According to a new Deloitte report, consumer-centered health care will be given a top priority as Health System CEOs will be in the race towards a competitive ecosystem, which will be central to value-based care.
Over 25 healthcare CEOs were interviewed across the country in The Deloitte 2019 Health Care CEO Perspective Study to determine how chief executives were shaping their business plans, transitioning into the new decade.
Healthcare consumerism seems to be in the forefront of the policy.
As Michael Main, managing director, Deloitte Consulting LLP, and report author put it “The industry change that CEOs are witnessing first hand reflects our predictions of a more consumer-centered future of health,”. In a statement, he said ” “Consumers want to take control of their health — they have been responding well to virtual care visits and are interested in tools that make their experience personalized, affordable and convenient.”
In order to understand how CEOs measure success in their organizations, and how upcoming challenges would be addressed, the CEOs were specifically asked about the largest drivers of industry change.
Notwithstanding the fact that value-based reimbursements eventually take-off or not, the organizations want to pursue the changes in order to put themselves in a good position towards growth.
The report authors emphasised that organizations investing in consumer engagement technologies, virtual health, and care coordination are well-positioned for the future irrespective of whether reimbursement shifts towards value-based payment models or not.
In case it doesn’t, according to the report authors, these organizations will likely have a strong competitive edge dealing with consumers and loyalty. The CEOs meanwhile seem to have very few questions about the hold of consumerism in healthcare, the progress of value-based care appears to be the uppermost in their mindset.
Having access to relevant data, and being in a position to exchange it across delivery streams the organizations have to focus on consumer-centricity to create a holistic view of the patient.
The focality of consumerism in healthcare is in accordance with the rise in alternative care sites such as urgent care centers and retail clinics which are being favorably sought by consumers for reasons of cost and convenience. This is the segment of
clients that health system CEOs are planning to competitively target, according to the Deloitte report.
As one health system CEO said ” The consumers are going to demand change” further elaborating he stated that the way consumer technology companies were mobilizing consumers there, in the same manner they need to be driven that way.
This tendency according to him is quite pronounced in the younger demographic, who he believes will have the prerogative deciding where they wish to get their health care. The CEO noted that if they do not dwell into that kind of relationship with the consumer, it will be taken away from them by someone else.
Despite working towards measuring up to other consumer markets, the healthcare CEOs acknowledged that some challenges still remain.
There are gaps in sharing data between providers, payers, and other delivery streams.Also some kind of a restraint exists between payers and providers sharing data with one another, despite an improved relationship.
There are growing expectations from consumers that compare healthcare with other service industries, and organizations are under pressure meeting their expectations. Unlike consumer-centered experience that Amazon or Netflix provide, healthcare fits into different realm of services, nonetheless consumer expectations center around these lines.
In conclusion the report noted “Like persistent and never-ending ocean waves, sometimes fast and big and sometimes gentler, the forces of health care change are nonlinear and unrelenting. Forged by the acceptance of market forces, CEOs recognize that staying the same is an untenable option,”
The report noted CEOs were balancing near-term performance and bond ratings with more aggressive investments that were meant to prevent them from decay, and leverage them to emerge victorious into the journey of future.