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Rachel Carrell

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Why Healthcare Needs a Retail Revolution

Posted: 17/10/2012 01:00

A long time ago, in a land not very far away, you couldn't shop after 6 pm, nor at all on Sundays. When you did make it into the shop, you had to ask the grocer for what you wanted and wait for him to hand it to you. The selection was slim, and cost a large part of the weekly wage.

British retail has come a long way since then. Today, supermarkets import a dazzling array of produce from all corners of the earth, at prices 1950s housewives couldn't imagine. Meanwhile metropolitan luxury retailers attract destination shoppers from half a world away, and our fast fashion retailers are a byword for urban cool.

What's more, without leaving my sofa I can now check my bank balance, order my groceries and send a birthday present to my sister in New Zealand.

But some things I still can't do. For example, I can't email my GP. I can't see my personal health records online. I can't order a postal STI test from my local NHS. I can't Skype my obstetrician to get my test results. And sometimes it seems easier to get hold of sold-out Glastonbury tickets than to get an appointment at my GP surgery.

It's as if Britain's retail revolution passed our healthcare system by completely.

Of course, healthcare services are complicated. Getting diagnosed and treated is not like buying a packet of crisps. But we shouldn't let the complexity of healthcare stop us from asking how we could do it better, from streamlining it, or from taking inspiration from other industries.

Here are four things the NHS could learn from British retailers:

1. Segmentation of the front end

Retailers know that customers want different brands, store formats, and sales channels. They know that different lives have different rhythms and need different ways of buying at different times. That's why we have restaurants, cafes, take-aways, ready meals, and street food, in countless variations.

In healthcare, on the other hand, there's often a single option for all comers. A local hospital. A sexual health clinic. A GP surgery open 9-6 pm on weekdays. Take it or leave it. Many people 'leave it' - which in the long run often turns out to be bad for their health and everyone else's wallet.

Healthcare traditionalists often point out that great care is available, if only people would make more effort to go and get it - at a time and place suiting the provider, of course.

Retailers would never say that. Retailers know that people aren't stupid but they are easily distracted. Retailers know their job is to make it really, really, really easy to be served.

2. Industrialisation of the back end

The most successful British retailers work with large-scale, efficient suppliers, driving down their own costs and passing (most of) this saving on to customers.

In contrast, much of the NHS is sub-scale cottage industry, especially in primary care. Aside from a few bold pioneers, little is automated. Patients who need a diagnosis are processed in the same way as patients who already have a diagnosis.

There is tremendous scope for increasing efficiency, allowing more people to be diagnosed and treated at lower cost while improving the journey for those who already know what they need.

3. Customer service

This builds on the previous lesson. If the NHS saved more from industrialising the 'back end', more could be spent on personalised attention and great customer service.

In the best of British retailers, the phone always gets answered before the third ring.

4. E-commerce

British retail is now reinventing itself again, this time online. The NHS should take up the baton. For example, public health campaigns can be highly effective online. Dr Thom, a provider to the NHS (full disclosure - I am the CEO) has managed to bring down the cost of diagnosing HIV patients from up to £19,000 per positive patient to under £300, using careful online targeting and home testing by post.

That means that many more people can be diagnosed with HIV early on, saving years of their lives and reducing the chance they might unwittingly infect others.

There are some truly excellent healthcare providers out there doing all of this already: segmenting to reflect patient preferences, industrialising where possible, tailoring services to individual patients, and experimenting online. But not nearly enough of them. It all needs to become standard. (More platforms for innovators, such as the Women of the Future awards in association with Shell, would help spread the good ideas.)

In short: there needs to be a healthcare retail revolution.

 

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A long time ago, in a land not very far away, you couldn't shop after 6 pm, nor at all on Sundays. When you did make it into the shop, you had to ask the grocer for what you wanted and wait for him to...
A long time ago, in a land not very far away, you couldn't shop after 6 pm, nor at all on Sundays. When you did make it into the shop, you had to ask the grocer for what you wanted and wait for him to...
 
 
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01:20 AM on 10/18/2012
My heart sank on reading this post, as yet another delusion is promoted as a saviour. I believe in capitalism, but marketing lectures are best left back in the class.

I fully accept that professional, leading retail organisations, like supermarket chains, are miles away from the blinkered snail pace NHS. But the underlying problem with the NHS, (and other public bodies), is both the (poor) quality of the senior management, (when was the last time you heard of an FTSE 100 company headhunting an NHS or Local Authority CEO), and the constant meddling of politicians for the sake of headlines. That won't change, anytime soon.

If you don't get the top sorted, then all the trendy initiatives in the world won't change a thing.
01:16 AM on 10/18/2012
Dr Thom through Lloyds pharmacy provides an excellent service for access to certain drugs and free easily accessible medical advice!

Reading between the lines of the above article it is easy to see how the NHS could follow the retail example without compromising it's status.

Consultants are predominantly 9 - 5 workers, often only working part time for the NHS. Evening and weekends are covered by overworked and often under experienced junior doctors!

Expensive operating theatres are under utilised during evenings, nights and weekends.

A perfectly good source of dedicated nurses, SENs and RGNs was abandoned for Degree qualified career nurses, a fair percentage of whom have no experience of, or interest in daily patient care.

In the main GPs are just part time medical centres and whose services are almost impossible to obtain when required. Out of hours services being provided by Primary Care Trusts who often have limited access to patients notes.

All of the above, seem more interested in compiling statistics rather than providing the primary care patients require!

My late wife was student nurse, staff nurse, sister, nurse manager and GP practice manager during her career, but the system let her down badly when she needed it!
05:29 PM on 10/18/2012
I work as an admin assistant in the NHS and the cuts in staff is terrible. I am shocked at it all but you never see the top jobs being cut and that is what is wrong. The NHS should never been run by accountants it should be run by doctor who will look after the patient. The front staff from the office worker to the domestics and nurses are doing there best with what they have
02:36 PM on 10/19/2012
I agree with you absolutely!
11:43 PM on 10/17/2012
Given the abismal standard of customer services in the retail and hospitilaity industry in this country I doubt the NHS nor any other organisation could learn anything from it.
11:31 PM on 10/17/2012
Agree re 'retail' philosophy applying to certain elective, service and discretionary aspects of provision. But it cannot work with 24/7 essential care for all, especially when requiring specialist intervention (ruptured aneurysm, PE, emergency laparatomy, septicaemic baby or RTA needing IC). You cannot practically duplicate or even triple these services, never mind staff, in an affordable manner to facilitate choice and guarantee cover. If no one turns up at your shop you close down and go elsewhere. The NHS can't. The US tried to but it provides expensive choice to only those who can pay and none to others. The 'traditional' NHS model is still the most (cost) effective in the world. Dr Thom good and professional looking niche service btw.
09:02 PM on 10/17/2012
Forget the NHS they may be part of the government BUT there are plenty stuff we should be able to do with all government agents and one is tax another is MOT, why do we need to send back a sorn form in a stamped envelope which if people are stupid and gullible enough to put on the stamp, then they will get doing it. I use the envelope sent to me by the tax office, after all if they cannot afford a stamp with the money we pay on road tax then they need to let a private company do the tax in future.
I feel so frustrated at having to put a stamp on a letter, to return my sorn form which should be done online without any cost at all to anyone. Plus there are 1.000s of other things the government could do online without any cost to either us or them, and they would save the government agents 100s of 1.000s of pounds a year, but these ideas aren’t for free from me.
05:19 PM on 10/17/2012
The dawn of a new era in NHS.

Telephone is answered on third ring :-

"Mumbai NHS how can i be helping you today sir ?

" I need a doctor quick"

" I am sorry to tell you that there will be a nine month wait and the statisticals say that you are more likely to be having a Boy "

" NO, a Dock - tor "

"sorry i am sending you to a colleague because i am not understanding you"

Phone is answered on second ring :-

" hello this is sanjay speaking, i am understanding that you want to upgrade your Sky package"....
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Mickey Mouse 1
There are no lies or deceit on a chess board.
04:54 PM on 10/17/2012
My wife's Dad has just gone into hospital and when we went to visit him he was in a bay of 5 people. The orderlies came around with food for the patients, but one guy was laid out flat on his back and could not reach his tray of food. The orderlies left to carry on delivering food to other patients leaving this poor man gagging for his. Then a woman appeared who was interviewing anyone over 65 to see if they has lost their memory. She asked them when the war started and finished and showed pictures of HM Queen to see if they knew who she was. Meanwhile the guy was still gagging for his food!

Newspaper stories of pensioners dying of starvation and neglect in NHS hospitals are not exaggerated. Whatever you do, do not get old and make sure you have a family to come and visit you when you end up in hospital, that way you can be sure to be looked after and your needs attended to.
03:15 PM on 10/17/2012
The most successful British retailers work with large-scale, efficient suppliers, driving down their own costs and passing (most of) this saving on to customers. this part of the story is bullxxxx it should read the most successful retailers have hit suppliers so hard some of them have gone bankrupt and they pay low wages so their employees have to go and claim benefiits therefore any one paying tax pays for their shopping twice while the most successful retailers brag about billions of pounds of profit .
lastpost
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01:51 PM on 10/17/2012
“Why Healthcare Needs a Retail”
and a technological, revolution. What if the interweb could be allied to bio-sensors. Couldn’t assistance be computerized, with a 24/7 optimized “expert” (the sum total of the best of the best knowledge) system?

“fashion retailers are a byword for”
the emperor’s outfitters? But enough about the power of placebos.

“Getting diagnosed and treated is not like buying a packet of crisps.”
As there’s usually far more in the former than the latter.

“Retailers know that customers want”
a little subtle psychology. Although whining can be perfectly fine, lifting spirits is definitely frowned upon.

“little is automated”
outside the carousel of the pharmacological lobbying industry.

“the phone always gets answered before the third ring”
if you’re a potential new customer. Yet hardly ever, if you’re an existing customer complaining.

“British retail is now reinventing itself”
So an in-store booth that scans a subject’s signs, and sends them on for analysis, isn’t beyond the bounds of rocket science fiction then?
01:13 PM on 10/17/2012
If you go on any American health forum you will see average joe discussing their medical problems and test results with a knowledge far surpassing our own. They discuss their 'T cells' and 'sed rates' and biopsy results like you and I discuss the weather. I feel stupid. How come they know all this? Would I want to know all this too? Well I have come across some pretty rude consultants that tell you nothing, just a grunt, but a few good ones that seemed to listen to me, get to the bottom of the problem, and spoke to me frankly (like a grown up). The bad ones just made me feel more ill and depressed and make me fell less likely to get checked out. So yeah maybe they should speak more open to us and tell us our results and what it means, and they can do this online as well as in a letter. Theres no getting away from it, getting a GP appointment and test results is a nightmare. It could be streamlined and more accessible. My surgery operates a telephone consultation. You have to wait for the GP to ring you to discuss why you want to see them. If you are at work its embarrassing. Half the time they havent read your notes before they ring, and so know little of any pre- conditions, awaiting tests, or ongoing consultant treatment. I avoid them like the plague usually.
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Ian Rennie
It irritates people that I'm a librarian :)
09:40 AM on 10/17/2012
From an information governance point of view, I am delighted that I can't see my personal health records online, as it decreases the likelihood that someone else can see my personal health records online.
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jacksdad41
Quant Je Puis
11:02 AM on 10/17/2012
Agree with that @Ian but it is hardly likely - Liebour spent £20bn on an outdated backbone of technology to share the information amongst the hospitals and GP's etc so it is hardly likely joe public will get access anytime soon, disagree on your second post (respectfully) - the NHS is a money consuming, largely wasteful, not fit for the 20 century let alone the 21st century. If it was a patient it would have DNR on a label on its big toe. I wish people wouldnt regard it as some sort of role model - it isnt, 250 words isnt enough to go into finite detail but it is broken beyond repair and a bottomless pit for wasting money.
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Ian Rennie
It irritates people that I'm a librarian :)
11:08 AM on 10/17/2012
Not entirely sure what your reply had to do with my comment.

Also, I'm not sure where you get the idea that the NHS is "a bottomless pit for wasting money" when it consistently scores as one of the most efficient health services in the world.
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Ian Rennie
It irritates people that I'm a librarian :)
09:38 AM on 10/17/2012
This is a frighteningly bad idea.

You know what you get when you add a "retail" element to a healthcare system? The US healthcare system. Nobody wants that.
12:04 PM on 10/17/2012
Ian - I agree there are awful elements of the US healthcare system that should not be copied. But adding a retail element to provision doesn't mean the system has to more closely resemble the US. For example in the UK, all of the above could be done with continued NHS ownership and control of provision.
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Ian Rennie
It irritates people that I'm a librarian :)
01:19 PM on 10/17/2012
"retail elements" work because they are in retail environments.  There has been a fetish in the last few decades in the public sector (actually, not so much in the public sector as in consultants brought in to advise the public sector) on turning public services into their private sector equivalents.  Run your libraries like bookstores.  Run your hospitals like shops.  The whole "easycouncil" nonsense in Barnet.  They don't work because they fail to realize that the public sector is not the private sector.
 
Essentially, half your article is things the NHS are already doing (do you really think they don't see the value of better customer service? Do you really think they aren't running online awareness campaigns?), and half of it is wishful thinking nonsense.  Considering that most people use the same password for their bank account as for Farmville, it would be an insanely bad idea to make medical records available online, unless you want scammers to know exactly when you last visited a doctor and what for.
 
Leave the retail model to retail, where it works.  Get all the consultants and private companies out of the NHS.