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Demonstrating Return on Investment for a Nurse-Led Discharge Lounge: A Strategy for Improving Hospital Throughput

Nurs Adm Q. 2026 Apr-Jun 01;50(2):126-132. doi: 10.1097/NAQ.0000000000000717. Epub 2026 Mar 17.

ABSTRACT

BACKGROUND: Discharge delays and emergency department (ED) overcrowding are persistent challenges that negatively affect hospital throughput and patient outcomes. Although discharge lounges (DC Lounges) offer a potential solution, there is limited peer-reviewed literature evaluating their financial return on investment (ROI).

OBJECTIVE: This study examined the operational and fiscal impact of a nurse-led DC Lounge in a large academic medical center, with a focus on cost-savings-based ROI.

METHODS: A quantitative, descriptive design was used to evaluate the first year of DC Lounge implementation at a 700+ bed academic medical center. Data collected included discharge timing, DC Lounge utilization, inpatient bed days saved, and ED hold hours. Financial analysis calculated ROI based solely on cost avoidance.

RESULTS: The DC Lounge reached its financial break-even point in November 2024, saving 88.9 inpatient bed days and achieving an ROI of 1.16. Utilization increased 400% over the first year, while average patient time in the DC Lounge decreased by 19%. Hospital discharges before 2 PM improved.

CONCLUSIONS: This study is among the first to quantify ROI for a DC Lounge, demonstrating its operational and financial viability. Nurse-led coordination and interdisciplinary collaboration were critical to its success.

PMID:41844394 | DOI:10.1097/NAQ.0000000000000717

By Nevin Manimala

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