Issue link: https://beckershealthcare.uberflip.com/i/144069
Executive Briefing: Total Process Transformation University Health System is a little more than a year into its three year agreement with MedAssets, but it has already seen major improvements in cost and enhanced revenue. In the first 14 months, University Health System has saved $16.2 million in costs, accelerated cash flow by $14 million, reduced average length-of-stay, increased cash collections by $48 million over previous year levels, and overall tracked expenses per discharge declined 3.5 percent. Even with all of that achievement, the system is not yet satisfied and is continually looking at ways to further improve. "We [used to] think we didn't need to find things to fix, but now we always are. That's part of the cultural change," says Ms. Vasquez. Partnering up A large part of the transformation success University Health System realized is due to its initial decision to bring in a single outside company as opposed to an endless line of suitors, says Ms. Vasquez. "It was best to have one partner in this endeavor…instead of introducing flavors-of-the-week," she says. "It also was essential for us to tap into a company with experts that had seen our issues hundreds or thousands of times. We no longer had the luxury of time to figure out answers, or learn from our mistakes." Besides bringing consistency to a large ongoing project, a single outside expert can bring many more advantages to a hospital or health system during a comprehensive transformation, including the following: National expertise. Typically, executives and managers in a hospital or health system are experts in their field on a local or state level, but few have experience on the national scale. That's where a partner can come in handy: "[A partner ] can bring in someone who has expertise dealing with operations on a national level," says Ms. Vasquez. 43 right one for the organization. Not every consulting company will be the right fit for every organization. The following are a few key elements healthcare leaders should seek out when looking for a company to help their organizations transform. Trust. It is the most important thing to look for in a potential company. Making comprehensive change with an outside party requires opening up the entire hospital, which can be difficult without a level of trust. "There needs to be a level of mutual respect and understanding," says Mr. Piro, in order for the relationship to be successful. Compatibility. Along with trust, organizations and their potential consultants also need to be able to work together in a compatible way in order to achieve success. The consultant firm should not just tell you what you "should do," but help to make the pragmatic changes needed. "They selected people [to work with us] that fit into our culture," says Ms. Vasquez of the MedAssets staff selected for the University Health System engagement. "Having the right mix [of people] made it work so well." Tools. Mr. Piro encourages healthcare leaders to ask the following question before settling on a company: What are the tools in their tool bag that will augment the relationship and make the change successful? A viable potential outside consultant should bring in data and insights and the analytical tools to help organizations benchmark not only against national data, but against local market competitors and similar organizations in their operating region. "System-wide changes need to occur simultaneously across the organization in an aligned and proven method." Ability to retain focus. When a hospital is in the midst of making major changes to its operations and finances, it can be easy to get caught up in the big picture and leave the day-to-day opera- Christann Vasquez, COO, University Health System tions in the wayside — not the ideal for an organization seeking future and current success. "A pragmatic consulting firm is an extra set of hands, because [leaders] have Well-rounded knowledge. Success in the new healthcare system requires unlocktheir day jobs too," says Mr. Piro. "You have to make payroll at the same ing insight within and the interconnections among financial, operational and time as you're making fundamental changes." clinical performance. Any outside company engaged needs to have the ability to look and work across the organization versus just "silo expertise." The consulting team can keep a close eye on the overall long-term changes happening throughout the organization, taking some of the pressure off Healthcare is making a comprehensive change, and hospitals and health of the organization's own leaders so they can focus on their normal, daysystems should be straying from their usual focus on change within silos to to-day responsibilities without being overwhelmed. making comprehensive, organization-wide change. Finding the right company to assist in the change can put healthcare organizations on the fast What to look for. While an outside firm can provide the benefits detailed track to future and sustainable success in the new world. n above, it is important for hospital and health system leaders to find the MedAssets (NASDAQ: MDAS) helps healthcare organizations to improve financial strength through innovative revenue cycle, spend and clinical resource management solutions that enable improved margins, cash flow, quality of care and patient satisfaction. More than 4,200 hospitals and 122,000 non-acute healthcare providers currently use the company's Web-based technologies and evidencebased solutions to help capture revenue, control cost, increase regulatory compliance and optimize operational efficiency to improve the care delivery process. As a result, the company manages annually more than $50 billion in healthcare supply spend and touches over $365 billion in gross patient revenues. For more information, please visit www.medassets.com.