Vivi Retno Intening
St. Paul University, Manila, Philippines

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To What Extent Can Value-Based Healthcare Governance Be Applied In Value-Based Hospitals? Lessons from MENA for Indonesia Dyah Hapsari Prananingrum; Endang Haryani; Bagoes Widjanarko; Vivi Retno Intening
Lex Scientia Law Review Vol. 10 No. 2 (2026): November, 2026
Publisher : Universitas Negeri Semarang

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.15294/lslr.v10i2.35836

Abstract

The Value-Based Healthcare (VBHC) paradigm shifts the focus of care from quantity to quality and the efficiency of patient outcomes, a transformational shift in healthcare management that is now widely adopted in the MENA region (Middle East and North Africa). In Indonesia, despite rapid growth in the private sector, value-based hospitals operated by foundation-based legal entities still face stagnation in service delivery due to high operational costs, low profitability, and weak professional governance. This research aims to study the extent to which value-based healthcare governance can be implemented in Indonesia by drawing valuable lessons from the transformation in the MENA region. Using a descriptive approach with qualitative methods supplemented by quantitative field data, this study evaluates operational readiness and formulates a value-based governance framework. The findings indicate that the implementation of VBHC is highly dependent on an integrated governance ecosystem involving regulation, procurement, accreditation, digital infrastructure, leadership, and outcome measurement. Drawing lessons from Saudi Arabia and Egypt, coordination among regulators, payers, and accreditation bodies is an absolute pre-condition. In Indonesia, foundation hospitals require a contextual approach that takes into account their financial sustainability, organizational capacity, and specific nonprofit characteristics. Policy implications call for the Ministry of Health and BPJS Kesehatan to strengthen cross-institutional coordination in order to integrate VBHC principles into financing governance, outcome indicators, and value-based service delivery mechanisms.