Issue link: https://beckershealthcare.uberflip.com/i/1058375
20 CFO / FINANCE Q: To keep coaches with you as you introduce new ways of thinking and strategizing, you need to not completely indict what they've done in the past. Can you talk more about that? PD: Absolutely. Going further, you really need to gain in- sight into why those things were done in the past and what made them successful, rather than dismissing them as be- ing outdated now. ere could be some valuable insights in there that help whatever new model or process you're trying to create. ese people's experiences and expertise are invaluable as you continue to try to build something that is new and better. We had a lot of conversations with our experienced baseball personnel — people who had deep knowledge of a particular piece of the puzzle, say our pitching coach, which ended up back in our algo- rithms or models. It's a process we've gone through in the NFL, trying to pull as much knowledge as we can from all these people who have a tremendous amount of expertise. Q: Across other industries, how would you rec- ommend people reexamine tasks or functions that could be better leveraged with data-driven insights and decision-making? PD: Anything that involves a good dose of uncertainty can benefit from analytics or some type of data and anal- ysis. For us in sports, it is the fundamental principle that we are trying to predict the future performances of hu- man beings. It's true for a lot of different industries too; everyone is dealing with uncertainty and trying to get their arms around what the future is going to look like or what they ought to do in a particular situation. In all those circumstances, if you have the right data and insights, it can help you consistently make better decisions. Not that it will help you be perfect by any stretch, hopefully just consistently better. Q: Right now, in healthcare, data isn't shared. Looking across an organization with a couple thousand physicians, what are the first steps you would take to make data actionable? PD: ere are two things I'd initially focus on, and they are awfully broad. e first is, what is it you would like to know that you don›t currently know? What piece of information would be valuable to you in making a de- cision you have to make that you don't currently have? We asked ourselves that in Oakland and we continue to ask this all the time. e second question is, what is it you are sure you know? Whatever those things are, make sure you go back and study them to verify whether they are actually true. ere was an exercise we went through in Oakland, where there were all these clichés in our industry that we had grown up to believe as true, and at one point we de- cided to study everything. In my experience, 80 percent to 90 percent of things believed to be true are in fact true and continue to be true. But there is this small percentage where maybe it isn't true anymore, and if you come up with a new process or better insight in that small percent- age, that can lead to significant advantages. It gives you a tremendous advantage over your competition, because the rest of the industry continues to believe something is true, when in reality it is not, or it's not true anymore. n Walmart wants to cut healthcare costs for customers By Ayla Ellison W almart is exploring ways to reduce healthcare costs for its em- ployees and customers, according to CNBC. Insuring its 2.2 million workers is Walmart's second-largest expense on its profit and loss statement, behind wages, said Lori Flees, senior vice president and general merchandising manager for health and wellness at Sam's Club and lead principal for Store No. 8, Walmart's incubation arm, at the Manova Summit in Minneapolis. Rising healthcare costs are also cutting into Walmart's business be- cause customers are spending more of their income on medical care and medicine than on retail goods. "So these are the things that drive us to be interested in healthcare: Our customers need help. Our associates need and want to be healthy. And it's good for our business," Ms. Flees said. She said partnerships are "an essential part" of Walmart's strategy to lower healthcare costs. "If you take the expertise that lies in the industry and you combine it with Walmart's footprint, it really is an opportunity to have a positive impact at scale," she said. Walmart has already partnered with health plans to encourage cus- tomers to buy healthier foods at Walmart. The retailer also operates 19 health clinics, hosts health screening events and offers pharma- cies and vision centers. In addition, Walmart has entered into direct contracts with healthcare providers, including Cleveland Clinic and Rochester, Minn.-based Mayo Clinic, to help drive down healthcare costs and improve the quality of care employees receive for some conditions and procedures, according to CNBC. n HCA closes Sister Emmanuel Hospital in Miami By Ayla Ellison N ashville, Tenn.-based HCA Healthcare closed Sister Emman- uel Hospital, a Miami-based long-term care hospital, Dec. 1, according to the South Florida Business Journal. HCA also laid off 97 employees, but some of the employees may transfer to other HCA facilities. "There are a number of open positions within our affiliated facilities in the area, and we believe most of our affected employees will find employment opportunities," Sister Emmanuel Hospital said in a letter accompanying its Oct. 3 Worker Adjustment and Retraining Notification Act notice. Sister Emmanuel Hospital had a 90.1 percent occupancy rate in 2017 and recorded a $152,210 profit on net revenue of $12.1 million, ac- cording to the South Florida Business Journal, which cited informa- tion from the Florida Agency for Health Care Administration. n