nyhra pres final 11 30 2014
TRANSCRIPT
© Modern Medical Systems, Co.A Division of A. Kingsbury Co., Inc.
Modern Medical Systems Co.
December 8, 2014
The Changing Landscape of Healthcare
HCRMA | NY Chapter
Opportunities | Challenges Today and Tomorrow
Expert Asset Management Since 1973
Modern Medical Systems Co.
Agenda
1. Introduction2. The Changing Landscape of Healthcare3. Current Statistics4. Why Is Healthcare Changing5. How to meet cost saving challenges6. Challenges of the ACO model7. Solutions to the Clinical Engineering Challenge
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Expert Asset Management Since 1973
Modern Medical Systems Co.
Speaker and Company Profile
Pete McCann– VP of Modern Medical Systems– 25 Years in Healthcare– Former National Director for Henry Schein – Born into NY Healthcare
Modern Medical Systems– 41 Years in Business– Premier Contracted Vendor– Headquartered in New York– Provides Clinical Engineering services across the US– Customers include almost every Facility in the New York Market
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Expert Asset Management Since 1973
Modern Medical Systems Co.
Expert Asset Management Since 1973 For 40 years Modern Medical
Systems Co. (MMS) has delivered expert biomedical maintenance solutions.
Our suite of customizable services is delivered using our proprietary program: The Complete Cycle of Care.
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Expert Asset Management Since 1973
Modern Medical Systems Co.
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The Changing Landscape of Healthcare
Affordable Care Act Pressure to drive down costs Incentives to Manage total
Patient population Reimbursement Pressure and
Concerns Driving New Revenue
Expert Asset Management Since 1973
Modern Medical Systems Co.
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The Changing Landscape of Healthcare
Nearly ½ of the US population will soon be over 50
The Physician shortage is real and growing
Reimbursements are going down Healthcare Premiums are going
up Cost pressures make it difficult to
fund the necessary staff
* © 2014 Carolinas HealthCare System
Expert Asset Management Since 1973
Modern Medical Systems Co.
Physician Acquisition and the ACO Model
25 Years ago – Hospitals Purchased Doctors offices– Independent Hospitals Purchased local
physicians– Goal was to increase revenue and ensure
that all referrals were going to their hospital
– Major Set back was cash flow, coordination and lack of plan
– No reimbursement incentives– Physicians went back into private practice
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Expert Asset Management Since 1973
Modern Medical Systems Co.
Physician Acquisition and the ACO Model
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– Hospital Systems are purchasing physicians, surgery centers, imaging centers, rehab facilities and long term care facilities
– Main goal is to control the total patient life cycle
– Reimbursement incentives driven by the Affordable Care Act
– Health Systems creation of Insurance Products for Workers
– Physicians mindset and economics of private practice drive ACO sustainability
Expert Asset Management Since 1973
Modern Medical Systems Co.
Reasons Driving ACO Sustainability
Physicians drive for a Private Practice is Diminished– In 1966 6.9% of Medical School Graduates were women, in 2013 that
number was 47.9%. The studies shows that the graduates want a better work life balance.
9Copyright © 2012 Accenture
Expert Asset Management Since 1973
Modern Medical Systems Co.
Reasons Driving ACO Sustainability
10Copyright © 2012 Accenture
Expert Asset Management Since 1973
Modern Medical Systems Co.
Top 5 Challenges in Healthcare 2014
1. Pacing the shift to value-based models. 2. Responding effectively to the economic dynamics of local
markets. 3. Securing and growing market share. 4. Developing alternative revenue streams. 5. Containing core operating costs.
©Healthcare Finance News11
Expert Asset Management Since 1973
Modern Medical Systems Co.
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Some Quick Stats
The number of ACOs has risen dramatically in recent years
As of 2/2014, 428 ACOs existed in 49 states (Leavitt Partners’ Center For ACO Intelligence)
Some research supports the effectiveness of the ACO model in improving the cost and efficiency of care without sacrificing quality
About 14% of the US population is now covered by an ACO arrangement (Kaiser Family Foundation)
Expert Asset Management Since 1973
Modern Medical Systems Co.
ACO in the News
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Modern Medical Systems Co.
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However, there are important challenges when talking about managing off-site locations and affiliates.
Expert Asset Management Since 1973
Modern Medical Systems Co.
Affiliate Locations | Challenges
Who manages the site– A/R– Purchasing and Inventory– Regulatory Compliance– Financials– Legal
I/T and EHR – Connectivity of all sites– Data sharing
Clinical Standardization– Adherence to Guidelines and Standards– Clinical Metrics to measure performance 15
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Modern Medical Systems Co.
Challenges to Materials Management
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Supplies
Services
Equipment
Cost
Revenue and Profit
Patient Outcomes
Expert Asset Management Since 1973
Modern Medical Systems Co.
Challenges to Materials Management
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Expert Asset Management Since 1973
Modern Medical Systems Co.
Challenges to Materials Management• Capturing all costs related to equipment Service• Standardizing Service Spend• Reducing Overall Service Spend• Reducing Equipment Service acquisition Costs
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Modern Medical Systems Co.
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There are some common challenges that arise1. Non-compliance with regulatory2. Patient Safety Concerns3. Poor response time and
equipment downtime = loss of revenue
4. Uncoordinated acquisition and disposition Planning
5. Inadequate Contract Management Capability
6. Multiple Vendor Contact 7. No process for new practice
acquisition
Expert Asset Management Since 1973
Modern Medical Systems Co.
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Question: How Can You Meet Those Challenges And Drive Costs Down?
1. Identify Current Strategy2. Inventory Control3. Contract Analysis4. Financial Review5. Evaluation of Staff6. CMMS Capabilities
Answer: Having A Fully Developed Medical Equipment Service Strategy
Expert Asset Management Since 1973
Modern Medical Systems Co.
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Medical Equipment Service Strategy
A comprehensive life-cycle management plan will bring maximum value to acquisition, usage, and disposition of medical equipment assets across all sites.
A defined process for installing and integrating new capital equipment can prevent costly infrastructure alterations and disruption of workflow
Expert Asset Management Since 1973
Modern Medical Systems Co.
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Financial Review | Contract Analysis
Duplication of contract coverage and associated expenses can many times be missed. A complete review of inventory and associated service coverage levels: – Provides the basis for effective asset
management, including preventive maintenance and tracking of maintenance, repairs, alerts and recalls.
– Support annual medical equipment budget assessments
– May reveal pieces of equipment that are obsolete or not repairable, and this may be a good opportunity to dispose of such items
Expert Asset Management Since 1973
Modern Medical Systems Co.
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Computerized Maintenance Management System | CMMS
A well trained staff will be more successful in optimizing utilization of equipment if a CMMS is in place to track, manage and report on all capital assets. – An effective CMMS can help right-size inventory
as well as control service costs and provide critical data to develop strategic plans for capital acquisition in the future across all sites.
– Monitoring the performance of assets and the satisfaction of end users as well as tracking service delivery metrics and Return on Investment (ROI) for each piece of capital equipment work hand in hand to reduce annual operating expenses.
Expert Asset Management Since 1973
Modern Medical Systems Co.
Solutions and Advice
Define the off-sites owned and what is targeted Ask for an inventory of assets Collect all contracts up front Assign a person or group to manager the sites – clinically and
operationally Follow the same guidelines for best practices Establish on-boarding procedures to include policy definitions
and processes
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