Skip to main content
Log in

Monthly multidisciplinary complex spine conference: a cost-analysis utilizing time-driven activity-based costing

  • Case Series
  • Published:
Spine Deformity Aims and scope Submit manuscript

Abstract

Purpose

To understand costs and provide an initial framework associated with conference implementation as it pertains to complication prevention.

Methods

Team members' time spent on conference preparation, presentation, and follow-up tasks was recorded and averaged to determine the time required to prepare and present one patient. Using 2022 hourly wage rates based on our urban hospital setting, wage values were calculated for each personnel type and applied to their time spent. The total cost of the conference was annualized and calculated from the time spent in the three phases of the conference multiplied by the wage rate. Published data on complication rates and associated costs before and after conference implementation were used to calculate total cost reduction.

Results

With 3 active spine surgeons and 108 patients per year, the total time investment was 104.04 min per patient, costing $21,791 annually. Total RN equivalent value per patient was 5.25 for all three phases. Using a historical model, this multidisciplinary approach for adult spinal deformity reduced complications by 51% at 30 days, resulting in cost savings of $418,518 per year. Thus, the model demonstrates that implementation of this approach resulted in a potential total savings of $396,726/year.

Conclusion

Implementing a cost-saving tool for managing complex spinal disorders is a responsibility of the spine team, who should lead a multidisciplinary conference. The combination of TDABC and lean methodology can effectively demonstrate the variable costs associated with this multidisciplinary effort and models provide evidence of potential cost-savings when applied to a multidisciplinary adult spinal deformity conference. These findings should encourage clinicians and administrators to allocate resources to improve patient care by reducing complications and costs.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Fig. 1
Fig. 2
Fig. 3
Fig. 4

Similar content being viewed by others

References

  1. Chang D, Zygourakis CC, Wadhwa H, Kahn JG (2020) Systematic review of cost-effectiveness analyses in U.S. spine surgery. World Neurosurg. 142:e32–e57. https://doi.org/10.1016/j.wneu.2020.05.123

    Article  PubMed  Google Scholar 

  2. Samuel AM, Fu MC, Anandasivam NS et al (2017) After posterior fusions for adult spinal deformity, operative time is more predictive of perioperative morbidity, rather than surgical invasiveness: a need for speed? Spine 42(24):1880–1887. https://doi.org/10.1097/BRS.0000000000002243

    Article  PubMed  Google Scholar 

  3. Lee NJ, Lenke LG, Cerpa M et al (2022) The 90-day reoperations and readmissions in complex adult spinal deformity surgery. Glob Spine J 12(3):415–422. https://doi.org/10.1177/2192568220953391

    Article  Google Scholar 

  4. Eli I, Whitmore RG, Ghogawala Z (2021) Spine instrumented surgery on a budget-tools for lowering cost without changing outcome. Glob Spine J 11(1_suppl):45S-55S. https://doi.org/10.1177/21925682211004895

    Article  Google Scholar 

  5. Kim S, Mortaz Hedjri S, Coyte PC, Rampersaud YR (2012) Cost-utility of lumbar decompression with or without fusion for patients with symptomatic degenerative lumbar spondylolisthesis. Spine J Off J North Am Spine Soc 12(1):44–54. https://doi.org/10.1016/j.spinee.2011.10.004

    Article  Google Scholar 

  6. Hwang RW, Golenbock SW, Kim DH (2021) Drivers of cost in primary single-level lumbar fusion surgery. Glob Spine J. https://doi.org/10.1177/21925682211009182

    Article  Google Scholar 

  7. Sethi RK, Pong RP, Leveque JC, Dean TC, Olivar SJ, Rupp SM (2014) The Seattle spine team approach to adult deformity surgery: a systems-based approach to perioperative care and subsequent reduction in perioperative complication rates. Spine Deform 2(2):95–103. https://doi.org/10.1016/j.jspd.2013.12.002

    Article  PubMed  Google Scholar 

  8. Sethi R, Buchlak QD, Yanamadala V et al (2017) A systematic multidisciplinary initiative for reducing the risk of complications in adult scoliosis surgery. J Neurosurg Spine 26(6):744–750. https://doi.org/10.3171/2016.11.SPINE16537

    Article  PubMed  Google Scholar 

  9. Flynn JM, Striano BM, Muhly WT et al (2018) A dedicated pediatric spine deformity team significantly reduces surgical time and cost. J Bone Jt Surg 100(18):1574–1580. https://doi.org/10.2106/JBJS.17.01584

    Article  Google Scholar 

  10. Bari TJ, Hallager DW, Hansen LV, Dahl B, Gehrchen M (2021) Reducing revision rates following pedicle subtraction osteotomy surgery: a single-center experience of trends over 7 years in patients with adult spinal deformity. Spine Deform 9(3):803–815. https://doi.org/10.1007/s43390-020-00256-5

    Article  PubMed  Google Scholar 

  11. Farhadi DS, Cavagnaro MJ, Orenday-Barraza JM et al (2022) Do multidisciplinary spine conferences alter management or impact outcome? World Neurosurg 166:192–197. https://doi.org/10.1016/j.wneu.2022.08.018

    Article  PubMed  Google Scholar 

  12. Keel G, Savage C, Rafiq M, Mazzocato P (2017) Time-driven activity-based costing in health care: a systematic review of the literature. Health Policy 121(7):755–763. https://doi.org/10.1016/j.healthpol.2017.04.013

    Article  PubMed  Google Scholar 

  13. Kaplan RS, Porter ME (2011) How to solve the cost crisis in health care. Harv Bus Rev 89(9):46–52

    PubMed  Google Scholar 

  14. Kaplan RS, Anderson SR (2004) Time-driven activity-based costing. Harv Bus Rev 82(11):131–138

    PubMed  Google Scholar 

  15. Sethi RK, Pumpian RP, Drolet CE, Louie PK (2021) Utilizing lean methodology and time-driven activity-based costing together: an observational pilot study of hip replacement surgery utilizing a new method to study value-based health care. J Bone Jt Surg 103(23):2229–2236. https://doi.org/10.2106/JBJS.21.00129

    Article  Google Scholar 

  16. Sethi RK, Drolet CE, Pumpian RP et al (2022) Combining time-driven activity-based costing and lean methodology: an initial study of single-level lumbar fusion surgery to assess value-based healthcare in patients undergoing spine surgery. J Neurosurg Spine. https://doi.org/10.3171/2022.4.SPINE211516

    Article  PubMed  Google Scholar 

  17. Howe CR, Agel J, Lee MJ et al (2011) The morbidity and mortality of fusions from the thoracic spine to the pelvis in the adult population. Spine 36(17):1397–1401. https://doi.org/10.1097/BRS.0b013e3181f453e2

    Article  PubMed  Google Scholar 

  18. Street JT, Lenehan BJ, DiPaola CP et al (2012) Morbidity and mortality of major adult spinal surgery. A prospective cohort analysis of 942 consecutive patients. Spine J Off J North Am Spine Soc 12(1):22–34. https://doi.org/10.1016/j.spinee.2011.12.003

    Article  Google Scholar 

  19. Yeramaneni S, Robinson C, Hostin R (2016) Impact of spine surgery complications on costs associated with management of adult spinal deformity. Curr Rev Musculoskelet Med 9(3):327–332. https://doi.org/10.1007/s12178-016-9352-9

    Article  PubMed  PubMed Central  Google Scholar 

  20. Ollendorf DA, Vera-Llonch M, Oster G (2002) Cost of venous thromboembolism following major orthopedic surgery in hospitalized patients. Am J Health-Syst Pharm AJHP Off J Am Soc Health-Syst Pharm 59(18):1750–1754. https://doi.org/10.1093/ajhp/59.18.1750

    Article  Google Scholar 

  21. Zhang H, Yu J, Wei Z, Wu W, Zhang C, He Y (2021) The effect of multidisciplinary team discussion intervention on the prognosis of advanced colorectal cancer. J Cancer 12(11):3307–3314. https://doi.org/10.7150/jca.56171

    Article  CAS  PubMed  PubMed Central  Google Scholar 

  22. Shellenberger TD, Weber RS (2018) Multidisciplinary team planning for patients with head and neck cancer. Oral Maxillofac Surg Clin N Am 30(4):435–444. https://doi.org/10.1016/j.coms.2018.06.005

    Article  Google Scholar 

  23. Gaudioso C, Sykes A, Whalen PE et al (2022) Impact of a thoracic multidisciplinary conference on lung cancer outcomes. Ann Thorac Surg 113(2):392–398. https://doi.org/10.1016/j.athoracsur.2021.03.017

    Article  PubMed  Google Scholar 

  24. Chava R, Karki N, Ketlogetswe K, Ayala T (2019) Multidisciplinary rounds in prevention of 30-day readmissions and decreasing length of stay in heart failure patients: a community hospital based retrospective study. Medicine (Baltimore) 98(27):e16233. https://doi.org/10.1097/MD.0000000000016233

    Article  PubMed  Google Scholar 

  25. Turk DC, Okifuji A (1998) Treatment of chronic pain patients: clinical outcomes, cost-effectiveness, and cost-benefits of multidisciplinary pain centers. Crit Rev Phys Rehabil Med 10(2):181–208. https://doi.org/10.1615/CritRevPhysRehabilMed.v10.i2.40

    Article  Google Scholar 

  26. Clark TS (2000) Interdisciplinary treatment for chronic pain: is it worth the money? Bayl Univ Med Cent Proc 13(3):240–243. https://doi.org/10.1080/08998280.2000.11927682

    Article  CAS  Google Scholar 

  27. Okifuji AA, Turk DC, Kalauokalani D (1999) Clinical outcomes and economic evaluation of the multidisciplinary pain centers. Lawrence Erlbaum Publishers, pp 77–97

    Google Scholar 

  28. Kepler CK, Wilkinson SM, Radcliff KE et al (2012) Cost-utility analysis in spine care: a systematic review. Spine J Off J North Am Spine Soc 12(8):676–690. https://doi.org/10.1016/j.spinee.2012.05.011

    Article  Google Scholar 

  29. da Silva-Etges APB, Ruschel KB, Polanczyk CA, Urman RD (2020) Advances in value-based healthcare by the application of time-driven activity-based costing for inpatient management: a systematic review. Value Health. 23(6):812–823. https://doi.org/10.1016/j.jval.2020.02.004

    Article  Google Scholar 

  30. Najjar PA, Strickland M, Kaplan RS (2017) Time-driven activity-based costing for surgical episodes. JAMA Surg 152(1):96. https://doi.org/10.1001/jamasurg.2016.3356

    Article  PubMed  Google Scholar 

  31. Koolmees D, Bernstein DN, Makhni EC (2021) Time-driven activity-based costing provides a lower and more accurate assessment of costs in the field of orthopaedic surgery compared with traditional accounting methods. Arthrosc J Arthrosc Relat Surg 37(5):1620–1627. https://doi.org/10.1016/j.arthro.2020.11.028

    Article  Google Scholar 

  32. Sharan AD, Schroeder GD, West ME, Vaccaro AR (2016) Understanding time-driven activity-based costing. Clin Spine Surg Spine Publ 29(2):62–65. https://doi.org/10.1097/BSD.0000000000000360

    Article  Google Scholar 

  33. Schroeder GD, Hilibrand AS, Kepler CK et al (2018) Utilization of time-driven activity-based costing to determine the true cost of a single or 2-level anterior cervical discectomy and fusion. Clin Spine Surg Spine Publ 31(10):452–456. https://doi.org/10.1097/BSD.0000000000000728

    Article  Google Scholar 

Download references

Funding

No funding was received for conducting this study.

Author information

Authors and Affiliations

Authors

Contributions

RS: conceptualization, methodology, validation, writing—review and editing, supervision, and project administration. PL: conceptualization, investigation, and writing—review and editing. AB: conceptualization, visualization, and writing—reviewing and editing. MG: conceptualization, investigation, and writing—reviewing and editing. VN: conceptualization, investigation, and writing—reviewing and editing. J-CL: conceptualization, investigation, and writing—reviewing and editing. CED: conceptualization, formal analysis, software, and data curation. BO: conceptualization, investigation, and writing—reviewing and editing. RK: conceptualization, investigation, and writing—reviewing and editing. JS: conceptualization, investigation, and writing—reviewing and editing. KC-G: conceptualization, investigation, and writing—reviewing and editing. AF: conceptualization, investigation, and writing—reviewing and editing. DF: conceptualization, writing—original draft, review and editing, visualization, and validation.

Corresponding author

Correspondence to Rajiv Sethi.

Ethics declarations

Conflict of interest

Financial interests: Rajiv Sethi is a paid consultant for Alphatec Spine, Medtronic, Mighty Oak Medical, Nuvasive, Stryker, and Surgalign. Rajiv Sethi receives royalties from Medicrea and Orthofix. Jean-Christophe Leveque received paid support as a presenter from Nuvasive. Philip Louie has received funding from Alphatec Spine, Surgalign, and Viseon. Non-financial interests: Rajiv Sethi has served on advisory boards for Journal of Spine Deformity, Scoliosis Research Society, Spine Safety Foundation, and Washington State Orthopaedic Association. Rajiv Sethi is a fellow of the American Academy of Orthopaedic Surgeons. Jean-Christophe Leveque is on the advisory board for the Scoliosis Research Society. Philip Louie is on the advisory board for AO Spine.

Ethical approval

The current study was approved by our institutional review board as a Quality Improvement Publication (QUIP) project.

Additional information

Publisher's Note

Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.

Rights and permissions

Springer Nature or its licensor (e.g. a society or other partner) holds exclusive rights to this article under a publishing agreement with the author(s) or other rightsholder(s); author self-archiving of the accepted manuscript version of this article is solely governed by the terms of such publishing agreement and applicable law.

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Sethi, R., Louie, P., Bansal, A. et al. Monthly multidisciplinary complex spine conference: a cost-analysis utilizing time-driven activity-based costing. Spine Deform 12, 433–442 (2024). https://doi.org/10.1007/s43390-023-00798-4

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s43390-023-00798-4

Keywords

Navigation