Many speak to the hospital of the future. We believe you should reframe to the Future of Demand for Hospitals. Historically, demand forecasting for hospitals has been relatively predictable, based on the demography in a community, its population growth and historic mortality rates. However, in light of, recent dynamics influencing the healthcare industry, this straightforward approach is no longer sufficient. In our view, four factors are re-shaping demand for hospital services and, prompting leadership to re-assess their forecasts: Clinical innovation, payment models, physician employment and Competition.
As a result, demand forecasting for hospitals is further complicated. And changes in the regulatory environment coupled with the pluralistic dynamics of consumer preferences and attitudes mean strategists must incorporate additional factors and consider higher levels of risk in appropriating capital and setting priorities. ERDMAN offers hospital leaders a strategic perspective on changes to demand for new and existing services, based on our Advisory Services’ analytic models.
In this Part One of the Future of Demand Insights SeriesTM, the focus is on inpatient, outpatient and physician services, comprising the core for most acute hospitals and health systems.