Return on Investment from Using KaiNexus to Encourage and Facilitate Kaizen
All Contents Copyright KaiNexus LLC, 2012
Kaizen-style improvement programs, such as those facilitated by the KaiNexus™ web-based and mobile technology platform, offer a very compelling ROI. KaiNexus willfacilitate measureable “hard” cost savings that flow immediately to your bottom line interms of lower cost and higher revenue. KaiNexus will also enable your entireorganization to quickly implement improvements in quality, patient and staff safety,waiting times, and patient and staff satisfaction. Our data has shown that a typicalinstallation in one department (~300 users) will likely experience an ROI of morethan10:1, whereas a full medical center (~10k users) will likely experience an ROI of 29:1. This does not include the indirect financial impact of improvements to quality,patient and staff safety, patient and staff satisfaction, or improved training andcommunication.
Data Collected from Use of the KaiNexus Prototype Software:
Before the official commercial release of KaiNexus’ beta software in 2011, prototypeversions had been used at Vanderbilt University Medical Center since 2005. Calculationswere done, in 2009, looking at a sample of OIs that came out of the KaiNexusprototype. This data is a part of what was published in the journal
Academic Emergency Medicine
in December 2009.
Based on extrapolating the sample to a medical center with more than 10,000employees, we estimated:
$2.5 million in savings per year
Eliminate 500 errors per year
Implement over 2,600 quality improvements
Implement over 550 patient and staff satisfaction improvementsThese numbers are consistent with the Franciscan St. Francis Health System's figuresthat were published by Mark Graban and Joe Swartz in
KaiNexus Data Since 2011
Since the official launch of the commercial KaiNexus technology, our customersestimate the impact of each OI as they formally resolve it (close it out) in the systemafter the OI has been implemented and evaluated for its effectiveness. So, the followingdata is not from us, it is from users. Users either check a box that says the OI had animpact in a particular area or they enter an estimate of a quantified result (often withprompting for details from the KaiNexus software).
Jacobson, Gregory H., N.S. McCoin, R. Lescallette, S. Russ, and C.M. Slovis, “Kaizen: A Method of Process Improvement in the Emergency Department,” Acad. Emerg. Med. Dec;16(12), 2009, 1341–1349.