Optimizing Skill Sets, Processes And Technology To Boost The Effectiveness Of Healthcare Delivery To Customers - ABF Pharmaceutical Conference Singapore
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Optimizing Skill Sets, Processes And Technology To Boost The Effectiveness Of Healthcare Delivery To Customers - ABF Pharmaceutical Conference Singapore - Presentation Transcript
- OPTIMIZING SKILL SETS, PROCESSES AND TECHNOLOGY TO BOOST THE EFFECTIVENESS OF HEALTHCARE DELIVERY TO CUSTOMERS Case studies, Concepts, and Debatable Ideas Kenny Ong CNI Holdings Berhad www.myCNI.com.my www.OOBEY.com
- Summary:
- L ong-term
- O bjectives
- S trategies
- E nablers
- R esources
- Summary: Today’s presentation 1. Solution Model 2. Strategy 3. Resources www.myCNI.com.my www.OOBEY.com
- Issues and Obstacles
- Increasing costs
- Staff
- ‘ Cover cost’ overbooking
- Public-sector burden
- Shortage of specialist Doctors
- Geriatrics (2%)
- Less time per patient
- Population Growth
- Disparity and Maldistribution
- Untested, risky new Technology
- Safety of patients
- Medical errors
- Hospital infections
- Medical fraud
- Malpractice
- IT: Privacy and Confidentiality
- Episodic Care -> On-going care
- Communicable Disease -> Non-communicable disease
- Rich and Poor segments
- Issues and Obstacles
- Unregulated private sector
- Variations in Quality and Performance
- Cultural and language barriers
- Access
- H/C workforce instability
- Black Market
- Fail to enforce Regulations
- Expensive insurance premiums
- Lack of coordination
- Poor customer service
- Short on personnel and medication
- Long waiting time
- Access to self-care resources
- Absence of clear admission/referral policies
- No standard protocols for different levels of H/C
- Over-focused on Profit
- Income Groups Expensive, cutting edge, private funds Government priority, high subsidy, rural stations, cheap No money for high-end, no access to low-end www.myCNI.com.my www.OOBEY.com Urban, Affluent Middle Class Poor, Rural
- Our Role? Healthcare Industry Customers, Patients Main Healthcare Providers Delivery Request Request Service Request Service www.myCNI.com.my www.OOBEY.com
- What is the Business Model? USP Market Discipline Profit Model www.myCNI.com.my www.OOBEY.com
- What is the Healthcare Model? USP Market Discipline Funding Model www.myCNI.com.my www.OOBEY.com
- Intro: Market Discipline
- Mamak stall
- Intro: Market Discipline
- "Exactly what I need"
- Customized products
- Personalized communications
- "They're very responsive"
- Preferential service and flexibility
- Recommends what I need
- "I'm very loyal to them"
- Helps us to be a success
- Intro: Disciplines Operational Excellence (low cost producer) Ref: The Discipline of Market Leaders , Michael Treacy & Fred Wiersema; 1995 Product Leadership (best product) Customer Intimacy (best total solution) www.myCNI.com.my www.OOBEY.com
- Summary: Today’s presentation 1. Solution Model 2. Strategy 3. Resources Done www.myCNI.com.my www.OOBEY.com
- Set the Strategies www.myCNI.com.my www.OOBEY.com
- What is the End Objective?
- “… in the past 18 months, we have heard that profit is more important than revenue, quality is more important that profit, people are more important than profit, customers are more important than our people, big customers are more important than small customers, and that growth is the key to our success. No wonder our performance is inconsistent"
- What is the End Objective?
- In the old days of HR…
- Average training hours per staff
- % of staff attending training
- # of training programs
- % of training programs conducted
- Training needs analysis conducted
- Competency models developed
- Training budget as % of payroll
- What is the End Objective?
- Moral of the story…
- Innovation:
- Business models
- Products
- Services
- Market Leadership
- Competitive differentiation
- “ What is the moral of the story?”
- What then are the End Objectives?
- Level of Population Health
- Health Inequalities
- Level of Health System Responsiveness (patient satisfaction)
- Distribution of Responsiveness within the population (segment satisfaction)
- Distribution of health system’s financial burden within the population (who pays)
- Expectations and Objectives
- ↓ cost
- ↑ access
- ↑ Quality
- ↓ Variations in performance
- ↑ Utilization of resources
- ↓ Disparity ↑ Equity
- ↑ Prevention
- ↓ Overcrowding in urban
- ↑ Profiting from High-end
- ↑ FDI to ↑ H/C System
- ↑ Meet segment needs
- ↑ Workforce Management
- Some broad Solutions and Strategies…
- Patient-centered care
- Inpatient -> Outpatient
- High-end care
- Rural care
- Public-Private sector collaboration
- Preventive Healthcare
- Government subsidy -> Private sector funding
- Disruptive Innovation (“Just Good Enough”)
- Side Note: Disruptive Innovation Performance Time *The Innovator’s Solution, Clayton M. Christensen www.myCNI.com.my www.OOBEY.com Performance that customers can absorb or utilize Performance of present technology driven by sustaining technological improvements New Performance trajectory
- Side Note: Disruptive Innovation
- begin in unattractive or overlooked markets
- high-quality, affordable alternatives
- more convenient
- less centralized locations
- increasingly lower prices
- for less complicated cases
- less specialized training to deliver
- Also known as ‘Downwards Innovation’
- Side Note: Disruptive Innovation
- Examples of Disruptive Innovation in serving the “Under-served” markets:
- Angioplasty
- LASIK
- Home Pregnancy Kit
- MinuteClinic - diagnoses < 20 conditions
- Sonosite – portable ultrasound machine
- Quantum Dot – self diagnosis of complicated conditions such as prostate cancer
- Side Note: Disruptive Innovation Ability to Diagnose and Treat *Will Disruptive Innovations Transform Healthcare, 19 August 2001, John W. Kenagy, MD www.myCNI.com.my www.OOBEY.com General Hospital Inpatient Specialty Hospital Inpatient MD Outpatient Non MD Outpatient Alternative Care
- Healthcare Objectives Main Healthcare BSC www.myCNI.com.my www.OOBEY.com Strategy Customer Who do we define as our customer? How do we create value for our customer? How do we enable ourselves to grow and change, meeting ongoing customer needs Employee Learning and Growth Internal Process To satisfy customers while meeting budgetary constraints, at what business processes must we excel? Financial How do we add value for customers while controlling costs?
- Healthcare Industry BSC Financial “ To satisfy our stakeholders, what Financial objectives must we accomplish?” www.myCNI.com.my www.OOBEY.com Internal Process “ To satisfy our customers, in which internal business processes must we excel?" Customer “ Who are our target customers? What is our value proposition?” Learning & Growth “ What capabilities and tools do our employees require to help them execute our strategy?
- Linking BSC to Strategy Revenue Growth Base Retention Share Gain Positioning Adjacent Market New Business Operational Excellence Product Leadership Customer Intimacy Competencies Information Systems Motivation, empowerment, alignment Financial Learning & Growth Internal Process Customers Investment Strategy Productivity Market Value www.myCNI.com.my www.OOBEY.com
- Segmentation vs. Solution Model Operational Excellence (low cost producer) Ref: The Discipline of Market Leaders , Michael Treacy & Fred Wiersema; 1995 Product Leadership (best product) Customer Intimacy (best total solution) www.myCNI.com.my www.OOBEY.com
- The McPlaybook*
- Make it easy to eat
- 50% drive-thru
- Meals held in one hand
- Make it easy to prepare
- High Turnover
- Tasks simple to learn & repeat
- Make it quick
- “ Fast Food”
- Tests new products for Cooking Times
- Make what customers want
- Prowls market for new products
- Monitored field tests
- Product Leadership
- New, state of the art products or services
- Risk takers
- Meet volatile customer needs
- Fast concept-to- counter
- Never satisfied - obsolete own and competitors' products
- Learning organization
- Operational Excellence
- Competitive price
- Error free, reliable
- Fast (on demand)
- Simple
- Responsive
- Consistent information for all
- Transactional
- 'Once and Done'
- Customer Intimacy
- Management by Fact
- Easy to do business with
- Have it your way (customization)
- Market segments of one
- Proactive, flexible
- Relationship and consultative selling
- Cross selling
- Strategy: Value Disciplines Operational Excellence (low cost producer) Ref: The Discipline of Market Leaders , Michael Treacy & Fred Wiersema; 1995 Product Leadership (best product) Customer Intimacy (best total solution) www.myCNI.com.my www.OOBEY.com
- Strategy: Value Disciplines Operational Excellence (low cost producer) Ref: The Discipline of Market Leaders , Michael Treacy & Fred Wiersema; 1995 Product Leadership (best product) Customer Intimacy (best total solution) www.myCNI.com.my www.OOBEY.com
- Sample KPIs for Each Discipline
- Operational Excellence
- Price
- Selection
- Convenience
- Zero Defects
- Growth
- Customer Intimacy
- Customer Knowledge
- Solutions Offered
- Penetration
- Customer Data
- Customer-success focus
- Product Leadership
- Marketing
- Functionality
- # of Successes
- # of Failures
- Learn from key users
- Interdisciplinary teams
- Pipeline
- Summary: Today’s presentation 1. Business Model 2. Strategy 3. Resources Done Done www.myCNI.com.my www.OOBEY.com
- Optimizing Resources to Meet Strategy www.myCNI.com.my www.OOBEY.com
- Alignment: 4-Wheels Service Model Principles Model Strategy www.myCNI.com.my www.OOBEY.com Structure Resources Leadership Person
- Alignment: Framework
- Equity
- Protection of the Poor
- Cost-effectiveness
- Efficiency
- Alignment: Framework
- Org Structure
- Job Design
- C&B
- Policies & procedures
- Decision making
- Job fit
- Management Systems
- BSC and KPIs
- Decentralized & Empower
- Alignement: Framework
- Role modeling
- Vision/Mission/Philosophy
- Leadership Style
- Delegation & Empowerment
- C&B, Promotions
- Sense of Urgency
- Customer focused
- Best practices
- Bottom line management
- Tradeoff between Cost vs. Value
- Great Social Transformations happen when:
- Public Awareness and Engagement
- Political Leaders followed rather than led
- Scientists, Engineers, Religious Leaders, Young People who led the way
- Alignment: Framework
- Identification and Recruitment
- Incentives
- Training
- Values
- Motivation
- Competency Analysis
- Education/Curriculum
- Alignment: Framework
- Enablers
- Technology
- Equipment
- Materials
- Intellectual Property
- Partners
- Property
- Funding
- Public
- Private
- Product Leadership
- Each Discipline Requires Different Priorities & Resources
- Operational Excellence
- Central authority, low level of empowerment
- High skills at the core of the organization
- Disciplined Teamwork
- Process, product- driven
- Conformance, 'one size fits all' mindset
- Integrated, low cost transaction systems
- The system is the process
- Command and control
- Quality management
- Product Leadership
- Ad hoc, organic and cellular
- High skills abound in loose-knit structures
- Concept, future-driven
- Experimentation and 'out of the box' mindset
- Person-to-person communications systems
- Technologies enabling cooperation
- Rewarding individuals' innovative capacity
- Risk and exposure management
- Product Life Cycle profitability
- Each Discipline Requires Different Priorities & Resources Organization, jobs, skills Management systems Information and systems Culture, values, norms
- Customer Intimacy
- Empowerment close to point of customer contact
- High skills in the field and front-line
- Customer-driven
- Variation and 'have it your way' mindset
- Strong customer databases, linking internal and external information
- Strong analytical tools
- Customer equity measures like life time value
- Satisfaction and share management
- Focus on ‘Share of Wallet’
- Alignment: Framework Principles Model Strategy www.myCNI.com.my www.OOBEY.com Structure Resources Leadership Person
- Example: Inpatient -> Outpatient for Rural Ethnic H/C Workforce ↑ Nurses and para-medical staff Increased competence Continuing education for staff Clear referral policies Reward for performance vs. input Expand specialist services in periphery Government funds Clarity of roles Ensure protection and value for money Regulate Basic facilities in all areas Technology: robust and withstand electrical fluctuations Routine maintenance, replacement, renewal Expand insurance coverage In-store clinics www.myCNI.com.my www.OOBEY.com
- Example: Patient-centered Healthcare to ↓ Costs Quality of Patient decision making Education to change mind-set Skills to make decisions Training patients with chronic diseases Reward providers who push patients Measures to focus on patient competency Definition of roles Tools to make decisions System to capture patient experiences and consequences www.myCNI.com.my www.OOBEY.com
- Different types of Patients Self Reliant Need Help Seek Change Seek Stability Searchers Collaborators Streamliners Delegators www.myCNI.com.my www.OOBEY.com
- End Notes www.myCNI.com.my www.OOBEY.com
- Activity Grid to optimize resources www.myCNI.com.my www.OOBEY.com Eliminate (-) What are features/ activities/services to eliminate? Reduce (↓) What are features/ activities/services to reduce? Create (+) What are features/ activities/services to introduce? Increase ( ↑) What are features/ activities/services to increase?
- What’s Next?
- Areas in urgent need of research:
- Health System Delivery
- Health Promotion
- Non-communicable Diseases
- Nutrition
- T/CM
- Health Economics
- Solution to ‘Global’ problems
- All it takes are:
- A Clear Objective
- An Effective Technology
- A Clear Implementation Strategy
- A Source of Financing
- Example: Eradication of Small Pox
- “ There is no shortage of examples of how we can attain our goals, only a shortage of will and stamina…”
- Thank You. soft copy of slides: www.totallyunrelatedrandomanddebatable.blogspot.com
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