Q:	Our state is moving to vouchers and cash accounts for a group of people with disabilities. What changes do we need to make in an era of consumer choice?

A:

There is a growing trend by purchasers to put more control for the purchase of health care services directly in the hands of consumers. Consumer preference in this era of choice is for easy-to-use recovery-focused treatment and support services that are increasingly available and affordable. For providers of services, the issue is not “what do our customers need?” but is instead “What do our customers want?” This raises four key strategic questions for provider organizations:

Where does your organization “fit” — and add value — in the overall system?
Does your organization offer services with a demonstrable “value proposition” for payers?
If consumers have an active choice in their services, will they select the services you offer?
If consumers select the services you offer, will they choose you?

The first place to start is with a thorough understanding of the consumers your organization currently serves. How many consumers are using what services? Are they paying out of pocket or do they have third-party payment. What is their age, their race, their ethnicity, and more? Where do they live? How did they get to your organization? The demographics are the first step in understanding your consumers and developing enhanced services that they want.

Consumer (and payer) satisfaction surveys and focus groups are excellent tools to assess your customers’ perceptions of your organization. Customer satisfaction surveys should be designed to address customer perceptions of both benefits (meaningful outcomes and gains for consumers) and features — for example, the number and type of qualified staff, hours of operation, types of groups offered, etc. To be most effective, surveys should be routinely distributed to customers when they leave a service, rather than once annually. Focus groups can be a highly effective technique to gain even more focused feedback when conducted by an objective outsider who is familiar with focus group methodology.

Consumer choice is expanding. Not only with vouchers and health savings accounts, but also in retail clinics and expanded coverage of telehealth for mental health services. If consumers can choose, will they choose you? Do you have the consumer information to really answer the question?

John F. Talbot, Ph.D,
OPEN MINDS
Executive Vice President and Senior Associate

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John F. Talbot, Ph.D., OPEN MINDS, Executive Vice President and Senior Associate

With over 30 years experience in all aspects of health care, including upper management, consultation, education, direct clinical work, and serving as the president of a non-profit board, Dr. Talbot has provided consultation, training and operational assistance to behavioral health providers, nonprofit organizations, and managed care organizations across the country.

Prior to his position with OPEN MINDS, Dr. Talbot served as the President of a network of agencies providing care to children and families. His innovative work received national recognition, including participating in a Federal IV-E waiver study that demonstrated measurable superior clinical outcomes. He also led the development of a coalition of business executives to address the issues of providing care to abused and neglected children, and the establishment of a nationwide purchasing cooperative for non-profits.

Dr. Talbot has been a featured speaker at a number of national and state venues. He is also the former publisher and editor of Today’s Healthcare Manager, a newsletter focusing on leadership and management skills for healthcare managers, and has written numerous articles, manuals, and book chapters. His volunteer work includes serving as the President of the Board of Human Services, Inc., in Colorado.

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