Building Performance Excellence in Health Care

1. Building Performance Excellence in Health Care James R. Evans Professor of Quantitative Analysis and Operations Management College of Business University of Cincinnati

2. What Is Performance Excellence? An integrated approach to organizational performance management that results in • Delivery of ever-improving value to patients, other customers, and stakeholders, contributing to improved health care qualtiy organizational sustainability • Improvement of overall organizational effectiveness and capabilities as a health care provider • Organizational and personal learning

3. Baldrige Health Care Award Recipients • Bronson Methodist Hospital (2005) • Robert Wood Johnson University Hospital Hamilton (2004) • Baptist Hospital, Inc. (2003) • Saint Luke’s Hospital of Kansas City (2003) • SSM Health Care (2002)

4. An Example of Performance Excellence

5. 99th Percentile* BMH Results Physician Satisfaction * Professional Research Consultants, Inc. (Percentile calculated from a database of 19,684 physician responses across 161 hospitals)

6. Purposes: • To help improve organizational performance practices, capabilities, and results, • To facilitate communication and sharing of best practices information among organizations of all types, and • To serve as a working tool for understanding and managing performance and for guiding organizational planning and opportunities for learning. The Criteria for Performance Excellence

7. Current Baldrige Framework –A Systems Perspective

9. Leadership Senior Leadership Governance and Social Responsibilities Strategic Planning Strategy Development Strategy Deployment Focus on Patients, Other Customers, and Markets Patient, Other Customer, and Health Care Market Knowledge Patient and Other Customer Relationships and Satisfaction Measurement, Analysis, and Knowledge Management Measurement, Analysis and Review of Organizational Performance Information and Knowledge Management Human Resource Focus Work Systems Staff Learning and Motivation Staff Well-Being and Satisfaction Process Management Health Care Processes Support Processes and Operational Planning Results Health Care and Service Delivery Outcomes Patient- and Other Customer-Focused Outcomes Financial and Market Outcomes Human Resource Outcomes Organizational Effectiveness Outcomes Leadership and Social Responsibility Outcomes Summary of Categories/Items

10. Visionary leadership Patient-focused excellence Organizational and personal learning Valuing staff and partners Agility Focus on the future Managing for innovation Management by fact Social responsibility and community health Focus on results and creating value Systems perspective Core Values

11. Performance Excellence Maturity Model

12. Bronson Methodist Hospital Complaint Management Process Key characteristics: Systematic and repeatable process Focused on improvement and prevention Capable of organizational learning Knowledge sharing

13. Satisfaction Results Arbor Associates best practice benchmark since 2001 and Arbor Associates Award for Highest Overall Patient Satisfaction four years in a row.

14. Baldrige Resources www.baldrige.org • Criteria • “Getting Started…” guide • Award recipients • Contacts, profiles, application summaries • A variety of other materials and publications

15. Supplementary Slides • The following slides provide brief descriptions of key indicators of performance excellence in an organization

16. Key Excellence Indicators: Leadership • Personal commitment to patients and other customers • Effective setting and communication of organization’s direction • Personal Involvement in developing future leaders

17. Key Excellence Indicators: Leadership • Communication of and role model for the organization’s values • Legal and ethical behavior • Focus on learning at all levels of the organization • Good citizenship

18. Key Excellence Indicators: Strategic Planning • Balance of short- and long-term views • Aggressive goal setting • Strong work process alignment with strategy • Systematic approach to addressing all sources of risk

19. Key Excellence Indicators: Strategic Planning • Critical targets and goals based on customer requirements and market directions • Strong involvement of key suppliers, partners, and customers • A focus on plan execution and agility

20. Key Excellence Indicators: Patient, Other Customer and Market Focus • In-depth market knowledge and forecasts • Consideration of needs of current and potential patients and customers • Proactive contact • Multiple listening posts to identify requirements

21. Key Excellence Indicators: Patient, Other Customer and Market Focus • Focus on enhancing patient and customer relationships and loyalty • Effective and prompt resolution of complaints • High levels of patient and customer satisfaction and loyalty

22. Key Excellence Indicators: Measurement, Analysis, & Knowledge Management • Use of fact-based decision making • Collection of actionable data • Use of multiple aligned and interlinking measures (internal and external) • Wide deployment and accessibility of data and information

23. Key Excellence Indicators: Human Resource Focus • Recognition of staff as “internal customers” • Strong commitment to staff satisfaction, motivation, well-being, and morale • Reward system related to key organizational challenges and organizational performance

24. Key Excellence Indicators: Human Resource Focus • Commitment to staff training, education, and development • Links between individual and organizational learning • Empowered staff

25. Key Excellence Indicators: Process Management • Well-defined health care, business, and support processes • Focus on processes that create value for all key stakeholders • Quality designed into all products, services, and processes • Focus on continuous improvement, cycle time reduction, innovation, and productivity

26. Key Excellence Indicators: Process Management • Strong integration of prevention, correction, and improvement into daily operations • Partnering with suppliers and customers • Financial and other resources committed to key processes

27. Key Excellence Indicators: Results Tied to • Patient, other customer, and stakeholder requirements • Key processes • Product/service performance • Strategy and action plans • Human resource needs • Financial and marketplace measures • Governance and social responsibilities

28. Key Excellence Indicators: Results • Tracking of levels and trends • Linked to organization-level information and analyses • Use of comparisons/benchmarks • Actionable