I have just returned from a trip to Australia where I gave a keynote speech at the HIC 2010 Conference in Melbourne. I also had a number of other meetings and workshops while in Australia. most around the topic of healthcare and, more specifically, eHealth.
Those of you who read this blog will know that my primary passion is around value – specifically enterprises realizing value from IT-enabled change. What you may not know is that there are two areas where I have worked in the past, and continue to work, where I believe IT-enabled change has enormous potential to deliver real value, including social value – but they have as yet come nowhere near to doing so. These are healthcare and education.
Staying with healthcare, and resisting the temptation to further lambaste the UK NHS’s National Program for IT in Health (NPfIT), my experience, and a review of case studies from a number of countries, reveals two disturbing common features among them. These are:
- Much is said about the biggest challenge in realizing benefits/value from major IT-enabled change programs in Healthcare (often lumped under the eHealth umbrella) being management of change – process and behavioural change – yet little or no guidance is provided on how to manage that change, or even what the major elements of change are; and
- Benefits are usually treated as an afterthought, often not well defined let alone evaluated until years into the program.
Basically, the approach appears to be: let’s get the technology implemented first, then we’ll find out what changes are required to “meaningfully use” the technology, then we’ll worry about the benefits. As long as we continue with this technology first approach, we will continue to fall dismally short of realizing the potential benefits of such change – the waste of money is a scandal – the opportunity cost of not delivering on the value promise is even worse. We must move from starting with the technology to “starting with the end in mind”.
Over the last few months, I have been involved in working on a number of case studies of enterprises who have made significant progress in implementing value management practices and developing a “value culture”. In preparing my speech to the HIC conference, I drew on the factors that I found to be common in the success of these enterprises – factors that I believe should be seriously considered in the healthcare context. They include:
- Shifting the focus beyond technology, activities and cost to focus on change – process and behavioural change, outcomes and value
- Strong and committed business leadership – change programs must be owned by the business and the business must be held accountable for the benefits of those programs
- Appropriate business engagement and sponsorship/ownership – change cannot be done to people – it must be done with them
- Cascading sponsorship – there must be leadership at all levels in the enterprise – this should include “formal” leadership, those appointed to lead, and “informal” leadership, those selected/looked to by their peers as leaders
- “Front-line” input and feedback – these are the people who usually know what needs to be done, their voice is all too often not heard
- Clearly defined governance structure, role and responsibilities
- Distinguish between the “what & why” and the “how”
- Don’t abdicate “what & why” to the IT function
- Don’t reinvent the wheel
- Proven processes, practices and techniques are available including Portfolio Management, Program Management, Project Management, Benefits mapping, etc.
- Don’t underestimate the emotional and political issues around “behavioural change”
- 30% of any change program budget should be dedicated to managing the process of change
- Be prepared to change course – both the journey and the destination
- A strong front-end planning process with inclusive and challenging stakeholder engagement
- Get “the right people in the room having the right discussion”
- Use Benefits mapping workshops
- Build clarity and shared understanding of desired outcomes
- Recognize and balance/optimize different views of value
- Surface “assumptions masquerading as facts”
- Surface, understand and manage complexity – understand the full scope of effort including changes to the business model, business processes, roles and responsibilities, skills and competencies, reward systems, technology. organization structure, facilities and management of change
- Don’t treat as a one-time event – revisit regularly through an ongoing process
- Build clarity and shared understanding of desired outcomes
- Avoid the “big bang” approach – break work into “do-able” chunks that deliver measurable value
- Embrace pragmatism over perfection
- Define, develop and maintain standard and complete business cases
- Clearly defined outcomes
- Full scope of effort
- Clearly defined – and accepted – accountabilities (for outcomes – not activities)
- Relevant metrics, both “lead” and “lag” – “less is more” – measure what’s important and manage what you measure
- An aligned and results-based reward system
- A clear and transparent portfolio management process to select and optimize investments in IT-enabled change
- Manage the journey
- Use the updated business case as a management tool
- A strong gating process for progressive commitment of resources
- When things are not going to plan, understand why and be prepared to change course, change the destination or cancel the program
- Manage and sustain the change
- On-going inclusive two-way communication
- Support/sustain with one-on-one coaching/mentoring
- Celebrate and build on success
- Learn and share
All investments in IT-enabled change are important, but few have such impact on all of us as those in healthcare (and, I would add, education). We cannot continue to muddle through with technology-centric approaches that are designed to fail. We must learn from past failures. There is a better way. Starting with the end in mind, with strong ownership and leadership, inclusive engagement, and pro-active management of change – managing the destination and the journey – we can do better. We must do better. We deserve no less!