Establishing and Maintaining Strategic Relationships

EBAA Leadership and Advocacy Conference February 14, 2014

Kevin W. Ross, MS, MPH President and Chief Executive Officer

Health Care

Ophthy

Transplant

Cornea

You Are Here

Q: Why maintain relationships?

A: Because we are small, yet IMPORTANT, irreplaceable despite best efforts.

Society

Approach for Discussion

• Present biased opinions expressing a view of the world.

• Invite alternatives, stories, conversation. • Finish in 30 minutes.

A Couple of Opinions

• There is no such thing as an Independent eye bank. We are all part of a fabric, and serve best when we work together to provide great service in each community.

• Community-based eye banking works much better than institutional alternatives.

Eye Banking: A Thumbnail Analysis Strengths

Long history, well organized, pass-through reimbursement, focus on restored vision

Weaknesses Small, lack standing of physicians & hospitals, lack financing of pharma & OPOs, missed many boats

Opportunities Sustained community-based eye banking everywhere

Threats Decreased reimbursement, commoditization, new technology, risk to patients

Eye Banks are inherently collaborative, connecting donors with recipients through a network of partnerships.

A Couple of Definitions Wikipedia 02/12/2014 FWIW

• Strategy is a high level plan to achieve one or more goals under conditions of uncertainty.

• A strategic alliance is an agreement between two or more parties to pursue a set of agreed upon objectives while remaining independent organizations. – Lies between merger/acquisition and organic

growth

Some Business Background

• Steve Steinhilber as VP of Strategic Alliances, Cisco Systems • Harvard Business Press, 2008. • We’re looking for points of contact with non-profit service.

Three Reasons to Engage

• Product life cycles are becoming shorter and shorter. – Need ability and capital in all segments

• Anytime/anywhere communication leads to commoditization – Focus on what you do well to succeed

• Customer expectations – Combine skills to create integrated solutions

In one word: Leverage

Approaches to Consider

• Partnering with market leaders • Partnering with market

challengers/disruptors • Partnering with competitors

– Look for areas where you can create more mutual value than mutual destruction

Some Advice from Steinhilber • The basic decision: Build a capacity, buy it

through acquisition, or strategically partner? • Start with a strategy, not a partner.

– What are you trying to do? – Obvious but important: Any potential alliance

should align with your strategy.

• Strategic alliances have a lifecycle, repeatable professional practices, and unique relationship skills.

Some Recent Headlines

Establishing Partnerships

• Folks need to explore, reach out, participate – Board members – Organizational leaders – Function area leaders – Connectors

• Which is what we’re doing here, BTW • The CEO role traditionally looks outward, and

can support open engagement.

What Kinds of Partnership are Strategic? • Service area partners: OPO, donation and

transplant organizations • Other eye banks • Lions clubs • Academic and other medical centers • Governmental organizations • Processing and distribution entities • International

Organ Procurement Organizations

• One possible approach: Don’t touch this. • An alternative: Uncover real needs and

address them. Innovate. Build trust. • Sharing cornea recovery • Full integration could reduce focus on

development and growth in ocular services.

Give your hearts, but not into each other’s keeping. For only the hand of Life can contain your hearts. And stand together yet not too near together: For the pillars of the temple stand apart, And the oak tree and the cypress grow not in each other’s shadow.

The Prophet (1923), Khalil Gibran

Eye Bank Partnerships

• Combine efforts, share solutions • Shared services: information systems,

donor screening, processing, tissue placement, quality and compliance

• Research and knowledge generation • EBAA opens many doors through meetings,

standards, accreditation, …

Lions Clubs

• Founding partnerships provided access to community hospitals, trust, volunteers

• Changed how we view death in society, and created the idea of anatomical gifts

• Eye bank staff may be co-opted for other missions

• Changing roles and relationships

Academic Medical Centers

• Founding partners provided a path to professionalism

• Strong source of knowledge, guidance, operational support

• Some eye banks still operate within universities, other institutions – Community-based eye banking requires

perspective beyond even large institutions

Governmental Links

• Eye bank missions align with U.S. and other countries public health objectives.

• And with public officials’ desire to contribute to society.

• Example: Michigan Secretary of State • Full integration with government services

has been less successful than U.S. models.

Processing and Distribution

• Innovative entrepreneurial firms not necessarily participating in ocular tissue recovery

• Issues of law, ethics, sensibility, authorization • Competition can reduce community trust • Common model in tissue banking • When should eye banks partner with other

entities, or directly develop new services?

International Partnerships

• EBAA Medical Standards are the key to appropriate and effective eye banking worldwide.

• GAEBA and international associations • U.S. tissue placement • Eye bank development • Establishing informed consent is a non-trivial accomplishment.

An Example: Korea

• Began with a few connections and some analysis. • Attended conference, met with surgeons,

officials, legal counsel. • Objectives are to open an office supporting U.S.

tissue placement, participate in eye bank network development.

• Persistence and patience are required. • Skills developed in the U.S. can improve lives

everywhere through partnership.

Thank You!

Additional Partnership Examples

Jordan Eye Bank

• Multi-center donation program using dedicated counselors for informed consent

• Meeting about half of cornea surgery needs with local donations

• Funding is limited

Banque des Yeux Marrakech

• World class facility opened October 2011 • Strong CHU support • Dedicated staff • Standards-based SOP • Clinical and community

programs

CNPTO Tunisia

• Combined organ and cornea program with a history of success in cornea recovery

• Dedicated staff • Developing SOPs • Presumed consent

with opt-out

International Activities • Tissue distribution at sustainable

reimbursement and to meet charitable needs • Technical assistance for cornea recovery and

eye bank operations • Meetings and workshops

• MEACO/MEAEBO Bahrain, 2009 • AAO/MEACO Chicago, 2010 • WOC 2012, Abu Dhabi

Eye Banking in Egypt

• Earlier activity using presumed consent • Recent concern about falsification of U.S.

cornea documents • U.S. costs make reimbursement a challenge • Long-term potential to meet cornea needs

with local tissue donation – Will require strong legal, regulatory, standards

framework – Community-based programs can build trust