understanding opportunity and risk
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minimising future risk creating sustainable advantage creating opportunity
HEALTHCARE TRANSFORMATION October, 2010
The healthcare vertical and health and social care in its entirety is on the verge of incredible change. We all know it, but ignoring this fact and pretending tomorrow will be the same as today is only a recipe for serious disaster through mismanagement.
Neither private or publically funded health and social care can afford to continue to ignore the opportunities presenting themselves, nor continue to squander valuable, finite resources.
True, healthcare has always been in a state of flux and residential care less so. But the world is changing more than ever before. As medical science progresses in spite of an inherent resistance to change within healthcare itself, there have been both distinct and gradual steps forward to increase life expectancy and the general state of health. And so the world progresses and in time the benefits have spread globally to increase the population and to create an aging population. And yet now even within a state of flux there is about to be a lurch forward due to external circumstances ... and healthcare organisations will have to run to catch up and remain relevant.
We are at a critical point of time.
This means public healthcare systems burdened by levels of expensive bureaucracy and high levels of resistance to change, will have to change or disintegrate into shambles. It means private healthcare (and the associated financial services) burdened by the same high levels of resistance to change and the blinkered view to future development, will have to change in order to remain relevant and profitable. It means residential care organisations struggling with profitability and increasing levels of regulation will have to change and embrace new technologies to meet the new challenges fast approaching.
Some notable healthcare systems are stuck with 19th century thinking. Others are just slightly more progressive and stuck with 20th century thinking. Those organisations who realise this is in fact the 21st century, and understand the opportunities and threats facing the health and social care sector, will be the ones in a position to deliver cost effect and wide spread health and social care. They will be the ones to survive and flourish.
History is full of dinosaurs who considered themselves invincible. Survival of the fittest is NOT survival of the biggest or strongest. It is survival of those most capable of change within a changing world, and believe me, the world is changing. It doesn’t matter if you stick your head in the sand and pretend it isn’t happening – it’s happening – and the world of tomorrow WILL be different to the world of today.
It is time to prepare for the changes taking place.
Massively changing demographics are about to provide the impetus for this significant level of change. It is no secret that the increasing average age of a population will present specific challenges to every population. It is no secret that areas such as Chronic Disease Management, for, for example Type 2 Diabetes and COPD, will present organisational and budgetary challenges throughout the world. These points, and an intricate series of others, are combining at the same time to threaten to overwhelm any unwary healthcare system ... which in reality means most of the world.
Make no mistake, being in a developed world will not cushion anyone from the effects of this transformational shift. Being in a cash rich health and insurance organisation will not cushion you from the effects of this transformational shift if you are unable to understand what your members and patients really want – and if your profitability is continually being siphoned off by haphazard and completely misaligned processes / strategy.
In a world will increasing disillusionment towards public health care, some private sector organisations know completely well that their revenue is increasing … yet with decreasing profitability. What does this tell you? It should tell you exactly what you need to do to be more successful.
Some public sector organisations continuously call for increased funding … yet with little or no comparable increase in service delivery. What does this tell you? It should tell you exactly what you need to do to be more successful.
Stop making excuses.
Start being better than you are. No one is indispensible.
And a message to anyone from any healthcare organisation anywhere in the world ... I know you know what's going to happen. You aren’t stupid. You aren’t blind to the changes taking place. There is absolutely no point pretending the changes won't happen, or perhaps it is someone else's problem, or if you shout loud enough then further state funding will be available from somewhere, even within this time of harsh economic reality.
It really is time to understand the inevitable - and to put in place actions that will harness the changes and provide the cost effective healthcare everyone else wants to see. This isn't someone else's problem.
All too often there is plenty of evidence that some healthcare organisations see this inevitable transformation as a major barrier they have no idea how to cope with. This enforced ignorance is a dangerous situation. And as time passes it is increasingly dangerous to the point of recklessness and most definitely patient safety. The inability to accept and harness the transformational change will essentially mean the difference between life and death for many, many people. It will mean the difference between a good and a poor quality of life for many more.
So ... if you are reading this and you are somehow involved in healthcare, where ever you are in the world, what will this mean for you? What do you see as being the major drivers and what action plans are in place to make sure high levels of healthcare continues to be delivered sustainably?
From a significant level of experience it is clear what needs to take place for both public sector and private sector organisations. There are always effective things you can consider and can do that will turn a difficult situation into a manageable situation, into successful healthcare systems.
Don’t be a dinosaur.
Regards
JS
If you don't understand the risks, how can you prepare? Can you afford to let the issues be blurred?
The turbulent 21st century
life isn't black and white