incentivizing and aligning providers
                                                      wayne pan, md, mba
                                                       chief medical officer
                                  pacific partners management services, inc.




The RISE 2nd Annual Summit on Integrating Risk Adjustment and Quality Measures • Westlake Village, CA • July 23, 2012
...standing
     on the
 shoulders
   of giants
    Sir Isaac Newton
QUESTION
100%
ACHIEVING
WHY NOT?
PROBLEM
insanity:
 doing the
     same
thing over
 and over
       and
expecting
 different
    results
Let’s take a
step back...




               from: http://step-dad.blogspot.com/2010/04/step-back.html
humanbehavior
some
basics
human
nature
human
nature
lazy
human
nature
social
human
nature
creaturesofhabit
human      lazy
           social
nature     habit


notgood@
change
human    lazy
         social
nature   habit



socialnorms
human       lazy
            social
nature      habit



statusquo
human    lazy
         social
nature   habit



socialnorms
doctor
nature
doctor
nature
competitive
doctor
nature
independent
doctor
nature
curious
doctor      competitive


nature
            independent
            curious




formsilos
doctor   competitive


nature
         independent
         curious




notgood@
cooperation
doctor    competitive


nature
          independent
          curious




notgood@
collaboration
doctor    competitive


nature
          independent
          curious




curious
doctor   competitive


nature
         independent
         curious




competitive
doctor   competitive


nature
         independent
         curious




competence
doctor    competitive


nature
          independent
          curious




mastery
leverage
our nature
leverage
our nature
4 behavior
change
assumptions about
improving
quality and
affordability
assumptions about
improving
quality and
affordability
clinicians care about both
want to improve both
want feedback on both
michael
vanduren
mdmba



sutterhealth
PREFERRED

                                    NON-PREFERRED




          variation
         reduction

         Drug Utilization Pattern
Drug A
Drug B
Drug C
Drug D
prescribing preferred
drug increases
prescribing preferred
drug increases


      average drug
      cost drops
prescribing preferred
               drug increases


                     average drug
                     cost drops




savings over
    baseline
 accumulate
prescribing preferred
drug increases
prescribing preferred
drug increases

       average drug
       cost drops
prescribing preferred
              drug increases

                     average drug
                     cost drops




no adverse
  effect on
    quality
prescribing preferred
                        drug increases

                               average drug
                               cost drops




no adverse
  effect on
    quality
        savings begin
            to accrue
how did that
happen?
motivation1.0
motivation2.0
motivation3.0
MOTIVATION
Learning & Challenging        Incentives & Punishment
       intrinsic                      extrinsic
MOTIVATION
Learning & Challenging        Incentives & Punishment
       intrinsic                      extrinsic
V
Learning & Challenging   Incentives & Punishment
       intrinsic                 extrinsic
reframe
easy
easy
accessible
easy
accessible
design for failure
easy
accessible
design for failure
achievement
easy
accessible
design for failure
achievement
feedback
from: Jeanne Liedtka and Tim Ogilvie, Designing for Growth (2011)
it’s
more
than
just
data
it’s
also
about
whom
your

          DATA
serving
data to
savvy
consumers
not current
 error prone
  MPASTEE
no comparator
unadulterated
nonjudgemental
showme
theDATA
“put hot
triggers in
the path of
motivated
people”
BJ Fogg, PhD
Director, Persuasive Technology Lab
Stanford University
Are incentives aligned properly?
How can I increase their motivation?
Have I made it easy for people to act?
How can I make it even simpler?
Are people being triggered at the most
appropriate time and in their workflow (path)?
putting it all together: how does it work?
patient
patient

          front desk staff
patient

          analog to digital
           front desk staff
              converter
AMERICAN HEALTH PLAN
                                       112
                     MARY SMITH        1/1/2011
                      1234567890

                             $5.00
                            $10.00
                            $25.00




analog to digital
 analog to digital         eligibility check
   converter
    converter
Quality
Access Express
                                                            TM

                                                                 Management




    Click here to register
     for a password or
  request more information

Powered by Access ExpressQ-v5.0.#.0.1 Build 2011.04.04.00
ACCESSEXPRESS
                Q   New Eligibility Response   New Message (3)
ACCESSEXPRESS
                      Q          New Eligibility Response   New Message (3)




          AMERICAN HEALTH PLAN
ACCESSEXPRESS
                      Q             New Eligibility Response   New Message (3)




                                   TH
                                 PA
          AMERICAN HEALTH PLAN




                           E
             TH
       IN
ACCESSEXPRESS
                Q                       New Eligibility Response   New Message (3)




                      SMITH, MARY

                      8/15/1945
                                                            POP-UP
                      1234567890




          MAMMOGRAPHY, CRC, CARDIO CARE,
          BLUE SHIELD OF CA


             DIABETES CARE, HYPERTENSION,
          GLAUCOMA, MED MONITOR, FLU VAC,
          PNEUMO VAC, DEXA, OSTEOPOROSIS,
                            RHEUM, COPD
digital to analog converter module
x
        x
            x
            x
            x
            x
        x
        x


digital to analog converter module
ACCESSEXPRESS
                Q                       New Eligibility Response   New Message (3)




                      SMITH, MARY

                      8/15/1945

                      1234567890




          MAMMOGRAPHY, CRC, CARDIO CARE,
          BLUE SHIELD OF CA


             DIABETES CARE, HYPERTENSION,
          GLAUCOMA, MED MONITOR, FLU VAC,
          PNEUMO VAC, DEXA, OSTEOPOROSIS,
                            RHEUM, COPD
                                              CLICK HERE
AMREICAN HEALTH PLAN
AMREICAN HEALTH PLAN
AMREICAN HEALTH PLAN
ACCESSEXPRESS
                Q                       New Eligibility Response   New Message (3)




                                    ER
                      SMITH, MARY

                      8/15/1945




                                  G
                      1234567890




                     IG
          MAMMOGRAPHY, CRC, CARDIO CARE,
          BLUE SHIELD OF CA


             DIABETES CARE, HYPERTENSION,

               TR
          GLAUCOMA, MED MONITOR, FLU VAC,
          PNEUMO VAC, DEXA, OSTEOPOROSIS,
                            RHEUM, COPD
          T
        O
      H
ACCESSEXPRESS
                Q                       New Eligibility Response   New Message (3)




      ENABLING
                      SMITH, MARY

                      8/15/1945

                      1234567890




    FRONT OFFICE
          MAMMOGRAPHY, CRC, CARDIO CARE,
          BLUE SHIELD OF CA


             DIABETES CARE, HYPERTENSION,


        STAFF
          GLAUCOMA, MED MONITOR, FLU VAC,
          PNEUMO VAC, DEXA, OSTEOPOROSIS,
                            RHEUM, COPD
ACCESSEXPRESS
                       Q                    New Eligibility Response   New Message (3)




                              SMITH, MARY

                              8/15/1945




        SIMPLE
                              1234567890




       CARE PLAN
          MAMMOGRAPHY, CRC, CARDIO CARE,
          BLUE SHIELD OF CA


            DIABETES CARE, HYPERTENSION,
          GLAUCOMA, MED MONITOR, FLU VAC,
          PNEUMO VAC, DEXA, OSTEOPOROSIS,
                    RHEUM, COPD
ACCESSEXPRESS
                Q                       New Eligibility Response   New Message (3)




                      SMITH, MARY

                      8/15/1945

                      1234567890




          MAMMOGRAPHY, CRC, CARDIO CARE,
          BLUE SHIELD OF CA


             DIABETES CARE, HYPERTENSION,
          GLAUCOMA, MED MONITOR, FLU VAC,
          PNEUMO VAC, DEXA, OSTEOPOROSIS,
                            RHEUM, COPD
ACCESSEXPRESS
                Q   New Eligibility Response   New Message (3)
ACCESSEXPRESS
                Q   New Eligibility Response   New Message (3)
ACCESSEXPRESS
                Q       New Eligibility Response   New Message (3)




                    N
                    O
                  TI
                VA
           TI
         O
       M
ACCESSEXPRESS
                Q   New Eligibility Response   New Message (3)
ACCESSEXPRESS
                Q   New Eligibility Response   New Message (3)
ACCESSEXPRESS
                Q   New Eligibility Response   New Message (3)
Description of
measure
Capability for
physician office
entry
Capability for
physician office
entry




                   Y
                  IT
                  IL
            AB
ourresults@SCCIPA
commercialadmits/1000
80


                                               Milliman - Loosely-Managed
70

                                            Milliman - Moderately-Managed

60
                                                  Milliman - Well-Managed



50
                                                          SCCIPA


40




                                                                        11
                               10




                                                  1
                                        1
                         0




                                                              1
                 0
         0




                                               R1
                                     N1
                      L1




                                                           L1
              R1
      N1




                                                                      CT
                             CT
                     JU




                                                         JU
                                            AP
                                    JA
             AP
     JA




                                                                     O
                             O
commercialbeddays/1000
275
                                             Milliman ’11 Loosely-Managed
                                                Milliman - Loosely-Managed
250


225
                                             Milliman -’11 Moderately-Managed
                                             Milliman Moderately-Managed


200
                                                             SCCIPA
                                                            SCCIPA
175                                          Milliman ’11 Well-Managed
                                                    Milliman - Well-Managed


150




                                                                          11
                                10




                                                   1
                                         1
                          0




                                                               1
                  0
          0




                                                R1
                                      N1
                       L1




                                                            L1
               R1
       N1




                                                                        CT
                              CT
                      JU




                                                          JU
                                             AP
                                     JA
              AP
      JA




                                                                      O
                              O
commercialalos
4.5



4.0


       Milliman - Loosely-Managed
3.5

       Milliman - Moderately-Managed
                                                                     SCCIPA
3.0
       Milliman - Well-Managed



2.5




                                                                          11
                                           10




                                                            1
                                                    1
                                     0




                                                                    1
                      0
          0




                                                         R1
                                                 N1
                                  L1




                                                                 L1
                   R1
       N1




                                                                        CT
                                         CT
                                 JU




                                                                JU
                                                        AP
                                                JA
                 AP
      JA




                                                                        O
                                         O
medicareadmits/1000
400


       Milliman - Loosely-Managed
350


       Milliman - Moderately-Managed
300
                                                                    SCCIPA
       Milliman - Well-Managed
250



200




                                                                         11
                                          10




                                                           1
                                                   1
                                    0




                                                                   1
                     0
          0




                                                        R1
                                                N1
                                 L1




                                                                L1
                  R1
       N1




                                                                       CT
                                        CT
                             JU




                                                               JU
                                                       AP
                                               JA
                AP
      JA




                                                                       O
                                        O
medicarebeddays/1000
2,200

2,000      Milliman - Loosely-Managed


1,800

1,600
           Milliman - Moderately-Managed

1,400
                                                                       SCCIPA
1,200
           Milliman - Well-Managed
1,000




                                                                            11
                                             10




                                                              1
                                                      1
                                   0




                                                                      1
                      0
           0




                                                           R1
                                                   N1
                                L1




                                                                   L1
                   R1
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                                                                          CT
                                           CT
                              JU




                                                                  JU
                                                          AP
                                                  JA
                 AP
    JA




                                                                          O
                                           O
medicarealos
6.0



5.5
       Milliman - Loosely-Managed


5.0
       Milliman - Moderately-Managed


4.5                                                                 SCCIPA
       Milliman - Well-Managed

4.0




                                                                         11
                                          10




                                                           1
                                                   1
                                    0




                                                                   1
                     0
          0




                                                        R1
                                                N1
                                 L1




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                  R1
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                                                                       CT
                                        CT
                             JU




                                                               JU
                                                       AP
                                               JA
                AP
      JA




                                                                       O
                                        O
*

                                 *
                                 *
                                 *
                                 *




increase/same scores in 21 of 26 measures
an
essential
aspect of
creativity is
not being
afraid to
fail
- edwin land
failfast
no
When you improve a little bit
each day, eventually big things
occur. Don’t look for big, quick
improvement. Instead, seek
small improvement one day at a
time. That’s the only way it
happens - and when it happens,
it lasts.
                  John Wooden
iterate
a journey of a thousand miles,
      begins with a single step
                     - Lao-Tzu
don’t be
afraid to
take the
plunge
Thank you!
  wpan@ppmsi.com
  slideshare.net/bonedoc97




WWW.SNOOPY.COM

Incentivizing and aligning providers 23 jul12 final