Measures of a Successful PIPM System

A successfully implemented PIPM system benefits both states and providers.

With a PIPM system, a state develops an internal benchmarking system of provider performance, begins to use data to manage decisions, and has the potential to implement pay-for-performance incentives based on process improvement measures. For example, the state authority in Maine uses its TDS data in the following ways:

• OSA Annual Report
• OSA Directors Presentations
• Department and Legislative Inquiry
• CSAT GPRA Data – Regular Uploads
• SAPT BG – Application and NOMS Reporting
• NIATx NPO
• Contracting

A PIPM system helps build provider confidence in data collected and reported by the state. Providers may also learn to use data more effectively to inform decisions within the organization while establishing a data-driven process improvement culture. Together, states and providers will be able to answer one of the fundamental questions related to process improvement: “How will we know if a change is an improvement?”

Three questions guide the development of a PIPM System:

1. Are we collecting the right information?
2. Is the information of good quality?
3. How are the state and providers using the information to improve and incentivize performance?

We have put together a simple assessment to help guide you on your journey.