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Company That Solved Heath Care

Book Description

Even with new health-care policies, one thing is clear: health-care costs will continue to rise dramatically. While individuals may get better coverage, businesses will have the same problem they've had for the last four decades. Health care, one of corporate America's largest expenses, is growing at double-digit rates, and nothing done in Washington will change that.

But one medium-size company set out to tame the beast of rising health-care costs, employing best practices and cutting-edge ideas. The results have caused others to sit up and take notice. Serigraph, Inc., a Wisconsin-based manufacturer of decorative parts, and its chairman, John Torinus, did what Washington can't or won't do: reduce cost increases to less than 2 percent while improving the quality of health care for its employees. The implications for corporate America are staggering--the opportunity for genuine reform in an expense category that has been spiraling out of control.

Serigraph began its initiative to control health-care costs in 2003, when its annual health-care bill was $5 million and another $750,000 was needed for the projected 15 percent annual increase. The company employed three strategies for reform, each of which can cut the health-care bill by 20 percent to 40 percent--consumer responsibility, the primacy of primary over specialty care and centers of value. Applied in concert with other management methods, these three approaches almost eliminated growth in health-care costs while improving the quality of employee care. The results are documented. They are beyond refute.

The Company That Solved Health Care describes the fascinating details of Serigraph’s program, and shows how any company can achieve similar results. This book is essential reading for any manager responsible for his or her company’s health-care expenses, any academic or thinker involved in the health-care debate and anyone who wants to better understand why health-care costs have been rising and what can be done to achieve price stability while improving patient care.

Table of Contents

  1. Praise
  2. Title Page
  3. Dedication
  4. Introduction
  5. 1 - RAMPANT HEALTH COSTS CAN BE CONTROLLED
    1. LITANY OF EXCUSES
  6. 2 - GET EMPLOYEES’ HEADS IN THE GAME
    1. A WINNING FORMULA
    2. IT’S ALL ABOUT BEHAVIOR CHANGE
  7. 3 - UTILIZATION DROPS SHARPLY WITH INDIVIDUAL RESPONSIBILITY
    1. OTHER EXAMPLES OF CONSUMERISM
    2. HSA TOTAL KEEPS GROWING
  8. 4 - PIERCING THE FOG OF MEDICAL PRICING AND PROMOTING TRANSPARENCY
    1. CO-WORKERS OFTEN SEEK HELP
    2. RETAIL PRICES MEAN LITTLE
    3. OVERBILLING IS SYSTEMIC
  9. 5 - MOTIVATE EMPLOYEES TO SEEK CENTERS OF VALUE
    1. CASH REBATES FOR GOOD BUYS
    2. PRICE NOT RELATED TO QUALITY
    3. NEED FOR BUNDLED PRICES
    4. BUNDLED BILLING POSSIBLE
    5. CREATING A MARKETPLACE
    6. COLLABORATIVE DECISIONS WITH DOCTOR
    7. MORE MEDICAL TOURISM
  10. 6 - THE MISSING LINK: TOP MANAGEMENT AS CHANGE AGENTS
    1. SEARCH FOR BEST PRACTICES
    2. HEALTH METRICS TRACKED
    3. CHANGE MANAGEMENT NEVER EASY
  11. 7 - BEER, BRATS, BUTTERFAT: HEALTH, LIFESTYLE CAN BE MANAGED
  12. 8 - PRIMACY OF PRIMARY CARE DELIVERS BIG SAVINGS
    1. TOWARD DIRECT CARE
    2. FINDING GOOD DEALS
  13. 9 - QUALITY RATINGS ELUSIVE, BUT ESSENTIAL
    1. STEER TOWARD QUALITY
    2. MANDATE QUALITY DISCLOSURE
  14. 10 - TO REFORM: EDUCATE, COMMUNICATE, HYPER-COMMUNICATE
    1. COMMUNICATING WITH CO-WORKERS
    2. PLAN CHANGES NOT EASY
    3. GOOD STUFF ON THE WEB
    4. SHARED DECISION MAKING
    5. END-OF-LIFE DECISIONS
    6. PERSONAL HEALTH RECORDS
  15. 11 - SILVER BULLET FOR BETTER VALUE: LEAN DISCIPLINES THAT TRANSFORM
    1. THE LEAN APPROACH
  16. 12 - GENERICS, LOSS LEADERS PROVIDE LEVERAGE ON DRUG COSTS
    1. SOME RESTRICTIONS IMPOSED
    2. THREE-TIER PRICING
    3. HIGH-PRICED DRUGS
  17. 13 - BETTER MODEL FOR DESPERATE SMALL COMPANIES
  18. 14 - PRIVATE SECTOR REFORMS TRUMP GOVERNMENT EFFORTS
  19. APPENDIX: 2010 BENEFITS AT A GLANCE
  20. ABOUT SERIGRAPH
  21. Copyright Page