This document discusses moving from a patient experience management model focused on internal systems and transactions to a patient equity management model focused on emotional value and relationships from the patient's perspective. It argues that hospitals should view themselves not just as healthcare providers but also in the business of "decommodifying" to differentiate their brand. Rather than using technology primarily for efficiency, hospitals should use it and other initiatives to actively grow, retain and service their patient base in order to increase lifetime patient value and profitability. The focus should shift from the enterprise to individual patients and their connections to create a more personalized experience across any access channel.

1. Got patients?
Pale Rhino Consulting

2. 1
It’s called VRM, Vendor
Relationship Management

3. 2
“Retention is for wimps. We measure the percentage of
patients who have our name tattooed on their body.”
(Harley Davidson Annual Report)
“80% of CEOs believe their brand provides a superior patient
experience…8 % of their customers agree“
(Bain & Company)

4. 3
Seeing Patients–A Matter of
Perspective
Is your hospital looking from the inside-out or from the
outside-in?

5. 4
Are your patients coming or going?

6. 5
Does Your Hospital Stand Out?
“We sell healthcare” (HINT: So does everyone else)
“We’re in pharmaceuticals”
“We offer professional services”
“We manufacture dry goods”
“You are not just in the healthcare business. You are also in the
decommodification business.”

7. 6It’s time to color outside the box
COLOR

8. 7
It’s time to break a few coconuts

9. 8
Patient
Experience:
Logical Left
Brain
•Patient’s
Value to
Enterprise
•Systems and
Transactions
•Functional
Value
Patient Equity:
Emotional Right
Brain
•Enterprise’s
Value to
Patient
•People and
Interactions
•Emotional Value

10. 9
Patient Experience Management is
an “inside-out” view
Standard Patient Experience Management involves
heavy applications of technology:
 Patient Experience Management applications
 Enhanced IVR and ACD applications
 Outsourcing call center operations
 Off-shoring
 Sales force automation

11. 10
Patient Experience Management is
technology employed for user
convenience…

12. 11
Patient Experience Management is
a shotgun approach

13. 12
Patient Experience
Management is Multiple
channels…patients in a
box.
STORE
(FACE TO
FACE)
WEB
(COMPUTER
TO
COMPUTER)
PHONE
(PHONE
TO
PHONE)

14. 13
Is there a Better Way?

15. 14
Fixing Patient Experience
Management
Patient Management should focus on value creation, not cost
reduction, on effectiveness, not efficiency. Patient Equity
Management should have revenue targets.
Value creation through Patient Equity Management initiatives
comes from:
 Growing the patient base
 Maintaining the patient base – retention, cross-sell & up-sell
 Servicing patient segments
 Maximizing channel effectiveness

16. 15
Change of Focus
The focus is changing from enterprise to single patient, from technology
to process, to…
 Patient Acquisition (number of new "quality" patients)
 Patient Retention (percent of existing patient retained)
 Patient Satisfaction (question results from survey and/or focus groups)
 Patient Segmentation (percent of profit by patient demographics)
 Patient Profitability (average profit per patient/per household)
 Patient Servicing (average response time for patient complaint/inquiry
resolution, first call resolution)
 Patient Referrals (Net)

17. How are your patients connected
to each other? To you?

18. 17
Patients have many access
channel choices

19. 18
Patients Solicit
Bids
I want to notify the whole market that I want to buy a SONY plasma TV. In
effect, I want to issue a personal RFP that goes out to every retailer of SONY
plasma TVs.

20. 19
The patient is channel agnostic, and how the patient
is cared for must be infrastructure agnostic.
Patient Equity Management is the New Marketing

21. 20
To decommodify, become the
patient…
…Reengineer

22. 21
From what to what?

23. 22
Patient Management Evolution
 Patient Experience Management evolves to Patient Equity
Management
 Patient Experience = Hospital Performance – Patient
Expectations
 The value add is transforming Patient Experience to Patient
Equity Management – the total lifetime discounted value of
all the hospital’s patients.

24. 23
Patient’s value to the hospital vs.
the Hospital’s value to the
patient—who is winning?

25. 24
How many of patient interactions
are you actually managing?

26. 25
Managing patients is like herding
cats…not much bang for your buck.
(of course I’ve heard of cats)

27. 26
While you manage patients, they
are managing you
It’s not a fair fight…