HHT #163 - More on Healthcare Reform

HHT Banner 1

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

More Thoughts On Healthcare Reform

Your job is to get ready for the future

June 24, 2009

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

In this issue...

-- More Thoughts on Health Care Reform

-- Seven Sources of Competitive Advantage in Home Health Care

-- Home Health and Hospice Business Builders Workshop

-- About the Author

-- Permission to Reproduce

Welcome,

Welcome to this issue of Home Health Care Today, the leading electronic newsletter for home health care and hospice executives who want to grow their business and get ready for the future. Every other Wednesday, we bring you strategies and insights that will help you take your agency to new heights.

For ideas to grow your Private Duty Home Care business, subscribe to Private Duty Today, the bi-weekly newsletter for non-medical home care CEOs. Your complimentary subscription is available at www.privatedutytoday.com.


More Thoughts on Health Care Reform

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Crystal BallMy Crystal ball is still broken, but I have some new insights into what might be happening.

I'm writing to you today from Orlando, Florida where I'm speaking at the Home Care Association of Florida Annual Conference. Last night, we had a raucous celebration to honor the retiring Executive Director of HCAF, Gene Tischer.

I arrived in Orlando early, so I could attend the dinner for Gene. I stopped by the afternoon general session to get an update on national home care issues from Bill Dombi, Vice President for Law with NAHC. Bill wasn't there, but the topic was covered wonderfully by Mary St. Pierre, Vice President for Regulatory Affairs. Bill had stayed back in DC to work on the health care reform agenda working it's way through the Senate Finance Committee.

According to the NAHC legislative affairs team, a healthcare reform bill could be drafted in the Senate as early as today and for certain, before the legislature takes its 4th of July break. We still don't know exactly what it will look like, but some of the same elements are still under discussion:

  • Healthcare coverage for all
  • Cuts in reimbursement to pay for extended coverage
  • Mandates for employers to provide coverage
  • Mandates for individuals to purchase coverage
  • Some type of pay for performance

Obviously, all of these elements will have an impact on home health care, either as a provider of care or an employer. While the Senate, many members of the House, and the Obama administration are all supportive of home and community based care as an alternative to institutional care, there still will be some elements of the reform measures that will have a negative impact on home health care and hospice.

Meanwhile, there are changes taking place within the Medicare program, and Mary gave us an update on these as well. They include:

  • OASIS - C
  • ZPICS - Zone Program Integrity Contractors
  • MACs - Medicare Administrative Contractors
  • RACS - Recovery Audit Contractors
  • CAHPS - Consumer Assessment of Healthcare Providers and Systems

So What Does This All Mean To Home Health Care Leaders?

It means that like many times over the past 25 years, we will be in a period of rapid change and uncertainty. It will require strong leadership that is focused on the core mission and vision of the agency. It means paying attention to these outside forces and trends, while continuing to communicate with and provide ongoing development for your executive team, middle managers, and front line staff.

And, it means continuing to focus on creating competitive advantage in the marketplace and growing your market share. There's plenty of research in the sales and marketing arena that proves that those companies that continue to invest in sales and marketing during difficult times come out way ahead after the crisis passes.

That's not to say that this is a time of crisis - yet - but it does mean that there will be changes and we need to get ready for what those changes may bring. Keeping your leadership team up to date on the changes and their potential impact on your agency is a key part of your role.


Seven Sources of Competitive Advantage in Home Health Care

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Over the past several months, I've been doing a lot of speaking, sales & marketing training, and strategic planning sessions for home health care agencies. As part of those programs, I've been talking a lot about the seven sources of competitive advantage in home health care.

I'm realizing that so few home health agencies have taken the time and energy to come together and really focus on what sets them apart from their competitors. Last week I was in New York state leading a training session for sales professionals and agency administrators for a multi-location home care company. I asked the group to define their unique factor. What sets them apart from their competitors?

Going around the room, I got a different answer from each person. As we discussed this situation, they came to understand that they did not have a clear competitive strategy and marketing message because they had not clearly defined their sources of uniqueness.

What would happen if you were to ask the members of your home health team that question. Would they give me a single common answer, or would they each give me a different answer?

Walt Disney said, "If you want to be successful in business, you must be unique. You must be so different that if people want what you have they must come to you to get it."

If you really want to grow your agency and gain market share, take some time to bring your leadership team together to develop your competitive strategy. Then work on capturing the language for your marketing message that defines that uniqueness for your customers and referral sources.

Here are seven areas where you can create competitive advantage:

  • Innovative specialty clinical programs
  • Superior quality outcomes
  • Program packaging and promotion and branding
  • Exceptional Customer Service - being the easiest agency in town to work with
  • Person-to-person relationships
  • Organization-to-organization relationships
  • Narrow market focus

You can't focus on all seven of these sources. So pick one, two, or perhaps three. Create a unique combination of them. Then provide education and training for your entire leadership team on how and why these unique factors will help you gain competitive advantage.

Finally, help your sales and marketing team craft their brand message to let your customers and referral sources know what really sets you apart.

If we can help you to define your competitive advantage, craft your branding strategy, capture the language of your marketing message, or train your sales team to sell your uniqueness, Call Julie Raque at 502-339-0653 and set up an appointment to discuss the process.


Home Health and Hospice Business Builders Workshop

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Mark your calendar for September 16, 17, and 18 to come to Louisville, KY for the 2009 Home Health and Hospice Business Builders Workshop. This highly interactive workshop will be designed to help you develop the sales, marketing, and public relations skills you need to grow your agency and get ready for the future.

As we analyzed the attendance from our April 2009 Certified Home Care Sales Professional Workshop and the feedback we received from participants, we saw an opportunity to take home health and hospice sales and marketing to a new level.

The Home Health and Hospice Business Builders Workshop is that new opportunity! So if you were planning on attending our CHCSP conference in September 2009, you will want to attend the Home Health and Hospice Business Builders Workshop in September 2009.

And for you folks who have participated in one of our previous CHCSP conferences and were waiting on the next level of programming, this workshop is for you too!

There will be more information on our web site shortly, but I wanted to get the dates on your calendar right away. Remember, for previous attendees and new attendees - Home Health and Hospice Business Builders Workshop - September 16, 17, and 18, Louisville, Kentucky.


About the Author

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Stephen Tweed, CSP, is Chairman and CEO of Leading Home Care ... a Tweed Jeffries company. For over 25 years he has been a recognized leader in strategy and leadership development for home health care & hospice companies and associations. He is the author or co-author of seven books, five of which were written specifically for the home care industry. He has served on the boards of directors of three not-for-profit home care agencies, and has served as interim President & CEO of a $25 million home care company.

Stephen is a past-President of the National Speakers Association, a 3500 member international society of experts who speak professionally. He is also the father of a 38 year-old son who is physically disabled and uses the services of home care on a daily basis.

Meet the entire Leading Home Care Team


Permission to Reproduce

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Permission is granted to healthcare publications, associations and companies to reproduce this article in your publication, or to distribute copies to your leaders, on the condition that you reproduce the credits and contact information as follows: "Reprinted with permission from Home Health Care Today. Copyright 2009 Stephen C. Tweed. To receive a FREE subscription to this newsletter, log on to www.leadinghomecare.com."



Contact Leading Home Care

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

phone: 1-866-209-5101

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~