding PH drug cost 2,366,435 Total Cost Exc Drug
Total Pulmonary Hypertension Services Income Plan 05-06 + 1,675,625 Reimbursed on PBR tariff
Shortfall ? 690,810
Knowledge Capital contribution ?
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7 years Annualised
Donations & Interest £103.7k £14.8k
Research £544.1k £77.7k
Total £647.7k £92.5k
Other Funding Generated
PH Team
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Dimensions of Knowledge Capital Meritum project
Adapted from Meritum project
Staff time, specialist training posts, research staff
Relational Capital & Public Goods in Health Capital
Human Resources Capital
Tangible Capital
Knowledge Capital
National Capacity in Health
National protocols, leadership of professional body, national patient pool, specialist training materials, Patient education and material, Patient Support groups
Equipment, databases, computers, Specialist Medical equipment
External research funding, Patient Donors, National, Global Leadership in field