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Based in Ann Arbor, Michigan, Blue Cottage Consulting is an independent, woman-owned healthcare consulting firm specializing in visioning, strategy, operations, and facility planning (programming, design review, transition and activation planning).

Blue Cottage Consulting is different - we have vision, knowledge, experience, and a point of view. Our professionals have held executive and management positions at some of the best medical centers in the country. Most importantly, we seek projects and clients that want to transform healthcare.
 
Cottages are about relationships, respite, and reflection. Blue Cottage Consulting is about creating a space for our clients to think, dream, and truly see the ocean of possibilities that exist for any given project. We coach leaders to embrace the possibilities, balance real versus perceived risk, and articulate a bold strategic vision – in other words, Be Transformational.  We get to know you, we work alongside you, and we create an intimacy in our partnership that fosters honesty, challenge, and innovation. It is an exercise that brings out the best in you and your team so that together, we can discover breakthrough solutions with practical implementation, explore global concepts with local applicability, and clearly articulate what success looks like and how we are going to get there.
 
Our consulting professionals challenge the status quo by applying lean efficiency standards to reduce waste, achieve mind-blowing operational innovations, and create an environment where clinical teams can achieve their full potential. We combine robust analytic tools and performance-driven measurement metrics, with real-world experience and active listening techniques to allow both data and people to guide each project to its highest probability of success. Our capabilities come from graduate training in healthcare management, nursing, planning, and architecture, as well as certification and professional training in special skills such as lean operations, six sigma, and executive coaching.
 
We are Blue Cottage Consulting and we are working to transform healthcare one project at a time.
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Archive for the ‘Healthcare Reform’ Category

Why health care competition won’t work

Monday, February 27th, 2012 by Andrew Mychkovsky

“This blog is the personal opinion of a Blue Cottage team member. Blogs posted on our website may or may not reflect the view of the owner, the CEO, or the company as a whole, but I strongly believe in everyone’s right to voice his or her opinion. I also believe that controversy and dialogue are key ingredients to innovation and improvement. If you disagree with anything written in our blogs – please write us! We’d love to engage with you,” Juliet L. Rogers, PhD, MPH, Blue Cottage Consulting President & CEO.

“We must increase the level of competition in health care,” is quite possibly the most overused and exaggerated statement this year in the realm of health policy. From presidential campaign voucher programs to free-market, libertarian blog posts, the nation seems fixated on this principle that competition will absolve all our nation’s health care woes. And although I encourage such political participation, I find these statements completely irrational. Increasing health care competition will have a marginal impact at best on cutting overall cost.

Peers who disagree often remind me, “competition works every day.” I agree with that statement. Millions of consumers purchase items or services from various sources, ranging from oil changes to toothpaste. The relative importance of price versus quality is judged. Each product is used, evaluated and then discarded. Those products or services meeting satisfactory standards are repurchased.

A prime example of this is the automobile industry. Potential buyers test drive and then review car ratings from consumer reports. The individual can effectively compare the specifications, price and reliability of similarly desired models, with the guarantee that all products are standardized. Car manufactures Honda and Toyota have surely benefited. Following market principles, by offering quality cars with high fuel efficiency and lower costs, they took huge market share, while drivers got sweet deals.

Unfortunately, do not assume the consumer reports approach will work for health care. It won’t. Hospitals offer too large of a range of services with various complications and medical jargon. In today’s world, it has become exceedingly difficult to pick the right professionals outside one’s area of expertise. Being a good attorney does not mean you can pick a good Hematologist. In addition, hospital report cards can be misleading. For example, mortality rates cannot be considered a strong indication of medical performance unless patient age, “do not resuscitate” orders, and health complexity issues are taken into consideration.

Health care services just follow a different set of rules. Coronary bypass surgery or limb amputations are huge decisions with irreversible consequences if the “wrong” purchase is made, which is much different than switching your internet provider. The risk of no trial runs, coupled with high emotion from the patient and sphere of influence, sometimes cloud best judgment.

Then there are those who argue competition will be attributed to insurers. Problem is coverage plans differ in everything from medication deductibles to procedure co-pays to specialist referrals. Patient safety, cost, coverage, and effectiveness of medical intervention must be considered. Using comparison charts and graphs for different plans will become overwhelming for the average American. In order to have a high-level discussion and evaluation of health insurance, one must have the capacity to evaluate an extremely confusing process.

Instead of focusing all of our attention on increasing health care competition, we must discuss less televised, more pertinent issues. Here are some examples:

  1. Cap the rise of high-deductible insurance plans. Such high-deductibles have become the crux of the health insurance scheme and negatively impact the middle to lower income citizens who pay $1000 plus deductibles right off the top. Executive government leadership could hold costs flat for the year and publicly report the findings.
  2. Ensure that money saved by Lean hospital practice is returned to the patients. Innovation and efficiency should and must be reinvested to help lower the costs of patient payments, not support health system endowments.
  3. Advocate for the implementation of bundled payments to encourage a more comprehensive care approach. For example, a patient would pay for surgery plus the next 60 days of care. Ensuring broader payments may result in better overall care.
  4. Continued discussion of research done by the Agency for Healthcare Research and Quality on applying value purchasing to the private practice.

The biggest problem of our health care system is by design. Health care is driven by a high market share business model. Health systems succeed by offering more things to more patients. If we desire true reform, it requires systemic improvement to addresses this overarching principle. By incorporating a “flooding the zone strategy,” a wide portfolio of changes can be implemented to improve many facets of the problem all at once. Much better than this disingenuous claim that competition is the health care reform magic bullet.

Andrew G. Mychkovsky is a Project Coordinator at Blue Cottage Consulting.

Supreme Court to decide fate of “Obamacare”

Friday, December 2nd, 2011 by Andrew Mychkovsky

It is official. The highest court in all the land will decide the fate of health care reform! One can only hope it is from a purely constitutional and not partisan perspective. Arguments are expected in March, with a decision in late June, 2012. Here is why the Supreme Court of the United States of America should uphold the constitutionality of the Patient Protection and Affordable Care Act individual mandate:

The individual mandate functions not only as a punitive measure, but also a means of raising revenue otherwise lost to uncompensated care. It is a direct interpretation of the 16th Amendment. The Necessary and Proper Clause grants Congress the right to make all laws necessary and proper for carrying into execution the foregoing powers. The individual mandate provides funding for the entire law. That is the definition of necessary and proper.

Traditionally, the Commerce Clause has granted Congress the right to broadly regulate business with significant interstate commerce. During the landmark case Wickard v. Filburn, the Courts decided Congress could regulate a farmer’s personal wheat production based on the threat of every other farmer following suit and lowering national wheat consumption. Health care has an even larger national component. Not only do citizens constantly travel interstate, uncompensated costs result in billions of dollars, but almost all medical supplies, drugs, and equipment have significant interstate commerce.

Most constitutional dissent focuses on the right to compel persons deemed “inactive” in the current health insurance market. Often conceding interstate commerce, opponents argue Congress cannot compel the uninsured to purchase health insurance because they are not actively participating in healthcare commerce. This is flawed. No person is inactive when deciding how to pay for health care whether it is self-insurance, private, or public insurance. Those intentionally uninsured cannot guarantee abstinence of incurring exorbitant medical debt and burdening society. Inaction is action.

This concept is incredibly exciting and nerve-wracking all at the same time. As most political junkies know, the current Supreme Court definitely leans to the right. With Chief Justice John G. Roberts Jr. at the helm, I sometimes become cynical of political coercion and judges. However, the conservative base lost a huge ally when George W. Bush appointed Circuit Judge Jeffrey S. Sutton, who opinioned the ACA was constitutional a month ago. Who really knows what will happen.

Andrew G. Mychkovsky is a Healthcare Consulting Intern at Blue Cottage Consulting.

Health Care Law On Pace for Supreme Court

Tuesday, August 23rd, 2011 by Andrew Mychkovsky

health-care-debate3

I saw this photo posted by a friend and felt compelled to share. In light of recent developments, it seems a date with the United States Supreme Court may become reality for “Obamacare.” Earlier this August, the 11th Circuit Court of Appeals in Atlanta, ruled the mandate requiring Americans to purchase health insurance unconstitutional according to the Commerce Clause. This is in direct conflict with an earlier ruling by the 6th Circuit Court of Appeals in Cincinnati, Ohio which upheld the law. With a growing concern of the state of the future health care system and two opposing verdicts, the highest court in the land might have to make the landmark decision.

Analysis of the current U.S. Supreme Court:

Last year the New York Times published an article by Adam Liptak with a headline that read “Court Under Roberts Is The Most Conservative in Decades.” Referring to Chief Justice John G. Roberts. Jr. and company, there is no way denying the definite “right” tendencies of the current Court. Although no explicit party affiliations are identified for each member, their respective allegiance typically rests in the party of the President whom nominated them. Several pundits are already predicting a partisan five to four spilt against the Affordable Care Act (ACA). Whether or not you agree with the law, I find the notion that one could predict the outcome before opening statements are even delivered is troubling. Each of the nine judges swore an oath of administering justice fairly and impartially discharging their duties. Let’s hope the Constitution and only the Constitution is taken into account if and when it comes down to it.

Now of course the Supreme Court could reject every Writ of Certiorari or petition, but the safe money is they won’t. As a scholar, this situation greatly intrigues me. As an American, it really scares me. The fate of the largest piece of legislation ever to pass Congress could rest in the hands of nine people who were never elected by the more than 300 million people it will affect. Let us not jump the gun however, Appellate Courts are still taking new cases and it seems the year of 2012 is much more likely to be the year. We are talking about the United States Supreme Court, everything moves a little more “deliberate.”

Andrew G. Mychkovsky is a Healthcare Consulting Intern at Blue Cottage Consulting.

Will the Affordable Care Act Boost the Economy?

Wednesday, August 17th, 2011 by Andrew Mychkovsky

Upon getting settled in to my third week interning for Blue Cottage, I was reading through archives of The Blue Cottage Blog and noticed that the topic of healthcare reform has not been a mainstay. Today I must change that. A week ago, a friend from Washington, DC, sent me a link for an article published on the American Medical Association’s website. Now, regardless of your personal views about the AMA, the article was extremely intriguing, even more so for a political junkie like myself. So, I apologize in advance if the allure is sub-par from the reader’s perspective. Everyday, mainstream media barrages the American public with the negative forecast of a challenged healthcare future. A different perspective was refreshing.

As opposed to the numerous publications and reviews that criticize the Affordable Care Act, this article in a way supported it. The headline reads, “Health system reform law expected to spark spending rebound.” American Medical News staff writer Doug Trapp discusses how increased coverage expansion of the U.S. population should result in a health-driven, economic stimulus package. It is quoted that “More than 30 million people are expected to gain coverage beginning in 2014, either through Medicaid or private health plans offered through health insurance exchanges” (Trapp, 2011). This will result in a massive spending increase.

The last part of the article focuses on the all too well documented political dissension over ACA implementation. While both sides debate irreverently with one another over increased health spending, Medicaid and Medicare reform,  and governmental intervention, no doubt hospitals feel uncertain. With an already aging baby boomer population that looks to stress even the current limits of healthcare, how will hospitals accommodate another massive increase of patients? If you know the answer, feel free to send President Obama or your respective member of Congress a detailed plan.

P.S. This is one of those hot button issues where people tend to polarize strongly. However, regardless of political, fiscal or social opinion, most Americans from both the left and the right agree that increased health coverage is a good thing. Heed my advice, when discussing this blog or topic with friends, family, or even strangers, please play nice. As a resident of Washington, DC, last summer, enough partisan attitudes already exists there. Let the rest of us stay civilized.

Andrew G. Mychkovsky is a Healthcare Consulting Intern at Blue Cottage Consulting.

Freedom to …

Monday, April 19th, 2010 by Blue Cottage

fight-or-flight

Waste in healthcare is pretty much rampant and ubiquitous. The multitude of opportunities for improvement are so vast that our instinctual ‘flight or fight’ mechanisms are triggered at the mere thought of starting the task of removing waste.

Enough Already.

I’d like to vote for a new way to talk about improving healthcare. The word ‘waste’ is getting old and it reminds me of garbage dumps and other smelly, dirty, gross things. Who could rally around such an idea? And truly, we/healthcare need to rally.

Freedom.

How about the concept of freedom instead of waste? That’s a concept that our entire nation can understand and has rallied behind a whole bunch of times. Maybe it’s a phrase: freedom to ____.

Freedom to:

If I worked in a hospital, there are several things that I’d wish for in terms of freedom. I’d wish for the freedom to:

  • Provide the right care in the right way.
  • Change my environment in ways that suit me and my patients better.
  • Communicate with my entire team, honestly and helpfully.
  • Learn openly from honest mistakes, so they never have to happen again.
  • Ask questions and challenge the status quo.
  • Believe that I’m part of the best team providing healthcare, because we, the experts, control and manage every inch of our environment and operations.

What do you think?

I’m open to suggestions – maybe “freedom to” isn’t the right phase. But maybe it is. Either way, feel free to comment and share what you think.