Healthcare CEOs Share Key Issues and Leadership Imperatives
Crucial for Thriving Under Reform and the Current Economic Environment
CHICAGO, Jan 24, 2012 (BUSINESS WIRE) --Huron Consulting Group (NASDAQ: HURN), a leading provider of business
consulting services, today announced the release of a new Huron
Healthcare report entitled, Leading
Through Transformation: Top Healthcare CEOs' Perspectives on the Future
of Healthcare, Insights from the Huron Healthcare CEO Forum.
The report shares insights from CEOs, and from executives outside the
healthcare industry, who participated in the second annual Huron
Forum. At the Forum, hospital executives had the opportunity to
discuss strategies and best practices for leading their organizations
through this time of significant change in the industry.
"The immense operational and financial challenges healthcare leaders are
facing would be daunting for executives in any industry. And yet
healthcare leaders across the country are stepping up to the challenge,
carefully considering the way forward, and developing solutions that
will shape the future of healthcare delivery in our country," said Gordon
Mountford, executive vice president, Huron
Healthcare. "The Forum provides hospital CEOs an opportunity to
exchange ideas and share ways to enhance quality and improve
affordability of healthcare."
The CEOs at the Forum addressed both the significant opportunities as
well as the most pressing challenges for hospitals, health systems, and
academic medical centers:
From Volume to Value: Making the New Healthcare Business Model a Reality
Moving from the current volume-based business model to the future
value-based model will require a fundamentally different approach to the
way healthcare is delivered in the U.S.
"We are definitely moving toward fixed or bundled payment and away from
making margin on volume. The old strategy is quickly becoming the high
cost/low margin strategy. Unfortunately, we get to run these two
opposing strategies simultaneously. You can live in two business models
for a while, but not forever," said Dan Wolterman, president and CEO,
Memorial Hermann Healthcare System in Houston, Texas.
the Care Delivery Model: Reimagining the Who, What, When, Where, and How
of Delivering Care
The fundamental imperative for moving the healthcare business model from
volume to value involves re-imagining the care delivery model in ways
that make care more efficient and effective.
"Hospitals need to provide many different access points throughout the
community so that patients can seek care in more convenient locations at
times that make sense for them. Once the patient presents at any access
point, the system's goal then becomes delivering the right care in the
appropriate setting for each individual patient. Where it's appropriate,
more and more care will be delivered by providers other than doctors,"
said Dean Harrison, president and CEO, Northwestern Memorial HealthCare
in Chicago, Ill., and chair of the Huron Healthcare CEO Forum.
Relationships: Imperatives for Achieving Alignment
Physicians play a crucial role in remaking the healthcare delivery
system. The decisions they make affect care quality, cost, and outcomes.
However, CEOs are still challenged with developing the kinds of
relationships with physicians that drive positive, economical clinical
"We use the Mayo dyad model to create what I call 'healthy friction.' We
have to emphasize in that pairing, it's not that one physician is solely
looking at things operationally, and one looking at things solely
clinically. They have to work together," said Bryan Mills, president and
CEO, Community Health Network in Indianapolis, Ind.
Containment: Coping With Significantly Reduced Reimbursement Rates
Fundamental changes to the care delivery system, including reducing
utilization and transforming the care delivery model, are unquestionably
the path to containing costs. This is not only an imperative for
individual organizations, but also for the country, as healthcare
spending continues to grow.
"We need to use scale to reduce fixed expenses as a percentage of our
total cost base, and reduce other expenses by changing the work of the
caregivers and relating it to improved patient outcomes and higher
satisfaction," said Marna Borgstrom, president and CEO, Yale-New Haven
Hospital and Yale New Haven Health System in New Haven, Conn., and
co-chair of the Huron Healthcare CEO Forum.
Attendees at the Huron Healthcare CEO Forum represented a broad range of
organizations, from larger multi-hospital systems to smaller community
hospitals, across urban and rural communities. The CEO Forum report also
shares valuable insights on transformative leadership and innovation
from the CEO attendees, and from experts outside the healthcare
industry. A few of the key themes discussed were modeling optimism,
communicating in ways that inspire, engaging multiple generations, and
developing physician leaders.
Leading Through Transformation: Top Healthcare CEOs' Perspectives on
the Future of Healthcare, Insights from the Huron Healthcare CEO Forum
is available for PDF download at www.HealthcareCEOForum.com.
About Huron Healthcare
Healthcare partners with clients to provide comprehensive
performance improvement solutions that improve quality, increase
revenue, reduce expenses, and increase physician, patient, and employee
satisfaction across the healthcare enterprise. Clients include national
and regional integrated healthcare systems, leading academic medical
centers, community hospitals and physician practices. Modern
Healthcare ranked Huron Healthcare third on its 2011 list of the top
20 largest healthcare management consulting firms. Learn more at www.huronconsultinggroup.com/healthcare
or follow us on Twitter: @Huron
About Huron Consulting Group
Huron Consulting Group helps clients in diverse industries improve
performance, comply with complex regulations, reduce costs, recover from
distress, leverage technology, and stimulate growth. The Company teams
with its clients to deliver sustainable and measurable results. Huron
provides services to a wide variety of both financially sound and
distressed organizations, including healthcare organizations, Fortune
500 companies, leading academic institutions, medium-sized businesses,
and the law firms that represent these various organizations. Learn more
SOURCE: Huron Consulting Group
Huron Consulting Group
Jennifer Frost Hennagir