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Who Cares About Health Care?

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hakeem-campbell
16 diapositives · 303 Views · Dec 01, 2014

Who Cares About Health Care?. Isadore J. King President and CEO The Wellness Plan. Annual Business Conference University of Michigan Business School October 12, 2001. Dr. Entrepreneur. Gall Bladder Surgery $2,000 or Two For $3,000 Bring a Friend SALE ENDS AT AGE 60.

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  1. Who Cares About Health Care? Isadore J. KingPresident and CEOThe Wellness Plan Annual Business ConferenceUniversity of Michigan Business SchoolOctober 12, 2001 Live and Be Well

  2. Dr. Entrepreneur Gall Bladder Surgery $2,000 or Two For $3,000 Bring a Friend SALE ENDS AT AGE 60 Live and Be Well

  3. Current Drivers of Health Care Costs • Law of Supply and Demand Inoperative • Health Care Inflation • Cost vs. Quality Dynamic • Changes in the Practice of Medicine • Consumers’ Quality of Life Demands Live and Be Well

  4. Law of Supply & Demand Inoperative • Uneducated Consumer • Minimal Consumer Financial Participation • Supplier (Provider) Induced Demand • Value Purchasing Not Effective Live and Be Well

  5. Health Care Inflation Sources: www.twv.com/researchlegal/resrchstats.html & HealthINFLATION News, www.healthinflation.com Live and Be Well

  6. Michigan Average Revenue Per Member Per Month Source: Baumgarten, Allen. “Michigan Managed Care Review” Part One, 2001 Live and Be Well

  7. Major Drug Company After Tax Profit Average Profit Margin 20% 21% 21.5% Source: Individual Company Annual Reports Live and Be Well

  8. Michigan HMO Before Tax Profit Source: Kennedy, Sheryl. “Urgency Prods HMOs To Become Lean” Detroit Free Press. Friday June 2 2000. Fin. Ed. Pg.2E. Live and Be Well

  9. Michigan HMO After Tax Profit Source: Baumgarten, Allen. “Michigan Managed Care Review” Part One, 2001 Live and Be Well

  10. Cost vs. Quality Dynamic Current Quality Optimum Cost Live and Be Well

  11. Cost vs. Quality Dynamic Desired Quality Optimum Cost Live and Be Well

  12. Cost vs. Quality Dynamic Projected Quality Optimum Cost Live and Be Well

  13. Changes In The Practice of Medicine • Biotechnology Research Findings • Therapeutic Drug Advances • Stem Cell Research Findings • Genetic Research Findings Live and Be Well

  14. Life Sciences InstituteUniversity of Michigan “We are going to transform the practice of medicine, and this place will be one of the leaders.” Dr. Gil OmennExecutive Vice President Medical AffairsUniversity of Michigan Ann Arbor NewsMarch 2001 Live and Be Well

  15. Consumers’ Quality of Life Demands • Living Longer is Not Enough • Living Longer and Feeling Good is Demanded • Consumers Willing to Assume Greater Responsibility for Health Status Live and Be Well

  16. Strategies To Deal With Uncertainties • Growth on the Margin • Continuous and Vigilant Cost Control • Evidence Based Medicine • Outcome Based Incentives • Managed Health Live and Be Well