It’s Time To Know What Works To Control Healthcare Costs

Selected insights from senior healthcare executive summit outlining how to use measurement and optimization to drive down medical and administrative costs.

Healthcare Executives: It’s time to know what works to control healthcare costs.

With healthcare costs rising at unsustainable rates, enterprise-wide cost control is a strategic imperative. At the same time, executives are investing 7, 8 and sometimes 9 figure budgets in clinical and consumer engagement programs without knowing specifics about which of these programs actually work to reduce costs.

Executives from 10 leading health insurers representing over 25% of the insured U.S. population gathered in March 2018 at Microsoft’s corporate headquarters to share common challenges and discuss pathways for progress toward more advanced measurement and optimization practices. A key goal of the meeting was to validate that these pathways would indeed provide a sustained competitive advantage.

Selected insights from the senior executives, who serve on the NextHealth Executive Advisory Council, are listed below.


Executive participants confirmed the strategic importance of building a culture of measurement. Driving optimization or continuous process improvement (CPI) requires executive commitment and sponsorship, according to these leaders. They further affirmed that leveraging a platform to test and learn what works helps drive scale while building a consistent language and measurement methodology to support CPI.

Executives agree: progress toward advanced measurement capabilities in healthcare is critical to stay relevant and compete effectively.

Executives agreed that progressing toward advanced measurement capabilities is critical to stay relevant and compete effectively. There is an inherent need to know what’s working faster and more confidently. At the same time there is often cultural resistance to progressing along this path. “My program is different and can’t be measured this way…” is a common sentiment.

Selected takeaways

  1. Measure and optimization is a top priority and garners budgets–organizations are investing in this.
  2. No organization believed they’ve achieved an ‘advanced’ level along the NextHealth Measurement and Optimization Value Curve.™
  3. Building a “test and learn” culture is essential to progress toward advanced measurement and optimization.