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Changing Behavior to Change
       Behavior…?
   Opportunities in 21st Century
           Healthcare



         John W. Kenagy, MD
 Consumer-Centric Health Innoventions
           October 12, 2011
    Slides? john@johnkenagy.com

    ©2011 John Kenagy, Adaptive Design, Ideal Patient Care and Learning Line are trademarks of john Kenagy
The 21st Century Healthcare
          Opportunity

 Thriving in 21st Century healthcare
  means providing much more and
better care at continually lower cost.




    That’s a marvelous opportunity, but…

                                     ©John W. Kenagy, 2011
The Path of Opportunity…
  Characteristics of Success
1. The Facts – Successful innovators adapt and
   thrive by rapidly developing opportunities that
   others don‟t. “It‟s not best practice …”
                – Historically successful Mindsets,
   Methods, Strategies and Structures
   alwaysslow, stall or stop new adaptive
   opportunities. “It‟s almost impossible …”
3. The Opportunity – Develop new, internal
   adaptive capacity. “‟Designed to adapt’ is a
   opportunity….”
                                            ©John W. Kenagy, 2011
On a path…..




               ©John W. Kenagy, 2011
On a path….




              ©John W. Kenagy, 2011
The doctor adapting…..




                         ©John W. Kenagy, 2011
On a path….
THE DOCTOR WHO WAS A
  PATIENT BECOMES AN
       EXECUTIVE




                   ©John W. Kenagy, 2011
Sustainable innovation in a
    complex, dynamic,
  unpredictable business?
   What’s the path….?




                        ©John W. Kenagy, 2011
Disruptive Innovation
The 21st Century Healthcare Opportunity….?

         List 1                       List 2
 Digital Equipment, IBM      Apple, Microsoft, Intel, IBM
 Macy‟s, Marshal Field,         Nordstrom, Target
          Sears                   Toyota, Honda
GM, Ford, Daimler/Chrysler   Vanguard, Bloomberg LP
      Lehman Bros.              Southwest Airlines
 United, American, Delta       Google, Intel, Apple
      IBM, Microsoft




                                                ©John W. Kenagy, 2011
Where’s Healthcare?
            What Separates List 1 from List 2?
            New opportunities drive new value to be?
            Where are you? Where do you want

                       List 1                        List 2
               Digital Equipment, IBM      Apple, Microsoft, Intel, IBM
New Value




               Macy‟s, Marshal Field,         Nordstrom, Target
                         Sears                  Toyota, Honda
             GM, Ford, Daimler/Chrysler    Vanguard, Bloomberg LP
             Merrill Lynch, Lehman Bros.      Southwest Airlines
              United, American, Delta        Google, Intel, Apple
                     IBM, Microsoft
                                      Time
            Hopkins, MGH, Mayo, IHI, CMS..           You?
                                                    ??????


                                                              ©John W. Kenagy, 2011
“It’s almost impossible …”
       Clayton Christensen

      On a path….
       “ALMOST
     IMPOSSIBLE?”
  WHAT’S POSSIBLE?




                             ©John W. Kenagy, 2011
First, know where you’re going


 Thriving in 21st Century healthcare
  means providing much more and
better care at continually lower cost.




                                  ©John W. Kenagy, 2011
The next question to ask:
Will what got us here, get us there?


            MANAGEMENT



            data   implement




             FRONTLINE




                Historically successful
    Mindsets, Methods, Strategies, and Structures
              (      ) are not adaptive.   ©John W. Kenagy, 2011
What Works…
It’s not rocket science; it’s new opportunities

                              Adaptive = Future
                           Charternewinnovation
     copies, makes or      incubators with a Purpose
buys innovation
               to people   Rapidly develop
in meetings, who           new, real-
analyze, prioritize and    time,improvement
implement solutions        opportunities close to
                           relevant information


                                            ©John W. Kenagy, 2011
Link Information to Action to Results
Clear, Consistent, Relevant Information

Key Information     The Problem with             The Success of
    Metrics         Common Practice              Adaptive Design
   Timely?        Weeks, months, years ago             Now
                    Aggregate data moves
  Specific,            through clusters of        Role-specific,
 actionable?       disparate systems that do       actionable
                  not communicate effectively
                       Measure, collect,
                  aggregate, meet, analyze,        Action leads to
  Verifiable?               prioritize,          results with rapid
                   implement……measure,               feedback
                  collect, meet, analyze, etc.
       Increasing choice and decreasing risk
                                                         ©John W. Kenagy, 2011
Why real time information …?




                           ©John W. Kenagy, 2011
What’s it take to get an aspirin …




                             ©John W. Kenagy, 2011
©John W. Kenagy, 2011
Choices That Create Opportunity…
Start with a meaningful purpose, then


 1. Work as close in time and place to
    the patient as possible.
 2. Use timely, relevant, role-specific,
    actionable information
 3. Improve by linking information to
    action to rapid, real time feedback

                                        ©John W. Kenagy, 2011
What Works…
It’s not rocket science, just new opportunities

                              Adaptive = Future
              copies,      Designnewinnovation
makes or buys innovation   incubators with a Purpose
               to people   Rapidly develop
in meetings, who           new, real-
analyze, prioritize and    time,improvement
implement solutions        opportunities close to
                           relevant information
     your way to a          Act your way to a new
new way of acting           way of thinking
                                           ©John W. Kenagy, 2011
Brain 1-2-4
1 Organizing Principle: „Minimize Danger –

2     MODES of processing:   Conscious



4 Key Processes:
                                      Thinking
        Data
    Feeling

                                                           Self Regulation

    Emotion              Implement
                          solutions
                                                   Modified from:
                                         Evian.Gordon@BrainResources.com
                                                Used with ©John W. Kenagy, 2011
                                                          permission
Changing Behavior
It’s the ‘neurophysiology’ of leadership
• Our brains are wired to repeat past success,
  distrust the unknown and seek meaning in life.
• When times change, our brains define three
  meaningful things to do:
  – Align with a meaningful strategic purpose
  – Connect people and relevant info to action to results
  – Use real-time results, not data, to realign and inspire

• When we meaningfully experience success
  together, we rewire our thinking, realign our
  behavior and commit
                                                     ©John W. Kenagy, 2011
What‟s/ OwatonnaMarch 2008 - October 2009 Performance
                      MHS Different? -Diabetic Care is no ceiling
                                    Clinic Optimal There

                   to our potential or your opportunity
             35%                                                    MHS 2009 Goal 30.6%
                                   Oct 08-Oct 09 = 81% MD Improvement
             30%                   Oct 08-Dec 09 = 121% MD Improvement

             25%
                      A 60 clinician clinic begins
                            MHS 2008 Goal 20%
                                                                                             28.9%
                           Adaptive Design
Percentage




             20%


             15%


             10%                                Cumulative MD performance in
                      13%                        a large, great health system
             5%


             0%




                     9
                     8
                     8




                     9
                     9
                     8




                     9




                     9
                     9
                     8




                     9
                     8




                    8




                    9

                    9
                    8




                    8
                    8




                    9
                    8




                  l-0
                  l-0
                 r-0




                n-0




                 r-0
                n-0

                b-0




                n-0
                 r-0
                 t-0




                 t-0
                r-0




                p-0




                p-0
                g-0
                g-0




                c-0
                v-0




                y-0
                y-0



               Ju




               Ju
              Oc




              Oc
             Ma




             Ma
              Ap




              Ap
              Ju




              Ja




              Ju
             Fe
             No

             De




             Ma
             Ma




             Se




             Se
             Au




             Au
                                                     Month

                                          Owatonna     MHS   MHS Goal
                                                                                  ©John W. Kenagy, 2011
The 21stCentury Healthcare
 Business R&D Opportunity
• The Opportunity = “It‟s not best practice...” We
  can‟t buy the future; we have to make it.
• How? Start with the patient, not the technology
  – Understand the job-to-be-done = it‟s more care, less cost
  – The laboratory is our frontline; we own it, we benefit
  – Our ingenuity + new partnerships and skills make the future

• The Reward = Strength through adaptability
  – New products emerge from new partnerships delivering
    new results for patients = more care for less cost
  – We never stop adapting to get patients exactly what they
    need at continually lower cost. We never stop succeeding.
                                                    ©John W. Kenagy, 2011
The Path of Opportunity…
  Characteristics of Success
1. The Facts – Successful innovators adapt and
   thrive by rapidly developing opportunities that
   others don‟t. “It‟s not best practice …”
                – Historically successful Mindsets,
   Methods, Strategies and Structures
   alwaysslow, stall or stop new adaptive
   opportunities. “It‟s almost impossible …”
3. The Opportunity – Develop new, internal
   adaptive capacity. “‟Designed to adapt’ is a
   opportunity….”
                                            ©John W. Kenagy, 2011
What’s your      Never doubt that a small group
path? What are   of thoughtful, committed
                 citizens can change the world;
your choices?    indeed, it‟s the only thing that
                 ever has. – Margaret Mead
                     MANAGEMENT



                     data   implement


                 “DESIGNED TO ADAPT
                    AND SUCCEED”
                       FRONTLINE




    Slides? info@johnkenagy.com
                                        ©John W. Kenagy, 2011

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John Kenagy at Consumer Centric Health, Models for Change '11

  • 1. Changing Behavior to Change Behavior…? Opportunities in 21st Century Healthcare John W. Kenagy, MD Consumer-Centric Health Innoventions October 12, 2011 Slides? john@johnkenagy.com ©2011 John Kenagy, Adaptive Design, Ideal Patient Care and Learning Line are trademarks of john Kenagy
  • 2. The 21st Century Healthcare Opportunity Thriving in 21st Century healthcare means providing much more and better care at continually lower cost. That’s a marvelous opportunity, but… ©John W. Kenagy, 2011
  • 3. The Path of Opportunity… Characteristics of Success 1. The Facts – Successful innovators adapt and thrive by rapidly developing opportunities that others don‟t. “It‟s not best practice …” – Historically successful Mindsets, Methods, Strategies and Structures alwaysslow, stall or stop new adaptive opportunities. “It‟s almost impossible …” 3. The Opportunity – Develop new, internal adaptive capacity. “‟Designed to adapt’ is a opportunity….” ©John W. Kenagy, 2011
  • 4. On a path….. ©John W. Kenagy, 2011
  • 5. On a path…. ©John W. Kenagy, 2011
  • 6. The doctor adapting….. ©John W. Kenagy, 2011
  • 7. On a path…. THE DOCTOR WHO WAS A PATIENT BECOMES AN EXECUTIVE ©John W. Kenagy, 2011
  • 8. Sustainable innovation in a complex, dynamic, unpredictable business? What’s the path….? ©John W. Kenagy, 2011
  • 9. Disruptive Innovation The 21st Century Healthcare Opportunity….? List 1 List 2 Digital Equipment, IBM Apple, Microsoft, Intel, IBM Macy‟s, Marshal Field, Nordstrom, Target Sears Toyota, Honda GM, Ford, Daimler/Chrysler Vanguard, Bloomberg LP Lehman Bros. Southwest Airlines United, American, Delta Google, Intel, Apple IBM, Microsoft ©John W. Kenagy, 2011
  • 10. Where’s Healthcare? What Separates List 1 from List 2? New opportunities drive new value to be? Where are you? Where do you want List 1 List 2 Digital Equipment, IBM Apple, Microsoft, Intel, IBM New Value Macy‟s, Marshal Field, Nordstrom, Target Sears Toyota, Honda GM, Ford, Daimler/Chrysler Vanguard, Bloomberg LP Merrill Lynch, Lehman Bros. Southwest Airlines United, American, Delta Google, Intel, Apple IBM, Microsoft Time Hopkins, MGH, Mayo, IHI, CMS.. You? ?????? ©John W. Kenagy, 2011
  • 11. “It’s almost impossible …” Clayton Christensen On a path…. “ALMOST IMPOSSIBLE?” WHAT’S POSSIBLE? ©John W. Kenagy, 2011
  • 12. First, know where you’re going Thriving in 21st Century healthcare means providing much more and better care at continually lower cost. ©John W. Kenagy, 2011
  • 13. The next question to ask: Will what got us here, get us there? MANAGEMENT data implement FRONTLINE Historically successful Mindsets, Methods, Strategies, and Structures ( ) are not adaptive. ©John W. Kenagy, 2011
  • 14. What Works… It’s not rocket science; it’s new opportunities Adaptive = Future Charternewinnovation copies, makes or incubators with a Purpose buys innovation to people Rapidly develop in meetings, who new, real- analyze, prioritize and time,improvement implement solutions opportunities close to relevant information ©John W. Kenagy, 2011
  • 15. Link Information to Action to Results Clear, Consistent, Relevant Information Key Information The Problem with The Success of Metrics Common Practice Adaptive Design Timely? Weeks, months, years ago Now Aggregate data moves Specific, through clusters of Role-specific, actionable? disparate systems that do actionable not communicate effectively Measure, collect, aggregate, meet, analyze, Action leads to Verifiable? prioritize, results with rapid implement……measure, feedback collect, meet, analyze, etc. Increasing choice and decreasing risk ©John W. Kenagy, 2011
  • 16. Why real time information …? ©John W. Kenagy, 2011
  • 17. What’s it take to get an aspirin … ©John W. Kenagy, 2011
  • 19. Choices That Create Opportunity… Start with a meaningful purpose, then 1. Work as close in time and place to the patient as possible. 2. Use timely, relevant, role-specific, actionable information 3. Improve by linking information to action to rapid, real time feedback ©John W. Kenagy, 2011
  • 20. What Works… It’s not rocket science, just new opportunities Adaptive = Future copies, Designnewinnovation makes or buys innovation incubators with a Purpose to people Rapidly develop in meetings, who new, real- analyze, prioritize and time,improvement implement solutions opportunities close to relevant information your way to a Act your way to a new new way of acting way of thinking ©John W. Kenagy, 2011
  • 21. Brain 1-2-4 1 Organizing Principle: „Minimize Danger – 2 MODES of processing: Conscious 4 Key Processes: Thinking Data Feeling Self Regulation Emotion Implement solutions Modified from: Evian.Gordon@BrainResources.com Used with ©John W. Kenagy, 2011 permission
  • 22. Changing Behavior It’s the ‘neurophysiology’ of leadership • Our brains are wired to repeat past success, distrust the unknown and seek meaning in life. • When times change, our brains define three meaningful things to do: – Align with a meaningful strategic purpose – Connect people and relevant info to action to results – Use real-time results, not data, to realign and inspire • When we meaningfully experience success together, we rewire our thinking, realign our behavior and commit ©John W. Kenagy, 2011
  • 23. What‟s/ OwatonnaMarch 2008 - October 2009 Performance MHS Different? -Diabetic Care is no ceiling Clinic Optimal There to our potential or your opportunity 35% MHS 2009 Goal 30.6% Oct 08-Oct 09 = 81% MD Improvement 30% Oct 08-Dec 09 = 121% MD Improvement 25% A 60 clinician clinic begins MHS 2008 Goal 20% 28.9% Adaptive Design Percentage 20% 15% 10% Cumulative MD performance in 13% a large, great health system 5% 0% 9 8 8 9 9 8 9 9 9 8 9 8 8 9 9 8 8 8 9 8 l-0 l-0 r-0 n-0 r-0 n-0 b-0 n-0 r-0 t-0 t-0 r-0 p-0 p-0 g-0 g-0 c-0 v-0 y-0 y-0 Ju Ju Oc Oc Ma Ma Ap Ap Ju Ja Ju Fe No De Ma Ma Se Se Au Au Month Owatonna MHS MHS Goal ©John W. Kenagy, 2011
  • 24. The 21stCentury Healthcare Business R&D Opportunity • The Opportunity = “It‟s not best practice...” We can‟t buy the future; we have to make it. • How? Start with the patient, not the technology – Understand the job-to-be-done = it‟s more care, less cost – The laboratory is our frontline; we own it, we benefit – Our ingenuity + new partnerships and skills make the future • The Reward = Strength through adaptability – New products emerge from new partnerships delivering new results for patients = more care for less cost – We never stop adapting to get patients exactly what they need at continually lower cost. We never stop succeeding. ©John W. Kenagy, 2011
  • 25. The Path of Opportunity… Characteristics of Success 1. The Facts – Successful innovators adapt and thrive by rapidly developing opportunities that others don‟t. “It‟s not best practice …” – Historically successful Mindsets, Methods, Strategies and Structures alwaysslow, stall or stop new adaptive opportunities. “It‟s almost impossible …” 3. The Opportunity – Develop new, internal adaptive capacity. “‟Designed to adapt’ is a opportunity….” ©John W. Kenagy, 2011
  • 26. What’s your Never doubt that a small group path? What are of thoughtful, committed citizens can change the world; your choices? indeed, it‟s the only thing that ever has. – Margaret Mead MANAGEMENT data implement “DESIGNED TO ADAPT AND SUCCEED” FRONTLINE Slides? info@johnkenagy.com ©John W. Kenagy, 2011