Marketing Strategy For Introduction Of A New Diabetes Program Essay

Marketing Strategy For Introduction Of A New Diabetes Program Essay

Marketing Strategy For Introduction Of A New Diabetes Program Essay

The development of the effective marketing strategy for the development and introduction of a new diabetes program is pivotal for the successful development of the organization. The hospital system that launches a new diabetes program should prepare the marketing plan before introducing the new program effectively. In this regard, the health care organization or organizations that introduce the new program should identify specifically the needs of the target population, identify the target population, elaborate effective communication tools to reach the target customer group and develop the effective strategy of the program implementation.Marketing Strategy For Introduction Of A New Diabetes Program Essay


General product information
The health system is launching a new diabetes program that aims at the assistance to patients with diabetes and provision of patients with the effective, in-time health care services that aim at the prevention of critical conditions in their health through the regular monitoring of the health condition of patients. The new program involves not only the enhancement of monitoring of the patient health condition but also training of patients to identify and respond adequately to dangerous changes in the health condition (Volti, 2015). The health system will focus on the wider use of the telemedicine to monitor the condition of patients with diabetes to help them to determine the moment, when they need to refer to health care professionals before their health condition deteriorates drastically. The development of the new diabetes program will help patients to prevent consistent and critical deterioration of their health with the risk to their life. The new program will focus on monitoring and reporting the current condition of the patient health to health care professionals, who will recommend patients to attend health care professionals, in case of urgency.Marketing Strategy For Introduction Of A New Diabetes Program Essay

The target customer group of the health system launching a new diabetes program is the population with diabetes that needs the constant monitoring of their health condition and the ongoing treatment. As patients with diabetes are in a very difficult position because their health condition can provoke the rapid and consistent deterioration of their health condition anytime. To put it more precisely, the deterioration of the health condition of patients may occur very fast and unexpectedly under the impact of various factors. The consistent deterioration of the patient health may occur unexpectedly and patients and their family members may fail to respond adequately to the severe case and the deterioration of their health. The new program will aim at patients with diabetes that need the assistance of health care professionals virtually all the time because diabetes it the chronic disease which is a serious health condition that needs the constant supervision from the part of health care professionals.Marketing Strategy For Introduction Of A New Diabetes Program Essay

Impact of outside agencies
At the same time, the implementation of the new program will require the assistance of external agencies. In this regard, the development of the new program will require the assistance of IT companies and telecommunication companies to ensure the introduction of the equipment and information transmission technologies to ensure the safe and reliable data transmission between health care professionals and patients. The equipment will help to monitor the health condition of patients and transmit the data to health care professionals. If they identify any dangerous symptoms or signs of the deterioration of the health of patients, they will send the message to patients to recommend them to consult their doctor and provide them with the required treatment or further, more detailed examination to provide the required health care services and to prevent the further deterioration of their health. In this regard, the health organization or organizations that introduce the new program will not be able to maintain the program on their own without the assistance of IT professionals and organizations specialized on information technologies and telecommunication systems.Marketing Strategy For Introduction Of A New Diabetes Program Essay

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In addition, the new program will have to comply with the national health care standards and HIPAA to ensure that the program provides patients with the full health care services they need and protection of their private information, especially information concerning their health, that may be transmitted in terms of the practical implementation of the program (Newel, 2011). The compliance with health care standards and patient privacy issues is pivotal and the new program should meet existing legal regulations, while state agencies conducting regulatory policies will maintain control over the implementation of existing legal norms. The violation of those norms will lead to the legal liability of health care organizations that fail to comply with those requirements and regulations.Marketing Strategy For Introduction Of A New Diabetes Program Essay

Impact of regulations
Existing regulations in the field of health care information and patient privacy are very important because the make health care organizations exposed to the legal liability for the violation of the patient privacy right or failure to provide the essential treatment for patients (Breneman & Taylor, 2014). Therefore, the new program should be safe for patients’ health and prevent any risk of information breaches because this would violate HIPAA and other regulations concerning the provision of health care services and privacy rights. The development of effective policies in this field requires that the new program involves the effective system based on the protection of the data transmission and storage and the effective provision of health care services to patients. The provision of health care services in terms of the new diabetes program should comply with the aforementioned legal requirements. Otherwise, health care organizations that fail to comply with those requirements and regulations will face the problem of the legal liabilities, whereas patients may file lawsuits against them in case of information breaches or failure to provide them with proper health care services.Marketing Strategy For Introduction Of A New Diabetes Program Essay

Anticipating the changing market
At the same time, the changing market, where health care organizations operate now may have a considerable impact on the implementation and further development of the program. Today, technologies progress very fast and the implementation of the new program allows using the full potential of contemporary technologies to provide patients with diabetes of high quality and in time health care services. As patients with diabetes face the high risk of the rapid deterioration of their health, they can benefit from new technologies which can identify any dangerous symptoms and changes in their condition. In addition, the further progress of technologies may bring consistent improvements to the program by making the information transmission faster and safer, while the communication between patients and health care professionals may become more efficient.Marketing Strategy For Introduction Of A New Diabetes Program Essay

Importance of market strategy
The market strategy will determine the marketing of the new program. Customers with diabetes will definitely need such program but the problem is whether they are technologically prepared for the change and the implementation of the new program. In this regard, the new program should be able to provide patients with the required equipment and train them to use the technology more effectively. In addition, the development of the new program will need the promotion of the program to reach the target customer group and to persuade customers that they really need the program. The emphasis on advantages of the program will help the organization or organizations implementing the program to attract customers and maximize the use of the effectiveness of the program. The marketing strategy will also help to manage the new program and maintain it effectively.Marketing Strategy For Introduction Of A New Diabetes Program Essay

Thus, the marketing strategy for the new program will determine the key directions in the development, promotion and delivery of the new program to customers.

n health care, the days of business as usual are over. Around the world, every health care system is struggling with rising costs and uneven quality despite the hard work of well-intentioned, well-trained clinicians. Health care leaders and policy makers have tried countless incremental fixes—attacking fraud, reducing errors, enforcing practice guidelines, making patients better “consumers,” implementing electronic medical records—but none have had much impact.Marketing Strategy For Introduction Of A New Diabetes Program Essay

It’s time for a fundamentally new strategy.

At its core is maximizing value for patients: that is, achieving the best outcomes at the lowest cost. We must move away from a supply-driven health care system organized around what physicians do and toward a patient-centered system organized around what patients need. We must shift the focus from the volume and profitability of services provided—physician visits, hospitalizations, procedures, and tests—to the patient outcomes achieved. And we must replace today’s fragmented system, in which every local provider offers a full range of services, with a system in which services for particular medical conditions are concentrated in health-delivery organizations and in the right locations to deliver high-value care.Marketing Strategy For Introduction Of A New Diabetes Program Essay

Making this transformation is not a single step but an overarching strategy. We call it the “value agenda.” It will require restructuring how health care delivery is organized, measured, and reimbursed. In 2006, Michael Porter and Elizabeth Teisberg introduced the value agenda in their book Redefining Health Care. Since then, through our research and the work of thousands of health care leaders and academic researchers around the world, the tools to implement the agenda have been developed, and their deployment by providers and other organizations is rapidly spreading.

The transformation to value-based health care is well under way. Some organizations are still at the stage of pilots and initiatives in individual practice areas. Other organizations, such as the Cleveland Clinic and Germany’s Schön Klinik, have undertaken large-scale changes involving multiple components of the value agenda. The result has been striking improvements in outcomes and efficiency, and growth in market share.Marketing Strategy For Introduction Of A New Diabetes Program Essay

There is no longer any doubt about how to increase the value of care. The question is, which organizations will lead the way and how quickly can others follow? The challenge of becoming a value-based organization should not be underestimated, given the entrenched interests and practices of many decades. This transformation must come from within. Only physicians and provider organizations can put in place the set of interdependent steps needed to improve value, because ultimately value is determined by how medicine is practiced. Yet every other stakeholder in the health care system has a role to play. Patients, health plans, employers, and suppliers can hasten the transformation—and all will benefit greatly from doing so.Marketing Strategy For Introduction Of A New Diabetes Program Essay

Defining the Goal
The first step in solving any problem is to define the proper goal. Efforts to reform health care have been hobbled by lack of clarity about the goal, or even by the pursuit of the wrong goal. Narrow goals such as improving access to care, containing costs, and boosting profits have been a distraction. Access to poor care is not the objective, nor is reducing cost at the expense of quality. Increasing profits is today misaligned with the interests of patients, because profits depend on increasing the volume of services, not delivering good results.

In health care, the overarching goal for providers, as well as for every other stakeholder, must be improving value for patients, where value is defined as the health outcomes achieved that matter to patients relative to the cost of achieving those outcomes. Improving value requires either improving one or more outcomes without raising costs or lowering costs without compromising outcomes, or both. Failure to improve value means, well, failure.
Embracing the goal of value at the senior management and board levels is essential, because the value agenda requires a fundamental departure from the past. While health care organizations have never been against improving outcomes, their central focus has been on growing volumes and maintaining margins. Despite noble mission statements, the real work of improving value is left undone. Legacy delivery approaches and payment structures, which have remained largely unchanged for decades, have reinforced the problem and produced a system with erratic quality and unsustainable costs.Marketing Strategy For Introduction Of A New Diabetes Program Essay

All this is now changing. Facing severe pressure to contain costs, payors are aggressively reducing reimbursements and finally moving away from fee-for-service and toward performance-based reimbursement. In the U.S., an increasing percentage of patients are being covered by Medicare and Medicaid, which reimburse at a fraction of private-plan levels. These pressures are leading more independent hospitals to join health systems and more physicians to move out of private practice and become salaried employees of hospitals. (For more, see the sidebar “Why Change Now?”) The transition will be neither linear nor swift, and we are entering a prolonged period during which providers will work under multiple payment models with varying exposure to risk.Marketing Strategy For Introduction Of A New Diabetes Program Essay

Why Change Now?

In this environment, providers need a strategy that transcends traditional cost reduction and responds to new payment models. If providers can improve patient outcomes, they can sustain or grow their market share. If they can improve the efficiency of providing excellent care, they will enter any contracting discussion from a position of strength. Those providers that increase value will be the most competitive. Organizations that fail to improve value, no matter how prestigious and powerful they seem today, are likely to encounter growing pressure. Similarly, health insurers that are slow to embrace and support the value agenda—by failing, for example, to favor high-value providers—will lose subscribers to those that do.Marketing Strategy For Introduction Of A New Diabetes Program Essay

The Strategy for Value Transformation
The strategic agenda for moving to a high-value health care delivery system has six components. They are interdependent and mutually reinforcing; as we will see, progress will be easiest and fastest if they are advanced together. (See the exhibit “The Value Agenda.”)

The Value Agenda

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The current structure of health care delivery has been sustained for decades because it has rested on its own set of mutually reinforcing elements: organization by specialty with independent private-practice physicians; measurement of “quality” defined as process compliance; cost accounting driven not by costs but by charges; fee-for-service payments by specialty with rampant cross-subsidies; delivery systems with duplicative service lines and little integration; fragmentation of patient populations such that most providers do not have critical masses of patients with a given medical condition; siloed IT systems around medical specialties; and others. This interlocking structure explains why the current system has been so resistant to change, why incremental steps have had little impact (see the sidebar “No Magic Bullets”), and why simultaneous progress on multiple components of the strategic agenda is so beneficial.Marketing Strategy For Introduction Of A New Diabetes Program Essay


No Magic Bullets

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The components of the strategic agenda are not theoretical or radical. All are already being implemented to varying degrees in organizations ranging from leading academic medical centers to community safety-net hospitals. No organization, however, has yet put in place the full value agenda across its entire practice. Every organization has room for improvement in value for patients—and always will.

1: Organize into Integrated Practice Units (IPUs)
At the core of the value transformation is changing the way clinicians are organized to deliver care. The first principle in structuring any organization or business is to organize around the customer and the need. In health care, that requires a shift from today’s siloed organization by specialty department and discrete service to organizing around the patient’s medical condition. We call such a structure an integrated practice unit. In an IPU, a dedicated team made up of both clinical and nonclinical personnel provides the full care cycle for the patient’s condition.Marketing Strategy For Introduction Of A New Diabetes Program Essay

IPUs treat not only a disease but also the related conditions, complications, and circumstances that commonly occur along with it—such as kidney and eye disorders for patients with diabetes, or palliative care for those with metastatic cancer. IPUs not only provide treatment but also assume responsibility for engaging patients and their families in care—for instance, by providing education and counseling, encouraging adherence to treatment and prevention protocols, and supporting needed behavioral changes such as smoking cessation or weight loss.
In an IPU, personnel work together regularly as a team toward a common goal: maximizing the patient’s overall outcomes as efficiently as possible. They are expert in the condition, know and trust one another, and coordinate easily to minimize wasted time and resources. They meet frequently, formally and informally, and review data on their own performance. Armed with those data, they work to improve care—by establishing new protocols and devising better or more efficient ways to engage patients, including group visits and virtual interactions. Ideally, IPU members are co-located, to facilitate communication, collaboration, and efficiency for patients, but they work as a team even if they’re based at different locations. (See the sidebar “What Is an Integrated Practice Unit?”)Marketing Strategy For Introduction Of A New Diabetes Program Essay

What Is an Integrated Practice Unit?

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Take, for example, care for patients with low back pain—one of the most common and expensive causes of disability. In the prevailing approach, patients receive portions of their care from a variety of types of clinicians, usually in several different locations, who function more like a spontaneously assembled “pickup team” than an integrated unit. One patient might begin care with a primary care physician, while others might start with an orthopedist, a neurologist, or a rheumatologist. What happens next is unpredictable. Patients might be referred to yet another physician or to a physical therapist. They might undergo radiology testing (this could happen at any point—even before seeing a physician). Each encounter is separate from the others, and no one coordinates the care. Duplication of effort, delays, and inefficiency is almost inevitable. Since no one measures patient outcomes, how long the process takes, or how much the care costs, the value of care never improves.Marketing Strategy For Introduction Of A New Diabetes Program Essay

The impact on value of IPUs is striking. Compared with regional averages, patients at Virginia Mason’s Spine Clinic miss fewer days of work (4.3 versus 9 per episode) and need fewer physical therapy visits (4.4 versus 8.8).

Contrast that with the approach taken by the IPU at Virginia Mason Medical Center, in Seattle. Patients with low back pain call one central phone number (206-41-SPINE), and most can be seen the same day. The “spine team” pairs a physical therapist with a physician who is board-certified in physical medicine and rehabilitation, and patients usually see both on their first visit. Those with serious causes of back pain (such as a malignancy or an infection) are quickly identified and enter a process designed to address the specific diagnosis. Other patients will require surgery and will enter a process for that. For most patients, however, physical therapy is the most effective next intervention, and their treatment often begins the same day.

Virginia Mason did not address the problem of chaotic care by hiring coordinators to help patients navigate the existing system—a “solution” that does not work. Rather, it eliminated the chaos by creating a new system in which caregivers work together in an integrated way. The impact on value has been striking. Compared with regional averages, patients at Virginia Mason’s Spine Clinic miss fewer days of work (4.3 versus 9 per episode) and need fewer physical therapy visits (4.4 versus 8.8). In addition, the use of MRI scans to evaluate low back pain has decreased by 23% since the clinic’s launch, in 2005, even as outcomes have improved. Better care has actually lowered costs, a point we will return to later. Virginia Mason has also increased revenue through increased productivity, rather than depending on more fee-for-service visits to drive revenue from unneeded or duplicative tests and care. The clinic sees about 2,300 new patients per year compared with 1,404 under the old system, and it does so in the same space and with the same number of staff members.Marketing Strategy For Introduction Of A New Diabetes Program Essay

Wherever IPUs exist, we find similar results—faster treatment, better outcomes, lower costs, and, usually, improving market share in the condition. But those results can be achieved only through a restructuring of work. Simply co-locating staff in the same building, or putting up a sign announcing a Center of Excellence or an Institute, will have little impact.

IPUs emerged initially in the care for particular medical conditions, such as breast cancer and joint replacement. Today, condition-based IPUs are proliferating rapidly across many areas of acute and chronic care, from organ transplantation to shoulder care to mental health conditions such as eating disorders.Marketing Strategy For Introduction Of A New Diabetes Program Essay

Turning Doctors into Leaders
Feature Thomas H. Lee
Medicine is changing — and so must doctors. Here’s how.
Recently, we have applied the IPU model to primary care (see Michael E. Porter, Erika A. Pabo, and Thomas H. Lee, “Redesigning Primary Care,” Health Affairs, March 2013). By its very nature, primary care is holistic, concerned with all the health circumstances and needs of a patient. Today’s primary care practice applies a common organizational structure to the management of a very wide range of patients, from healthy adults to the frail elderly. The complexity of meeting their heterogeneous needs has made value improvement very difficult in primary care—for example, heterogeneous needs make outcomes measurement next to impossible.Marketing Strategy For Introduction Of A New Diabetes Program Essay

In primary care, IPUs are multidisciplinary teams organized to serve groups of patients with similar primary and preventive care needs—for example, patients with complex chronic conditions such as diabetes, or disabled elderly patients. Different patient groups require different teams, different types of services, and even different locations of care. They also require services to address head-on the crucial role of lifestyle change and preventive care in outcomes and costs, and those services must be tailored to patients’ overall circumstances. Within each patient group, the appropriate clinical team, preventive services, and education can be put in place to improve value, and results become measureable.Marketing Strategy For Introduction Of A New Diabetes Program Essay

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