The Innovator’s Prescription

By Clayton Christensen, Jerome H Grossman M.D., and Jason Hwang M.D

Building on the framework of disruptive innovation presented in his prior book The Innovator’s Dilemma, Christensen and two medical doctors present a vision for how to make the American health care system “higher in quality, lower in cost, and more conveniently accessible to all.”

Each chapter tackles one aspect of this complex, multidimensional puzzle including: the hospital business model, physician practices, chronic disease, the reimbursement system, pharmaceuticals, medical devices and diagnostic equipment, medical education, and regulatory reform. The authors see a bifurcation between intuitive medicine and routine precision procedures. They see a need for fewer general hospitals and more specialty clinics.

“A staggering 50 percent of health care consumed seems to be driven by physician and hospital supply, not patient need or demand.” Clearly costs of out of control. The authors explain how the current reimbursement system is a big part of the problem.

Aside from all of the insights and analysis specific to the health care industry, they also present a fresh approach to market segmentation, looking at the “job” the customer wants to accomplish rather than segmenting by customer characteristics.

This is a very substantive book with insightful analysis and intelligent solutions.

Christensen, Clayton M., Jerome H. Grossman, M.D., and Jason Hwang, M.D. The Innovator’s Prescription: A Disruptive Solution for Health Care. New York: McGraw-Hill, 2009. Buy from

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