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Proprietary and Confidential © 2014, John W. Kenagy, MD Follow the discussion on Twitter, #TimeforAnalytics A conversation between Dale Sanders and John Kenagy, MD Transforming Healthcare: Data is Necessary But Insufficient. What else is Necessary? Adaptive Design is a registered trademark of John Kenagy

Transforming Healthcare: Data Alone is Not Sufficient

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Current Healthcare Key Performance Indicators (KPIs) assess the effect of organizational behaviors in the past but don’t tell us which behaviors contributed positively and negatively. In order to drive future KPIs, we need to identify and measure the adaptive behaviors that are influencing performance today and link those measures to interventions that will improve performance tomorrow.

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Page 1: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Proprietary and Confidential© 2014, John W. Kenagy, MD

Follow the discussion on Twitter, #TimeforAnalytics

A conversation between Dale Sanders and John Kenagy, MD

Transforming Healthcare:

Data is Necessary But Insufficient. What else is Necessary?

Adaptive Design is a registered trademark of John Kenagy

Page 2: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Introductions

• Dale Sanders, Senior VP, Strategy, Health Catalyst

[email protected]

• @drsanders

• http://www.linkedin.com/in/dalersanders/

• Dr. John Kenagy• [email protected]

• www.linkedin.com/in/johnkenagymd

Page 3: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Page 4: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics 4

Page 5: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics 5

Page 6: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Data and Adaptive Capacity

1. Take Action – strategically create and measure new adaptive capacity.

2. Accelerate Progress – methods and data necessary to increase your Adaptive Capacity Index.

3. Develop Mastery – align people and data to predict your Key Performance Indicators (KPI’s) 3-6 months in advance

The Key Takeaways

Page 7: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Adapting

Tree? [email protected]

Page 8: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

The Promise of Managed Care

Page 9: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

The Cold, Hard Reality

1980

1981

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0

1000

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5000

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United States Canada

Netherlands Germany

Australia United Kingdom

New Zealand

Cost

Neth 1

UK 2

AUST 3

NZ 4

GER 5

CAN 6

US 7

Quality

©OECD, 2008

“A” for technology, “F” for value

Page 10: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

It’s an Adaptive Capacity opportunity

Page 11: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

List 1General Motors

American Airlines

Palm Pilot, Blackberry

List 2Toyota

Southwest Airlines

Apple, Intel

Discovering the Solution

Page 12: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

What’s the root cause?

OptimizeGeneral Motors

American Airlines

Palm Pilot, Blackberry

Optimize & AdaptToyota

Southwest Airlines

Apple, Intel

Page 13: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

So, if data and technology are not sufficient, what else

is necessary?

*Modified from: [email protected] with permission

Why? We don’t think our way to new ways of acting.

Page 14: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Adaptive Capacity

Where are you?

Where’s healthcare?

OptimizeGeneral Motors

American Airlines

Palm Pilot, Blackberry

Optimize & AdaptToyota

Southwest Airlines

Apple, Intel

Page 15: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Adaptive Capacity Indexsm

Develop more people and teams?

Consolidate services and hit performance goals?

Do local experimentation and learning?

Cost control and standardize best practices?

Increase frontline decision making and control?

Check the one choice on which your system currently has the most focus and investment

Page 16: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Adaptive Capacity Indexsm

Develop more people and teams?

Consolidate services and hit performance goals?

Do local experimentation and learning?

Cost control and standardize best practices?

Increase frontline decision making and control?

Behaviors predict performance

Want to assess your organization’s Adaptive Capacity Index? [email protected]

Page 17: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Adaptive Capacity

How do you create Adaptive Capacity?

OptimizeGeneral Motors

American Airlines

Palm Pilot, Blackberry

Current U.S. Healthcare

Optimize & AdaptToyota

Southwest Airlines

Apple, Intel

You?

Where’s healthcare?

Page 18: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Data & Adaptive Capacity

Experienced Success

Information (Data)

New Value Adapt

You act your way to a new way of thinking

Page 19: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Progress, Momentum, Mastery

Page 20: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Adaptive Capacity LeadershipDevelop and align rapid, adaptive, decision-making close to where value and data are created

Page 21: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

What data do we measure?

High risk, low reward

Page 22: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

? ?

?

“Workarounds, hunting, clarifying, fetching, etc.”

Adaptive Design

Data in Context & ProgressTimely, role-specific, actionable data with rapid feedback

23%

40%

37%

AdminRN Time

with Patients

Page 23: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

73% reduction in workarounds, etc.

Adaptive Design

Data + Momentum

54%

11%

35%

135% more RN Time

with Patients

23%

40%

37%

Information (Data)

New Value Adapt

Page 24: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Adaptive Design

Data & Increasing Adaptive CapacityDeliver Results, KPI’s and Insight

Length of stay 8%

RN productivity 14%

Staff turnover 51%

+ $1,700,000

Page 25: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

An Adaptive Design Predictive Analytic Opportunity

Information (Data)

New Value Adapt

Page 26: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Data & Adaptive CapacityMastery and Predictive Analytics

+$1,700,000

Page 27: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Data & Adaptive Design

1. Strategically optimize and increase Adaptive Capacity

2. Use data and act your way to new thinking

3. Identify, develop and scale the behaviors that increase your Adaptive Capacity Index today and gain predictive guidance of your KPI’s 3-6 months in the future.

[email protected]

Page 28: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

An Adaptive Data Opportunity

1. Identify one organization interested in exploring an Adaptive Data opportunity

2. Connect with leadership to develop an on-site assessment with local leadership, Kenagy & Associates and HealthCatalyst that would include an Adaptive Capacity Index.

3. Design the engagement to assure a low risk and high reward opportunity for all participants.

Low risk, high reward

Page 29: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Data & Adaptive Capacity

SUCCESS!!

[email protected]

Page 30: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

Thank You

Next Educational Webinar

A Landmark 12-Point Review of Population Health Management Companies12 criteria that any health system should consider when evaluating population health management companies.Date: Wednesday, April 2ndTime: 1:00-2:00 PM ETPresenter: Dale Sanders Senior Vice President, Health Catalyst

The Path to Shared Savings With Population Health Management ApplicationsLaser Focused on Finding Waste, Defining and Monitoring Populations, Accountable Care Organizations and Health Systems Alike Will Learn About The Success of One System Who Reduced Heart Failure ReadmissionsDate: Wednesday, April 9thTime: 1:00-2:00 PM ETPresenter: Eric Just, VP, Technology; Kathleen Merkley, VP, Clinical Engagement

Register at http://healthcatalyst.com/

Page 31: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

20

10

30

Develop Mastery Physician and Team Performance as a system

Months

GOAL

Adaptive Design Begins

Adaptive Design MD’s + Multidisciplinary Teams

All System MDs

Page 32: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics

What does a Nurse do, really?Summary data 1999-2006

Face-to-facepatient time

33%

“Admin”

24%

Workarounds, tradeoffs, “quick fix” problem solving, etc.

43%

Observations:1000s of hours, med/surg units, 45-750 bed hospitals

Page 33: Transforming Healthcare: Data Alone is Not Sufficient

Proprietary and Confidential© 2014, John W. Kenagy, MDFollow the discussion on Twitter, #TimeforAnalytics 33

The Opportunity for ChangeTaking the next step…• Explore further the Population

Health management solutions

http://www.healthcatalyst.com/population-health

• Contact us to learn more about our solutions and communication tools

www.healthcatalyst.com/company/contact-us