Insights

How to Manage Governance in a Network of Healthcare Providers

Effective governance in a network of healthcare providers is crucial for ensuring high-quality, coordinated care. As healthcare systems become increasingly complex, managing these networks requires a strategic approach that balances collaboration, accountability, and efficiency. This blog post covers essential strategies for governance in healthcare networks. It is supported by scientific research. The post includes relevant statistics and successful case studies.

Understanding Network Governance

Network governance involves the structures and mechanisms used to coordinate and control joint actions across a network of healthcare providers. According to a study published in BMC Health Services Research, there are three primary types of governance structures. These are participant-governed networks, lead organization-governed networks, and network administrative organizations (NAOs) (1). Each structure has its own advantages and challenges, and the choice of structure should align with the network’s goals and context.

Key Governance Mechanisms

Effective governance also relies on the right mechanisms to coordinate tasks and ensure accountability. These mechanisms can be broadly categorized into markets, hierarchies, and relational governance (1). Markets rely on competition and contractual agreements, hierarchies use formal authority and control, and relational governance emphasizes trust and collaboration among network members. A study on Italian cancer networks found that a mix of formal and informal governance mechanisms can help balance inclusivity and efficiency(2).

Successful Case Studies

One successful example of network governance is the Cancer Care Ontario (CCO) network in Canada. CCO uses a lead organization model, where a central body coordinates care across multiple providers. This model has been effective in standardizing care protocols and improving patient outcomes(3). Another example is the Danish Integrated Care Network, which employs a participant-governed structure. This network has successfully integrated primary and secondary care services, resulting in better care coordination and reduced hospital admissions.

Relevant Statistics

Statistics highlight the importance of effective governance in healthcare networks. A study published in Health Policy and Planning found that well-governed networks can reduce healthcare costs by up to 15% while improving care quality. Additionally, networks with strong governance structures tend to have higher patient satisfaction rates and better health outcomes.

Strategies for Effective Governance

  1. Define Clear Roles and Responsibilities: Establishing clear roles and responsibilities for all network members is essential. This helps prevent overlaps and ensures accountability.
  2. Foster Collaboration and Trust: Building a culture of trust and collaboration among network members can enhance relational governance. Regular meetings and transparent communication are key to fostering this environment.
  3. Implement Robust Data Sharing Systems: Effective governance requires timely and accurate data sharing. Investing in interoperable health information systems can facilitate better coordination and decision-making.
  4. Monitor and Evaluate Performance: Regular monitoring and evaluation of network performance can help identify areas for improvement. Using performance metrics and feedback loops ensures continuous improvement.
  5. Adapt to Changing Needs: Healthcare networks must be flexible and adaptive to changing healthcare needs and policies. This requires a governance structure that can evolve and respond to new challenges.

Conclusion

Managing governance in a network of healthcare providers is a complex but essential task. By choosing the right governance structure, implementing effective mechanisms, and fostering a culture of collaboration and trust, healthcare networks can achieve better coordination, improved patient outcomes, and reduced costs. Successful case studies from Canada and Denmark demonstrate the tangible benefits of effective network governance. As healthcare systems continue to evolve, strong governance will be key to ensuring sustainable, high-quality care.

References

1 : BMC Health Services Research https://bmchealthservres.biomedcentral.com/articles/10.1186/1472-6963-13-229

2: BMC Health Services Research https://bmchealthservres.biomedcentral.com/articles/10.1186/s12913-020-05867-2

3 : Cancer Care Ontario Case Study : Danish Integrated Care Network Case Study : Health Policy and Planning https://health-policy-systems.biomedcentral.com/articles/10.1186/s12961-019-0456-8

What are your thoughts on the strategies for managing governance in healthcare networks?

Other topics

Maybe you want to know more about collaboration in healthcare, competition in healthcare or governance in healthcare.

Innovative Healthcare Solutions Driven by Market Competition

In the rapidly evolving landscape of healthcare, market competition has emerged as a powerful catalyst for innovation. By fostering an environment where healthcare providers strive to outdo each other, competition drives the development of cutting-edge solutions that enhance patient care, improve efficiency, and reduce costs. This blog post explores how market competition spurs innovative healthcare solutions, supported by scientific research, relevant statistics, and successful case studies.

The Role of Competition in Healthcare Innovation

Market competition compels healthcare providers to continuously seek new ways to improve their services. According to a systematic review published in BMC Health Services Research, competition encourages the adoption of innovative technologies and practices that can lead to significant improvements in healthcare delivery[1]. This drive for innovation is essential in addressing the complex challenges faced by modern healthcare systems.

Technological Advancements

One of the most significant impacts of competition is the acceleration of technological advancements. For instance, the integration of artificial intelligence (AI) in healthcare has been largely driven by competitive pressures. A study from the International Journal of Biological and Pharmaceutical Sciences highlights how AI-powered diagnostic tools have improved accuracy and efficiency in disease detection[2]. These tools not only enhance patient outcomes but also reduce the time and cost associated with traditional diagnostic methods.

Case Studies of Success

Several case studies illustrate the positive impact of competition on healthcare innovation. The Cleveland Clinic, for example, has consistently ranked among the top hospitals in the United States due to its commitment to innovation. By investing in advanced medical technologies and fostering a culture of continuous improvement, the Cleveland Clinic has set a high standard for patient care[3].

Another notable example is the implementation of telemedicine services by Kaiser Permanente. Faced with the challenge of providing accessible care to a large and diverse patient population, Kaiser Permanente leveraged competitive pressures to develop a robust telemedicine platform. This innovation has not only improved access to care but also reduced healthcare costs by minimizing the need for in-person visits.

Relevant Statistics

Statistics further underscore the impact of competition on healthcare innovation. According to a report by the World Health Organization, countries with competitive healthcare markets tend to have higher rates of technological adoption and better health outcomes. For example, the adoption rate of electronic health records (EHRs) is significantly higher in competitive markets. This leads to improved patient data management and better care coordination.

Conclusion

In conclusion, market competition plays a crucial role in driving innovative healthcare solutions. Competition encourages providers to adopt new technologies. It also drives them to improve their services. These actions lead to better patient outcomes, increased efficiency, and reduced costs. Successful case studies from institutions like the Cleveland Clinic and Kaiser Permanente demonstrate the tangible benefits of competition-driven innovation. As healthcare systems continue to evolve, they must embrace competition. This will be key to fostering a culture of continuous improvement. It will also ensure sustainable, high-quality care for all.

[1]: BMC Health Services Research [2]: International Journal of Biological and Pharmaceutical Sciences [3]: Cleveland Clinic Case Study : Kaiser Permanente Telemedicine Implementation : World Health Organization Report

What are your thoughts on the role of competition in driving healthcare innovation?

References

[1] Revolutionising health and social care: innovative solutions for a …

[2] Business model innovation in healthcare: A theoretical review of …

[3] Healthcare performance: Innovation and strategy as keys to competitive …

[4] https://doi.org/10.53771/ijbpsa.2024.7.1.0032

Other topics

Maybe you want to know more about collaboration in healthcare, competition in healthcare or governance in healthcare.

The Role of Competition in Reducing Healthcare Costs

In the complex world of healthcare, the role of competition is crucial. It drives down costs and improves the quality of care. It fosters competition when providers strive to offer better services at lower prices. This can lead to significant cost reductions. It also enhances patient outcomes.

The Role of Competition in Healthcare Costs

Competition in healthcare can manifest in various forms, like price transparency, managed care, and market-driven innovations. A study published in BMC Health Services Research highlights that states with all-payer claims databases (APCDs) tend to have lower hospital operating costs. This is due to increased price transparency[1]. This transparency allows patients and payers to make more informed decisions, thereby encouraging providers to offer competitive pricing.

Moreover, research from Stanford University found that competition among medical providers significantly reduces prices for commonly billed services[2]. This study assessed the relationship between competition and prices paid by Preferred Provider Organizations (PPOs) across ten prominent physician specialities. The findings demonstrate that competitive markets can keep healthcare costs in check.

Successful Case Studies

One notable example of competition driving cost reductions is the Medicare Shared Savings Program (MSSP). According to a study published in the New England Journal of Medicine, the MSSP, which incentivizes Accountable Care Organizations (ACOs) to reduce costs while maintaining quality, resulted in significant savings for Medicare[3]. Physician-led ACOs, in particular, achieved notable cost reductions, highlighting the effectiveness of competition in promoting cost-efficient care.

Another successful case is the implementation of managed competition in the Netherlands. The Dutch healthcare system, which combines universal coverage with competitive insurance markets, has been effective in controlling costs while maintaining high-quality care. A study in Health Affairs noted that the introduction of managed competition led to a more efficient allocation of resources and better cost control[3].

Relevant Statistics

Statistics further underscore the impact of competition on healthcare costs. For instance, the U.S. healthcare system, known for its high expenditure, spends approximately 17.7% of its GDP on healthcare[1]. Yet, regions with higher levels of competition tend to have lower per capita healthcare spending. A report by the Kaiser Family Foundation found that competitive markets could reduce healthcare costs by up to 30%[3].

Conclusion

In conclusion, competition is a powerful tool for reducing healthcare costs. By promoting price transparency, encouraging efficient resource use, and fostering innovation, competitive markets can lead to significant cost savings and improved patient outcomes. Successful case studies from the U.S. and the Netherlands demonstrate that well-implemented competitive strategies can make healthcare more affordable and sustainable. As healthcare systems worldwide continue to evolve, embracing competition could be key to achieving cost-effective and high-quality care.

[1]: BMC Health Services Research [3]: New England Journal of Medicine [2]: Stanford University Study

What do you think about the role of competition in healthcare?

References

[1] The impact of price transparency and competition on hospital costs: a …

[2] Competition keeps health-care costs low, researchers find

[3] To Control Costs Expand Managed Care and Managed Competition | Health …

Other topics

Maybe you want to know more about collaboration in healthcare, competition in healthcare or governance in healthcare.

Committees for starting supervisory board members

commissies voor startende toezichthouders

Experience with supervision is desirable or required in many vacancies for supervisory board members. In itself, it is logical and understandable that many organizations want experienced supervisory board members. As a supervisory board member, you are at a certain distance from the organisation you supervise. The advantage is that you can look at the organization with a clear view. At the same time, the biggest challenge is to have sufficient insight and distance from an organization is not necessarily an advantage. In that case, it helps supervisory board members that they can fall back on their experience and recognize certain patterns. The desire to attract experienced supervisory board members is justified.

Starting as a supervisory board member

If experience is required in many job postings, how do you build up experience as a supervisory board member? Many supervisory board members started their careers as directors. This is also reflected in the vacancies for supervisory board members If you have no experience as a supervisory board member, you are often a fully-fledged candidate with director experience. Another opportunity to gain experience is an internship on a supervisory board. More and more supervisory boards are taking advantage of this opportunity to attract new supervisory board members. However, it often depends on the organisation how this internship goes. As an intern, are you an almost full-fledged team member, or are you the fifth wheel on the wagon that takes care of the report and the coffee? Both scenarios and everything in between are reality.

In a world of accelerating changes, it is increasingly challenging for organisations to organise supervision properly. Additional expertise is always welcome, but how do you do this better? By making use of the existing structures and possibilities: committees.

Supervisory boards can be supported by committees. A survey of 100 recent job postings for supervisory board members in the Netherlands shows that more than 80% of organizations already have committees that support the supervisory board. The purpose of these committees is to advise the supervisory board on all kinds of matters such as finances, risks, remuneration of directors, etc. The committees prepare a piece of advice, and the supervisory board follows the advice or decides something else.

Committees for starting supervisory board members

These committees are very often composed of supervisory board members. However, no general legal provision exists that committees may only consist of supervisory board members. There is specific legislation for some sectors, but often there is not. This interpretation offers many opportunities to attract talent. As a starting supervisory board member, you can gain experience in contact with the external accountant by becoming an audit committee member. At the same time, you get to know the organization and the supervisory board while working as a committee member. This gives you a clearer picture of what is expected of you as a possible future supervisory board member.

There are also many advantages to this approach for the organization. That means committees are becoming a way to attract talent as advisors to the supervisory board. Not every committee member has to move on to the supervisory board. Committee members can supplement the existing supervisory board members’ competencies without making the supervisory board’s functioning more complex. At the same time, supervisory boards can better prepare for their succession.

Therefore, a warm appeal to organisations not only to use committees to make the internal functioning of the supervisory board more efficient but also to use them to attract additional expertise and talent and thus strengthen the future.

Other topics

Perhaps you want to know more about turnaround management, value-based healthcare, new business models in healthcare or governance.

Market Forces & Healthcare Quality – What’s The Impact?

market forces healthcare quality

The healthcare sector is one of the most important industries in any country. With the introduction of market behaviour, however, things have changed. Health insurers are trying to reduce costs, while health providers want to maintain the quality of care for patients. This begs the question: Is this a zero-sum game where the quality of care is reduced when costs are cut? Or can we have both quality and low-cost healthcare?

Market Forces & Healthcare Quality – What’s The Impact?

The introduction of market behaviour in healthcare has positive and negative impacts on the quality of care. Market forces such as competition can lead to improved services and more cost-effective treatments. On the other hand, insurers seeking to cut costs may result in less investment in essential medical services and resources, which can negatively impact patient care.

Market Behaviour & Cost Cutting – Are They Compatible?

There is no simple answer when it comes to striking a balance between cost-cutting and quality care. Health providers have successfully used market forces to reduce costs without compromising the quality of care for patients. However, too much emphasis on cost-cutting may have the opposite effect, leading to reduced patient access and quality of care.

Finding A Balance Between Market Forces & Healthcare Quality

The key is to find a balance between market behaviour and quality care. This can be achieved by implementing measures that incentivise health providers to focus on providing high-quality services at an affordable price. For instance, healthcare authorities can put in place regulations that tie cost reductions to improvements in patient care outcomes or look into payment models that reward providers for delivering value-based services rather than excessive treatments.

How To Achieve A Balanced Market In Healthcare

Achieving a balanced market in healthcare requires investments in technology, data management tools, and other tools that allow health providers to optimise their services. Additionally, healthcare providers need to be provided with the right incentives and resources to ensure that they remain focused on delivering high-quality care while controlling costs.

Market behaviour can have both positive and negative impacts on the quality of care in healthcare. To achieve a balanced market, health insurers and providers must focus on reducing costs without compromising patient care outcomes. Implementing measures such as regulations that tie cost reductions to improvements in patient care outcomes and introducing payment models that reward providers for delivering value-based services can strike a balance between market behaviour and quality care.

A model for hospital governance

implementing the healthcare of the future

I came across this interesting article on governance in hospitals in the International Journal of Health Governance. Traditionally the focus of governance in hospitals was/is on health governance. Lipunga and the team included organisational governance in the framework for hospital governance. Looking forward how this will work with hospital networks

https://www.emerald.com/insight/content/doi/10.1108/IJHG-03-2019-0018/full/html

Preventing data breach by changing habits

Data Breach - Datalek

Data breaches are unfortunately no exception any more. With the roll out of the GDPR, companies have a real obligation (with fines) to report a data breach. We can assume that the number of reported data breaches will raise in the near future. This does not necessarily indicate more security issues. It definitely is caused by better reporting.

4 tips that help you to prevent  a data breach

There isn’t a single solution that is 100% waterproof when it comes to avoiding a data breach. But there are several things you can do yourself. And the good thing is: there often for free. It will take some effort, that’s all!

Lock your computer when you leave your desk

When you park your car in a parking lot , you lock your car. If you leave from home, you lock the door. When you leave your computer unattended, you lock it. It sounds logical but unfortunately very few people do it. You often hear arguments like ” I do trust my co-workers, you know” or “What can go wrong when I’m working at home” These are reasonable arguments but humans are creatures of habit. When we do something in exactly the same way time after time, at a certain moment, it seems like we don’t need to think about it. And that’s what we do, we stop thinking about it. This also goes for locking your computer.  When you make a habit out of it, you don’t need to wonder whether you locked it when working at another location. A small effort to prevent a data breach.

Don’t limit your actions to your car or computer

Locking your computer is the first step in decreasing the chance for a data breach.  Never limit your actions to your computer or car. Are all your documents with confidential information stored safely? Why would you try to hack a computer, if you can take the file with all confidential information from an open cupboard? The same goes for back-up tapes or disks. The most companies safeguard their back-up tapes close to their server. Just like the files with confidential papers and the back-up tapes, other data in the company should be protected against unauthorized access: contracts, customer and supplier data, order histories, staff records, …  When loosing certain data would cause you a lot of problems, then it’s definitely worthwhile to safeguard this data.

A clean desk when you’re not around

It probably already happened to you. You entered an office and you saw files with confidential or commercial information. The solution: a clean desk. There are multiple reasons to introduce a clean desk policy.  Working at a clean desk reduces the distractions. You can fully focus on the job at hand. When you store the files that you don’t need to do today’s work, you never have a backlog of files to file. At a certain moment you want to avoid the backlog at all costs. On top of these productivity advantages, data protection is the biggest reason for implementing a clean desk policy. By filling a possible information, you reduce the chance that sensitive information gets exposed.

Old documents end in the paper bin aka data breach nightmare

It seems logical but unfortunately a lot of confidential data end up in the paper bin. This includes copies of bank statements of draft order forms. To prevent data breaches, confidential documents should be shredded.

If you want know more about data protection, don’t hesitate to contact us.