Innovation Success: Identify the Impacts and Manage the Results March 1, 2016
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1 Innovation Success: Identify the Impacts and Manage the Results March 1, 2016 John Hansmann, MSIE, FHIMSS, DSHS Sr. Director, Health Catalyst
2 Conflict of Interest John Hansmann, MSIE, FHIMSS, DSHS Has no real or apparent conflicts of interest to report.
3 Learning Objectives Recognize the importance of managing change and addressing workflow impacts related to innovative transformations Assess the impact of innovation on current and future work processes Identify the necessary skills required to manage innovative transformations to ensure successful implementation and ongoing use
4 Realize the Value of Health IT Value steps impacted: Savings Treatment/Clinical Satisfaction Example Results $74M savings Reduces unnecessary chest x- rays by 49% Patient satisfaction improved
5 Agenda Concept of Innovation Concept of change management Operational Innovation Success Stories Texas Children s Hospital Healthcare System in Intermountain West Region Case Study Commonalities Tools to Assess Work Processes New Innovations Summary Questions
6 Today s Session will. focus on the impact of innovations on current and future operations. discuss the importance of planning for innovative changes, and the skills necessary to manage the change process.
7 Innovation New Develop Conversion Inventive Reconstruction Revolutionize Reform Advance Transformation Upgrade Change Renew Modernize Alter Improvement
8 Roger s Diffusion of Innovation Model Tipping point at 15-20% adoption Innovators are open to new concepts Early adopters tend to be opinion leaders Early majority legitimize innovation Late majority are skeptics Laggards want to keep status quo 2.5% Innovators 13.5% Early Adopters 34% Early Majority 34% Late Majority 16% Laggards Source: adapted from E.M. Rogers, Diffusion of Innovations, 5 th ed., Free Press
9 Characteristics/Attributes/Skills for Successful Change Management Communicate Trustworthy Resilient Persistent Manages Ambiguity / Sees Big Picture Organized Coach
10 Operationalizing Innovation Success doesn't necessarily come from breakthrough innovation but from flawless execution. A great strategy alone won't win a game or a battle; the win comes from basic blocking and tackling. Naveen Jain, Innovator & Entrepreneur
11 Operational Innovation Success Stories Texas Children s Hospital Houston, TX Launched system-wide performance improvement project ( Delivering on the Vision -DOTV) Plan/Goals Enhance strategic decision-making Establish data driven transparent culture Increase the accountability of leaders, providers and managers for their clinical and operational performance Perform detailed assessments of labor, non-labor, inpatient clinical operations, clinical documentation improvement and physician practice operations Source: $74M in Healthcare Operational Improvements: How Texas Children s Hospital is Delivering on Its Vision, Health Catalyst, 2015.
12 Operational Innovation Success Stories Texas Children s Hospital continued Methodology/Approach Results Implemented an enterprise data warehouse (EDW) and healthcare analytics applications solutions Organized improvement teams Utilized data to understand current practice and to make decisions Realized $74 million in operational improvements (over 18 months) Practice Management 15% increase in provider productivity 36% decrease in physician clinic no-show rate Source: $74M in Healthcare Operational Improvements: How Texas Children s Hospital is Delivering on Its Vision, Health Catalyst, 2015.
13 Operational Innovation Success Stories Texas Children s Hospital continued Results continued Labor Expense Improved staff flexing 2 percentage point reduction in S&B as a percent of net patient revenue Clinical Operations Implemented clinical care teams (ex. Asthma Care, reduced unnecessary chest X-rays by 49%, utilized best practice order sets 80%) 14 percent decrease in hospital LOS while census increased Source: $74M in Healthcare Operational Improvements: How Texas Children s Hospital is Delivering on Its Vision, Health Catalyst, 2015.
14 Operational Innovation Success Stories Healthcare System in Intermountain West Region Design and build new outpatient center Included patient services for OP Surgery, Lab and Imaging Physically detached from main hospital impacting logistics for services All departments participated in architectural design meetings Operational Efficiency Team Process oriented; operational impact focused Participated in architectural design meetings Assisted depts./functions in current state/future state discussions and designs Challenged hospital and departmental leadership to create highly functional, efficient well designed workspace that supported their work processes
15 Operational Innovation Success Stories Healthcare System in Intermountain West Region Results Construction finished on time and under budget Operationally only added new program FTEs Moved into the new space and began working with minimal rework Operationalized Patient Kiosks and optimized patient traffic flow Operationalized combined Lab/Reg and Rad/Reg Check-in
16 Commonalities Embraced the challenge, adopted the innovation and adapted as necessary Fundamentally understood the impact on work, work processes and workflow Managed the change process, dealing with all of the physical and emotional issues Created a participatory environment, where physicians, nurses, administrators, and frontline staff were involved throughout Communicated clearly and consistently Made data driven decisions Changed the culture
17 Tools to Assess Work Processes Current State/Future State Simulation Interview/Observation Process Analysis Workflow Analysis Flow Charting Value Stream Map Impact Analysis Risk Analysis Lean and Six Sigma Tools Others
18 Tools to Assess Work Processes Workflow Tools Current State/Future State Process Analysis Workflow Analysis Flow Charting Value Stream Map Interviews & Observations
19 Tools to Assess Work Processes Impact/Risk Assessment Impact Analysis Risk Analysis (Downstream direct and indirectly affected areas, stakeholders, assets & barriers) Probability Minor Effect Significant Effect Impact
20 Tools to Assess Work Processes Impact/Risk Assessment Improvement Impact Improvement Opportunity Type Impacted Process/Function Impacted Department Rating $$$ Impact Potential Mitigating Solutions Technology Process Culture Other 1-Low 3-Med 5-High
21 Tools to Assess Work Processes Simulation
22 Tools to Assess Work Processes Lean & Six Sigma Tools Lean (5S, Cause & Effect, 5 Why s, Value Stream Mapping) Six Sigma Tools Interviews & Observations Others
23 Tools to Assess Work Processes Lean & Six Sigma Tools
24 New Innovations Wearables Mobile Apps The Cloud ICD-10 CRISPR Gene Editing Value-based Care Population Health Staffing and population trends 10K per day turning 65 until What s the impact on operations? 62% of baby boomer RNs (over 54) considering retiring 2 Source: 1 Pew Research Center 2 AMN Healthcare 2015 Annual Survey
25 Summary The secret of change is to focus all of your energy, not on fighting the old, but on building the new. Socrates, Greek Philosopher
26 Benefits Realized for the Value of Health IT Improved patient satisfaction Improved staff satisfaction $74M in savings 14% LOS Reduction 36% reduction No-Show rate 49% decrease in unnecessary X-rays 80% utilization of best practice order sets
27 Questions Contact Information John Hansmann, MSIE, FHIMSS, DSHS Sr. Director, Health Catalyst
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