Strategic Plan, Part 1: Environmental Scan
Qiana.Reynolds
2016_strategic_plan_leader_presentation.pptx
2016 Strategic Plan Update
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In 2014, We Set Out the Perform, Grow, Lead Strategy
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Since 2014, We Have Increased Strategic Focus in Key Areas
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2014
2015
2016
One KP
Care Transformation
Cost Structure
Health Plan Services
People
Technology
Core
Contiguous
New
Affordability
Quality
Total Health
One KP
Consumer Digital Strategy
Privacy and Security
Line of Business
Mountain Colorado
Affordability Definition
Vision 2025
Medicaid
Eugene, OR
Santa Cruz, CA
Group Health Cooperative
Maui Memorial
Affordability Measurement
Advocacy
School of Medicine
Diversity and Inclusion
Total Health Impact
Experience Standards
Behavioral Health
Virtual Care
Maternal and Child Health
Enterprise People Strategy
Capacity Evaluation
Perform
Grow
Lead
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2016
Over The Last Three Years, We Have Performed Well
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Membership Growth
(millions)
Expense Trends
(Per Member, Per Month)
Pricing*
(Average rate increases, KP vs competitors)
*Large Commercial Group Rate Increases (Post Buy-Down/Mitigation), Towers Watson Survey
5.6%
Average Growth 2014-16
1.6%
Average Growth 2011-13
700K
More members than forecasted in the 2014 Strategic Plan
(10M planned)
2.2%
Lower rate increase than competitors, on average
2.6%
Lower than the prior 3-year average from 2011-2013
2010
2013
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2008-2010 2011-2013 2014-2016 6.3000000000000014E-2 5.1000000000000004E-2 4.7000000000000014E-2 KP
2008-2010 2011-2013 2014-2016 6.900000000000002E-2 4.7000000000000014E-2 2.5000000000000005E-2
We Have Also Advanced Our Measurement of Affordability
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In 2015, KP Care and Coverage is affordable for 80% of people living in our communities.
We must continue with low trends to enable affordable rates.
Service levels declined slightly and will be a focus.
PERFORM > We Continue to Work on High-Quality, Affordable Care
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Note: NCQA’s HEDIS Composite is the most widely used standardized set of performance metrics used to report health care quality.
HCAHPS is the most widely used metric to report hospital care service experience.
Expense Trends (PMPM)
National 75th
Percentile
Kaiser
Permanente
We sustained high-quality care during growth.
Kaiser Permanente
National 90th
Percentile
HCAHPS National 75th Percentile
Baseline Trend
2016 Plan
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HEDIS Performance Measures
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2008 2009 2010 2011 2012 2013 2014 2015 59.5 64.099999999999994 67.900000000000006 71.599999999999994 73.3 75 75.5 75.099999999999994
PERFORM > People Strategy: Underpins Everything We Do
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Our People Strategy is an essential tool for creating and supporting an organization where we all can say this:
“I am at my best.
I am valued and supported.
I make a difference.
I am part of a great cause.
I am KP.”
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GROW > Three Years of Accelerated Growth Is Stabilizing
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Total Membership
(Millions)
9.1
10.7
11.5
2.6%
Average Growth
5.6%
Average Growth
Consumers have increasingly chosen KP since 2013. Growth is stabilizing post-ACA and we will grow to over 11.5 million members by 2019, with an increasing number of Individual and Medicare members.
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GROW > Group Health Cooperative Will Become KP Washington
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In 2017, KP will launch our brand in Washington and offer high quality, more affordable care for Washington communities.
We are expanding to nearby communities in every region and seeking new growth opportunities.
LEAD > We Are Driving Health Care Change
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We advocate for providing the
best care in the most effective way.
Our Total Health strategy
addresses societal, economic, and behavioral factors on
our communities.
Diversity and Inclusion actions
involve perspectives from Care, Workplace, Marketplace, Supplier Partnerships, and Compliance.
The School of Medicine
teaches our preventive,
evidence-based care beyond
traditional care settings.
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LOOKING AHEAD > Broadening Our Vision and Impact
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OUR VISION: We are trusted partners in total health, collaborating with people to help them thrive, creating communities that are among the healthiest in the nation, and inspiring greater health for America and the world.
Strategic Goal Alignment
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| Add each business goal or objective here |
| Add each business goal or objective here |
| Add each business goal or objective here |
| Add each business goal or objective here |
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Activity: How Can You Support KP’s Strategic Plan?
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Review Kaiser Permanente’s strategic plan. Identify at least one of the plan components (Perform, Grow, and Lead) that you think your team should focus on this year. Discuss your ideas with your partner.
Write down the business objectives that you hope to achieve on the activity worksheet. (Consider using the SMART* model to define your goals.)
Talk about it for 5 minutes.
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*SMART goals are specific, measurable, attainable, realistic, and timely/tangible
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Action Plan
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Review Kaiser Permanente’s strategic plan with your team members.
Brainstorm ways that you and your team can support our strategy through the framework of Perform, Grow, Lead.
Set SMART goals with your team members that you intend to achieve this year.
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Focus on Affordability
“We need to become an organization that is truly focused on meeting the needs of consumers. To do that, we need to create the best experiences for our members and consumers, no matter where or how they come in contact with us. That is the essence of One KP.”
— Bernard Tyson
Chairman and CEO
Kaiser Permanente
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Visit KP’s national strategy website:
Our mission is to provide high-quality, affordable health care services and to improve the health
of our members and the communities we serve
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8.7 9.1 10.7 2008-20102011-20132014-2016
6.1%4.3%1.7%2008-20102011-20132014-2016
77%70%68%65%4%8%8%9%13%13%14%16%6%9%10%10%2013201620192025CommercialIndividualMedicareMedicaid
