Cardinal Health: The Time Is Now to Fully Measure ROI of Medication Therapy Management





March 25, 2015



/ -- When a new solution benefits everyone in the healthcare system, yet still is not being widely adopted; it's appropriate to start asking why. Such is the case with Medication Therapy Management (MTM) — which has been established as mutually beneficial for payers, patients and pharmacies – yet has experienced a slower-than-expected adoption rate.

In a new blog post on Cardinal Health's thought leadership site,

Essential Insights


Brad Tice, RPh, PharmD, FAPhA

, Medication Therapy Management product leader at Cardinal Health, says that a main reason underlying the relatively slow adoption of MTM is that it can be difficult to measure and understand the total return on investment that these services deliver. He also shares his perspective on what's needed to understand the full value and benefits of MTM.

"I believe that one explanation for slow MTM adoption is that the complexity of the healthcare system can obscure MTM's proven value," says Tice. "Timing issues, cost allocations and financial incentives are a few obstacles that impact how MTM programs are measured. Failing to measure the full impact of MTM programs is difficult to do, yet doing so is a fatal analytical error."

Tice explains that health plans that focus on MTM's return on investment will gain an essential competitive advantage in the marketplace. He contends that although MTM services can generate immediate costs savings and health benefits for patients, these services can generate an even greater return in the latter years, as patients remain healthy. Furthermore, most MTM savings appear outside the pharmacy benefit; via fewer hospital readmissions, drops in emergency room visits, improvements in how physicians are utilized, etc. — all cost savings that can be difficult to fully measure.

To learn more about Tice's insight on how to measure and maximize the total return on investment in MTM services, read his full

blog post

at Essential Insights.

About Cardinal Health

Headquartered in

Dublin, Ohio

, Cardinal Health, Inc. (NYSE: CAH) is a

$91 billion

health care services company that improves the cost-effectiveness of health care. As the business behind health care, Cardinal Health helps pharmacies, hospitals, ambulatory surgery centers and physician offices focus on patient care while reducing costs, enhancing efficiency and improving quality. Cardinal Health is an essential link in the health care supply chain, providing pharmaceuticals, medical products and services to more than 100,000 locations each day and is also the industry-leading direct-to-home medical supplies distributor. The company is a leading manufacturer of medical and surgical products, including gloves, surgical apparel and fluid management products. In addition, the company operates the nation's largest network of radiopharmacies, which dispense products to aid in the early diagnosis and treatment of disease. Ranked #22 on the Fortune 500, Cardinal Health employs more than 34,000 people worldwide. More information about the company may be found at and


on Twitter.

To view the original version on PR Newswire, visit:

SOURCE Cardinal Health

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