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  • Title: Value-chain analysis of a rural health program: toward understanding the cost benefit of telemedicine applications.
    Author: Gamble JE, Savage GT, Icenogle ML.
    Journal: Hosp Top; 2004; 82(1):10-7. PubMed ID: 15490956.
    Abstract:
    While telemedicine's clinical effectiveness and educational benefits are accepted, its cost-effectiveness is controversial. This study focuses on telemedicine's cost-effectiveness from a provider's perspective. Reviews of the cost-effectiveness literature in telemedicine are critical of past studies' (a) methodological and analytical weaknesses; (b) focus on answering "Can we do this?" rather than "Should we do this?"; and (c) emphasis on patient benefits. Value chain analysis examines structural and executional cost drivers; a self-sustaining business model balances the cost and value associated with each telemedicine activity. We illustrate this analysis in a rural health program, examining teleradiography and telerehabilitation.
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