Assessing Operations Management “Health”

  • Is the gap between your cost and quality widening?
  • Are  your financial challenges more critical or severe since the pandemic?
  • Have you had an across-the-board percentage reduction of your workforce or a “layoff” in the last two fiscal years?
  • Have you had a workforce reduction while expanding your deliver network and services?
  • Are traditional approaches for cost management providing less than expected or desired results?

If you answered “yes” to any of these questions, it is time for an “off the beaten path” approach to operations management.

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Our National & Healthcare Organizational Goal

A simple Google query asking about the main objectives of a healthcare system yields:

An acceptable health care delivery system should have two primary objectives: (1) it must enable all citizens to access health care services, and (2) the services must be cost-effective and meet certain established standards of quality. In many ways, the US health care delivery system falls short of these ideals.

Our National & Organizational Goal translates into providing healthcare at the:

  • Highest QUALITY of Care
  • Most Reasonable COST

Has a consumer perspective taken precedence in your organization?

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Why is the Cost to Quality Gap Widening?

Simply put, Costs are increasing at a faster rate than Quality and Outcome Measures

What are the Primary drivers of this widening Gap?

  • Suboptimal use of Labor Resources
  • Capacity Management not correlated to Labor Utilization
  • Medical Supply usage not correlated to associated volumes and service dates

Premise:

Highly skilled, highly trained, highly specialized clinicians are promoted through the ranks to become managers of operating departments without receiving sufficient operations management training.

Traditional Approaches (The Beaten Path) DO NOT WORK!

As a result, operations are not optimized and improvement opportunities are not recognized.