Objectives. We designed and implemented a broad-based program to decre
ase costs while maintaining quality of care in patients undergoing rad
ical retropubic prostatectomy. Methods. This program initially involve
d identification of factors that contribute to patient costs after rad
ical prostatectomy and elimination or control of items that were deeme
d unnecessary. Patient care was standardized with a collaborative care
pathway coordinated by a clinical nurse specialist and that served as
a goal for each case. Results. Length of total hospital stay was redu
ced from a mean of 5.7 days to 5.6 days after full implementation of t
he program (p < 0.0001). A reduction in operating room time, material
utilization, antibiotic use, routine laboratory studies, and refinemen
ts in postoperative pain management contributed significantly to cost
savings. Overall, the average adjusted total hospital charges were red
uced from $13,785 to $7741 (p < 0.0001) by the implementation of this
program, with no discernible adverse effect on morbidity rates. Conclu
sions. Careful analysis of the critical components of medical care and
implementation of a standardized pathway with emphasis on a collabora
tive approach can substantially increase the cost efficiency of medica
l care.