Healthcare Transformation: The Imperative for Change in the Supply Chain
By Jim Carroll
The Stark Reality
According to the Centers for Medicaid and Medicare Services, the cost
of paperwork in patient information processing is approaching $10 billion
per annum. That's but one sector of the overall system -- multiply that
by the many different facets of health care, including equipment supply,
medical insurance, government funding, doctor/patient interaction and
countless other interactions. You quickly get a sense of the scope of
the spending that occurs on old, inefficient business processes.
That's why supply chain restructuring is so important -- there is an unprecedented opportunity to streamline the processing of information and transactions within every aspect of the health care system, in order to rationalize the spending that exists.
"A recent study conducted by PricewaterhouseCoopers
for the AHA found that physicians, nurses and other staff on average spend
at least 30 minutes on paperwork for every hour of patient care. In the
emergency department, every hour of patient care generates an hour of
paperwork, leaving less time for care."
- Hospitals & Health Networks, 08/01/2001
The Imperative for Change
Supply chain restructuring isn't fanciful hype brought on by technology companies -- it is a necessity for a system that is clearly in crisis. As the population ages, the demand on increasingly scarce health care resources continues to grow. Lifestyle changes result in a population that faces ever more challenging medical conditions. New technologies, medical advances and leading edge research bring constant, relentless change to every aspect of the industry. Rapid growth in spending results in unprecedented challenges in the paperwork processes -- some medical diagnostic companies are seeing growth year over year of 12% or more, and can barely keep up!
Some semblance of order must be brought to the spiraling number of business transactions within the system. That's why supply chain restructuring is so important. There is an opportunity to create an integrated, online network that fundamentally changes the way information is transmitted. The opportunity is real and significant with the connectivity that is now possible between business partners in a supply chain -- a reduction in the number of manual processes, a decrease in clerical effort, better cost containment, improved inventory management and a streamlining of the ordering process.
Supply chain restructuring isn't an option -- it is the future. With a system in crisis, everyone involved must seek out innovative methods to deal with an immense challenge. That's why leadingedge health care companies recognize that supply chain restructuring is here to stay.
The Opportunity is Real - But There is a Digital Divide!
Certainly there are many in the industry who understand the imperative for change, yet there are many who do not. They are blinded by their experience with business technology -- they've seen the tech-wreck and the dot.com collapse. They have been challenged by prior system implementation problems and budgetary issues. Their experience has made them immune to the opportunity, and skeptical of the future. What they need is inspiration, courage and insight.
That's where Jim Carroll comes in. With a rousing, motivational keynote, he wakes them up to the strategic importance of collaborative-commerce. He helps them understand why embracing supply-chain restructuring is critical to the industry. He encourages them to shed the challenges of the past and embrace the opportunity of the future -- in a keynote that is bound to open up their minds to the possibilities.
Jim Carroll, FCA
As a leading international futurist, he dedicates his time and expertise to making organizations and their people ready and able to adopt tomorrow, today. Since 1992, Jim Carroll has spoken to tens of thousands of people as a conference opening and/or losing keynote speaker, or a workshop/seminar leader. His clients include many of the world's leading organizations. Jim has written 34 books that have sold in excess of 750,000 copies worldwide, as well as over 600 articles for a wide variety of national and international publications.