Archive for the ‘Innovation’ Category

The delivery of U.S. healthcare services is going through a profound change. Yet this change is occurring in the background and not apparent to the general public. The driving force behind this change is payment reform to healthcare providers for medical services delivered. The underpinning of this change is the reduction of cost in the delivery of healthcare services to make it more affordable. The initial step of payment reform has been the reimbursement models of Bundled Payments and Accountable Care Organizations. These new forms of reimbursement are forcing healthcare providers (hospitals, physicians and other care delivery services) to re-examine and redefine the delivery of services and working relationships. The changes being initiated are positive and took something extreme like payment reform to push organizations to look at how healthcare is delivered and make changes in the manner business is done. The outgrowth of these changes will be positive for our society by …

Continue reading The Direction of the U.S. Healthcare Services »

At the Center for Health Transformation, we are working hard to create a 21st Century Intelligent Health System that can save lives and saves money for all Americans. However, it seems like every time we make a little progress, we must overcome a new challenge.

Take electronic prescribing and electronic medical records (EHRs).  Both rely on cutting-edge technology to provide better healthcare for patients.

We know that e-prescribing and EHR systems are safer and more cost effective than paper prescriptions and paper health records.  The state and federal governments are even creating incentives for doctors and hospitals to move away from traditional paper.

And, it is working. We are seeing more and more physicians making significant investments of time and resources as they embrace electronic systems.  According to Surescripts which provides the infrastructure for e-prescribing, by the end of this year, more than half of the prescriptions issued in our nation …

Continue reading Creating 21st Century Solutions in Healthcare »

Healthcare Reform is missing the mark to reduce a key driver of healthcare cost, chronic diseases. It does not contain a strategy or approach to control or reduce the costs associated with chronic diseases. A chronic disease is a medical condition that cannot be cured and usually lasts a lifetime. An example of a chronic disease is Diabetes. The CDC estimates that seventy five percent of U.S. healthcare costs can be attributed to chronic diseases and is responsible for seven out of ten deaths. There is also the associated cost of disability with chronic diseases that takes productive people out of the workforce. When this occurs, a financial burden is placed on their family and subsequently the U.S. healthcare system.

Healthcare reform under the stewardship of the current administration and Centers for Medicaid and Medicare Administration (CMS), are testing various healthcare delivery models and forms of payment such as an Accountable Care Organization (ACO) and Bundled …

Continue reading Healthcare Reform is missing the mark to reduce a key driver of healthcare costs »

The challenge of reducing healthcare costs in the U.S. is analogous to our country trying to be energy independent. Both are complex, achievable, will take time to solve and require a combination of solutions. Until we discover technological breakthroughs that cost effectively meets the market demand, challenges can be overcome with existing resources.

A foundational component to reducing the cost of healthcare is a reimbursement model for hospitals and physicians called “Bundled Payments”. This form of reimbursement addresses one of the underlying reasons for the escalating expense of healthcare. This is the misalignment of how hospitals and physicians are compensated. For example, hospitals are paid a set fee by Medicare for patients with a specific diagnosis. So regardless of how long a patient is in a hospital or the number of medical tests performed, the hospital is not compensated any more than the specified amount. Therefore, hospitals are incentivized to deliver …

Continue reading A Foundational Component to Reducing Healthcare Costs – Bundled Payments »

Whether the “Patient Protection and Affordable Care Act” (a.k.a. Obamacare) is upheld or repealed, the undercurrent of change is underway. Not the type of change where government mandated healthcare insurance is overseen by a new regime of government bureaucrats and the tax payers ultimately pay the bill. I am referring to a positive change that is the reengineering of healthcare delivery. If you are thinking this is code for the rationing of healthcare, you’re wrong. It is a fundamental change in the thinking of how healthcare delivery can be improved while reducing costs and making it more affordable. Like any business, decisions are made based upon how we are compensated. As any company wants to drive a business in a strategic direction, they need to align the goals and compensation across an organization. Revision in compensation for healthcare services is one of the catalyst’s that is creating this alignment in rethinking the delivery of …

Continue reading Change is underway and there are positive signs »

Today, with the rise of social media, mobile devices, digital-wireless connectivity, as well as other emerging technologies, our culture is changing more than ever before. And consumers are changing right along with it. Look no further than the emerging trend of the “self-service consumer.”

Increasingly, consumers are developing a do-it-myself mantra: trading stocks online, self  check-out at the grocery store, self check-in at airports and ATM banking, to name a few.  And understanding how to communicate and engage with this self-service consumer is crucial for the healthcare and wellness industry.

This emerging empowered self-service consumer is also transforming the healthcare industry, as consumers utilize self-service technology to expand their healthcare access, knowledge and empower them to put healthcare in their own hands.

The industry needs to take note of this trend. It’s not a fad; it’s here to stay. The current healthcare environment—culturally, …

Continue reading Reaching Today’s Do-it-Yourself Consumer »