Developing a Risk Management Plan: A Step by Step Approach March 24 & 25, 2010



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Developing a Risk Management Plan: A Step by Step Approach March 24 & 25, 2010 Page 1

About ECRI Institute Independent, not-for-profit applied research institute Patient safety, healthcare quality, risk management to healthcare organizations across the continuum Dedicated Web site for HRSA grantees. Log in with user id and password at: www.ecri.org/clinical_rm_program 40-year history, 320 person staff Physicians, nurses, patient safety, risk management, quality professionals, clinical engineers AHRQ Evidence-Based Practice Center WHO Collaborating Center Federally designated Patient Safety Organization 3 Objectives Recognize the elements of a risk management plan Recall the steps to implement a risk management plan Identify the functions of a risk management committee Recognize the benefits of a risk management program manual 4 Page 2

Why is a Risk Management Plan an essential part of quality care? Demonstrates health center s support for risk management and patient safety Provides authority and responsibility for enacting the plan Achieves consistency of purpose within the organization 5 Elements of a Risk Management Plan Statement of purpose Authority and responsibility for implementation Goals and objectives Scope and functions Administrative and committee structure Monitoring and improvement 6 Page 3

Statement of Purpose The Risk Management Plan is designed to 7 Authority and Responsibility for Implementation The governing body empowers leadership and management teams to implement risk management strategies 8 Page 4

Goals and Objectives Improve patient safety Prevent errors, system breakdowns, and harm Minimize clinical risks and liability losses Support regulatory, accreditation compliance Protect organization resources 9 Scope and Functions Risk Management spans the entire operation and most functional areas Credentialing Claims Management Event Reporting Note specific areas with a high impact on risk and safety Describe risk management functions and responsibilities Patient Safety Risk Management Patient Satisfaction Quality Improvement 10 Page 5

Administrative and Committee Structure Risk manager s authority and responsibility RM/PS committee Focal point for risk/safety communications Analysis and feedback Proactive Assessments Risk Manager Event and Near-miss Data Flow of information Committee recommendations Feedback 11 Monitoring and Improvement Risk Management Data Number of claims, costs, adverse events Risk Management Plan Structure Process Outcome Goal and objective achievement 12 Page 6

A Word About Measures In an environment that supports a just culture, as part of a culture of safety, event reports will increase. 13 Risk Management and Quality Improvement Functions Overlap in Patient Safety Risk Management Risk Identifications (e.g., near-miss and adverse event reporting) Risk Control Claims Management Patient Relations and Disclosure Safety and Security Accreditation Compliance Mandatory Event Reporting Workers Compensation Overlapping Functions Analysis of adverse and sentinel events and trends Root-Cause Analysis Proactive Risk Assessments Patient Complaint Handling Patient Safety Initiatives Board Reports Feedback to Providers and Staff Provider Credentialing Accreditation Issues Staff Education and Training Peer Review Quality Improvement Quality Measures (e.g., indicators, dashboards, core measures) Benchmarking Best Practices/Clinical Guidelines Provider Performance and Competency Accreditation Coordination Patient Satisfaction Improvement Projects 14 Page 7

Integrated Committee Structure Risk Management Quality Improvement Risk Management Patient Safety Patient Safety Quality Improvement 15 Risk Management Committee Multidisciplinary Review risks and actions to prevent and control risks Reports of events and near-misses Also: 16 Quality of care issues Safety and security Page 8

Steps to Implementation Develop written plan Educate managers, providers and staff Establish systems for communication and information flow Implement systems to support risk identification, prevention, and control 17 Develop the Risk Management Plan Develop risk management plan or examine an existing plan Does the plan include the elements listed above? Does the plan reflect the actual practice of your health center or clinic? 18 Page 9

Educate About the RM Plan Risk management basics, patient safety concepts Roles of governance, management, providers, and staff Special emphasis on physicians and other providers Web site Resources: -Education and Training Tools -Guidance Articles -Self-Assessment Questionnaires 19 Establish Systems for Communication and Information Flow 20 Page 10

Sample Risk Management/Patient Safety/Quality Improvement Organization Structure Executive Director Administrative Asst. Medical Director Quality Improvement Coordinator Risk Manager Nursing Director Physicians and Medical Providers Credentialing Coordinator Patient Safety Safety and Security Patient Representative Reporting ------Communication 21 Sample Risk Management Organizational Structure for Multi-Facility Organizations Board of Directors Human Resources/ Organizational Development President/C.E.O. Corporate Counsel Corporate Risk Manager Corporate Chief Clinical Officer Facilities Administrators/ Executive Directors Peer review/qi/risk Management Designees Human Resources Safety Physical Plant National QI Corporate Compliance Reporting Relationships C.F.O. Flow of Information C.O.O. 22 Page 11

Implement Support Systems Risk Identification Operational assessments Event reporting system Risk Prevention Education and Training Credentialing System improvement Risk Control 23 Maintaining the Risk Management Plan Review on an annual basis Revise Changes in services, stakeholders, functions, linkages Program growth Evaluate indicators at least annually Report to the Board of Directors annually 24 Page 12

Benefits of Compiling a Risk Management Manual Serves as a reference guide Serves as a training manual for providers and staff Helpful for orientation/cont. education Supports commitment to the program 25 The Risk Management Manual Describes the program Contains policies and procedures of the program Risk manager job description Algorithms Flow of information to and from the program Event reporting and management Committee structure 26 Integration with other committees and functions (e.g., Quality Improvement, Patient Safety) Page 13

Web Site Resources Web site resources: Guidance articles Web Resources Sample policies & tools Standards & guidelines Education & training tools 27 Challenges Successes Experiences 28 Page 14

Developing a Risk Management Plan archived on Web site 29 Questions? clinical_rm_program@ecri.org 610-825-6000, ext. 5200 More info at: www.ecri.org/clinical_rm_program Thank You! Page 15