Barr y Childs COST AND QUALITY – MOVING BEYOND MEASUREMENT The science of improvement Do Plan Study Act The science of improvement Do Plan Study Act The science of improvement Do Plan Study Act The science of improvement Do Plan Study Act The science of improvement Do Plan Study Act ‘‘ Value = f(cost, quality) The client experience COST CLIENT EXPERIENCE QUALITY The client experience • Right tools for measurement COST • Clinical data • Cost buckets CLIENT EXPERIENCE QUALITY The client experience COST CLIENT EXPERIENCE • Structure, process, outcomes 2 QUALITY • Right tools • Investment in data • Get started The client experience COST CLIENT EXPERIENCE • Underrated influence • Need to be careful • Requires education QUALITY ‘‘ Is our healthcare system able to optimise those equations? We confuse quality with luxury Luxury increases in line with cost; quality doesn’t necessarily Luxury Cost 2 requirements for better Quality Impact functioning market – transparency and comparability ‘‘ Well-functioning markets drive innovation at a micro and macro level Market mechanisms need to overcome a number of structural challenges Insurance market Derived demand Role of agents Act on behalf of members So what are our options? 1 Consumer empowerment 2 Selective contracting 3 Incentivised reimbursement Follow a conscious, deliberate, active process Do Plan Study Act Manage risk Develop opportunity THANK YOU