“The time has come,” the Walrus said,
“To talk of many things:
Of shoes–and ships–and sealing-wax–
Of cabbages–and kings–
And why the sea is boiling hot–
And whether pigs have wings.”
Gibberish (I thought Jibberish was spelled with a J) is good, and often insightful.
Sometimes I have to rack my brain to decide what to write; other times it is handed to me, just begging for a response. This is one of the “other” times.
In the fable of “Chicken Little” the chicken believes the sky is falling because an acorn fell on its head—the chicken was wrong. In the fable “The boy who cried wolf” the people in the village are fooled into believing a wolf is attacking their village. The people are wrong.
In the CMS fable “Everything a hospital ever needed to concern itself with regarding patient experience,” CMS is wrong. And to make matters worse, CMS has all of the providers focusing all of their efforts on catching the wolf. What many do not recognize is that providers would have been doing these things with or without the hard hand of CMS.
It is much more difficult to find the needle in the haystack when you are not on the same road as the haystack. Hospitals have already found many of the needles. Their problem is that the remaining needles are smaller and smaller, and more difficult to find. Thus, finding each subsequent needle costs more. Hospitals have also missed the fact that right next to the CMS haystack are other haystacks with needles the size of javelins waiting to be found.
What if two customer experience surveys were compared side-by-side. One for hospitals and one for hotels. Might they look like this?
HOSPITAL |
HOTEL |
|||
What is the NO. 1 goal of your patient experience efforts? |
What is the NO 1. goal of your customer experience efforts? |
|||
Improved HCAHPs Scores |
36% |
retaining customers |
99% |
|
Improved clinical outcomes |
33% |
getting referrals from customers |
99% |
|
Improved market share |
9% |
improved market share |
99% |
|
improved word of mouth |
7% |
improved revenue generation |
99% |
|
improved revenue generation |
4% |
|||
improved reimbursement |
2% |
|||
other |
8% |
No one is arguing that for hospitals to be successful at patient experience that they need to think of themselves as hotels. No one is arguing that hospitals should stop trying to manage pain or to reduce noise. The argument is that there are plenty of other things hospitals could be doing to complement their current initiatives, things which would have a much greater impact on improving experience.
What is the business problem hospitals are trying to solve as they wrestle with what to do about patient experience? Are hospitals trying to create a remarkable experience for every person every time? If they were their approach would be entirely different. Are they trying to retain patients, to earn referrals, to capture a higher percentage of their receivables? If they were their approach would be entirely different.
The problem hospitals are trying to solve is to avoid the CMS penalty. Hospitals’ expenditures of people and capital are not targeted to solve an actual business problem; the expenditures are to avoid a problem created for them.
A recent trade journal survey asked, and the article reported answers to the following questions:
- What is the number one goal of your patient experience efforts?
- In which of the following patient-related areas do you expect your organization to focus over the next three years for patient experience improvements?
- Please rank your motivations for investing time or resources to improve patient experience scores
- Who has the primary responsibility for patient experience in your organization?
The number one goal reported by hospital executives was ‘improved’ HCAHP scores. So, let us assume the hospital achieved its goal and rocketed to the first quartile, thus removing itself from CMS’ penalty. What do they get from that achievement? Retention, referrals? Nope.
Is this goal an example of keeping ones focus on the hole versus the doughnut? None of the responses listed any mention of the word ‘patient.’ Less than one in ten respondents addressed improving market share, not that the planned efforts will do much to improve share. And, none of the responses mentioned making any effort to retain patients or to attract prospective patients.
According to the survey results, hospitals’ primary focus are on trying to meet an artificial benchmark created by CMS without knowing whether achieving this benchmark is the best thing they could be doing to create a remarkable experience for every person every time.
Improving patient experience is an issue that has the attention of most hospitals. Yet the solutions being proposed seem to be sorely lacking the following initiatives:
- Innovation
- Transformation
- User Experience
- Disruption
Who is responsible for the experiences of the prospective patients? Apparently nobody. Who is responsible for the experiences of people before they come to the hospital, after they are discharged, and of those wondering if they should seek a second opinion from another hospital? If hospitals cannot agree as to who is responsible for their current assets (patients), then we can be certain that nobody is responsible for the experience or satisfaction of prospective patients (their future assets) or for those patients seeking a second opinion.
The tallied survey responses seem to be all about raising HCAHP scores and avoiding penalties; not about improving the experience or patients and prospective patients. Does that seem to be the case in your organization?
I estimate that the lifetime value of a patient is somewhere between $180,000-$250,000. That means that a retained patient and a prospective patient are also worth that amount. Add to that the revenues of a patient’s family and friends and all of a sudden we are looking at numbers that demand innovation and transformation around patient experience.
Patient Equity Management. Family Equity Management.
A remarkable experience for every person every time on any device. If this is your goal, the value of having your primary focus be on reducing noise, way finding and better housekeeping, needs to be rethunk.
I may be wrong, but I doubt it.