Healthcare spending is one key component of government spending. More needs to be done as part of getting more efficiency and effectiveness out of the dollars spent on healthcare.

1. Reforming
Healthcare
PAUL YOUNG CPA CGA
JULY 28, 2020

2. Paul Young - Bio
• CPA, CGA
• Financial Solutions
• SME – Risk Management
• SME – Close, Consolidate and Reporting
• SME – Public Policy
• SME – Financial Solutions
• SME – Supply Chain Management
• SME – Business Strategy and Restructuring
Contact information:
Paul_Young_CGA@Hotmail.com

3. Agenda
 Global Healthcare spending
 Efficient Healthcare Countries
 OECD and Healthcare
 USA – Healthcare Waste
 Canada and Healthcare Waste
 Automation / Healthcare
 Performance Audits
 Forecasting / Solution

4. Introduction
 Healthcare is key area for government as it is
large government expenditures
 Too many people do not grasp there are issues
with healthcare delivery

5. Global
Healthcare
Spending
SOURCE - DELOITTE

6. Efficient Healthcare Country Ranking
Source - http://worldpopulationreview.com/countries/best-healthcare-in-the-world/

7. OECD and
Healthcare
Funding
SOURCE – FRASER INSTITUTE

8. USA Waste and Healthcare
Source -
https://www.cfo.com/health-
benefits/2019/10/annual-waste-in-
u-s-healthcare-system-nears-1-
trillion/?utm_campaign=CFODailyAl
ert&utm_nooverride=1&utm_source
=CFO-
email&utm_medium=email&utm_co
ntent=CFODailyAlert_Tuesday_2019-
10-22&utm_term=health-benefits

9. Canada and Healthcare
Source - https://www.cihi.ca/en/canadas-drug-spending-growth-outpaces-that-for-hospitals-and-doctors or
https://www.cbc.ca/news/canada/london/ontario-hallway-healthcare-1.4923954 or https://theconversation.com/how-healthy-is-the-
canadian-health-care-system-82674 or https://www.conferenceboard.ca/CASHC/research/2012/inconvenient_truths.aspx
• Canada needs to review its drug programs. Drug
Costs continues to rise - In 2018, $14.4 billion
(42.7%) of prescribed drug spending is expected to
be financed by the public sector, while the
remainder will be financed by private insurance and
individuals paying out of pocket. Drug spending is
just part of the expected $253.5 billion in total
health spending in Canada this year.
• Hospitals (28.3%), drugs (15.7%) and physician
services (15.1%) are expected to continue to
account for the largest shares of health dollars
(close to 60% of total health spending). The
remaining 41% will be spent on other health care
goods and services, including long-term care
facilities and allied health professionals.
• Fraud or about 12B per year
https://www.claimsecure.com/en/whats-new-
blog/2019/march/11/fighting-fraud-waste-and-
abuse-for-a-healthy-business/
• Miss management and waste – Let’s say about 5% to
10% is waste (est.) then the value could be $11B to
25B per year. Could you imagine how dollars could
be stretched?

10. Global Delivery of Healthcare
Source - https://globalnews.ca/news/3599458/canadas-health-care-system-lower-performing-compared-to-its-peers-study/ or
https://www.theguardian.com/commentisfree/2018/feb/05/americans-uk-health-system-trump-nhs or
https://www.ons.gov.uk/peoplepopulationandcommunity/healthandsocialcare/healthcaresystem/bulletins/ukhealthaccounts/2017
• United Kingdom has many programs that are used to
reign in costs of healthcare, i.e. prescriptions drug
caps - https://theconversation.com/why-the-us-has-
higher-drug-prices-than-other-countries-111256
• Australia has one of the most efficient
healthcare system -
https://theconversation.com/australias-health-
system-is-enviable-but-theres-room-for-
improvement-81332

11. RPA and other Automation- Healthcare
 RPA spending could grow to $5B by 2020 -
https://health.economictimes.indiatimes.com/news/health-it/advancements-for-rpa-in-
healthcare/70358766
 AI and Analytics – 15 applications - https://research.aimultiple.com/healthcare-ai/
 AI revolutionizing healthcare - https://healthcareweekly.com/artificial-intelligence-in-healthcare/
 191 startup companies in AI Healthcare - https://www.medicalstartups.org/top/ai/
 AI and Medicine - https://www.ibm.com/watson-health/learn/artificial-intelligence-medicine

12. Performance
Audits
 All levels of government along with the private
sector need to look at expanding the role of
internal audit. The role of internal audit can be
streamlined using analytics -
https://www.slideshare.net/paulyoungcga/the-
role-of-operational-and-performancebased-
auditing-on-government-and-the-private-sector
 IBM Internal Audit Solutions -
https://www.ibm.com/ca-
en/marketplace/openpages-internal-audit-
management

13. Forecasting
Solution