This blog post was originally written by By Sarah C. Threnhauser and published on www.openminds.com.
This year at the Kentucky Derby, the winner will walk away with a $1.8 million prize. The runner-up is looking at a $600,000 prize, and third place will walk away with $300,000. The difference between first, second, and third prize will likely be only milliseconds—and over a million dollars. In horse racing, first prize is only one that really matters. In health care, there’s a little more breathing room—but as the market changes, there is an increasing pressure to improve performance against the competition.
At last month’s OPEN MINDS Performance Management Institute, Ravi Ganesan, Chief Executive Officer of Core Solutions, Inc. used this horse racing analogy to illustrate why performance matters in a competitive market. Yesterday, Monica E. Oss took a deep dive into what constitutes a high-performing organization and how executive teams can determine whether your organization is high performing (see briefing—Is Your Organization ‘High Performing’?).
During his session, Utilizing Technology To Build A High Performance Organization In A Value-Based Environment, Mr. Ganesan explained that one powerful way to become a high-performing organization is to bend the power of technology to support organizational performance. As Mr. Ganesan noted, technology alone is not going to make organizations high performing. In today’s market, every organization needs to have technology. Simply having technology is no longer a differentiator—it all comes down to how an organization uses that technology to set their organization apart. The question is, how do you use technology tools to improve performance?
First, data-driven management is essential to all aspects of organizational performance. The first step is for executive teams to create a culture that appreciates data, is transparent with data, and makes decisions based on data. Performance data is a key organizational asset, and data literacy is a key management competency in high performing organizations.
Having access to financial and clinical performance data enables executives and managers at all levels of the organization to make data-driven decisions. When managers use data to make decisions, they become more effective, which breeds confidence, and helps to build accountability among the team and greater decisiveness towards non-performers.
Establishing metrics that are tied to strategy, easy to understand, actionable, and comparable, ensures that everyone within the organization is working towards the same goals. Progress can be made towards improving organizational performance if everyone knows the goals, understands how to achieve them, and is kept informed about progress and challenges along the way. As Mr. Ganesan said, “Knowledge isn’t power. Sharing knowledge is power.” An action-oriented organization is a data-centric organization.
Second, plan for the long-term by positioning your organization’s consumer treatment technology to compete. Digital health care is quickly becoming part of the care continuum for complex consumers. A wide range of tech-enabled treatment—from telehealth and remote monitoring, to online therapy and mobile engagement applications—is quickly morphing from concept to standard practice. As executive teams look ahead to positioning their organization for the future, there is a need to include some or all of these components as part of their strategy.