Power of Lean Healthcare

As healthcare costs increase at a faster rate than other products or services, healthcare providers, in particular hospitals, are under continuous pressure to dramatically improve service, reduce costs, improve patient safety, reduce waiting times, and reduce errors and associated litigation.

However, hospitals are not making the necessary improvements in cost, quality, and safety. A report by the U.S. HHS Office of the Inspector General finds that 20% of consecutive inpatient stay sequences were associated with poor quality care, unnecessary fragmentation of care, or both. The current organization and management of hospitals is an imperfect system that cannot effectively address these issues. Major projects to restructure hospitals, dramatically reduce cost, and improve customer care have had little impact on quality or cost.

In simplistic terms, current healthcare systems are not designed to make the process or ‘value stream’ of care flow smoothly. Healthcare services are often ‘batch and queue’, with patients spending most of their time waiting until the Healthcare Professional is ready i.e. push versus pull. As the population matures, patient cycle times in the hospitals, post-care facilities, and laboratories become key measurements that need to improve.

Our belief is that Lean Healthcare can provide a solution to successfully address some of these concerns with minimal cost but maximum benefit.

Lean in Healthcare

The essence of Lean Thinking is to eliminate waste through understanding how the patient defines value and how to deliver that value. Lean Thinking focuses on creating an efficient, waste-free continuous flow built on a pull vs. ‘batch and queue’ approach aligned with the continual pursuit of a perfect system.

Examples of Healthcare Waste:

o Redundant capture of information on admission

o Multiple recording of patient information

o Excess supplies stored in multiple locations

o Excess time spent looking for charts

o Patient waiting rooms

o Excess time spent waiting for equipment, lab results, x-rays etc.

o Excess time spent dealing with service complaints

Hospitals are made up of a series of processes with diverse lines of business. As a consequence, they need to build their delivery systems with these lines of business in mind. Hospitals need to know the businesses that drive 80% of their value proposition. They need to streamline their organization systems and processes to fully support the process required to deliver high quality care.

Commitment and support for any lean initiative needs to not only come from top healthcare management but, even more critically, from the ‘bottom up’ for implementation. Decision making and system development need to be pushed down to the lowest levels of any healthcare organization.

Management consultants are normally engaged as Lean change agents rather than as Lean facilitators. Healthcare staff should lead any Lean implementation program. These people are best equipped to understand the work environment, issues, challenges, what will work and what won’t. An empowered and knowledgeable team is therefore essential to achieve sustainable improvements and long-term success in any Lean initiative. Put simply, Lean will not work without an educated workforce.

Examples of Lean Healthcare Performance Metrics

o Improved patient satisfaction

o Increased operating room utilization

o Reduced time between procedures

o Lower tools and supplies inventory

o Reduced laboratory space

o Improved cost effectiveness

Lean Healthcare Accreditation

A new Lean Healthcare Green Belt Certification program (www.leanhealthcareservices.com) was recently developed to enable effective staff empowerment.

The on-line program represents the first International Healthcare Certification of its kind, and provides an essential ‘first step’ to not only understanding the theory but also the application of Lean tools and practices through detailed work assignments, in-line assessments, and final examination.

The program has been designed in association with the Irish Institute of Industrial Engineers, the Canadian Professional Logistics Institute, Lean Experts, and Healthcare Consultants in conjunction with the Leading Edge Group. It is open to personnel involved in any organization within the healthcare field, particularly those associated with hospitals, clinics, nursing homes, blood banks, laboratories, and pharmacies. Once these people have the ‘appropriate’ knowledge, they will be able to envisage and achieve results and, most importantly, meet the needs of patients now and in the future.

Please contact Joe Aherne CPA, Chief Executive Officer, Leading Edge Group, jaherne@leadingedge.ie; www.leanscm.com; www.leanhealthcareservices.com

Joe Aherne is a Certified Public Accountant, with over 25 years experience in the multinational sector. He also has attained qualifications from the Marketing Institute of Ireland and from CITY Bank in the U.S.


Joe established the Leading Edge Group in 1995 a niche boutique consulting company supporting the US multinational and SME sectors. The company is now recognized as one of the largest independent Lean consultancies in Europe with over 600 projects completed successfully since its inception.


Joe launched in April 2005 the new International Standard in Lean comprising 4 levels of certification and leading to a Masters Degree in Quality Management: Lean Master Black Belt. (www.leanscm.com & www.leanhealthcareservices.com ) He is currently leading a major international drive promoting the adoption of Lean healthcare philosophies and practices


Joe Aherne CPA, Charter House, Cobh, County Cork, Ireland +353 21 4855863


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Anyone who doubts a public option for health care should watch this video. It contains different clips of other countries’ health care systems and compares them with our (the US) health care system . As a side note (not mentioned in this video), Canada spends half a billion dollars annually treating US citizens who illegally seek treatment there because they cannot afford treatment in the US LINKS ARE PROVIDED BELOW . (1) www.whitehouse.gov (2) sickforprofit.com (3) www.nytimes.com (4) healthcareforamericanow.org (5)my.barackobama.com (6) www.dccc.org

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Marketsmonitor Releases Report on Saudi Arabian Healthcare Market Forecast to 2012

According to a new report, “Saudi Arabian Healthcare Market Forecast to 2012”, the Saudi Arabian healthcare market is witnessing rapid growth and will continue to expand exponentially in future. The country’s rapidly increasing population, due to which demand is outpacing supply, can be regarded as the main push for the market. And as the incidences of a number of lifestyle diseases, such as obesity, diabetes and hypertension, in the country amongst the highest in the world, these will significantly boost the healthcare spending in future.

Government plays a central role in providing healthcare services in the kingdom, accounting for around 75% of the total healthcare spending in the country. The government accounted for 67% of the total hospitals and 77% of the total hospital beds in the country in 2006. The government expenditure on healthcare, however, is increasing faster than its total income; as a result, government may resort to cost cutting measures in future.

The report says that due to increasing pressure on the public healthcare system, the government is rapidly promoting the involvement of private healthcare in the country. So big investment will be seen from the private sector in the forecasted period, and according to our estimates, the private sector will account for 62% for all new beds installed during 2006-2012.

However, slump in crude oil prices due to economic recession can hit the nation’s economy. But the fast diversification of the country’s economy into other sectors will provide it a buffer against the severe impact of economic turmoil. Despite some challenges such as shortage of skilled workers, dependency on oil and bureaucratic issues, the market’s future will remain bright with all three sectors – hospital services, pharmaceuticals and medicals devices – expected to show sustained growth.

“Saudi Arabian Healthcare Market Forecast to 2012” gives an extensive and objective analysis on the Saudi Arabian healthcare market. It has segmented the healthcare industry into hospital services, pharmaceuticals and medical devices. It provides analytical and statistical information on these segments, including their market size, demand, supply, segmentation and key players. It also features an analysis on the future directions, supplemented with facts and figures. Thus, the report serves as a useful guide for healthcare companies, government officials, consultants and investors who are planning to enter the Saudi Arab healthcare market.

Our report provides forecast on

- Macroeconomic indicators
- Demographic and healthcare indicators
- Healthcare spending
- Demand for hospital beds
- Pharmaceutical market
- Medical devices market

Key questions answered in the report

- Which factors are driving the Saudi Arabia healthcare market?
- What is the past and present size of the healthcare market?
- What is the role of public and private sectors in providing healthcare?
- What is the total supply and demand for hospital services in Saudi Arab?
- What will be the demand, investment and infrastructure scenario in the hospital services market?
- What is the total size and future outlook of the pharmaceutical market?
- Who are the key players operating in the pharmaceutical market?
- What is the total size and future outlook of the medical devices market?
- What are the key challenges faced by the Saudi Arabia healthcare market?

For More detail Please Visit :- http://www.marketsmonitor.com/Report/IM173.htm

68% of American Public Supports Single Payer Healthcare Reform

Our grassroots organizing campaign to get an economic impact study to pass HB 1660, a Single Payer, guaranteed healthcare program for all Pennsylvanians, also called “Family and Business Healthcare Security Act” has reached higher ground as three separate events converge that bode extremely well for the eventual passage of the bill.

Here is a summery of these three events:

1) Independence Blue Cross of Philadelphia and Pittsburgh based Highmark Blue Shield were poised to merge and take over health insurance coverage here in Pennsylvania.

But both companies withdrew the merger for reasons that had to do with the fact that the merger would reduce competition for the health care dollar plus an unwillingness on the part of both companies to  give up the “Blue Cross-Blue Shield” brand each company spend seventy years developing.

Bottom line, the merger was not going to be approved very likely because of activist opposition by groups such as Healthcare for All Pa.

The merger got lost in the squabble over all of these details.

Single Payer activists are confident that the failure of this merger will dramatically boost the prospects that the Pennsylvania State legislature will pass HB 1660/SB 300, Universal Healthcare, the “Family and Business  Healthcare Security Act” that Governor Rendell repeatedly said he will sign.

Executive Director of Healthcare For All Pennsylvania, Chuck Pennacchio, responded to the January 22, 2009 news by saying,” The dramatic defeat of the previously “untouchable” health insurance giants signals a power shift in Harrisburg that nobody saw coming. , Added Pennacchio, “Healthcare for All Pennsylvania’s 8,000 members have spent much of the last year fighting this monopoly merger, while advocating for the  proven Single Payer Solution–both on the basis of economics, human decency and simple common sense. Today we are victorious in blocking the expansion of an industry that causes the loss of 31 cents out of every healthcare dollar: an industry that profits off our suffering, and puts 95% of us at risk for medical bankruptcy should we experience a medical catastrophe. Having achieved the first  of our two goals, we are now poised to enact the law called “Family and Business Healthcare Security Act.”

The “Family and Business Healthcare Security Act ” will establish a healthcare policy in the Commonwealth of Pennsylvania by the following terms: publicly-funded, privately provided, guaranteed, comprehensive, quality, affordable healthcare for all temporary and legal Pennsylvanian citizens, plus migrant farm workers and out of state students.

Every body In. Nobody out.

2) Philadelphia City Council unanimously voted to support HB 1660 and SB 300.

Passage of HB 1660/SB 300 would give the City of Philadelphia a estimated 0 million surplus, more than enough to cover Mayor Nutter’s projected budget shortfall of 2 billion dollars over the next 5 years,

Additionally, HB 1660/SB 300 would guarantee access to comprehensive health care at much less cost than what average families are now paying, generate thousands of new healthcare delivery jobs, save an average business that provides healthcare, an estimated 25%-60% on health care costs a year, reduce property tax, (in theory) cut auto-insurance rates, (in theory) reduce worker’s compensation costs, retain existing businesses and encourage the development of new businesses, and reverse the physician and nursing shortages facing cities and rural areas all across the State.

3) Healthcare For All Pennsylvania  are now organizing a state wide blitz to pass HB 1660/SB 300 legislation.

Eighteen local and regional organizers met last weekend at the Council of Churches Building in Harrisburg for training  on how to pass theHB 1660 and SB 300.

We learned proven organizing stradegies and tactics at the meeting for enacting Pennsylvania’s “Family and Business Healthcare Security Act.”

Pennsylvania Senate Bill 300 and House Bill 1660 will soon be reintroduced in the legislature and enjoy unique political advantages, placing the legislation on the inside track among universal healthcare proposals across the nation.

Pennacchio said at the meeting, ” Pennsylvania led the charge that established the nation’s independence from British tyranny in the eighteenth century. Today we declare our independence from profit-centured health insurance company tyrants who systematically highjack health care decisions and funding to maximize profits, perks, and CEO salaries.”

Workshops included education, organization, media and social media outreach, internal and external  communication and fund raising.

Unique public advantages include: promised signature by Governor Rendell upon passage of the bill;  funding  authority contained within the legislation itself; bi-partisan co-sponsorship of the bill; overwhelming bi-partison support for an economic impact study on HB 1660/ SB 300; public opinion support of legislative goals (68%, 5/1/08, Quinnipaic Survey of Pa).

Thanks to Chuck Pennacchio for providing me the information to write this article! And thanks to Chuck for his never-ending persistence in achieving healthcare to all Pennsylvania citizens.

Thanks also to all members of Healthcare For All Pa, and a special thanks to Jerry Policoff, who with Chuck, pioneers this crucial and important work.

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Kate Loving Shenk is a writer, healer, musician and the creator of the e-book called “Transform Your Nursing Career and Discover Your Calling and Destiny.” Click here to order the e-book:
http://www.nursingcareertransformation.com

Check Out Kate’s Blog and Lens:
http://www.squidoo.com/chuckpennacchio
http://www.katelovingshenk.com/blog

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If our health is so important, why are many of our healthcare systems operating like they did 100 years ago? We need reform that will create a smarter system. Share your thoughts and ideas on how to create a smarter system at www.asmarterplanet.com

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Healthcare, Shifting the Responsibility

With economic pressures increasing stress to the US family household, people are reverting to saving more and spending less to better plan for the proverbial “rainy day”. Most Americans will admit the increased costs of fuel, food and other basic needs have forced the reduction of discretionary spending. Gone are the days of buying on a whim or unplanned last minute vacations. The US consumer has adapted to the new economic landscape and is adjusting to a new lifestyle.

Over the last several years, much has been discussed and written regarding the rising costs of US healthcare. Employers, primarily shouldering the costs of increasing premiums, along with the US government are most concerned about the aging baby boomers. With the US and global economies cooling down, attention regarding healthcare turned to the competitive impact healthcare has on US companies.

A trend shifting the responsibility of healthcare costs to employees was analyzed by Milliman and the report was published in May 2009. The Milliman Medical Index showed a steady rise in employee healthcare contributions from 2004 to 2009. In fact, the cost of healthcare increased 37% from 2004 to 2009. According to the MMI, a family of 4 paid ,771 on average for medical costs. Employers covered 59% of these costs through healthcare benefits and employees paid 41% of the costs through payroll deductions and out of pocket expenses. However the trend of shifting costs to the employee was made obvious by MMI reporting employer contributions to healthcare increased 5.4% from 2008 to 2009 while employee contributions increased 20.1% (Milliman, 09). While averages display the growing trend, variability was found to be quite significant. Another MMI report showed that men aged 60 to 64 had healthcare expenditures five to six times greater than men between the ages 25-29 (Milliman, Milliman Medical Index, 2008).

The US population is beginning to view healthcare as an additional expense which must be budgeted and planned. With many financial plans focused on meeting investor needs, healthcare remains a topic not often discussed by an investor and financial advisor. Often a difficult subject to broach, advisors do not discuss their client’s health history. The time is approaching where investors and advisors need to work together to plan for the increased responsibility of healthcare coverage. In fact, a recent iMDAdvisor survey found 93% of respondents would change their investment strategy if they were shown their medical history could negatively impact their savings.

Working together, advisors and investors can plan for future healthcare costs thereby softening the impact of healthcare expenses. As the US government works to reform healthcare, we too will need to reform our views regarding healthcare and proactively seek solutions that will help pay for the expense.

References
Milliman. (09, 05 01). Milliman Medical Index. Retrieved 26 06, 09, from www.milliman.com: http://www.milliman.com/expertise/healthcare/products-tools/mmi/pdfs/milliman-medical-index-2009.pdf
Milliman. (2008, 05 01). Milliman Medical Index. Retrieved 06 26, 09, from www.milliman.com: http://www.milliman.com/expertise/healthcare/products-tools/mmi/pdfs/milliman-medical-index-2008.pdf

Daniel DiCesare is the founder of www.iMDAdvisor.com, a health portal which brings micro-articles to readers that are clear and easy to understand.


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Common Errors In Healthcare Claims Made Uncommon

Errors in claims for healthcare insurance are very common such as double payment or overpayment and the determination of eligibility and out-of-network benefits.  But these mistakes can be easily pinpointed and prevented by companies if they partner with Healthcare Horizons in reviewing the distribution of their medical insurance plans for employees.

 

A case in point is a large manufacturing company in the US with some 2,500 employees distributed in many branches across the country.  For a two-year period, the company racked up a total of million in medical expenses for its employees.  The company felt that there was something wrong in the processing of claims that made it pay more than it should.

 

And so the company hired Healthcare Horizons to conduct an audit-review of the entire process of its healthcare insurance program for employees.  In no time, the experienced Healthcare Horizons professionals traced the biggest problem: the inability of the payer engaged by the company to accurately connect the insured members to the contracts associated their specific networks.  The confusion in contract compliant was caused by the fact that the covered employees are located in different areas with different payer.

 

Apart from making payments error-free, Healthcare Horizons also identified the problems on repeated payments, out-of-network benefits and eligibility. When Healthcare Horizons completed the project, it recovered a total of 7,000 for the company and identified about million as overpaid.  Non-compliance with contract also yielded some 0,000 in collected overpayments.

 

Healthcare Horizons professionals have worked for, or with, many of the major healthcare insurers in the country.  Its vast experience with industry payers allows it to conduct self-insured employer reviews much more efficiently and effectively than its competitors. One of the reasons is Healthcare Horizons reviews the entire dataset of claims instead of just a sampling.  Thus, it can target specific areas of concern that should be reviewed with the payers and allows it as well to identify the root causes of claims errors so that clients can avoid future overpayment on medical claims.

The operations and technology expertise of Healthcare Horizons is boosted by a staff of comprehensive healthcare skills appropriate for specific projects.  For example, HH has professionals with experience and credentials in clinical coding, nursing and healthcare finance.  The breadth of our professional expertise allows us to identify more complex issues in claims payment as well as devise operational solutions to prevent future occurrences.

In addition to providing claims audit services, Healthcare Horizons also provides other services to assist large self-funded employers manage their healthcare costs. This range of services includes health benefits analysis, pharmacy program review, eligibility reconciliation and process improvement, RFP and contracting services, fee schedule analysis, utilization and network analysis, reinsurance analysis and cost containment strategies.

 

Healthcare Horizons offers detailed healthcare claims audits to self-insured employers across the nation, with a focus on identifying and recovering overpaid claims that can be returned to the employer’s account.  It stands by its slogan that if it does not find the errors in medical claims, it will not ask for payment for its services.

John Graham with Healthcare Horizons offers detailed healthcare claims audits to self-insured employers across the nation, with a focus on identifying and recovering overpaid claims that can be returned to the employer’s account.

 


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Texas Children’s Hospital-Healthcare Information Systems. *Edited sample. To view the complete video please visit www.aimagination.com and fill out a ‘Contact Us’ form to request a video demo.
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