A set of 8 magical facts about patient experience.

1. Magical Facts
About Patients
That you would die to know8

2. It’s all about word of mouth
Our research over a
ten year period
confirms that,
organizations with the
highest ratio of
promoters to detractors
in their sector typically
enjoyed both strong
profits and growth.
Bain & Company
0
100
200
300
-100
-200
AVERAGE
CUSTOMER
BASE
AVERAGE
CUSTOMER
BASE
RETENTION
MARGINS
ANNUAL SPEND
COST TO SERVE Economic
benefits
NEGATIVE
WORD OF MOUTH
COST TO SERVE
ANNUAL SPEND
MARGINS
RETENTION
Economic
penalties
Patients who
spoke bad
Patients who
spoke good
POSITIVE
WORD OF MOUTH
Each one point
decrease in satisfaction is associated
with a 6% increase in complaints
Stelfox, et. al. (2005) AJM 118
1

3. Patient Experience is a lot more
than clinical outcomes
All other things (including
the quality of clinical care)
being equal, more than
50% of the patients said
they would shift hospitals if
they knew about or
experienced higher levels
of service in a hospital
20% OF A PATIENT’S CHOICE IS BASED ON A HOSPITAL’S CLINICAL
REPUTATION, 41% ON NON CLINICAL EXPERIENCE. A DOCTOR’S
RECOMMENDATION AND THE HOSPITAL’S LOCATION ARE
RESPONSIBLE FOR THE REST OF PATIENT’S DECISION.
Mc Kinsey Research , 2008Survey involving > 100O US patients and > 100 Physicians , 2007
41
21
18
20
Physician’s
Decision
Location
Hospital
Reputation
Patient
Experience
41
30
20
Never
Requested
Discussed but did not make
request
Requested
Specific
Hospital
56
Might or
might not
request
Would
Definitely
Request4442
% of patients % of patients
Would you request a hospital
if it were distinctive for
patient experience, all other
things being equal
Have you requested a
specific hospital from your
physician
Factors influencing patients’
choice of hospitals
[ patients allocated 100
points}
2

4. Patients are willing to switch for
better…
Conventional thinking has
long held that most patients
base their choice of hospital on
its clinical reputation, its
location, or their physician’s
recommendations.
McKinsey Research, 2008
Most of the patients are now willing to switch
hospitals for better service and amenities
Mc Kinsey Research , 2008
% patients who said they would switch hospitals as a result of non-clinical criteria
Non clinical criteria Willingness to switch
% of patients
Relative interest in each criteria
Keeping patients informed about treatment
both during and after visit
77 100
75 38
3366
64
63
17
62
61
59
55
52
52
36
50
17
24
28
27
8
Conducting scheduled appointments on time
Room appearance and furnishing
Ease of scheduling appointments
Food and entertainment options in room
Value for money eg.discount
Simplicity of registration, access to medical
record
Ease of understanding bill
An environment supportive of family and
emotional needs
Convenience and ease of accessing the
facility
Comfort of waiting room and other common
areas
3

5. What’s bad about good service
quality
A satisfied person has no story
to tell. Everything went just as
expected. It is the unexpected
event that makes a stay
memorable.
For every loyal customer, there
is usually a special story
Fred Lee , Author of award winning book
If Disney Ran Your Hospital Touch Point
1
Touch point
2
Touch point
3
Touch point
4
Touch Point
5
Touch Point
6
Touch Point
7
TOUCH
POINTS
What made
them feel bad
and at which
touch point?
What created
tears of joy and
at which touch
point did that
happen ?
A good story to tell
A bad story to tell
Satisfied Person
Hyper Satisfied Person
Dissatisfied Person
4

6. If you can’t measure, you can’t
manage
2 3 4 5 6 7 81 90 10
Never Absolutely
Detractor Passive Promoter
Detractors are customers with the lowest rates of
repurchase and referrals. Detractors spread
negative word-of-mouth comments about the
company
Passively Satisfied customers stay with a company
more due to inertia than true loyalty
Promoters have the highest
rates of repurchase and referral.
THE NET PROMOTER SCORE
5

7. Patient Experience is all about
bottom line
LEAST
PROFITABLE
QUARTILE
MOST
PROFITABLE
QUARTILE
PATIENTSATISFACTION
1 2 3 4
82.2
83.5
83.7
84.3
In research conducted by Press Ganey, hospitals were divided into four groups
(quartile) based on their profitability.
The least profitable hospitals had the lowest patient satisfaction scores (out of
100 points). The most profitable had the highest patient satisfaction
Source: HFM Magazine, 2008 : Looking to improve financial results ? Start by listening to patients : By: Melvin F Hall PhD
As patient satisfaction
increased, the average
hospital profitability
increased
Without a quantifiable link to
profits, the push for patient
satisfaction is based on nothing
more than the moralistic view that
“it’s nice to be nice”
6

8. Why patient satisfaction is beyond
satisfaction surveys !
We have studied 400 plus
Satisfaction Survey forms and
have come to a conclusion
It’s not the
questions that
are flawed, it’s
the direction
Team doesn’t
know as to how
to take
corrective
action
Caregiver
responds on
behalf of
patient
Don’t take
into account
the overall
experience
Questions
are forced
choices
Manipulated
to
suit the
desirable
evidence
Most often
partially filled
The Forms never
linked back to the
future and to
economics
Seldom
capture level
of satisfaction/
dissatisfaction
7

9. Patient Experience is a lot more
than clinical outcomes
How well staff worked together to care for me
Overall Cheerfulness of the Hospital
Response to concerns/complaints made during my stay
Amount of attention paid to my personal and specific needs
Staff sensitivity to the inconvenience of hospitalization
How well nurses kept me informed
Staff’s effort to include me in decisions about my treatment
Nurses attitude towards my requests
Skill of the nurses
Friendliness of the nurses
Press Ganey Satisfaction Report , August , 2003
0.79
0.74
0.68
0.65
0.65
0.64
0.64
0.64
0.63
0.62
When hospitals spend
most of their efforts in
clinical results &
process
improvement, their
data are defined by
outcomes and thus
can be measurable
objectively.
Patient however,
judge quality by his/
her perceptions,
something that is
subjective and cannot
be verified in the
same way as
outcome.
8

10. Medium is a healthcare consulting firm. Our services include Business Strategy, Marketing &
Sales, Quality & Patient Experience, Performance Transformation, Healthcare Franchising.
and Public Health. We are innovative, passionate and performance-driven. But, most of
all, we are committed to delivering significant and tangible business impact for our clients.
Our clients have ranged from large hospital chains and single-specialty hospitals to
primary care clinics, medical equipment manufacturers and private equity.
www.med-ium.com
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