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A personal note: As a father who lost his 20-year-old son to a preventable medical error, I share this information not to sell or promote, but to advocate for change. Having witnessed AI's transformative potential in other fields, I see its profound capability to enhance Patient Safety in healthcare. This is simply a father's effort to encourage healthcare professionals to explore AI tools that could help prevent other families from experiencing similar tragedies.​

How the ROI is Calculated

Where the Data Originates

  1. Base Risk Factors:

  2. Each type of surgery (prefix) has pre-set risk numbers based on medical literature:

    1. An expected error rate (baseError)

    2. A reduced error rate with AI assistance (reducedError)

    3. An average cost per liability event (avgLiability)

  3. Main Calculations:

  4. Expected Problems Per Year = Annual Surgery Volume × Base Error Rate

  5. Problems with AI Help = Annual Surgery Volume × Reduced Error Rate

  6. Problems Prevented = Expected Problems - Problems with AI Help

  7. Money Savings Come From Two Places:

  8. Liability Savings = Problems Prevented × Average Cost per Liability Event

  9. Operational Savings = 5% of (Annual Surgery Volume × Cost per Surgery)

    1. The 5% represents typical efficiency improvements with AI assistance

  10. ROI Math:

  11. Total Annual Savings = Liability Savings + Operational Savings

  12. Implementation Cost = $150,000 (one-time cost)

  13. First Year ROI = ((Total Savings - Implementation Cost) ÷ Implementation Cost) × 100

  14. Payback Period = Implementation Cost ÷ (Total Savings ÷ 12 months)

  15. Example:

  16. If you do 100 surgeries per year at $50,000 each:

  17. Without AI: Might have 4 problems costing $750,000 each = $3,000,000 risk

  18. With AI: Might have 1 problem = $750,000 risk

  19. Difference: $2,250,000 saved in risk + $250,000 in efficiency

  20. Minus $150,000 implementation = $2,350,000 net benefit

  21. ROI = 1,567% first year

  22. Would you like me to explain any part of this in more detail?

  23. Please expand on what it is that AI reveals and where that information came from

  24. Claude-3.5-Sonnet

  25. Poe

  26. Here's an explanation of the AI's role and the data sources:

  27.  

    Data Source Context:

    The error rates and risk factors in the calculator are based on:

  28. Published medical error studies

  29. Medical malpractice insurance data

  30. Hospital quality metrics

  31. Academic research on surgical complications

  32. Healthcare system safety reports

  33. What AI Actually Does in Surgery:

  34. Real-time Video Analysis: Monitors surgical procedures, identifying potential risks or deviations from standard protocol

  35. Pattern Recognition: Compares current surgical steps with millions of previous procedures

  36. Early Warning System: Alerts surgical team to potential complications before they become serious

  37. Workflow Optimization: Identifies inefficiencies in procedure steps

  38. Equipment Tracking: Monitors surgical instrument usage and placement

  39. Team Communication: Enhances coordination between surgical team members

  40. Specific Ways AI Reduces Errors:

  41. Anatomical Landmark Detection: Helps surgeons identify critical structures

  42. Surgical Step Tracking: Ensures no steps are missed or done out of order

  43. Critical Event Prediction: Uses patient data to forecast potential complications

  44. Documentation Accuracy: Automated recording of surgical events and decisions

  45. Team Performance Metrics: Identifies areas where team coordination can improve

  46.  

    Important Note on Calculator Limitations:

    The calculator uses conservative estimates and averages. Actual results may vary significantly based on:

  47. Hospital-specific factors

  48. Surgical team experience

  49. Patient population characteristics

  50. Specific AI implementation methods

  51. Quality of existing surgical protocols

I'

An important limitation of the current calculator - here's a breakdown of the timing issues:

Current Data Limitations:

  1. Risk Rates (Static):

  • Base error rates are from historical medical literature

  • Liability costs are based on past insurance claims

  • Operational costs reflect pre-2024 hospital data

  • None of these automatically update

  1. What's Missing for Real-Time Accuracy:

  • Current regional malpractice settlement trends

  • Latest hospital-specific complication rates

  • Updated equipment and staffing costs

  • Recent AI system performance metrics

  • Current hospital reimbursement rates

  • Latest inflation impacts on medical costs

  • New surgical technique modifications

To

To Make it "Real-Time" Would Need:

  1. Live Data Feeds From:

  • Hospital systems

  • Insurance databases

  • Medical billing systems

  • AI system performance metrics

  • Malpractice claim databases

  1. Regular Updates For:

  • Monthly: Cost adjustments and local market rates

  • Quarterly: Risk rate revisions

  • Annually: Major liability cost updates

  • Continuously: AI performance metrics

Current Version:

  • Provides directional guidance only

  • Should be recalibrated every 6-12 months

  • Actual ROI could vary significantly from calculations

  • Best used as a planning tool, not definitive analysis

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This website is dedicated to my son Zander Cameron Smith


No word expresses how his family and others close to Zander are saddened by his loss. He will forever be missed for his smile and the joy he gave us all.


I love you Zander.
Dad

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