The Truven Health Blog

The latest healthcare topics from a trusted, proven, and unbiased source.

Employees as “Family”

Previously posted on http://www.jhsph.edu

By Truven Staff/Wednesday, September 30, 2015

Turck Inc., an international manufacturer of industrial automation technology located in Plymouth, MN, employs about 500 workers in the U.S. and about 2,500 worldwide. Grounded in the company is the principle that an employer has a responsibility to look after workers’ health and well-being and serve as a good corporate citizen in the community where the company is based. Workers are not simply employees of the firm; they are part of a large family and therefore need to be treated with respect and dignity.

Turck’s CEO Dave Lagerstrom believes workers should wake up each morning willing and eager to get to their jobs because they work in an excellent environment. Work, according to Lagerstrom, is where employees learn and grow – and the work setting should promote well-being.

Read the full article by Ron Goetzel here


Creating Cultures of Health in Small Manufacturing Companies

Previously posted on http://www.jhsph.edu

By Ron Z. Goetzel/Tuesday, September 29, 2015

In December 2013, my team and I traveled to companies throughout the United States to see firsthand how employers have instituted cultures of health within their organizations in order to improve the health and well-being of their workers. The conventional wisdom holds that large employers (those with many resources and large staff) can readily put workplace health promotion programs in place, but small employers, especially manufacturing companies, have a hard time doing so. It turns out that small manufacturers can, and do, have effective programs.   

If you think about it, small employers have some advantages that large businesses lack. They have fewer layers for decision-making, they can create work cultures that promote participation in workplace health promotion programs, and their leaders may be visible champions for healthy behaviors.

Our December travels took us to three manufacturing companies headquartered in the north-central region of the United States: Turck Inc., Graco Inc., and Lincoln Industries. During each site visit, we sat down with the company’s senior executives, middle managers and supervisors, program implementers, and a cross-section of workers. The reason for scheduling meetings with so many stakeholders within the organization was to make sure we weren’t just hearing the company “line” espoused by program implementers. We also wanted to hear directly the unique perspectives of the various groups most affected by these programs – employees, their bosses, and the company’s leaders who sign the checks to fund health promotion programs and are ultimately responsible for the financial outcomes for the business. We held separate meetings with each group of employees, which allowed my team to cross-reference observations made from various layers within the organization.

Each of the companies visited reflected a unique profile, but in each organization, a distinct “culture of health” had been created to fit into the overall fabric of the business. The underlying philosophy articulated by people we interviewed was that a healthy employee (defined broadly to include physical, emotional, social, financial, and spiritual health) exudes a positive attitude about work, relates better to fellow employees, has trust in company leaders, and feels valued as a partner in the enterprise. This positive attitude, in turn, contributes to the company’s overall success and bottom line.

In our next few blogs – starting with Turck Inc. – we share our observations about these three small- to medium-sized manufacturing companies, and the insights we gained from examining their programs close-up. 

Written by Ron Goetzel, Truven Health Vice President Health and Productivity Research, with support from the Robert Wood Johnson Foundation


Modern Healthcare’s Look at Lean

By Marc Hafer/Monday, September 28, 2015

Though my inbox is usually flooded, a headline from the Modern Healthcare newsletter I receive caught my eye this week.  A special report titled, “Learning to Be Lean,” showcased Presence Health’s Lean transformation. Not only did the article highlight tangible savings - sepsis mortality rate decreased from 24 percent to 9 percent for instance - but it also called attention to soft improvements achieved when engaged stakeholders commit to Lean quality improvements. Staff at all levels felt more comfortable approaching management with challenges and taking accountability for driving change. Engagement levels and morale of staff involved in improvement processes increased. Management was better able to pinpoint problem areas in order to determine the best course of action.


Presence Health has been a Simpler client for years and it is both rewarding and encouraging to see the organization’s improvements recognized. We’re proud to have had the management at Presence Health refer to Simpler as “the guys who got us started’ in Lean. And it’s encouraging that each year more healthcare organizations understand that in order to deliver the best care in today’s dynamic and challenging healthcare environment, productivity and efficiency must be at the center. These are among the goals of Lean.


I’d like to acknowledge some other Simpler clients included in the article as leaders in “adopting Lean methods to redesign clinical and business processes.”


  • Simpler worked with Denver Health on its Lean journey to become the first health organization to be awarded the Bronze Medallion Shingo Prize for Operational Excellence. Patricia Gabow, M.D., former Denver Health CEO, is now one of our senior advisors. 


  • ThedaCare, a nonprofit community health system, turned to Simpler to work with their architects and builders when planning a new clinic. As ThedaCare’s Lean coaches and advisors from the inception of their improvement system in 2003, we were proud to help them rethink the building’s design to better meet patient needs, while completing it ahead of schedule and under budget.


  • Our colleagues at Joan Wellman & Associates (JWA Consulting), who brought additional specialized expertise in Advanced Lean operating systems in healthcare when they joined Simpler and Truven last year, work closely with Seattle Children's Hospital.



As the Modern Healthcare article points out, only in the past decade or so have health systems adopted Lean. When I reflect back on the return and improvements our clients have seen in that time, I’m optimistic of the positive change Lean can deliver for years to come. 

Marc Hafer
President, Simpler

A Truven Health Analytics company

Three Reasons to Visit Truven Health Analytics at EBN Benefits Forum and Expo

By Truven Staff/Friday, September 25, 2015

Employers throughout the country are gearing up to attend the 2015 EBN Benefits Forum & Expo from Wednesday, Sept. 30 to Friday, Oct. 2. The event is one of the industry’s largest, and will cover important employee benefits trends while offering best practices and innovations from employers large and small, as well as strategic insights from the industry experts.

Here are a few reasons to stop by booth #109 to talk to representatives from Truven Health:

  1. Find out more about our lunch session “Improve Decision-Making With Advanced Data Analytics and Reporting.”  Join us on Thursday, Oct. 1 from 12:30 PM to 1:15 PM to learn about:
  • Solving the most common data challenges
  • Best practices for data visualization
  • Gaining advanced techniques to share data in ways that improve decision making

Sign up for the event near the registration desk on Wednesday, Sept. 30

  2.   Learn how we can put your data to work to:

  • Understand your population’s health risks and cost drivers
  • Design effective benefit programs that comply with healthcare reform
  • Engage employees in healthcare decision-making
  • Mitigate fraud, waste, and abuse

  3.  Enjoy a taste of Florida with key lime coconut patties and a special cocktail during the evening reception.

Truven Health will be at booth #109 on Wednesday, Sept. 30, Thursday, Oct. 1 and Friday, Oct. 2. View the full schedule for EBN Benefits Forum & Expo here.

The Comprehensive Care for Joint Replacement (CCJR) Program: Are You Prepared?

By David Jackson/Thursday, September 17, 2015

Hip and knee replacements are a very common surgery for Medicare beneficiaries. In 2013, Medicare paid more than $7 billion in hospitalization costs alone for more than 400,000 beneficiaries’ knee and hip replacements. While incentives for hospitals to avoid post-surgery readmissions or extended rehabilitation resulting from complications exist, the quality and cost of care for these hip and knee replacement surgeries still vary widely among providers.


To address this variability in cost and quality, Centers for Medicare & Medicaid Services (CMS) has proposed the Comprehensive Care for Joint Replacement (CCJR) Program; the first mandatory bundled payment model in the U.S. The five-year program begins on January 1, 2016 and hospitals in 75 selected Metropolitan Statistical Areas (MSAs) are required to take responsibility for quality and total spending over a 90-day period for elective and urgent joint replacement procedures. CMS expects to save more than $175 million over the course of the five-year program.


The goal of this program is to encourage hospitals, physicians, and post-acute care providers to work together to achieve the Institute for Healthcare Improvement (IHI) triple aim: better quality, decreased cost, and improved patient satisfaction across an episode of care. While the CCJR model is similar to the current CMMI Bundled Payments for Care Improvement (BPCI) demonstration, there are key differences in the proposed CMS rule.


First, the proposed CCJR Model will hold participant hospitals financially accountable for the quality and cost of a CCJR episode of care for Medicare beneficiaries. Second, a target price will be set for each hospital prior to the start of each performance period. Depending on the participant hospital’s quality and episode cost performance, the hospital may be financially rewarded or penalized by Medicare. Finally unlike the CMMI BPCI program, in which a hospital succeeds based on its ability to reduce the cost of an episode from historical levels, success under the CCJR program relies on a health system’s ability to become and remain an efficient provider of joint replacement episodes in a region.


To be prepared to succeed under the new CCJR model, organizations must undertake an evaluation of their current capabilities and practice patterns and identify the gaps they need to address to manage and coordinate care effectively across the targeted joint replacement episodes.


Truven Health experts suggest that CCJR participant hospitals evaluate their approach from three perspectives:


1.     Quantitatively, by examining financial risk and opportunity

a.     Analyze historical utilization and spending trends

b.    Compare a hospital’s historical utilization against regional benchmarks

c.     Trend forward historic results using current internal data

d.    Forecast financial win-loss


2.     Qualitatively, by examining clinical and operational capabilities

a.     Orthopedic service line structure and leadership

b.    Physician alignment

c.     Care coordination and management capabilities

d.    Post-acute provider network

e.     Information and analytic capabilities


3.     Comprehensively, by prioritizing the most critical activities and investments a hospital should undertake for both short and long-term success under the CCJR program


For more information about how Truven Health can help you prepare for your CCJR participation, please call 1.800.525.9083, option 4 or email us at ProviderSolutions@truvenhealth.com.

David Jackson
Senior Consulting Manager