Sg2 Blog

Unpacking the recent exits and pivots from disrupters in health care Recent developments have seen numerous disrupters significantly alter their health care strategies or, in some cases, exit the sector entirely. Legacy providers watching from the outside are left feeling vindicated but also curious as to what they can learn from others’ struggles. If giants like Walmart and Walgreens, and ...

Imagine this scenario: a kindergartner—initially grappling with the basics of counting, addition and subtraction—manages to leapfrog several years of curriculum and advance her mathematical capabilities to a fifth grade level within a year. Such a feat would be recognized as a significant achievement. Now suppose the teachers at the school see these results and respond by saying, "Her ...

Economic forces such as rising costs, labor shortages, consumerism and demographic shifts are driving the need for change and innovation. The health care industry is not immune to these forces. In fact, health care is further complicated by nonsustainable reimbursement models, digital disruption, an increasingly “sicker” population and rapid changes in ownership models. This has led to...

As part of Vizient/Sg2’s value-based care (VBC) and payer-provider alignment analysis and market research, we review the quarterly earnings calls from a subset of publicly traded legacy payers and VBC-focused entrants. The summary is designed to highlight emerging trends and dynamics in these closely related industries, especially as they tie to VBC. The following post draws from recently re...

Providers are being asked to take on more financial risk by payers, moving from fee-for-service to value-based care payment models across all lines of business. Following Medicare’s goal of having 100% of traditional Medicare beneficiaries in an accountable care relationship by 2030, other payers such as Medicare Advantage, commercial and Medicaid plans are also placing responsibility on pro...

 Jordan Dale, MD, is the chief medical information officer (CMIO) and inaugural chief health AI officer of Houston Methodist, based in Houston. Q: Let’s start by learning a bit about your background. How did your career path evolve and what led you to Houston Methodist? I was an engineer by training before I went to medical school, so I think I was programmed at an early stage in my car...

The health care landscape has evolved significantly over the past few decades, prompting health systems to adopt a range of physician alignment models. Yet, as highlighted in a recent Sg2 survey of strategy leaders, many of these models have been tried but have yielded limited results. One of the most significant shifts has been in physician employment trends. In the 1980s, approximately 75% of ph...

The ongoing exercise of patching workforce holes via recruitment and the digitization of select tasks and job functions has produced returns that are not only inadequate for long-term survival but also diminishing with each passing year. This perpetual cycle has only exacerbated the root problem: outdated workforce models. To truly move the needle on workforce transformation, organizations must e...