Healthcare
Healthcare in ANZ
In Australia and New Zealand, the healthcare industry is characterised by a mix of public and private provisions, with the government playing a significant role in funding and providing services.
Medicare in Australia and the district health boards in New Zealand ensure that all residents have access to essential services, including hospital care, either for free or at subsidised rates.
The increasing lifespan of individuals in Australia and New Zealand poses a significant impact on the hospital sector, primarily due to a heightened demand for healthcare services, especially for chronic illnesses and age-related ailments. Hospitals are facing capacity challenges and are constantly pressured to upgrade their facilities and staff training to accommodate the sophisticated health needs of the older population.
The hospital sector is focused on continual improvements, including technological advancements and policies designed to enhance the health infrastructure. This is a good thing, but it also brings new problems, like getting funding to support continuous improvement.
- Funding Growth Not Keeping Pace with Demand: The aging population and the increasing prevalence of chronic diseases mean that the demand for hospital services is growing. Funding increases have sometimes not kept pace with the growth in demand, putting pressure on the system.
- Complex Funding Models: The funding models for hospital care can be complex, with different programs having different funding streams. This complexity can create challenges for providers in navigating the funding landscape.
Healthcare Challenges at a Glance
Hospitals are at the heart of healthcare systems all over the world, helping people when they are ill. They are like huge, busy machines with lots of parts — advanced equipment and teams of healthcare workers. Running this “machine” is tough because they need to stay modern and treat everyone fairly.
In Australia, one big challenge is that it’s easier to find good healthcare in the cities than in the countryside. There aren’t enough doctors and nurses in rural areas. Also, with many people getting older, hospitals and clinics need to be ready to help them. It’s important too to take special care of the health of Indigenous communities.
New Zealand is working to make sure everyone can get good healthcare, no matter who they are. This is especially focused on helping both Māori and non-Māori people equally. Also, they are paying more attention to helping people with mental health problems, as more people realise how important this is.
Some of these challenges include:
- Workforce Shortages
- Technological Advancements
- Cost of Care
- Mental Health
- Health Inequality
- Funding
- Monitoring Performance
GK Horizons: Future-Proofing Healthcare
In the dynamic healthcare sector, forward-thinking is key. GK Horizons facilitates this through sophisticated Corporate Performance Management (CPM) solutions. These tools offer healthcare organisations the ability to engage in advanced planning and utilise ‘what-if’ scenario modelling to anticipate industry trends and devise strategies with agility and foresight.
Activity-Based Costing (ABC) is another vital component, assisting in meeting funding obligations efficiently. By breaking down the true costs of each healthcare service and activity, it fosters precise budget planning and smarter resource allocation, creating a stable financial groundwork for healthcare entities.
With GK Horizons, healthcare organisations move beyond mere adaptation to change. We equip them with the tools to strategically prepare for future developments, identifying opportunities for growth and innovation.
Workforce Shortages
In both Australia and New Zealand, the healthcare sector is grappling with workforce shortages exacerbated by an ageing and growing population. It’s imperative to strategise and ensure a sufficient number of skilled healthcare professionals are nurtured to cater to the increasing demand.
Technological Advancements
Despite the potential of technological advancements to revolutionise healthcare, many facilities remain outfitted with outdated infrastructure. Modernisation efforts are urgently needed to allow for the integration of new technologies and enhance service delivery.
Cost of Care
The escalating cost of care is a substantial concern in the healthcare sector. Finding avenues to control operational costs while maintaining high-quality services is a balancing act that requires constant attention.
Mental Health
The mental health sector is experiencing a surge in demand, underscoring the necessity for substantial improvements and expansion in mental healthcare provisions.
Health Inequality
Health inequalities are pronounced, especially in rural and remote communities. Tailored strategies to enhance inclusivity and equal access to healthcare services are vital.
Funding
A crucial challenge is securing consistent and adequate funding. Collaborative efforts between the government and private entities to devise sustainable financial strategies for the healthcare sector are essential.
Monitoring Performance
Establishing robust systems for the regular monitoring and assessment of healthcare initiatives is crucial to secure optimal outcomes and maintain high performance standards.
Opportunities at a Glance
As we strategies for the future of healthcare in Australia and New Zealand, it becomes evident that a modern planning platform could be central to addressing the pressing challenges at hand. A powerful tool that holds the key to fine-tuning our approaches in several pivotal areas – from workforce development and technology integration to cost management and health equality.
By envisioning ‘what-if’ scenarios and grounding decisions in precise data, there is the potential to revolutionise healthcare, transforming it into a system that is more robust, inclusive, and forward-thinking through:
- Strategic Workforce Planning
- Technology Adoption
- Addressing Cost of Care
- Bridging Health Inequality
- Securing Sustainable Funding
- Improving Mental Health Services
Strategic Workforce Planning
Focused strategies to nurture a skilled workforce can help mitigate the issue of workforce shortages. These strategies entail the development of comprehensive education and training programmes aimed at equipping healthcare professionals to adeptly meet evolving industry demands.
Technology Adoption
The judicious adoption of technology is central in addressing several healthcare challenges. Strategies under this umbrella could include:
- Corporate Performance Management (CPM): Utilising CPM tools not only streamlines various processes but also enhances efficiency in healthcare delivery. A vital component of CPM is performance monitoring through the establishment and tracking of Key Performance Indicators (KPIs), which aids in maintaining high standards and facilitating continuous improvement.
- What-if Scenario Modelling: This strategy facilitates the forecasting of potential future scenarios, aiding healthcare providers in crafting well-informed plans to navigate them, which fosters a resilient and adaptable healthcare system.
- Predictive Analysis: Leveraging predictive analysis can offer deeper insights into healthcare trends, promoting early interventions and facilitating comprehensive planning for better healthcare outcomes.
- Artificial Intelligence (AI): Implementing AI technologies can revolutionise healthcare delivery, automating routine tasks, and enhancing diagnostic accuracy, among other benefits.
Addressing Cost of Care
To manage the rising cost of healthcare, it is imperative to adopt innovative solutions that balance quality and affordability. Implementing Activity-Based Costing (ABC) stands as a crucial strategy here, promoting precise budgeting and forecasting by delineating the true cost of each healthcare service, which facilitates optimised resource allocation and the initiation of cost-control measures.
Bridging Health Inequality
Mitigating health inequalities necessitates a focused approach on community engagement and tailored interventions. Initiatives such as mobile clinics and telehealth can bring healthcare services closer to those in rural and remote communities, fostering inclusivity in healthcare delivery.
A modern planning platform equipped with “what-if” analysis capabilities can be a pivotal tool in bridging health inequality. This type of system allows healthcare professionals and policymakers to simulate various scenarios, helping to predict the potential outcomes of different strategies before they are rolled out, thereby saving time and resources.
For instance, it could assist in pinpointing the most strategic locations for deploying mobile clinics by analysing data on population density, existing healthcare infrastructure, and disease prevalence in different regions. Moreover, it can aid in fine-tuning telehealth services by simulating various operational models and understanding their impact on diverse communities.
Securing Sustainable Funding
Establishing sustainable financial models is pivotal in safeguarding the healthcare sector’s financial future. Strategies to consider include government initiatives to boost funding, encouraging private investments, and exploring philanthropic avenues for financial support. Using a modern planning platform with “what-if” scenario modelling and Activity-Based Costing (ABC) abilities can really help.
“What-if” scenario modelling lets people try out different financial situations and plans to see what might happen. This means they can make smart plans for money that can handle ups and downs in the economy. It helps to show how different amounts of funding can affect health services, letting decision-makers see what might happen and plan ahead.
ABC helps to clearly see the real cost of every activity or service the healthcare providers offer. It shows the details of costs by connecting them to each activity based on how many resources they use. This way, healthcare groups can find out what’s not working well, fix up operations, and use resources in a better way, helping to get steady funding by reducing unnecessary spending.
Also, knowing the details of how costs work and imagining different situations helps when asking for grants and funding. Groups can show exactly what different funding amounts will mean, making it easier to get the support needed.
Improving Mental Health Services
Strategic planning remains central in identifying and bridging gaps in mental healthcare provisions.
A planning platform for strategic planning is like a smart helper in boosting mental health services. It gathers useful data to spotlight the big issues and helps leaders decide where to focus energy and resources. It fosters the creation of evidence-based strategies to augment services, ensuring a more rounded approach to mental health.
It’s also great for testing out plans safely before setting them in motion, avoiding potential mistakes and saving time and money.
EPM & CPM Use Cases Examples in Healthcare
In healthcare, precise planning and data-driven decision-making are crucial. Our use case examples demonstrate the tangible benefits of integrating Corporate Performance Management (CPM) platforms into various healthcare management areas. Delve into real-world applications and see how CPM optimises operational, workforce, and strategic facets in healthcare settings.
Use Case examples include:
Use Case Description: Financial planning, supported by Corporate Performance Management (CPM) platforms, is essential in navigating the intricacies of the healthcare industry in Australia and New Zealand. CPM platforms not only facilitate adaptive financial strategies but also offer insightful analytics essential for informed decision-making. Below, we explore various financial planning sub-use cases illustrating the benefits of integrating a CPM platform.
Sub Use Cases:
- Financial Planning and Analysis (FP&A): Centrally placed in financial planning, FP&A encompasses budgeting, forecasting, and analysis of financial data to support crucial business decisions. The adoption of a CPM platform amplifies the efficiency of FP&A through real-time data analysis, which fosters more accurate and agile financial planning, adapting seamlessly to changing business dynamics.
- Budgeting and Forecasting: Central to steering an organisation’s financial trajectory, budgeting and forecasting benefit significantly from the CPM platforms. These platforms encourage data-driven budget formulations and forecasts that align seamlessly with strategic objectives, creating a malleable financial strategy responding adeptly to the evolving business landscape.
- Cash Flow Management: Cash flow management is paramount in ensuring an organisation’s financial stability. Leveraging a CPM platform provides meticulous monitoring and management of cash flows, maintaining liquidity and fostering the strategic progression with foresight and financial prudence.
- Capital Expenditure (CapEx) Planning: Strategising for major investments, CapEx planning becomes more streamlined and data-driven with the integration of a CPM platform. This approach facilitates comprehensive analysis and scenario planning for capital investments, aligning perfectly with an organisation’s growth strategies and financial capabilities.
- Tax Planning and Compliance: Maintaining fiscal health and regulatory compliance are streamlined through the effective utilisation of a CPM platform. It aids in proficient management of tax obligations, safeguarding the organisation from potential fiscal liabilities and ensuring adherence to regulatory mandates through strategic planning.
- Financial Reporting and Consolidation: Summarisation of financial data through financial reporting and consolidation is enhanced remarkably with a CPM platform. It enables automated and precise financial reporting, fostering transparency and offering stakeholders insightful data for well-informed decision-making.
Use Case Description: Operational planning, bolstered by a Corporate Performance Management (CPM) platform, serves as the cornerstone in achieving strategic objectives while promoting efficiency in the healthcare sector. Detailed below are specific operational planning processes significantly enhanced through the integration of activity-based planning and advanced analytics functionalities of a CPM platform.
Sub Use Cases:
- Workflow Optimisation: Utilise activity-based planning to refine workflows, identifying and allocating resources more effectively to reduce bottlenecks and facilitate smoother operations.
- Staff Scheduling: Leverage advanced analytics to devise intelligent staff scheduling solutions, using predictive analytics to anticipate workload and optimise staff allocation accordingly, promoting both efficiency and employee satisfaction.
- Inventory Management: Employ activity-based planning to improve inventory management strategies, considering various activities and their needs to ensure a streamlined and cost-effective inventory process.
- Policy Adherence and Compliance Reporting: Use advanced analytics to automate compliance reporting, leveraging real-time data to maintain high standards and comply with regulatory requirements.
- Preventive Maintenance Scheduling: Activity-based planning aids in devising efficient preventive maintenance schedules, considering different activities and their impact on the equipment’s lifespan to avoid breakdowns and maintain operational readiness.
- Patient Flow Management: Utilise advanced analytics to enhance patient flow management, leveraging data analytics to optimise patient pathways and ensure a smoother and more satisfactory patient experience.
- Performance Management/Monitoring: Incorporating activity-based planning in performance management allows for a more in-depth insight into different operations, facilitating the tracking and measurement of KPIs in real-time and fostering data-driven decision-making.
Use Case Description: Strategic planning is integral to setting and achieving long-term objectives in the healthcare sector. A CPM platform can significantly amplify the efficacy of strategic planning through detailed analysis and insightful foresights. Below we explore specific aspects where the platform brings notable enhancements.
Sub Use Cases:
- Market Analysis: Utilising advanced analytics to carry out detailed market analysis, understanding changing trends, and identifying opportunities for expansion or improvement.
- Scenario Planning: Employ activity-based planning to create detailed what-if scenarios, aiding in the preparation and strategisation for various potential future scenarios, enhancing resilience and agility in strategic planning.
- Performance Benchmarking: Leverage CPM platforms to facilitate performance benchmarking, utilising advanced analytics to compare performance metrics with industry standards, helping to identify areas for improvement.
Use Case Description: Workforce planning is central to maintaining a satisfied and productive workforce. Leveraging a CPM platform can greatly enhance the intricacies of workforce planning through detailed analytics and activity-based planning. Here we delve into specific processes significantly enhanced by a CPM platform.
Sub Use Cases:
- Skills Gap Analysis: Utilising activity-based planning to identify and address gaps in the skills present in the current workforce, aiding in targeted recruitment and training programs.
- Succession Planning: Employ advanced analytics to facilitate data-driven succession planning, identifying potential leaders and aiding in the smooth transition of roles.
Employee Wellbeing Programs: Leverage CPM platforms to devise and manage employee wellbeing programs effectively, using activity-based planning to identify the needs and preferences of the workforce.
Use Case Description: In the healthcare industry, adherence to compliance standards and adept risk management are pivotal. A CPM platform can be a significant asset in enhancing these areas through activity-based planning and advanced analytics. Below we delineate how a CPM platform can aid in specific sub-use cases in compliance and risk planning.
Sub Use Cases:
- Regulatory Compliance Monitoring: Utilising advanced analytics to automate and streamline the monitoring process, ensuring continual adherence to regulatory standards.
- Risk Assessment and Mitigation: Employing activity-based planning to identify potential risks and devise strategies to mitigate them effectively, fostering a resilient operation.
- Crisis Management Planning: Leverage CPM platforms to facilitate detailed crisis management planning, creating strategies to manage unforeseen events effectively and maintain operational stability.
