Healthcare / Healthcare Management / Health Administration & Policy N Healthcare at A Abrams and Numerof paint a picture of how healthcare could look in an ideal future, and u offer to manufacturers, payers, and providers a way to get there. … The book will stimulate b m r the thinking of industry across functions, and should be read not only by management but by a e R&D, strategic planning, and sales. m r —David L. Horwitz, MD, PhD, FACP, Chief Medical Officer, Johnson & Johnson o a Turning Point s Diabetes Institute f … a thorough analysis of the implications of market and non-market forces on all players in the health industry … . —Elena McFann, VP Network Strategy and Implementation, UnitedHealthcare® H A Roadmap for Change ... a must-read for all sides of the healthcare reform debate. e —Marc Boutin, Executive Vice President & Chief Operating Officer, National Health Council a Numerof and Abrams have crafted a thoughtful, and often provocative, analysis of the l challenges and opportunities facing the healthcare industry today. t —Paul Howard, Director and Senior Fellow, Center for Medical Progress, h Manhattan Institute for Policy Research c a The authors bring a calm, dispassionate tone to the dialogue, underscoring the unsettling nature of transition and offering reasonable strategies that override politics. r —Ellen Sherberg, Publisher, St. Louis Business Journal e …this book describes a way forward for those inside and outside the healthcare system. a —Jeff Thompson, MD, Chief Executive Officer, Gundersen Lutheran Health System t If the furious debate around the current state of healthcare in the United States has led to any a consensus, it’s that the system should deliver better quality for less cost than it does. Using straightforward language, Healthcare at a Turning Point: A Roadmap for Change outlines T a new market-based business model that aligns industry financing mechanisms with the goals u of prevention, improved quality, and reduced costs. Drawing on more than 25 years of cross- industry consulting experience, the authors: r n • Articulate a market-based vision of the industry • Examine past efforts to reduce costs, their failures, and their unanticipated consequences i • Spotlight perverse incentives that distort the way the healthcare system operates and make n it less than it could be • Present concrete recommendations for change within the healthcare delivery, insurance, g pharmaceutical, device, and diagnostics sectors • Explain the changes that employers, consumers, and policy makers can make to create P Rita E. Numerof, PhD a more customer-responsive system that delivers more value o For all the uncertainty in the current environment, there is also a rare opportunity to fundamentally i Michael N. Abrams, MA redefine who wins in this market. Healthcare at a Turning Point provides guidance to executives n ready for that contest along with a roadmap for effective and lasting change. t Foreword by David B. Nash, MD, MBA K15942 ISBN: 978-1-4665-6152-6 90000 www.crcpress.com 9 781466 561526 www.productivitypress.com K15942 cvr mech.indd 1 7/18/12 10:51 AM Healthcare at a Turning Point A Roadmap for Change Endorsements Everyone agrees that the American healthcare system needs to change, but there is little agreement about how it should change. Abrams and Numerof paint a picture of how healthcare could look in an ideal future, and show manufacturers, payers, and providers a way to get there. Examining the healthcare system today, changes already taking place in attitudes toward innovation and medical education...they demonstrate how the key players in healthcare must change their thinking to survive. ...The main, and certainly provocative, message: If we move to a value-based system built on patient choice, rather than a cost-based system that assumes one size fits all, the consumer of healthcare is the ultimate beneficiary. The book will stimulate the thinking of industry across functions, and should be read not only by management but by R&D, strategic planning, and sales. Sections on the need to form partnerships and alliances can change the way industry, payers, and providers think about each other. By examin- ing the four forces they see as dominating our healthcare environment today, namely, changes in the regulatory environment, a changing competitive land- scape, shifting technology, and changing market expectations, Abrams and Numerof have indeed provided an insightful guide to how industry needs to change its strategic thinking. David L. Horwitz, MD, PhD, FACP Chief Medical Officer Johnson & Johnson Diabetes Institute Here it is in Healthcare at a Turning Point: U.S. healthcare must restore control and accountability for intimate personal decisions to each of us as our own consumer. No one else can define our quality–value–price equa- tion, and discipline our providers... Such is the economics, humanity, history and even politic of western innovation…it is time for a Renaissance of those principles, just as articulated here in Healthcare at a Turning Point. Steve Bonner President and Chief Executive Officer Cancer Treatment Centers of America® Numerof and Abrams have conducted a thorough analysis of the implications of market and non-market forces on all players in the health industry—car- riers, care providers, governments, consumers and employers. They have hit the nail on the head that it will take disruptive innovation and a collaborative approach across all these stakeholders to drive solutions to the fundamental problems of high cost and poor quality in healthcare. I appreciate that Numerof and Abrams focus in on three major prin- ciples: 1. Rethink the customer: It’s really the consumer, the end-user of healthcare services. The consumer needs to be at the center of the work that we are undertaking. It is imperative that we provide them transpar- ency of cost, quality, and value. 2. Watch out for nontraditional competi- tors: There are many other industries that have been historically very close to the consumer. The players in our industry are changing, and all of those who serve the consumer need to rapidly evolve ourselves in order to differentiate and succeed. 3. Segment care providers: We need to apply the discipline of market segmentation to our relationships with care pro- viders. That is, we cannot assume that a one-size-fits-all approach on pay- ing for value or outcome will succeed with each and every physician or hospital. Rather, we must segment our networks and identify which care providers are most likely to succeed in a partnership to reform payment in a particular way, work with them closely and then allow that success to breed other success in the marketplace. Elena McFann VP Network Strategy and Implementation UnitedHealthcare The authors present thought-provoking ideas for the “disruptive innova- tion” needed to uncover pragmatic solutions for our country’s healthcare delivery system. Though I don’t agree with all they have written, this sug- gested blueprint for market-based action is a must-read for all sides of the healthcare reform debate. Marc Boutin Executive Vice President & Chief Operating Officer National Health Council Numerof and Abrams have crafted a thoughtful, and often provocative, analysis of the challenges and opportunities facing the healthcare industry today. At its heart is a clarion call for the sector to become much more patient- and consumer-centric—before their existing business models become obsolete. Paul Howard Director and Senior Fellow Center for Medical Progress Manhattan Institute for Policy Research For every professional engaged in the financing and delivery of medical care, this book is essential. Like it or not, sparked by the renewed debate over the controversial Affordable Care Act, we find ourselves in the midst of a major transformation in the healthcare sector of the economy. The convergence of biomedical breakthroughs, new medical technologies, and new organizational structures is upon us. But the authors got it right: change will be frustrating, and energies will be diverted into unproductive channels, unless and until we change healthcare financing and put the patient in the center of the process as the key decision-maker. Robert E. Moffit, PhD Senior Fellow, Center for Policy Innovation The Heritage Foundation Have there ever been two not-so-little words that turned an industry upside down, virtually paralyzed the planning process and left providers and consumers alike adrift as much as “healthcare reform”? The authors bring a calm, dispassionate tone to the dialogue, underscoring the unset- tling nature of transition (a far more palatable word than change) and offer reasonable strategies that override politics. I found the emphasis on collaboration especially comforting and doable. Ellen Sherberg Publisher St. Louis Business Journal ...(I)t is important to have a clear bridge between the issues of today and the possibility of a much brighter future. Without glossing over serious issues…this book describes a way forward for those inside and outside the healthcare system. Jeff Thompson, MD Chief Executive Officer Gundersen Lutheran Health System Healthcare at a Turning Point A Roadmap for Change Rita E. Numerof, PhD Michael N. Abrams, MA Foreword by David B. Nash, MD, MBA CRC Press Taylor & Francis Group 6000 Broken Sound Parkway NW, Suite 300 Boca Raton, FL 33487-2742 © 2013 by Taylor & Francis Group, LLC CRC Press is an imprint of Taylor & Francis Group, an Informa business No claim to original U.S. Government works Version Date: 20120713 International Standard Book Number-13: 978-1-4665-6153-3 (eBook - PDF) This book contains information obtained from authentic and highly regarded sources. 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