Healthcare and Innovation

It's about time that I post something new. I returned from my camping trip all refreshed and ready to work on new projects. Then I came across an article that just caught me...because I've worked within the healthcare system for so long. The article was a question and answer column by Harvard Business Review. They interveiwed HBS Professor Michael E Porter on his research and his new book "Redefining Health Care: Creating Value-Based Competition on Results."

Professor Porter stated:

"One of the central themes of our book is that the way to drive down costs in healthcare is to drive up quality. That is the dynamic we have to harness. And in order to drive up quality, there is only one way that will work: We have to measure results. And in order to use results to drive quality, we have to create competition on results at the medical-condition level."

And in respect to universal healthcare, he said:

"We have to get them insured. Universal insurance is not simply fair; it is also the only way to truly achieve a high value system. The United States already provides emergency and acute care for the uninsured, but we go about it in the worst way imaginable. We avoid the most cost effective spending, which is in primary care and preventative care. We treat the uninsured only after they get sick, and in expensive settings, and we already pay for this. This is paid for with cross subsidies and charity."

If there was ever a business that needed true innovation, it is healthcare. Take a look at the article and let me know what you think. This is a debate that needs solutions...very good solutions.

Michael T. Bauer
http://www.creativeleading.com/ote