Kaiser Permanente’s Target Markets, Positioning and Customer Behavior “KP is the largest non-profit health care delivery system in the United States, and operates in 8 states and the District of Columbia. KP is made up of 3 entities: the Kaiser Foundation Health Plan (KFHP), Kaiser Foundation Hospitals (KFH), and the regional Permanente Medical Groups,” (Selevan, Kindermann, Pines, and Fields (2015). Selevan al et (2015) state that the members of Kaiser Permanente can be compared to other insurance companies in regards to age, race, and employment status, although the members are known to have lower income levels. Additionally, they found that Kaiser Permanente’s model of care focuses on improving the health of patients, promoting population …show more content…
health, and reducing costs; they deliver high-value care to keep patients enrolled and healthy. Reviews from popular, trade, and scholarly literature on Kaiser Permanente has displayed its target markets, positioning and customer behavior. According to the Kaiser Permanente’s SWOT Analysis (2014) they had approximately 9.1 million members throughout the United States in 2013.
Their marketing can be considered segmented marketing in that they primarily market to the states where they are located. Kaiser Permanente caters to a wide verity of the population exemplifies Gage Lofgren (2014) saying it continues to find ways to celebrate the diversity of [their]members and patients—not by pointing out the differences but by working to include all perspectives. She further continues to say that Kaiser Permanente also provides interpreter services for as many as 140 languages— whether in person or on the phone— and translates the print version of its member newsletter, Partners in Health, into 11 languages. This is quite affective because the United States is a melting pot consisting of people from all over the …show more content…
world. Kaiser Permanente is an integrated health care system meaning that they have most needs that a patient may need under in one building. As an example, an individual can visit their primary care physician, do lab work, gets x-rays done, has access to the pharmacy, etc. at one visit. For specialty services they may need to go to a different location however, but still it is quite convenient for patients especially considering how busy people are in their everyday lives. In Broccoli Delivers Results in Kaiser Permanente Marketing Initiative (2005) it is said that the company associated itself with an unlikely mascot: broccoli; the tags have been just one part of Kaiser Permanente’s national “Thrive” marketing campaign, which emphasizes overall health rather than the more traditional view of health care as sick care. They focus on the well being of the individual and the healthcare team works together to promote that the individual stays healthy. Other hospitals and health care organization are Kaiser Permanente’s primary competitors.
Their EHR system is one of the best in the country displaying continues communication from different doctors to the patient as to where in another hospitals patients may see one doctor and when they visit another there is a lack of communication and patients at times gets treated for the same problem again or the wrong treatment is given costing them and the health care organization money. Members can view their past appointment, labs/testing results, communicate with their doctors, set/cancel appointments, order prescription and many more through their online or mobile services. This allows for patients to be active in their own health care and patients seem to attach themselves to such valuables tools for them to access with
ease. Kaiser Permanente offers benefits to its members that other organization does not yet have. Competing organization are however utilizing Kaiser’s integrated health care delivery system to target potential customers. Additionally, the exceptional EHR system that Kaiser has is also another attribute that other health care organizations are trying to incorporate into their establishment because these essential apparatuses has continuously demonstrated to work. When other health care facilities are using Kaiser’s ideas it just defines how well that Kaiser Permanente is doing in changing and developing the health care system. The only problem that can be seen in Kaiser Permanente is there limited locations. They are only in a few states, and if they were able to branch out to more states, they would become a powerhouse to other health care organizations. It is apparent that the marketing strategy that Kaiser Permanente uses is quite unique and works. From their style of reaching out to a mixed population, to their integrated health care system and EHR technology that is imitated by other health care organizations. Their innovative strategy is just brilliant.
Background Information In implementing a strategic plan for Coastal Medical Center, our consulting team has conducted many analyses and formed numerous strategies in order for Coastal Medical Center to be successful. Such assessments include an internal analysis, external analysis, gap analysis, and SWOT analysis. In conducting these analyses, our consulting team was able to better understand the internal environment, external environment, where the organization currently stands in terms of performance, and the major strengths, weaknesses, opportunities and threats that oppose the Coastal Medical Center. From our inquiry, we will be able to establish a strategic plan that best fits the organization’s needs.
Kaiser Permanente (KP) started from manufacturing healthcare for construction, shipyard, and steel mill workers in the late 1930s and 1940s. The healthcare plan was available to the public in October 1945. The ideology behind prepayment healthcare started during the Great Depression with a surgeon and a twelve hospital bed in California. Kaiser Permanente is an integrated managed care group, founded in 1945 by Henry J. Kaiser and physician Sidney Garfield. KP is made up of three distinct groups of body: the Kaiser Health Plan; Kaiser Hospitals; and Permanente Medical Groups. As of 2014, Kaiser Permanente are in eight states and the District of Columbia, and is one of the largest healthcare organizations in the United States. According to the fast fact from its own web site, “Kaiser Permanente has 9.6 million health plan members, 174,415 employees, 17,425 physicians, 38 medical centers, and 618 medical offices. For 2011, the non-profit Kaiser Foundation Health Plan and Kaiser Foundation Hospitals entities reported a $56.4 billion in operating revenues” (Fast Facts about Kaiser
Kaiser Permanente’s mission is to provide care assistance to those in need. As a health maintenance organization, Kaiser Permanente provides preventive care such as prenatal care, immunizations, diagnostics, hospital medical and pharmacy services. Also, they take responsibility and provide exceptional training for their future health professionals for better clinical performance and treatment for the patients. The organization is to ensure fair and proper treatment towards their employees for a pleasant working environment in hospital and to provide medical services especially in a growing population in suburban communities, such as Tracy and Stockton in California.
Ramsay Health Care was established in Sydney, Australia, in 1964. It is one of the top five leading hospital operators in the world. The company is a global hospital group which owns and operates an extensive range of healthcare facilities. Ramsay Health Care is well respected for the operation of high quality private hospitals and for also having outstanding records in hospital management and patient care. The company always focusses on maintaining the highest standards of quality service and safety.
With 17 existing hospitals and ____ physician practices, the Greater New Orleans Region of Louisiana is not a practical choice for Kaiser Permanente expansion. The four parishes: Plaquemines, Jefferson, St. Bernard, and Orleans would not make for a successful business venture. This report examines how the Kaiser Permanente Brand and Strategy Division assessed the region and determined the region could not realize and expand the mission and vision for Kaiser Permanente…..
The strategic plan for 2015 led to a membership growth of 650,000 members. The main internal driver for the astounding growth, being managed care offered at 20% to 25% less than the surrounding competitors (Brooking Institution, 2015). The more membership growth the more profitable Kaiser becomes based managed care system. Kaiser Permanente’s growth can be related to high scores amongst CMS and it’s highly recommended operation structure amongst the healthcare industry. According to the CMS “2016 Star Ratings Fact Sheet,” Kaiser Permanente represents five of 12 medicare health plans (with Parts C and D) that earned 5 stars — and of the 1.6 million beneficiaries enrolled in those 5-star plans nationwide, 81 percent are Kaiser Permanente Medicare members (Kaiser press release). The Kaiser Permanente Medicare plans since 2009 have always been operating at a high performance
In order for a health care organization to maintain optimal function, the promotion of change is continuously necessary. Within the health care delivery system, there are a number of different techniques that nurses can use to determine where changes need to be made. One technique is called a SWOT analysis, which involves an evaluation of an organization’s strengths, weaknesses, opportunities and threats (Harrison, 2010).
When you take the socialistic perspective towards implementing this system in Canada, you can see the advantages it brings to improving health care. If the government plays a larger role in funding the development of electronic health records for private and smaller organizations the benefits will immediately result in better quality of health care. As shown in a study done by the University of California in San Francisco that focused on expensive costs that make it difficult for smaller practices to incorporate electronic health records, “need policies designed to provide incentives and support services to help practices improve the quality of their care by using EHRs.” (Miller, West, Brown, Sim & Ganchoff, 2005) In this article they explain that electronic health records improve quality of health care, but the costs are too expensive for small practices to incorporate them.
The current health care system can be difficult to navigate and often medical centers need management tools to help them develop strategic plans within their organizations. The SWOT-Analysis is one strategic tool that health care centers can use to formulate a roadmap for their organizations. The SWOT-Analysis examines internal capabilities (strengths and weaknesses) and external developments (opportunities and threats) when determining a strategic plan for an organization (Van Wijngaarden, Scholten, & Van Wijk, 2012). Van Wijngaarden et al. (2012) explains for SWOT-Analysis to prove meaningful throughout an organization, it is important for stakeholders to be part of the brainstorming to identify its’ internal capabilities and external developments. However, there are a few drawbacks to the using the SWOT-analysis tool that are important for health care centers to remain cognizant of when developing their strategic blueprints. Helms and Nixon (2010) state the SWOT-Analysis can be vague and too simplistic when developing a strategic course for an organization; it can be difficult to classify variables into the four SWOT quadrants; and no definite strategic path is identified after the SWOT-analysis is completed. For these reasons, they explain it can be helpful to use additional analysis tools in addition to the SWOT-analysis. One such tool the U.S. Army Medical System uses is the balanced-score card. The balanced-score card can assist health care centers in the clarification of their strategic objectives and goals, and facilitates communication throughout the organization (Chan, 2006). Chan (2006) also reveals balanced-score cards allow for constructive employee feedback l...
The health information networks factor into the enhancement of the patient-centered management system, in that they help with the implementation of the Electronic health record. The HITECH Act for example allocated “18 billion through the Medicare and Medicaid reimbursement systems as incentives for hospitals and physicians who are meaningful users of EHR systems”(About the HITECH, n.d.). This is a beneficial way to promote the use of electronic health records and have them become universally utilized across the nation. NHIN is also an excellent network that is more widespread and contains policies as well as standards that help with the safe trade of data. NHIN is the biggest network that all other health information networks hope to achieve. The NHIN is a contributor to the expansion of the EHR and it also further improves the patient-centered management system by having the policies they have. These policies assist with keeping the information in the system safe and also helping many different entities to become a part of its use. Some of the entities involved are the Center for Disease Control and prevention, Social Security Administration, Department of Defense and Kaiser Permanente among others. Both CHIN and RHINO implement the use of electronic health record, which makes it more widespread,
A SWOT analysis is an acronym that stands for Strengths, Weaknesses, Opportunities, and Threats. SWOT is a planning evaluation used by businesses and organizations.
The Henry J. Kaiser Family Foundation (2011). Health care spending in the United States and
What is a SWOT analysis? This concept involves assisting businesses to identify their strengths, weaknesses, opportunities and threats. It is often used to analyze an organization and its environment. Businesses find the analysis useful in assisting them to improve their business, establish goals and objectives.
Brand Name: Our strong brand name is a major strength of Kaiser Permanente. Although we have do not have many established markets throughout the Southeast, customers, consumers, providers, regulators, and insurers would still recognize the value of Kaiser Permanente. The value associated with our brand name is an easily defendable qualitative factor, so competing organization would have a difficult time overcoming it.
My current employer, Mayo Clinic, is a world renowned not-for-profit hospital that has been established for 150 years. Mayo Clinic is the first and biggest integrated not-for-profit medical group practice in the world and is a well-known brand name that is recognized world-wide. Working for an organization where the primary value is the needs of the patient come first, the organizations domain is held to a higher standard. The mission statement is to encourage hope and contribute to health and well-being by providing the best care to all patients through integrated clinical practice, education and research (Strategic statement of Mayo Clinic, 2012). The vision statement is that Mayo Clinic will offer an unparalleled experience as the most trusted partner for health care (Strategic statement of Mayo Clinic, 2012). In the medical field, innovations, research and technology motivate the business to perform and deliver care in a new standard. Mayo Clinic has a logo of three shields that are interlocked, presenting patient care, research and education.