OC Reilly Blog: The Domino Effect
By Vicki White, Executive Director, Business Operations, OC Reilly Inc.
(March 24, 2015)–Now that we are roughly one quarter into 2015, the continuing evolution of the health care industry in the U.S. becomes more defined. As this occurs, the challenges and opportunities for health care administrators also come into sharper relief.
In some ways, a domino effect has become an inevitability – starting with the changing mindset of health care consumers, which affects hospitals and physicians, which then affects those responsible for providing the tools that those institutions and professionals require.
An article titled “5 ways to better engage patients,” appearing in the January 2015 edition of Healthcare Financial Management, touched on this phenomenon.
The story reads, in part: “Patients are becoming more savvy healthcare consumers, and organizations should respond to the increasing demand for transparency around price and quality. This response may involve sharing both quality and cost information, such as data related to core measures and charges for common services and procedures. Organizations also should offer tools to help patients navigate their coverage and predict out-of-pocket expenses.”
So if healthcare providers face a guaranteed need to increase transparency surrounding costs, doesn’t it make sense to ensure that those costs are as competitive as possible? As healthcare consumers face a guaranteed need to shop for treatment with more of a retail mindset, doesn’t it make sense to offer the greatest value for the price?
That’s where effective supply chain management can play a pivotal role, ensuring that costs that can be controlled are, in fact, controlled, while safeguarding value and quality of care.
The dominoes have begun to tip. Make sure the last one doesn’t land on you. Get a handle on your costs so that health care consumers feel confident selecting your team and your facility for their treatment.