Archive for April, 2010

Patients First: Putting the Consumer at the Center of Healthcare Delivery

Wednesday, April 28th, 2010

(r)evolution collaborates with clients to develop business solutions that enhance their existing business models. In addition, we create white space offerings that support new revenue growth models.  Often clients come to us in search of the next Swiffer, but they fail to realize that it is often the less exciting things (process, culture, leadership, organizational structure) that enable transformational change and breakthrough ideas.  Over the next few months, we will highlight case studies of innovative companies that have addressed such issues to transform their businesses.

For an industry that touches every consumer, healthcare is rarely described as consumer-centric.  Drug manufacturers traditionally view healthcare providers and insurance companies as their primary customers, not patients.  Hospitals are typically organized around the needs of nurses and doctors, rather than the needs of the patient.  This lack of attention to the consumer often transforms interactions with the healthcare industry into dreaded experiences.

One particular medical center has made it a mission to transform the patient experience, making it both more enjoyable and affordable.  The Cleveland Clinic has created a patient-centric culture that allows it to fully integrate patient needs into its various processes.  In 2007, Cleveland Clinic treated patients from all 50 states and 90 countries at a lower cost than many other hospitals. In fact, the Dartmouth Atlas of Health Care found that chronically ill patients cost Medicare only $55,000 when treated at the Cleveland Clinic, tens of thousands of dollars less than at many other top-ranked academic medical centers. Here are some of the initiatives that have helped Cleveland Clinic offer great care at such a low cost:

Redefining success metrics. Cleveland Clinic realized that patients care less about what constitutes a treatment and more about the outcome of that treatment. To that end, in 2000 the Clinic became the first hospital in the U.S. to publish its outcome measures, and by 2007, it had published outcomes for every department compared against the best available benchmarks. The Clinic also does informal surveys of post-op patients, realizing that the voice of the patient should not be lost just because he or she has left the hospital. All this data is then used to improve outcomes and lower costs for procedures—something valued by both patients and payors.

Restructuring Departments into Institutes. Hospitals are generally structured around the needs of doctors and nurses. This model often inconveniences patients, who have to go to multiple locations and see multiple specialists for one ailment. In 2007, Cleveland Clinic realized that if it structured its departments more broadly around diseases instead, it could improve patient outcomes while lowering costs—the nirvana of healthcare delivery. For instance, their Neurological Institute brings together 150 doctors of various specialties, from neurosurgery to psychiatry, as well as any therapists and equipment that patients might need. This reduces runaround time for patients, as well as allows doctors and surgeons to work together more collaboratively—limiting unnecessary procedures and tests.

Aligning the Patient Perspective throughout the Organization. The “Patients first!” message starts with Dr. Cosgrove, the CEO of Cleveland Clinic. It then moves throughout the organization, helped by a fully integrated Electronic Medical Record system. This system makes it easy to identify potential research recruits, flag patients at risk for hard-to-detect illnesses, among other benefits. Cleveland Clinic also surveys outpatients and creates advisory councils made up of patients and family members. The patient satisfaction ratings from this research are an important part of performance reviews for doctors, who are incentivized by a purely salary-based system. The “Patients First” message is even delivered by housekeepers, who carry business cards and introduce themselves to patients at the beginning and end of every shift.

Article written by Erica Connelly and Jeff LaFlam
Image source: noraohio

Investing to go from from B2B to B2B2C: Is it worth it?

Tuesday, April 6th, 2010

Hello readers. We’re working on a white paper on the importance of B2C marketing for some B2B companies, and we’d love your input! If you’d like to contribute, post your perspective on the following question as a comment. Thanks!

Question: Under what circumstances should a B2B company invest in consumer marketing and what are the benefits?