Hello and welcome to 2021, if there was ever a time when the saying “Hindsight is 20/20” doesn’t ring true, it was 2020!

At Pride Living, we found 2020, like all of our clients and connections, a totally new environment that required adaption, goodwill, lots of patience and above all a recognition that when things aren’t normal the best way to respond is to focus on the process rather than the prize. I guess that’s like the lions continuing to use the proven hunting techniques perhaps in different settings even when there seems to be less prey about.

BRUCE BAILEY
Managing Director

Our 2020 successes

Like most organisations, we failed to meet many of our targets last year. However we did achieve the following significant successes:

Quality Management & Clinical Governance

  • Our quality and compliance team worked closely with a Victorian Provider who had a severe COVID outbreak.
  • Worked with a number of providers undertaking internal desk audits and COVID lockdown restrictions permitting onsite audits of their systems efficacy and effectiveness. This allows these providers to proactively strengthen their quality and compliance or in some cases effectively remediate failures identified in ACQSC Assessment findings and contact visits.

Strategy & Corporate Governance

  • Continued to work with providers to obtain Significant Refurbishment status of their facilities, which boosted income and EBITDA by up to $7,300 per resident per annum. More info on Significant Refurbishment can be found here
  • Helped a number of providers successfully apply for Stream 1 and Stream Business Improvement Grants to strengthen the viability of their operations
  • Assisted a number of providers in Homecare restructure their operations to be both commercial and sustainable

Financial & Operational Management

  • Assisted many providers to successfully implement Additional Services models
  • Proud to assist the community in Moree to secure access to future residential aged care by working with the board of Fairview to transfer the operations over to the Whiddon Group. See our webinar on Merger’s and Acquisitions here

Our Internal Changes

  • Our decision when we commenced in 2016 to be 100% paperless and web based served us incredibly well as we transitioned very early to work from home and have now formally structured ourselves around a 50/50 home/office work structure. This means we can support our clients across Australia even when we cannot travel.
  • As we have done in prior years, we financially supported the following organisations:
    1. Beyond Blue
    2. Dementia Aus
    3. Fred Hollows
    4. Green Fleet
  • We welcomed three (3) new cubs to the pride and we are expecting another 3-5 cubs in 2021:

Megan White

Senior Consultant

Catherine Smith

Consultant

Isaac Kiwarkis

Marketing Assistant

Using my 20/20 hindsight I would say that despite all the disruption we embark on 2021 more capable, with more clarity of the services our clients’ value and with enhanced capacity to provide advice and support that allows our clients to make decisions with confidence!

The Royal Commission on Aged Care

I can’t recall how many times I’ve been asked for my opinion of what the Royal Commission into Aged Care achieve? My standard answer is that the RC only provides input and recommendations, it is the government that determines the policy response. History tells us government policy change is uncertain and slow.

While government policy has a significant influence on providers it is not the only influence on how providers operate. Corporate strategy rather than government policy should determine the nature and shape of service provision. It’s no accident that those providers who are achieving the best outcomes are the ones who place more emphasis on their strategy than possible future policy.

With this context let me share some thoughts from the Pride on what we see in 2021:

Background

While we expect some significant changes arising from the Royal Commission, history tells us that the implementation of the recommendations will be slow, measured and partial. For example, Recommendation 2 puts a 10-year timeframe on the shift to an integrated system.

Pride Insight

If you wait for Government to solve the systemic problems then you will suffer greatly during the next decade. If you truly focus on the consumer, you can build successful business models within the context of current and changing Government Policy settings.

Background

We are not aware of any Government system the provides long term excess funding to market participants – Aged care will not be the exception.

Pride Insight

This is where strategy must lead rather than follow policy, there are four domains to this;

  1. Maximise care and other subsidy entitlements
  2. Implement Additional services
  3. Manage the Balance Sheet
  4. Diversify revenue dependency

Background

The RC recommendations are grounded in certainty, choice and individual entitlement – The Voice of the Consumer. This is a standard Human rights agenda.

Pride Insight

External validation of your quality and compliance should be a core element of your Clinical Governance Framework mode. Independent attestation is the only way to obtain verifiable insight. Independent assessment is what embeds a mindset of continuous improvement and best practice in any system. Embrace all opportunities you can to obtain independent attestation as to your quality and compliance.

Background

The population continues to age and frailty is a function of ageing. Just as there was an increasing demand for places in child care centres as the female participation rate grew so there will be an increase in demand for Age-related services as the population ages.

Pride Insight

The key to success is constructing a business model based on what a set of consumers want and can afford rather than being a delivery arm of Government policy:

  • Who is my consumer/customer?
  • What do they value?
  • How can I serve this market so consumers and providers win?
One question with three possible answers decides your future

I was listening to a podcast while writing this Insight, about the transition between US Presidents and how one Defence Secretary wanted to create a list of 10 priorities for the incoming regime – when he finished he had a list of 59 issues.

I’m sure we could keep adding to the above list; however, it’s only a distraction from the genuinely central issue to all human services activities. In my experience there is only one question to be asked and while there are three possible answers, only two are acceptable:

 

The Question – Is {name} happy with the services we are providing to them/their loved one?

Possible Answers

  1. Answer A – Yes
  2. Answer B – No
  3. Answer C – I don’t know or I think so

 

Answers A and B are acceptable. C is not as this means we do not know our customers – this is the route to failure.

If the answer is A, the next question should be – Are we confident we can continue to meet {name’s} expectations?

If the answer is B, the next question should be – What do we need to change to rectify this and when do we anticipate getting answer A?

Identifying which customers you want to attract, developing a customer proposition that meets their expectations, building a sustainable financial model around this and marketing the value of it to present and future customers is the only way you can be sure you will get answer A. Meeting your compliance obligations is separate to and important, however it provides no guarantee of sustainability!

We see 2021 as the year when providers stop trying to be all things to all people! Happy New Year from all at Pride Living, we look forward to helping you make Decisions with Confidence again in 2021!

To find out more on how we can help you, contact Bruce Bailey on 02 9239 9004 or email bruce.bailey@prideliving.com.au