The Effects of a Transformative Change in Delivery Capabilities at Healthcare Service Corp
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SpringOne Platform 2016 Speaker: Mark Ardito; Senior Director of Delivery, HCSC The past few years have been a time of disruption in the healthcare industry, with new federal mandates and nimble entrants into healthcare payor market. Find out more about how Healthcare services Corp, the parent company of a 5-state Blue Cross Blue Shield organization, has evolved and retooled in 6 months to become digital-first, and maintain their strong leadership in the industry. Efforts which typically would have taken a year's worth of time and resources to create were completed in 5 weeks because of new development methodologies and technology, including Spring, microservices, and Pivotal Cloud Foundry. Discover how developers have become empowered to be more focused, to work intelligently in a lean fashion, and to understand the organizational experiences of co-locating with the business.
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The Effects of a Transformative Change in Delivery Capabilities at Healthcare Service Corp
- 1. The Effects of a Transformative Change in Delivery Capabilities at Health Care Service Corporation By: Mark Ardito @MarkArdito Linkedin.com/in/markardito
- 2. Health Care Service Corporation Overview Who Is Health Care Service Corporation (HCSC)? 2
- 3. 3
- 4. Driving Our Pivot and Delivering Value 4 Deliver quality work on time and on budget, while stretching our investment dollars further Simplified environment and new tooling will lead to improved system performance and less system downtime Strong alignment between business and IT from strategy through delivery maximizes business-differentiating impact of IT investments New enterprise architecture reduces technical debt and enables us to adapt to the rapidly changing health care landscape Smarter Faster Stronger IT will become:
- 5. The new model will allow us to transform… 5 Current State • Complex, Rigid • Expensive • Large Technical Debt • Daily Ops Focus Future State • Capabilities Focused • High Velocity, Responsive • Limited Technical Debt • Variable Cost IT Transformation
- 6. What did we change? 6 Optimized Waterfall • Large teams • Development on existing, large projects • One big release Scrum • Small teams • New development & enhancements • Iterative delivery Extreme Programming • Very small teams • New development • Rapid, frequent delivery
- 7. Our new XP delivery model has shown great business value 7 Contact Strategy & Engagement (CSE)
- 8. Products have a life 8 Test Driven Development Refactoring Paired Programming Continuous Integration Small Releases Always Building
- 10. Always Building 10 50 70 90 110 130 150 1 2 3 4 5 6 7 8 9 10 11 12 NumberofCommits Week
- 11. Rejection Rate of Stories 11 0 1 2 3 4 5 6 1 2 3 4 5 6 7 8 9 10 11 12 StoriesRejected Week
- 12. What’s Next? 12 2015 2016 2017+ Piloted new approach for product delivery Fully executing in our new delivery model Activation of hundreds of apps to new model
Editor's Notes
- HCSC is the largest customer-owned health insurer in the United States. We and fourth largest health insurer overall, We operate through our Blue Cross and Blue Shield® Plans in Illinois, Montana, New Mexico, Oklahoma and Texas. HCSC operates as an independent licensee of the Blue Cross and Blue Shield Association, We currently employs more than 22,000 people and we provides Blue Cross and Blue Shield coverage to more than 15 million members. Although most HCSC members belong to employer-sponsored plans, we also have members in individual and government plans.
- History of HCSC/Healthcare. 80 years old, started between WW1 and WW2. HCSC offered an HMO and PPO product in a fee for service model. disruption that is happening in the healthcare space. Compare Health Care to FinTech re: Distruption Transparency Tools – Helping members understand the cost of health care through tools Employers to build their own networks, contract negotiate with providers, hospital networks. Oscar – a digital only health insurer. Self service via web/mobile.
- Now we have a case for change. Change is really hard. Do we have support to transform? Paula quote “we’re an IT organization in the healthcare space” Impactful Business Capabilities: IT has aligned our structure with the three Lines of Business to become a stronger partner, gaining insight into corporate strategy and priorities and ensuring IT strategy aligns properly. Efficient and Robust IT Operations Incorporating modern, cloud-based development tools – such as Jira, Github and Jenkins – that will enable ITG to deliver requests more quickly and in a more dynamic fashion. Partnering with strategic vendors to deliver non-business differentiating capabilities and ensure our employees can focus on differentiating work and capabilities These efforts align with the Future State Architecture, which will serve as a “north star” to guide our technology investments and make sure our dollars stretch further. Flexible and Agile Agile Delivery Models – XP, Scrum and Optimized Waterfall – will increase the speed to market and partner IT and the business more closely throughout a project, from request to execution. Implementation of cloud-based tools and platforms to improve how HCSC employees do their jobs – Microsoft Office 365, including Outlook for email; Salesforce.com for key accounts; and HealthPlan Services for retail business. Delivery Excellence Greater financial transparency through Apptio’s reporting capabilities to show how each business area uses IT dollars Ensuring our IT workforce is trained in the new delivery models and development tools, and we continue to foster an environment of continuous development and improvement as we deliver on time and within budget
- We are investing in our Future State Architecture to become a “Best in Class” IT team. We are doing this through: Building and strengthening the FSA The improvement of business/IT alignment Increased operational and delivery excellence And by developing and growing high-performing teams
- The need to work in a different way. Get to market quicker and more efficiently, and lowering the risk factor of a release. 3 new delivery models. Gartner said “Bi-Modal”, we disrupted that and did Tri-Modal. System of Record, System of Experience, System of Differentiation.
- The Contract Strategy & Engagement Project was chartered to build: A centralize view of a member’s contact information (phone numbers, addresses, etc.) Their preferences (they are Spanish speaking, they like text messages, they respond to emails) Will also keep track of the contacts we attempt and when we connect. The history is that information is spread across many systems today… CSE pulls that all together into one view. Positive Results: Increased speed to market, positive client impact and stronger business alignment Give stats on the team. Delivery of MVP in 5-6 weeks. We estimated 9+ months in Waterfall. Used 2 pairs (4 devs), waterfall was ~20 people.