Can a True-Cost Model Save Your Hospital?
Who's to blame for the mess healthcare is in today? According to the finance leaders surveyed in the HealthLeaders Media 2012 Industry Survey, the lion's share of blame goes to the government. Fortunately, survey respondents think they know who's going to fix the situation: hospitals. If that's the case, then I have a suggestion for how healthcare organizations can go about doing that: change your entire cost model and find out exactly what your true costs are.
According to survey respondents, the government (48%) and health plans (21%) are both at fault for where we are today in healthcare. It's a point finance leaders feel more strongly about than any of their C-suite peers who were surveyed.
"There's no other answer than the government is to blame for where we are today," says Ann Pumpian, senior vice president and CFO at Sharp HealthCare, a not-for-profit integrated regional healthcare delivery system based in San Diego, in the survey report.
I agree that the government and health plans are responsible for the current state of things, but let's not forget that some of the blame also rests with healthcare organizations. After all, it's not as if healthcare has been ultra-progressive, especially in terms of adding and using technology or finding better ways to be efficient with resources.