Our conversations with 23 payer and provider leaders reveal that healthcare organizations are acutely aware of the tension between agility and affordability. On one hand, traditional players must become more agile to compete with nimble new entrants, adapt to changing consumer expectations and keep pace with technology-driven disruption. On the other hand, they must also control costs in a post-pandemic environment where affordability issues have taken on a new sense of urgency and complexity.
Herein lies the paradox. Payers and providers are caught between two competing priorities. Pursuing them seems like an either-or proposition. But agility and affordability in healthcare do not have to be mutually exclusive—if healthcare organizations fully harness innovation to create a future-ready business model.
In this unprecedented environment, healthcare executives have many choices to make in developing their innovation agendas. What we do know is that what’s needed is an innovation strategy that’s in lock-step with the business strategy so that organizations can use innovation with purpose to create resilient business models.