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by Yaneer Bar-Yam
Step II: Empower Workgroup Competition

Why centralized management doesn’t work in healthcare:

  • Decisions about care should be made by the people who understand the need for care, the healthcare providers.
  • The decisions must be made on a case-by-case basis. Abstractions according to generalized rules degrade the effectiveness of care.

Why free market competition doesn’t work in healthcare:

  • The consumer has limited knowledge of how well each hospital or doctor’s practice works.
  • The ability to choose is often limited by emergency circumstances, capacity of the provider, insurance policies, or restrictions on changing providers.

Why team competition works:

  • Professionals care about comparisons with their peers.
  • They have the most knowledge and ability to improve outcomes.
  • Team competition, like competition in biological evolution, is the natural way to improve performance.

Next: Step III: Create superdoctor teams.

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