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Action Group #7 Healthcare : A Regional Asset October 14, 2010
Robert G. Riney Executive Vice President / Chief Operating Officer Henry Ford Health System Action Group #7 Healthcare : A Regional Asset October 14, 2010
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How do we position healthcare as a regional asset?
Develop strategies to shift perceptions and conversations Increase awareness about economic value to the region Leverage our collective strengths Increase collaboration among health care providers, systems and education and research facilities Decrease internal (regional) competition Continue to support and grow life-science sector Invest in new technology / innovation Highlight strength of research and medical education programs Innovation / discovery is a market differentiator and economic driver U of M, WSU and MSU account for 95% of all external academic R&D dollars that come into the State. Attract and Retain Talent, Patients and Investment to region
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Michigan’s Healthcare Sector: Economic Impact
Michigan’s largest private-sector employer Accounts for nearly 914,900 jobs (526,716 direct / 388,178 related) Total direct health care employment exceeds Michigan’s agriculture, education and automotive manufacturing sectors. Generates more than $45.2 billion in wages, salaries & benefit Workforce / employers generates $14 billion annually in taxes Michigan universities annually invest $600 – $900 million in medical technology research Certificate of Need (CON) applications: Jan. 09 to present date, Michigan facilities filed applications for projects with over $1.6 Billion in associated project costs.
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Michigan’s Healthcare Sector: Regional Snapshot: Strengths & Challenges
Projected shortage of nurses Physician shortage and misdistribution by both specialty and geography Lack of collaboration Focus on institutional versus community interests Shifting demographics / Aging population High Unemployment Improving the overall health status of the region Rising Costs Thinning margins and reimbursement Healthcare reform World Class Medical Education Programs Multiple Medical Centers ranked among the country’s best University of Michigan – one of nation’s largest medical research centers Wayne State University – largest urban-based medical education program in USA Growing cluster of Life-Science Companies One of the nation’s top 25 centers for workers employed in life-sciences Local models of Collaboration
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Michigan’s Healthcare Sector: Existing Regional Synergy / Collaboration
Medical Mile (Oakland County) Automation Alley Medical Mile (Grand Rapids) TechTown partnership w/ WSU & Other Health Systems Economic Development Partnership at County Levels Wayne County Health Authority Safety Net Initiatives Michigan Life Science Corridor Strength of Research Programs MichBio Expo and Conference Investment expansion & facilities (HFHS / DMC) U of M, WSU, MSU, OU, etc…
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Michigan’s Healthcare Sector: Life-Sciences
Leads the nation as one of the fastest growing life sciences states Biotech – Medicine – Ecology – Pharmacy Proteomics – Genomics – Cellomics Diagnostics – Screening – Water/Air Food – Synthesis – Therapeutics $2 billion invested in R&D each year and nearly 20 new companies since 2000. $178 million invested over the past four years to foster growth in life sciences 542 companies 31,777 employees $4.8 billion in sales 14.7 percent of Detroit Region employment provided by healthcare delivery & life sciences companies. 4th largest high tech workforce in the nation Nationwide, these companies employ 12.3 percent of the workforce. Already strong synergy between the region’s universities, teaching hospitals and life science companies Majority of employment is concentrated in Southeast and West Michigan. Top 5 Counties: Wayne, Washtenaw, Kalamazoo, Oakland, Ingham
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Leverage Healthcare to transform Michigan for a Sustainable Future
Create an Urban Experience to attract / recruit staff, students and residents Build a vibrant, high-quality and diverse market place where people want to live, work, play and shop 1st Priority is to fix our region’s brand Change national and international image Tell our own story by our actions Concentrate our efforts in one place Regional buy-in with a shared vision Starting with downtown-to-midtown Detroit Offer incentives for attracting primary care physicians to work in the city Leverage the region’s diversity Eliminate unnecessary roadblocks, and bureaucracy that prove to be barriers to regional collaboration Dick Devos was quoted by the Detroit Free Press on 10/2/10 saying, “The west side has a culture of cooperation and participation; In Southeast Michigan, there is a culture and history of division that is more intent on blame than fixing problems.”
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Idea #7: Marketing Plan Regional Healthcare Conference
Regional collaboration to position Southeastern Michigan (or State-wide) as the destination of choice for world-class healthcare delivery and life sciences; attracting new patients, physicians and venture capitalist from all over the country and world. Conference featuring the region’s work, recent development and best practices where we are leading the country: World class Healthcare Providers/Systems and Universities Economic Development Research and Medical Education Life Sciences Companies Possible Scenarios: 2 – Day Conference in SE Michigan 4 – Day Conference in Collaboration with MichBio Expo and Conference, and Western Michigan Stakeholders
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