How would we summarize the Channon & Associates approach and how does this approach differ?

In a nutshell, the Channon & Associates approach is centered on the creation of client-based self-sufficiency and sustainability. It is best to focus on improvement initiatives identified internally instead of consultant-imposed ideas that may not work in your organization. Focusing improvement efforts on the removal of execution barriers to these initiatives is the fastest, most effective and sustainable path to improved performance.

Channon & Associates works with your organization to surface these execution barriers and hardwire 8 Keystone Habits of Highly Effective Cost Management™. We move your organization from opportunities to results and focus on speed to execution to accelerate the timing of results and provide upfront fee certainty.

What are typical results?

Channon & Associates has significant and successful experience partnering with hospital leadership teams to produce hundreds of millions of dollars in savings. Savings achieved normally represent 95 to 120% of the savings targeted. Annual savings achieved have ranged from $5 to $100 million, depending on the size of the organization, expense categories targeted, and identified financial need.

How is the project organized?

Typically we recommend that our clients organize their cost reduction efforts to accelerate the timing of results and meet first year cost reduction goals. There are five processes including: 1) Goal-Setting; 2) Target Setting; 3) Cost Reduction Planning; 4) Hardwiring of Plans; and 5) Implementation Oversight.

Depending on work already completed we can help your organization to meet your first-year cost reduction goals over an 8-12 month period.

These critical pathways need to be carefully synchronized to meet organizational cost reduction goals. Channon & Associates assists your leadership team to fast-track the target-setting and cost reduction planning processes and allow adequate time to focus on implementation and execution of first year savings targets.

How does your firm help us to produce lasting results?

Channon & Associates believes the key to producing lasting results is the development of organizational capabilities and self-sufficiency. While comprehensive improvement plans and initiatives are important, it is the strengthening of execution that grows the organizational capacity and produces long-term benefits. By tapping into the hidden reserve of management potential within your organization and learning to identify and overcome execution barriers, the capacity of the organization to produce lasting results is strengthened.

Organizations that do not take advantage of a cost reduction effort to challenge and develop their talent to strengthen execution are leaving money on the table.

Why should we hire Channon & Associates?

To compensate for a deficit in execution expertise, senior leaders often hire large consulting firms and pursue massive transformation efforts. These approaches may get the job done in the short term at the cost of building execution capacity for the long term or even getting that capacity to emerge in the first place.

Channon and Associates offers a compelling value proposition to help your organization to meet its cost reduction goals in a highly cost-effective manner.

We are convinced that our approach to hardwire the 8 Habits of Highly Effective Cost Management™ is the quickest and most cost-effective path to produce sustainable cost reduction.

Key differences in our approach to cost management are highlighted in the table below:

The Channon & Associates Value Proposition

FeatureChannon & Associates Big Box Firms
Results
Meets or exceeds targeted results5% to 8% savings for areas targeted
Fees and ROIFees in the thousands, ROI 25-50Fees in the millions, ROI 3-5
ApproachPartners with senior leadership to speed R-E-S-U-L-T-S and strengthen “execution capacity”

Belief that your organization has the resident experts

Hardwires 8 Keystone Habits to Supercharge Hospital Financial Performance™ and strengthen sustainability

Reinforces dependency, stunts development

Uses subject matter experts

Emphasizes heavy reliance on consultants to get results

Project Structure and TimetableSeamless to accelerate
timing of results

Phased, resulting in extended timing/higher fees
Tools & MethodologiesExtensive – provides valuable tools to promote sustainability
Heavy reliance on consultant expertise