Major transformation is happening in the Healthcare industry. Market dynamics, health system consolidation, mergers and acquisitions, payment reform, technological advances, and changes to the delivery of care are all re-shaping the way the healthcare industry functions.
The Healthcare industry is going through a period of rapid advancement. Increasingly healthcare organizations are delivering patient care and facilities management in new ways. As the healthcare industry continues to shift toward value-based population health, mergers and acquisitions (M&A) continue to accelerate. This is creating mega-sized, nontraditional health systems. Meanwhile, the industry continues to grapple with rigid compliance regulation, pressure to enhance the patient experience, improve financial performance, and increase everyday efficiencies.
As a disruptor in the field of capital planning, facilities management, and the built environment, we know the value of staying on top of developing issues. Here we discuss how trends in healthcare will impact facilities management in 2019.
The Healthcare Physical Environment
Recently there has been an increased focus on preventative care and wellness versus episodic and sick care, therefore, the future of health facilities is fluid. This raises questions in regards to future capital improvement projects at healthcare facilities. What does the future hold for our healthcare delivery systems and facilities and how can hospitals and health systems plan for this unknown?
Healthcare providers’ core assets, Hospitals, will most likely be slimmed down health centers with inpatient beds, and may become a point on the spectrum of care delivery, rather the single point of care. In 2019 this trend is predicted to continue with more outpatient-like health centers and an increased focus on more diversified capital and real estate portfolios that will include assets in medical office buildings, ambulatory care centers, specialty care centers, and home care delivery.
Mergers and Acquisitions in Healthcare
Mergers and Acquisitions (M&A) are creating mega health systems, cross-industry collaborations, and new approaches to commercial real estate--all this indicates that there is a greater need to be strategic in health facility capital planning. Hospital consolidation has steadily increased in recent years. Mergers, as well as never-before-seen cross-industry collaborations with pharmaceutical companies, faith-based organizations and nontraditional healthcare players continue to impact the healthcare industry.
Further, many large healthcare systems are creating their own insurance companies to combat the reduction of reimbursements from large insurance companies. Consolidation is creating some of the largest systems in the country, along with new kinds of healthcare organizations involving healthcare providers, payers, retailers, pharmaceutical and device companies, and other players.
Hospital-acquired infections remain a problem - and Facilities can lead the charge against them
Although there has been discernible progress made to prevent healthcare-associated infections (HAI), the Center for Disease Control (CDC) estimates one in 25 hospital patients acquires at least one HAI.
According to the CDC, the physical environment is fourth on the list of HAI causes. While HAIs from treatment-related causes are decreasing, HAIs resulting from the environment of care may not be. Hospitals and healthcare facilities must consider how they can improve the design, maintenance and management of facilities—from ventilation systems to room décor—to reduce infection risks.
Yet preventing HAIs can become significantly more complicated when multiple sites and assets are involved. Further, not all organizations have means of ensuring communication and transparency between the facility’s lead infection preventionist and its facilities management director. With customized viewing for a variety of roles, automated rules, configurable reports, and transparency from end-to-end, an integrated facilities solution can become vital to preventing HAIs.
Data-driven decision-making in healthcare facilities
The accessibility of data—and the means to store, process, and analyze it—drives decisions that everyone makes in business today, particularly those in healthcare facilities operations management. In a recent Oracle study of 333 C-level executives (30 of whom are healthcare executives), 94% say their company is collecting and managing more business information today than they did two years ago.
While it is critical that all healthcare facilities are prepared to gather, store, and interpret this information, 40% of the healthcare executives surveyed gave themselves a "D" or an "F" rating in terms of their preparedness to handle the onslaught of data.
In the same Oracle study, 93% of executives surveyed said their company is losing revenue—on average, 14% annually—as a result of not being able to fully leverage data. Often, the biggest challenge is to find the most efficient, cost-effective ways to capture and report on data for the facility's day-to-day operations.
This often involves a data-driven facility management solution that enables facilities managers to effectively leverage data to track required compliance-based inspections, inspect physical assets, report on facility maintenance issues, and continuously update plans and budgets for accurate spending projections.
With the help of an integrated assessment, capital planning, and facility management tool, such as The FOUNDATION Solution, healthcare finance and facility managers can effectively analyze data, and manage operations budgeting and capital planning.
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