By David L. Morris

Value-based care’s north star aligns incentives for payers and providers toward improved patient outcomes and cost-effective healthcare delivery. Investment in value-based care (VBC) companies quadrupled during the COVID-19 pandemic, generating around $500 billion in enterprise value. VBC growth is expected to reach $1 trillion in the coming years as more organizations realize the value of effectively managing costs. In 2024, several trends and themes are shaping the trajectory of VBC growth for healthcare executives and providers.

Ethical AI in healthcare

We have seen the rapid adoption of AI in every industry, including healthcare. One of the foremost trends in 2024 will be an increased emphasis on ethical and responsible AI use within the healthcare sector. While advancements in AI capabilities hold tremendous potential to improve care, without proper safeguards in place they could also have the opposite effect. The ethical use of AI ensures patient safety and trust. It contributes to successfully integrating AI technologies into existing workflows, fostering a collaborative environment between technology and healthcare professionals. AI is poised to be a powerful ally for healthcare practitioners, but it will only enhance their capabilities and cannot replace the value of hands-on care.

To ensure the ethical deployment of AI in healthcare, healthcare organizations must focus on rigorously validating the accuracy of AI solutions intended for clinical and administrative applications. This involves robust testing with checks and balances in the processes to ensure AI tools meet the highest accuracy and reliability standards. Organizations must have ways to proactively address ethical and credibility questions and concerns that arise. They must also be aware of the potential for algorithm biases and have processes in place to mitigate that, guaranteeing equitable healthcare services to every patient population.

Provider administrative efficiency
Physicians grapple with extensive administrative tasks every day. On average, they spend nearly a quarter of their time on these administrative tasks. That contributes to inefficiencies and care delays. According to the latest American Hospital Association (AHA) report, 94% of physicians believe managing a practice has become increasingly challenging both financially and administratively, with 84% identifying administrative burdens as a factor influencing their decision to work for a hospital system instead of opening a private practice.

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