Seven challenges facing healthcare providers in 2023
We are moving into a period of unprecedented change and there are many new and existing challenges facing healthcare systems. Our healthcare consulting team has identified seven challenges that will continue to impact healthcare providers into 2023, writes Elaine Daly, Partner – Head of Business Consulting at Grant Thornton.
Ageing population
Demographic change is one of the greatest challenges of our time. As the population ages, healthcare systems will face challenges to meet the needs of an older population. The number of people aged 65 and over in the Republic of Ireland was estimated at 696,300 in 2019 by the Central Statistics Office and is projected to more than double to 1.56 million by 2051.
The long-term impact of Covid-19 on increased service demand and health outcomes for the older person will evolve over time. However, there are concerns regarding the impact of delayed access to care and reduced physical and social activity during the pandemic.
Healthcare systems must respond appropriately and adapt their working practices to meet these changes and include specific mechanisms for health promotion, prevention, treatment and rehabilitation suitable for the needs of older people.
The empowered consumer
47.5 per cent of the Irish population now has private health insurance according to the Health Insurance Authority (HIA). In the context of private health insurance, patient consumerism is more important than ever as medical costs and insurance premiums rise. Consequently, patients actively pursue the best value for their investment whilst also expecting high-quality care. In tandem with this, tolerance for time-consuming processes and delays has declined, with patients now seeking organisational efficiency and a positive experience.
Customers currently have ease of access to digital tools and technologies to make informed decisions surrounding their health and wellbeing. The empowered customer demands a mix of both physical and digital interaction. Within the last few years, the demand for this has grown with patients seeking personalised care outside the hospital setting. A positive patient experience is a key factor for patients when choosing between healthcare providers.
Cost of care
Providing high-quality, sophisticated care has become increasingly challenging and expensive. This can be attributed to several factors, such as the cost of developing new medicines, purchasing of specialised equipment, development of new facilities, and costs associated with recruiting additional staff.
The onus lies on healthcare providers to understand and respond to issues posed by costs, whilst still delivering high-quality care to their patients.
Workforce shortages and burnout
The availability of suitably qualified staff is an increasingly significant problem in Ireland and internationally. Globally, healthcare providers are competing to recruit and retain staff. Burnout is a significant risk, as the challenge of delivering multiple care pathways while reducing waiting lists places a burden on employees. As the labour force ages and service demand increases, the gap between workforce supply and demand is expected to widen.
Consequently, these recruitment difficulties may limit the ability to respond to increased consumer demands and hamper the delivery of core and new service developments.
Healthcare innovations and data security
Breakthroughs in digital innovations are happening at an exponential rate and the challenge is for healthcare leaders to keep pace with these innovations. Healthcare providers must respond to the latest findings and innovations, and ultimately perform cost-benefit analyses of the emerging options to determine how these innovations can best help their clinicians deliver care.
The growth in digital innovations presents an increased risk of serious data breaches. As healthcare functions continue to move online as a result of the pandemic and changing consumer behaviour, it is important to ensure these processes are protected from outside threats. Empowered customers will demand transparency to ensure their data is stored securely and used appropriately.
Impact on environment
According to the World Health Organisation (WHO), health infrastructure is one of the largest consumers of energy. Hospitals use twice as much energy per square meter as conventional buildings because they must accommodate patient needs and adhere to regulatory requirements regarding performance guarantees.
According to a WHO report, the Covid-19 pandemic response has resulted in tens of thousands of tonnes of additional medical waste, placing enormous strain on healthcare waste management systems globally and endangering both human and environmental health. These findings have highlighted the urgent need to improve waste management procedures and energy consumption.
Climate change
The effects of humans on the environment are growing and the resulting dangers are causing illness and injuries, lowering productivity, and taxing health systems while also degrading quality of life. Improvement in human health and life expectancy over the past 150 years has been largely attributed to the reduction of environmental pollution and developments in hygiene. However, even now, tainted food, water, and air continue to be significant global causes of pain and demise.
As global warming and extreme weather events increase the hazards to human health, healthcare systems will need to undergo change. Effective action depends on an understanding of the relationship between preventing climate change and human health.
Carbon dioxide and other environmental pollutants produced by healthcare systems are significant. Thus, in order to mitigate further environmental and climate change, efforts must be made to lessen the global impact of healthcare providers and the healthcare sector.
Elaine Daly
Partner – Head of
Business Consulting
Grant Thornton
E: elaine.daly@ie.gt.com
T: 01 3805 895
