Markets Always Outperform Companies

This title is a quote from Dick Foster that goes like this "Markets outperform companies--they always have, with only a few exceptions, and you want to be on of the exceptions"  .

What does that statement mean to you?  For me as a person who works in healthcare is that we WANT to be the exceptions.  Unfortunately, I think if we are working in healthcare, we do not think this rule applies to us.  But we will find out soon that it does.  I sure that at some point Kodak thought it was too big to fail and so did other fortune 500 companies that are no longer on that list. Hospital's I hate to say are falling down the same path and we need to start thinking five steps ahead like in  a game of chess.


So what is the solution for hospitals?  I don't think anyone has a straight answer to that, but lets just look at the basics.  First thing first you have to make sure your current operations is the best it can be.  If your operations is not at its best, then this needs to be the first priority.

Secondly, figure out how fast your industry is changing.  With healthcare, you can start to see trends of the change picking up some pace, especially with emerging technology and healthcare regulations.  Once you figure out the pace of the change, then set your strategies to keep pace or outpace/innovate in the industry.

Lastly, have a control system that incorporates both financial and operational controls and standards.

I guess just start by keeping it simple.  Make sure you have strong growth by maintaining control and delivering value to your customers and don't be a victim of the unstoppable force creative destruction.