OTOtherAustralian occupational therapy journal2024

Calculating the social impact of home automation for people with disability: A social return on investment study.

Claire Hutchinson, Jenny Cleland, Patricia A H Williams and 2 others

PMID 38922924

WHAT IT FOUND

Home automation scenarios generated social value of $15.10 to $38.80 for every $1 invested over 10 years.

Even removing the largest benefit, reduced carer hours, the lowest cost scenario still returned $15.85 per dollar. This supports OT advocacy for funding based on economic and social value.

Key findings

01The lowest cost home automation scenario returned $38.80 in social value for every $1 invested, while the highest cost scenario returned $15.10.

02A sensitivity analysis showed that even when the outcome of reduced reliance on carers was removed entirely, the lowest cost scenario still generated $15.85 for every $1 invested.

03The savings from reduced paid carer hours alone in Year 1 ($46,621) were estimated to exceed the initial installation cost of the most expensive scenario ($45,678.01).

STILL TO COME

How it was doneWhat they foundWhat it means for OTs

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What it does not show

The sample size of consumers was very small (n=6), so the outcomes experienced may not represent the broader population of home automation users. The SROI ratios rely on financial proxies and expert opinion to value social outcomes like dignity and psychological safety, which involves subjective estimation. The scenarios did not include major home remodelling, which would significantly increase costs and potentially alter the return on investment. The calculation assumes a 10-year benefit period; if technology becomes obsolete or user needs change sooner, the projected value decreases. The highest value component was the estimated reduction in paid carer hours, which varies greatly between individuals based on their specific impairment and support needs.

Declared interests

No conflict of interest was declared by the authors.

The easy way to misread this

Do not interpret these SROI ratios as guaranteed financial returns for every patient. The figures are modelled estimates based on a small sample of six consumers and specific assumptions about carer hours and technology lifespan. The actual cost savings will vary significantly depending on the individual's level of disability, the specific home modifications required, and the local funding landscape.

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