Market-driven Health Care: Who Wins, Who Loses In The Transformation Of America’s Largest Service Industry
From Library Journal
Herzlinger (Harvard Business Sch.) contends that improvements can be made to the American healthcare system by removing our current third-party payment system and allowing consumer demand to lead the healthcare market. Using eyewear as an example, Herzlinger shows how this consumer-driven market provides convenient, focused services with competitive prices. Most vision care services are not covered by medical insurance, forcing this sector of healthcare to respond to consumer demand. The author provides additional case studies, both within and outside the healthcare industry, that illustrate how team building, focusing on specific products and services, and prudent investments in technology can lead to convenient, cost-effective healthcare. While Herzlinger admits that abolishing the third-party payment system will present numerous difficulties, she includes suggestions for overcoming many of them. Written in a straightforward, readable style, this book is recommended for all libraries.?Tina Neville, Univ. of South Florida at St. Petersburg Lib.
Copyright 1997 Reed Business Information, Inc.
–This text refers to an out of print or unavailable edition of this title.
Copyright 1997 Reed Business Information, Inc.
–This text refers to an out of print or unavailable edition of this title.
Review
How does American business hold lessons for health care management and the health industry? Herzlinger’s focus on consumer demands, changing market requirements, and business impacts on health organizations and structures provides an analysis of service provides’ business practices, revealing how such providers succeed – and fail – in their jobs. — Midwest Book Review
–This text refers to an out of print or unavailable edition of this title.
–This text refers to an out of print or unavailable edition of this title.
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December 3rd, 2009 at 11:40 am
No one will accuse Ms. Herzlinger of being a great writer, but her conversational style is easy to read and she does have some good ideas for how the healthcare industry should be. Ideas that still haven’t been implemented even now, 8 years after it was written. She does make a fairly convincing argument for how focused factories could reduce costs. In addition, suggestions that everybody should have health insurance, that healthcare providers should not be insulated from market forces, that consumers are the ones with the real power to stop the soaring healthcare costs, and that they’ll only curtail spending when given incentive to do so are good points that can’t be made often enough. Points that seem even more relevant today given the continued increase in healthcare costs, the inability of the HMO system to manage them, and the spiraling problem the growing uninsured population is creating (the more uninsured people there are, the more insurance costs, which increases the number of uninsured, etc.). She has good ideas, I think it’s time people listened. It’s of vital importance that the healthcare system incorporate what’s great about America, what has made America a leader in every other industry: innovation and sensibly regulated free markets. Ms. Herzlinger gives us a good way to get it done.
I also have to ask if some of the other reviewers actually read the book. The author gives a pretty good analysis of how focused factories would reduce costs, using that 20% of the people produce 80% of the costs as a cornerstone of her argument. Also, she cites physicians’ inability to deal with market forces as a cause of the problem and gives suggestions for how to deal with it.
December 3rd, 2009 at 12:49 pm
There’s hope. Finally, a clear thinker presents a viable case for something other than a purely political solution to the continuing health care cost crisis. Herzlinger is anything but pithy. However, buried in the laborious presentation of her case is a blueprint for the only real solution to this critical problem (i.e., a serious dose of personal responsibility for the cost of health care by those who create the demand). This book is worth reading.