ABSTRACT

The U.S. healthcare system was shaped by a series of odd circumstances, without a clear policy mandate. As a result, it resembles a patchwork of systems with the main stakeholders, providers and payers, having different motivations. Now, with healthcare costs spiraling out of control, plans are in place to transition to a value-based reimbursement system. New healthcare models, such as accountable care organizations and direct primary care practices, are reshaping the health system landscape. Business practices such as Agile, Six Sigma, and Lean, are being adapted to healthcare as health systems executives embrace a new business paradigm of measurement to optimize operations. This chapter will describe the changes affecting health systems and how data are driving health systems to innovate.