Organizations in both the public and private sectors are confronting the operational implications of healthcare reform fueled by mandates and continually rising health costs as executives across industries analyze their options. Many are realizing that their most significant opportunities for taking control of healthcare management challenges lie within their own business processes and IT environments and may require them to transform the way they do business.
This white paper discusses the US health plans’ immediate need to respond to reform, transition their business model from wholesale to retail, and bend the medical expense cost curve. With more health plan leaders increasingly taking cues from other industries with more experience in advanced analytics, plans are beginning to fully understand the need to engage and connect consumers and physicians, align incentives to members and providers, implement and evaluate new delivery models, and develop customizable analytics that are based on a common data platform.
Health insurance brokers traditionally have played the role of linking business customers with insurers, leveraging their resources to find the most cost-effective solutions for those businesses and their employees. The centerpiece of that strategy has been healthcare cost control, either by steering employers toward less expensive plans, cutting benefits, or by increasing employee contributions. However, as steam picks up behind the concept of Healthcare Performance Management (HPM), the competitive imperatives in the broker industry will change dramatically.
The credit crisis has raised serious doubts about banks’ ability to effectively manage risk. Bankers now face arduous challenges as they attempt to restore the confidence of regulators, analysts, shareholders and customers. To the extent that senior managers have focused more heavily on governance, risk and compliance over the last fi ve years, they may be tempted to despair about the possibility of anticipating potentially devastating risk exposures. Equally importantly, banks that have a more real-time view of their enterprise risk picture will be better prepared to competitively match their risk appetite to the opportunities of the marketplace.
In an ever changing healthcare landscape, U.S. companies, which bear a majority of employee health care insurance premiums, have been taking measures to control expenditures. Many companies have decided to increase employees' share of costs, but have failed to meet the broader need of improved health care. This white paper looks at the addition of reward-driven wellness programs to help decrease absenteesim, increase overall health of workers and reduce high-risk cases. Collectively, these outcomes have led to a reduction in company health plan expenditures.
In this report, we examine how Healthcare Performance Management (HPM), combined with self-insurance, can empower organizations not only to better manage their governance, risk and compliance exposures, but also to deliver bottom-line business value to a company. By applying the right people, processes and technology to those three focus areas, HPM can empower companies to execute a powerful business strategy that can reduce healthcare costs while also improving employees’ health outcomes.
Active management of healthcare delivery and healthcare cost control has not typically been seen as an integral part of the mission for human resource (HR) departments. But changing times — and skyrocketing costs — have pushed Healthcare Performance Management (HPM) center stage for companies that want to boost productivity, while investing benefit dollars in better health outcomes for their employees. The key for organizations seeking to stay ahead of the curve may well lie in changing the game. Rather than simply paying out rising medical and pharmacy claims, employers increasingly are addressing health benefits challenges in a more holistic manner by investing in a more comprehensive strategy for employee health.
To better understand how organizations are applying analytics today, prioritizing their future investments, and transforming insights into action, MIT Sloan Management Review in collaboration with the IBM Institute for Business Value, surveyed a global sample of nearly 3,000 executive managers and analysts. Based on an analysis of survey results, combined with interviews with academic and subject matter experts, this study offers recommendations on how organizations can bolster their analytics capabilities to achieve long-term advantage.
Soaring healthcare costs combined with the economic downturn pose a significant challenge for employer-sponsored health plans that cover medical costs for 61 percent of the US population. This report provides an overview of the data and tools needed by employers to interpret relevant plan data, find the problems and determine solutions. It also addresses the basic obstacles and “hidden” barriers to employer healthcare control and the opportunities to overcome these barriers with collaboration between employers and gatekeepers for improved health plan performance.
One key area of innovation in the healthcare arena is the advent of social media, which is fast becoming a tool for connecting healthcare consumers and providers. Such online collaborations are at the core of Health 2.0 strategies and are radically transforming the way patients, providers and researchers approach healthcare in everything from wellness programs to chronic disease management. In this report, we will examine how social media and other Health 2.0 initiatives are transforming the healthcare marketplace and how organizations can leverage the power of HPM technology to connect plan sponsors, members and the provider community in a cost-efficient interactive healthcare system that promotes better health for employees.
Comparative effectiveness research (CER) holds great promise for improving the quality of health care and patient outcomes. The CER symposium hosted by The Lewin Group’s Center for Comparative Effectiveness Research on June 15, 2010, extended beyond a discussion of the challenges associated with CER implementation, engaging experts in a dialogue about real solutions to these challenges, in particular with regard to data sources and analytical methods and tools. Experts from a variety of fields probed pertinent clinical, methodological and social issues and shared progress and new ideas for continuing to advance the resources for and state of the art of CER.
Rising healthcare costs present a core business challenge. Many organizations have successfully addressed key healthcare challenges by investing in an employee health strategy. While individuals have the greatest control over their own health, employers have a vested interest in promoting good health and a unique capability to do so by providing a healthy environment and by offering powerful incentives and disincentives through workplace benefits and compensation programs. This "roadmap" details the processes required to acheieve a healthier workforce.
The grandfather clause is a provision in the Patient Protection and Affordable Care Act that seeks to keep a key promise made to citizens by the Obama administration: “If you like your healthcare plan, you can keep your healthcare plan.” In this report, we examine the grandfather clause, the new HHS rules that will govern its implementation and the likely impact on employer health plans, as well as whether or not the benefit of retaining grandfather status outweighs making certain plan design changes and how HPM technology can help them operate more cost-effectively.
With health plan profitability down, employers are seeking ways to control costs. This paper explores how predicitive modeling can be applied to help control health care plan costs through disease management, care management and wellness programs. Using predictive analytics can help companies gain insights about its customers, help engage in activities that have high return potential, and continuously improve a plan’s market performance by learning, improving, and optimizing resources and investments.
Over the last two decades, the Towers Perrin Health Care Cost Survey has identified key trends in health care — examining cost drivers, enrollment patterns, plan design, population health, prescription drugs, retiree medical and other topics on an annual basis. During this period, health care has changed dramatically, in ways that have challenged the industry to evolve and innovate. This paper highlights the importance of the challenges we face and the value of the opportunities employers and employees can choose to embrace today and in the years ahead.
To better understand how HPM works, experts at the HPM Institute explore the four pillars of HPM, which call on executives to effectively measure the key cost elements of healthcare spending, manage key aspects of healthcare spending and important health outcomes, engage employees and family members in material health improvement initiatives and save money through cost-avoidance, better workforce health and improved productivity.
This white paper reviews the many hurdles faced by healthcare providers and healthcare payers in a down economy and explains how performance management solutions—such as those from IBM— can provide the kind of deep information and insight that decision-makers need to lead their organizations through critical challenges.
Escalating medical costs continue to burden employers and employees alike as health benefit plan prices rise at dramatic rates year over year. The ability of health plan managers to mitigate risk, reduce cost and improve healthcare outcomes for those covered by plans is dependent on access to accurate and timely information about key trends in targeted populations. In this report we examine the role played by the effective analysis of aggregate prescription drug (Rx) claims data.
In this report, we explore a new corporate discipline called healthcare performance management (HPM) – a technology-enabled business strategy that tackles the challenge of health care in much the same way that enterprises have approached the optimization of customer relations, supply chain management and enterprise resource management. HPM applies proven business and management principles to company-provided healthcare benefits by giving C-level executives visibility and control over company healthcare benefits spending trends and risk management postures, while scrupulously protecting individual employee privacy. Companies that have effectively adopted HPM methodologies are reporting that their health benefits plan costs are stabilizing after years of unchecked growth, while improving the delivery of healthcare services to employees.
Building a High Performance Engine for Healthcare: Why Cloud Computing Architecture Matters
Cloud computing will have an immense impact on the economics of managing health plans in the months and years to come. Organizations in the public and private sectors are scrambling for n...
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Francis Collins at TEDMED 2012
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