Posted by: Build Business Value | June 15, 2009

The Dream of Cost Reduction / Service Improvement in Healthcare!

I’ve been working with health service providers for over 10 years – trying to bring a holistic approach to the need for cost reduction / service improvement.

I’ve worked in and / or visited acute hospitals in over 20 (mostly 1st world) countries in the course of this activity.

Almost eight years ago I wrote a paper (http://www.ithacabusiness.biz/web/images/downloads/how%20to%20really%20save%20$235%20million%20a%20year.pdf) identifying the changes needed – which, if not addressed holistically…(people, politics, technology,   structure etc.)…in my view will not work in a robust and sustainable manner. Definitely technology is a tool, not the answer – and past experience shows that, if technology is tackled in isolation, it will not work.

Part of that paper also identified the ‘blockers’ to real, sustainable, effective change actually happening – and, as far as I can see, these have not changed, a few of the key ones:

  • vested interest in maintaining the status quo (from those in a position of power)
  • short-termism by politicians (measuring the wrong things, therefore creating the wrong behaviours)
  • change exhaustion (health care workers)

The bottom line for me is that only long-term projects, addressing things from a people and process perspective first – led by the boss, championed by people at every level and engaging change experts who – as a result of matching technology to process – can make it happen together will have any chance of success.

Bleak, but – from everything I’ve seen – true.

Do you agree?

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