Thursday, June 5, 2014

No Direction Home

My apologies to Bob Dylan, but need to drive the point home.  I noticed this reporting on NPR:
 
NPR: doctors hesitate to ask heart patients about end of life plans

This flies in the face of everything I have encountered and learned over the course of personal and professional knowledge regarding Health Care Reform.  #hcr

Here is Ken's top 3 actions we need to take to get control of costs and efficiency for Health Care in the US:

  1. Personal Responsibility
    Whatever happened to us as individuals that we no longer take responsibility for our actions and stand up to fix them?  I will expand on this topic in a future blog post, but here is something to think about.  We know that people who are obese over their lifetime will cost on average $13K/year more in health care costs than a non-obese person. 

    This is not very hard to understand.  Consider that likelihood of Diabetes, Health Disease, and increased need for hip and knee replacements.  These cost add up fast.  However, people who fall into this category do not pay more in premiums, that cost is distributed to all of us.  Therefore, all costs are driven higher unnecessarily.  So, a lot of talk these days, but we have not come to terms with the impact of this issue, why not? 

    Another example, we know in the state of MN, the cost the state pays dealing with smoking related illness comes to $554/year per person.  Not voter, or taxpayer, per person.  Yet, for all the progress made in this area, there was great opposition recently when the legislature wanted to raise the cigarette tax.  The reason, it would cost jobs at convenient stores and gas station?  How many jobs are being lost because living within our budgets, we can't invest appropriately in infrastructure and other items to create more jobs in the state because we give medical welfare to smokers? 

    Get my point?
  2. Dealing with last 6 months of life.
    Bingo, this is why the NPR article hit home.  Unlike many other countries in the world, in the US we have to opt in to things rather than opt out.  If someone does not have a living will or other plans, then by default we go to extraordinary efforts to keep them alive.  We increase the quantity of life while throwing out the quality of life in many situations. 

    Remember during the ACA (ObamaCare) discussions the whole scar tactic of the government wants to kill Grandma?  Yep, keep fear alive, and by the way, we won't compensate via Medicare for Doctors to have the up front discussion for people to plan their end of life with dignity.  The costs here are staggering, for example: CNN Cutting the high cost of end of life care
    Therefore, time to us as a society to grow up and deal with death.  Hello, news flash we all are going to die, accept it and stand up how you want your final days to be.  Tubed up in a hospital, or, maybe at home with family?  If we don't opt in and put plans in place, prepare to tube up.  We can't tip toe around this anymore with the "Silver Tsunami" coming down the pike.  The important aspect here is for our politicians to step up on this topic before they just blindly go and pull back on benefits and cut these budgets.  Like many businesses out there, afraid to resolve the process issues to save money, just cut travel budgets, headcount etc.  Short term fixes because the core issue on whats wrong has not been addressed. 
  3. Hospitals need to address their costs
    I have spent over two years working in the arena of Activity Based Costing for health care providers.  Wow, what a shock this was to me.  Go ahead and ask a hospital a simple question like, what is your cost for a CT of the abdomen?  They don't know.  They might know parts of it, but not the total cost.  Ask a car manufacturer in Detroit what was their cost for a car, you will get an answer to tenths of a cent. 

    Now, calm down, I'm not saying people are just a manufacturing line, but there is a corollary here.  Back to the CT, a simple workflow process would be Schedule-Checkin-Triage(maybe contrast or IV)-Scan-Interpret-Document.  It is a process ending up with a specific outcome of an interpretation of the scan.

    Now, for all these steps, consider the costs for labor, equipment, supplies, overhead items, the providers can't put their fingers on all of these components.  Bottom line, they don't know the actual cost.  All of that data is manged through a plethora of IT systems that don't talk to each other.  So, how do they know if they are making a profit or losing money?  That aside, the hospitals don't control reimbursement for these events, the government (Medicare) & Insurance companies do. 

    By the way, Medicare reimbursement will be declining at the same time patient numbers will be increasing.  Simple question, if we want to be more efficient to manage our resources better while not effecting outcome of procedures, why don't we understand this? 
Humbly submitted as food for thought ...

Monday, January 27, 2014

"This is so simple an 8th grader could figure it out. Go find me an 8th grader I can't make heads or tails out of it" Groucho Marx

http://knowledge.wharton.upenn.edu/article/corporate-tax-avoidance-can-the-system-be-fixed/

So, I stumbled across this article and figured, gee, this should be simple enough.  I have a lot of business experience, have a MBA,  fairly intelligent person, no problem.  For a while I understood it. But as more and more borders were crossed things became fuzzier and fuzzier.

I can understand this much, lots of US Corporate money is not being invested here.  From this article, it appears there is a lot of money that needs to be repatriated, which can only be a good thing.  The other item I understand is the tax rate.  I have heard so many times about the US having the highest business tax rate.  That is not good.  I also hear that few if any corporations pay that rate because of the loopholes and things such as outlined in this article.

From my research and statements by some of my MBA professors, Hong Kong is simple.  19% tax on profits, no games.  Gee, maybe even an 8th grader could figure that one out.

Therefore, here is another item for our do nothing overpaid congress, most of you act like you are in 8th grade, so why not make it simple enough for all of you to understand.  If you can get it, I'm sure the rest of use will do just fine ...

Friday, December 27, 2013

Not A Positive Trend

From the Harvard Business Review:


THE DAILY STAT: Harvard Business ReviewDecember 26, 2013

Students Get Lower Grades in Online Courses


Although students who take online courses in community colleges tend to be better prepared and more motivated than their classmates, a study by Di Xu and Shanna Smith Jaggars of Columbia University shows that the online format has a significant negative impact on students’ persistence in sticking with courses and on their course grades. For the typical student, taking a course online rather than in person would decrease his or her likelihood of course persistence by 7 percentage points, and if the student continued to the end of the course, would lower his or her final grade by more than 0.3 points on a 4-point scale. Before expanding online courses, colleges need to improve students’ time-management and independent-learning skills, the researchers say.
Personally I have never been a fan of online or even remote classrooms.  I first encountered this concept back in the early 80's taking some Master level Computer Science classes thru the U of Minn remote hooked that IBM supplied.  That never really worked for me.

Blogging and online forums do have their place, obviously .  However, when I went for my MBA a few years ago, to me there was no compromising on having classroom instruction.  The level of discussion in a classroom cannot compare at all to that which occurs in an online discussion.  I also have made friends and professional contacts that would be much harder to accomplish online.

Of course, with this study good to see that I also achieved much more than online as well ...


Monday, March 11, 2013

Another Lesson From Katrina

http://www.cio.com/article/729184/NBA_Team_Rebounds_From_IT_Disaster

I was looking thru the monthly CIO magazine and who couldn't resist reading about an NBA team rebounding?  Minimal humor aside, it was good to see the aspect of DR branching out beyond what we generally consider mission critical businesses.

What was enlightening here, was that Tod Caflisch the VP of IT brought things he learned from Katrina to this new job.  The Hornets implemented a great DR plan, but the kicker was that the emergency generator runs on an alternative fuel.  Why?  During the aftermath of Katrina the emergency agencies had dibs on all the diesel fuel.  So, even those with high end DR plans ran out of juice because they could not get their hands on the diesel to keep their generators running.

So, all of you out there in areas that can have wide spread natural impacts, pay attention !!!  More lessons learned ...

Sunday, May 6, 2012

Scary, very scary ...

Was Marx Right?

OK, don't shoot the messenger here.  Joe McCarthy can rest well in his grave, and that too is a good thing.  I do believe in the free market, but I also believe something is out of synch right now that isn't being addressed.   I have been going back to this post since it first came out in November.  At first I sort of laughed it off, but this morning, with the Political circus revving up, it just sort of hit me differently.  The point about WalMart and McD's being the top two employers and in a land of plenty so much not happening and a lot of people are making a lot of money. 

I try to keep my comments on this blog more business than political but I find this discussion very grey.  I have a lot of business experience, I have an MBA and a PMP certification.  I read a lot of Porter during my MBA and the Shared Value comment keeps coming back to haunt me.  That is what we don''t have and we really need to find. 

But, decide for yourself.  There are plenty of comments on this article as you can see.  And I wouldn't consider the Harvard Business Review some pinky radical left week type of publication.  Some of you might, so here here for freedom.

However, the more I read, the scarier it all became ...

Sunday, November 6, 2011

2+2=5

Economics can mimic nature in many ways.  Just like when a storm comes thru.  Bad thunderstorms can knock down trees and power.  Increasing strength in storms can have bigger impacts, look at what is happening in the northeast over a week after that snowstorm.  Earthquakes can leverage more intense havoc that takes longer to recover from.  Recent examples here are Haiti and the tsunami's from the Japanese earthquake.

Economically what we have been  trying to recover from for 4 years is in the same category as an earthquake or tsunami, it is going to take some time and things aren't going to be the same.  So, I wasn't so surprised when I came across this article in the Harvard Business Review:


The 2008 stock-market crash and subsequent recession significantly damaged U.S. companies' competitiveness, according to a team led by Gulser Meric of Rowan University that examined the financial characteristics of 334 top U.S. firms. On average, the companies' return-on-assets ratio dropped from 6.45% in 2007 to 4.17% in 2009, their total-assets-turnover ratio fell from 1.437 to 1.294, and their return-on-equity ratio dropped from 16.8% to 10.22%. All are factors in competitiveness, the authors say.























OK, so we had our knee's taken out and we need to invest to restore our competitiveness just like the Haitians and Japanese need to invest to rebuild from their natural disasters.  If we aren't doing this then how we will be able to compete effectively whenever a full recovery comes about.  But wait, if this what we should be doing, then why are corporations sitting on a ton of cash?

http://marketplace.publicradio.org/display/web/2011/08/17/pm-companies-sit-on-huge-reserves-of-cash/

There is some investment in capital, but, one would presume this type of revamping would require additional workforce, and that is not happening either.  So, we have the proverbial 2+2=5.  We take a hit, are not as competitive, we should be investing and are not, and wonder why things don't seem right ???

Friday, September 2, 2011

Ugh, Truley You Jest, SMB's Unprepared for Disaster?

Symantec SMB DR Preparedness Report

This is most disturbing.  The world economy is in the dumps and everyone says it's the SMBs that will drive growth.  It is a well documented fact that 50% of any businesses that suffers a major data loss event go bankrupt.  Just look around right now, one doesn't have to blink an eye these days and see some kind of Nature on display going on.  The Japan earthquake, hurricane damage in the northeast with more storms on the way.  Fires in the south, we are in very active times and all the statistics say we are due for more.

Next fact, if you have anything to do with computers, have you really not heard of the Cloud?  How much easier can it be than to sign up for some cloud based backup to get your data off premise, even if you only do it on a daily basis, only a days worth of change is lost. 

The one the gets me the most, Carbonite.  Any trekkers out there remember the first season where Kirk bluffed an alien with this fictitious material?  Don't misread this as an endorsement for this product.  My comment here is that cloud backup has become so mainstream that you see TV commercials on it and it ties into one of the most successful science fiction brands out there.

Anyone listening out there or do I have to do a Vulcan mind meld for you to understand what needs to be done ???