Posts Tagged ‘quality improvement’

Quality Guru Chosen to Head CMS

Tuesday, May 11th, 2010


Donald Berwick


Donald Berwick, a Harvard University professor and leading advocate for improving health-care quality and efficiency, has been named by President Obama as his choice to head the Centers for Medicare and Medicaid Services (CMS.) Berwick is well-known in Quality circles for aggressively advocating quality improvement in healthcare. Berwick, who specializes in health-care policy and pediatrics, has never led such a large organization. As head of the Boston-based Institute for Healthcare Improvement, however, he is known for persuading doctors and hospitals to adopt innovative methods for reducing medical errors. Dr. Berwick is author of numerous articles and books, including the classic work demonstrating the application of quality technology to health care issues, Curing Health Care. He is one of the nation’s leading authorities on health care quality and improvement. He is also Clinical Professor of Pediatrics and Health Care Policy at the Harvard Medical School, and Professor in the Department of Health Policy and Management at the Harvard School of Public Health.

If confirmed by the Senate, Berwick will face a number of daunting challenges. One is the sheer size of the CMS, which is about to become even larger. The agency, which is part of the Department of Health and Human Services, must oversee a massive expansion of Medicaid, the federal-state insurance program for the poor, with an estimated 16 million people expected to join its rolls by 2020. At the same time, Medicare, the insurance program for the elderly, will need to reduce payments to health-care providers by about $400 billion over 10 years without impacting the quality of coverage. Lean Six Sigma and Quality technologies provide an approach for doing this while minimizing the impact on value-added health care processes, operations and activities. Berwick’s familiarity with these areas provides reason for optimism or, at least, hope. This blog has frequently posted examples of poor quality in health care. Let’s hope that Dr. Berwick will have a positive impact at CMS.

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My Prescription for the Healthcare Crisis

Thursday, July 16th, 2009

Thomas PyzdekInspired by Some questions not asked in health care debate – BizTimes.

Like many, I am concerned about healthcare in America. The above story outlines a number of issues with our system

  • A medical error rate 5 to 9 times higher than some other countries
  • Out of control healthcare costs

The author discusses the fact that Six Sigma has only recently been introduced in American healthcare, and then only on a limited basis. He details a horror story involving his father’s care and decries the fact that such stories abound. From this he concludes that the solution to these problems is…more government involvement in American healthcare.

I’m sorry, but I don’t get the connection. I agree with the above facts and would dearly love to have American healthcare professionals use more process excellence methods, including Six Sigma, Lean, and quality improvement. But I don’t see how more government addresses the root cause of our problems. In fact, I see little or no effort made to drill down to the root cause of the problems in healthcare. Let me make a stab at it.

  • I believe that government programs have contributed to the problem by helping create a disconnect between the patient and the healthcare provider.
  • I believe that the current system limits the choice of patients as to who will provide their care.
  • I believe that patients do not have access to the information they need to adequately assess the quality of their healthcare providers.
  • I believe that special interests (e.g., pharmaceutical companies, medical device companies, insurance companies, professional groups, etc.) manipulate government programs and limit access to information for their own advantage.
  • I believe that political groups use the fear of illness to manipulate voters for the interests of the politicians.
  • I believe that more government control of healthcare would exacerbate the above problems.

Solutions

I believe that solutions that address the disconnect between the person who provides the healthcare and the person who receives and pays for it will ultimately be needed to fix the problem. This is, I believe, the root cause of our current problems. An ideal solution would be one that:

  • Provides patients with complete, up to date, and accurate information on their provider. This would include information on outcomes, error rates, complaints, etc.
  • Allows patients to choose their care provider.
  • Provides patients with price data in advance.
  • Protects patients from paying for poor quality care, including any problems caused by misdiagnoses, complications from poorly done procedures, infections due to poor practices, etc.
  • Requires patients to pay at least some of the cost of their care directly to the provider. Enough to make the patient care about costs.

In other words, I believe more freedom and more responsibility for patients would address the core problem of the current system. I believe that when patients are free to choose their care provider, have complete information on quality and price, and have a personal interest in the cost of their care, they will make better choices than faceless and nameless bureaucrats employed by insurance companies or the government.

Not to lay the whole blame on government. I believe that the process and quality improvement professions have a great deal to offer the healthcare profession in the form of methods, tools, techniques and systems to improve. But healthcare professionals are overly resistant to such suggestions, at least party because of parochialism and perverse incentives. Examples of perverse incentives include physicians paid to treat complications they either cause or could have prevented, or hospitals obtaining revenues for patients whose length of stay increases because of infections contracted in the hospital. If patients were provided the information they need to make the right choices, the ability to make these choices, and the financial incentive to do so, intransigent providers would either improve or pay the price in the market for health care services. Ultimately, this would drive the demand for the services of quality and process improvement professionals. It’s what did it for every other industry in the world.

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GM and Toyota Call It Quits at NUMMI

Friday, July 10th, 2009

Toyota Motor Corp (7203.T) said on Friday it would consider liquidating its stake in a California-based joint venture with General Motors Corp (GMGMQ.PK) after the U.S. automaker pulled out of the venture. The venture started 25 years ago and it was originally set up in an attempt to help GM learn  more about Toyota’s Lean manufacturing technique. Toyota was looking for a US presence to help them deal with import restrictions imposed on them by the US government in an attempt to help protect US automakers from Japanese competition.

How has that worked out?

Toyota surpassed GM as the world’s largest automobile manufacture in 2008, while GM begged for a government bailout and declared bankruptcy. Over two decades later Toyota continues to practice lean in a culture dedicated to continuous innovation and improvement, US automakers GM and Chrystler seek government handouts. It seems as if American managers are, for some reason, immune to learning the quality improvement approach that was invented in the USA. Until they manage to do so, expect to see continued declines and job losses.

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Quality Vampires

Monday, April 6th, 2009

March 2, 2008

We’ve all heard of the creatures from Transylvania that suck the life’s blood out of their victims. Like vampires, there are a number of approaches to quality improvement and control that can suck the life out of your Six Sigma results. 13:44.

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