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Outcome Based Health Budget

Meaning

An Outcome Based Health Budget is a strategic financial model where the allocation of resources for health and wellness interventions is directly and explicitly tied to the achievement of measurable, predefined clinical and functional goals, rather than merely funding the delivery of services or products. This budgeting approach fundamentally prioritizes expenditures that demonstrably yield superior, quantifiable results in terms of improved hormonal profiles, increased functional capacity, or significantly reduced risk markers for chronic disease. The focus shifts the financial perspective from cost consumption to demonstrable value creation, requiring continuous data collection and evaluation to ensure maximum return on the health investment. It promotes a highly personalized and results-driven clinical strategy.