It is important to stress that many American hospitals are squeezing every nickel of inefficiency out of their budgets through the effective deployment of TPS/Lean. I dare not name them for two reasons; first, I do not have their permission and, second, they generally do not want their phones ringing off the hook with requests for conference calls, observation visitations or both.
To set the table, here is a quote from David M. Cutler, “To reduce this waste, organizational innovation will be required. To date, however, such innovation has been very rare in health care. This paper argues that lack of information and poor incentives are the key barriers to new organizational models, and accordingly that public action to address these issues is needed. Recent reform legislation has made changes in each of these areas. Whether the legislation addresses these problems sufficiently is something that only time will tell.” The paper title is “Where Are The Health Care Entrepreneurs? The Failure of Organizational Innovation in Health Care.”