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Redefining Health Care: Creating Value-Based Competition on Results
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Redefining Health Care: Creating Value-Based Competition on Resultsby Michael E. Porter and Elizabeth Olmsted Teisberg
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15 of 20 people found the following review helpful: Redefining Health Care - Highly Recommended, October 28, 2005 Reviewer:Kevin B. Piper "Healthcare Consultant" (Washington, DC USA) - The world's leading guru of competitive strategy, Michael Porter, Ph.D., has turned his sights on explaining the fundamental cause of high costs, poor quality, consumer dissatisfaction, uneven access, and skyrocketing premiums in American health care. In Redefining Health Care, Dr. Porter and business innovation specialist Elizabeth Teisberg, Ph.D. provide a thoughtful, groundbreaking framework to use genuine, value-driven competition to drive dramatic increases in quality and cost effectiveness. Unlike many wonks who foolishly believe that health care is not a market, Drs. Porter and Teisberg see competition "of a sort" at work - namely, zero-sum competition that adds little value, fosters inefficiency and poor quality, and often harms patients. Why? Because the current competitive environment is dysfunctional; serves to "shift costs, accumulate bargaining power, and restrict services;" and is ultimately misplaced - focusing on the business dynamics of providers and health plans, rather than on the diagnosis, treatment, and prevention of illness. Focusing on how to move American health care to positive-sum competition based on economic and clinical value for patients, Redefining Health Care provides a series of specific recommendations for the key players - notably, providers, health plans, employers, and Medicare / Medicaid policy makers. Drs. Porter and Teisberg challenge assumptions, think out of the box, expose the roots of health system failure, and, most importantly, provide a practical agenda for change. Redefining Health Care is an excellent piece of work, with fresh and fascinating insights.
Economist.com
"a profound and powerful critique of America’s health-care system. It deserves to be read widely. And probably will be."
Book Description
The U.S. health care system is in crisis. At stake are the quality of care for millions of Americans and the financial well-being of individuals and employers squeezed by skyrocketing premiums-not to mention the stability of state and federal government budgets.
In Redefining Health Care, internationally renowned strategy expert Michael Porter and innovation expert Elizabeth Teisberg reveal the underlying-and largely overlooked-causes of the problem, and provide a powerful prescription for change.
The authors argue that participants in the health care system have competed to shift costs, accumulate bargaining power, and restrict services, rather than create value for patients. This zero-sum competition takes place at the wrong level-among health plans, networks, and hospitals-rather than where it matters most, in the diagnosis, treatment, and prevention of specific health conditions. Redefining Health Care lays out a breakthrough framework for redefining health care competition based on patient value. With specific recommendations for hospitals, doctors, health plans, employers, and policy makers, this book shows how to move to a positive-sum competition that will unleash stunning improvements in quality and efficiency.
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