Health care affordability is one of the biggest challenges facing many people globally. To cab, these different innovations have been made trying to facilitate affordable health care to the people. The ultimate proving ground for innovation in health systems is the population’s health. However, innovations fail is mostly in hospitals as nurses are not trained to create new products but to treat patients. Most innovations, either through efforts of health institutions or from non-profitable, have failed. The question still lies on what is the cause of such failures. In a recent case, Haven, a three most powerful American company’s joint venture, had to be disbanded after three years of service (Son, 2021). Its major objective was to improve and lower the cost of health outcomes amongst US citizens.
The three companies, JPMorgan Chase & Co., Amazon, and Berkshire Hathaway, teamed up to tackle a very big problem faced by corporate America of rising and high healthcare costs for employees. Despite seeming as a move that would assist many employees in the US, it was with challenges that lead to its shutter. Its closure portrays how hard it is to improve the health care of Americans radically. American health care system is an entrenched and complicated system of drugmakers, middlemen, doctors, and insurers with an annual cost of 3.5 trillion dollars. Another obstacle the non-profit innovation faced is a lack of collaboration between the three ventures. Each organization performed its projects separately.
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The biggest challenge that Haven would have faced is making innovation for the wrong audience. Corporate Americans are the biggest user of health insurance. From the insurance money, doctors get paid, drug manufacturers sell drugs, and investors in the insurance firms get paid (Barlow, 2016). For this reason, any initiative that undermines the normal operations of the health care finance systems will face opposition from the beneficiaries of health insurance covers. Haven innovated for the wrong audience, the employees since most of them believe in the insurance firms. It is hard to convince them to trust new initiatives to provide affordable health care, an objective even the government has failed to achieve. The co-founders of Haven also feared taking risks and trusting each other thus;, each firm performed its tasks separately, a key contributor to the failure of many innovations.
References
Barlow, J. (2016). Managing innovation in healthcare . World Scientific Publishing Company.
Son, H. (2021). Haven, the Amazon-Berkshire-JPMorgan venture to disrupt health care, is disbanding after 3 years. Retrieved 20 March 2021, from https://www.cnbc.com/2021/01/04/haven-the-amazon-berkshire-jpmorgan-venture-to-disrupt-healthcare-is-disbanding-after-3-years.html .
