News, Analysis, Trends, Management Innovations for
Clinical Laboratories and Pathology Groups

Hosted by Robert Michel

News, Analysis, Trends, Management Innovations for
Clinical Laboratories and Pathology Groups

Hosted by Robert Michel
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Consumer Wellness Trend Portends Change in Existing Lab Testing Business Model

Blame it on informed, well-off consumers who pursue wellness and optimum health

Informed consumers may be shifting the healthcare paradigm even as Congress prepares to hammer out its vision of a radically-reformed healthcare system. At least that’s the view of one healthcare expert, who observes that the steady growth in the number of consumer home test kits, patient self-testing devices, and point-of-care tests is a major factor enabling this trend.

People today increasingly get their healthcare outside of the physician-centered healthcare system, stated Mary Kate Scott, Principal at the Los Angeles consulting firm, Scott & Co., in her recent report to the California HealthCare Foundation. (more…)

DNA Vaccine for Horses Holds Promise for Better, Safer Human Vaccines

Milestone demonstration validates effectiveness of DNA vaccine technology in large mammals

Why is registration of a new equine vaccine for West Nile virus generating excitement among biomedical researchers? It represents a breakthrough in DNA vaccine technology, demonstrating this new class of vaccines is viable for human use.

Many pathologists and clinical laboratory professionals will find this news noteworthy for several reasons. First, it is an important milestone in the use of molecular technology to advance genetic medicine. Second, wider use of DNA vaccines will serve the goal of preventive healthcare. Third, should DNA vaccines eventually find a role in protecting humans from a wide spectrum of diseases, this, in turn, will significantly change the role and frequency of laboratory testing for these diseases. Along with other uses, it is because DNA vaccines can target cancers as well as infectious diseases.

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More Doctors Consider Concierge Medicine as Healthcare Reform Looms

Concern about lower reimbursement sparks MD interest in concierge practice model

Fear about the far-reaching consequences of healthcare reform-and the potential for dramatic reductions in physician reimbursement-has triggered a surge in physician participation in concierge medicine.

Concierge medicine, sometimes also called boutique medicine, has been around since 1996. However, with healthcare reform now eminent, more doctors are choosing this option. A New York Times article published in 2005 estimated that 250 doctors with 100,000 patients participated in concierge medicine at that time. Today, approximately 5,000 U.S. primary care doctors operate a concierge practice, according to the Society for Innovative Medical Practice Design, a professional association of concierge physicians.

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WellPoint Uses Zagat Survey So Patients Can Rate Their Doctors

As out-of-pocket costs for health care rise, consumers are motivated to manage their own care and insurers are providing them tools to make the job easier. The latest innovation, which is available exclusively to WellPoint and North Carolina Blues plan members, is a consumer rating system from Zagat that helps people shop for doctors.

This interesting new development was recently the subject of a detailed intelligence briefing in April 6, 2009 issue of The Dark Report. The Zagat Health Survey is designed to be both doctor friendly and easy for patients to use. It does not address physician quality. Rather, it offers a snapshot of individual physicians-based on criteria that impact the consumer experience. Clinical laboratory managers and pathologists will eventually need to respond to this trend. That’s because, as it becomes more common for consumers to rate providers, health plans will begin asking their beneficiaries to rate the service they received from medical laboratory test providers.

Patients are asked to rate a physician on four criteria, using a scale of 0 to 3, with 3 being excellent. Zagat then averages consumer scores for a physician and multiplies by 10 to create the familiar Zagat 0-30 number ratings. Reviewers are also asked if they would recommend the doctor to other plan members.

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U.S. Hospital Employment Declines for First Time Since 2004!

First-ever Gathering of Lab CFOs, Controllers to take place on April 28-29, 2009

News that the number of hospital jobs in the United States fell for the first time since June 2004 reveals several useful insights for clinical laboratory managers and pathologists. The U.S. Bureau of Labor Statistics reported that, for March 2008, the number of hospital jobs declined by 700, against a total hospital workforce of 4.71 million.

This small decline-less than one-tenth of one percent-demonstrates that demand for hospital services continues to be relatively resistant to economic declines. However, other Labor Bureau statistics highlight a darker picture for the long-term fortunes of hospitals. The entire healthcare sector picked up a net increase of 16,500 jobs, with most of this coming from the ambulatory services sector. For example, physicians’ offices added a net of 3,200 workers. By contrast, the overall U.S. economy shed 663,000 jobs in March, with the national unemployment rate ending the month at 8.5%.

As reflected in these numbers for March, hospital employment declined by a tick while overall employment in healthcare increased in spite of the economic recession. This illustrates two fundamental trends in healthcare. First, demand for health services during this recession remains robust enough that hospitals continue to need almost all their workers. Second, growth in outpatient demand for services continues to outstrip growth in demand for inpatient services.

To understand the implications of these trends on clinical laboratories and pathology laboratories, the first-ever national gathering of laboratory CFOs (chief financial officers), controllers, and financial experts is taking place in New Orleans on April 28-29, 2009 at the Executive War College on Laboratory and Pathology Management. This unique session will be led by Kurt Rogers, CFO of Pathology Associates Medical Laboratories (PAML) of Spokane, Washington. Access the full agenda with this agenda link.

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