Physician Performance Measurement: A Proof-of-concept Study of an Efficiency Measurement Methodology

The Pacific Business Group on Health (PBGH) Physician Performance Project seeks to promote system change by measuring individual physician quality, efficiency and patient experience. Reducing variation in physician practice patterns can significantly improve quality of care and moderate costs. As appropriate physician performance information becomes available to consumers, market pressure will become an effective mechanism for improving health care quality and efficiency. Key project goals include:

• Use of comparative performance information for quality improvement among physicians;
• Adoption of benefit designs that incent consumers to make informed health care choices;
• Promotion of financial incentives that reward high quality and efficient physicians in health plan contracting and payment systems;
• Make performance information publicly available for consumer choice.