ORANGE COUNTY, Calif., Feb. 5, 2013 /PRNewswire/ -- The Innovation Institute announced its launch today as a unique aggregation platform to stimulate growth, innovation and collaboration among leading non-profit health systems. Structured as a for-profit company owned exclusively by seven founding non-profit health systems, The Innovation Institute provides an independent vehicle through which hospitals can cooperate with other like-minded partners and execute their strategic initiatives on an expedited basis. St. Joseph Health, a $5 billion system, based in Orange County California, became its first founding member. In addition, The Innovation Institute announced a strategic alliance with The Cleveland Clinic as the newest member of Cleveland's Healthcare Innovation program.
"Our mission and vision is to truly transform the healthcare delivery system by fundamentally altering the way hospitals think about their business assets, human resources and strategic relationships," said Joe Randolph, President & CEO of The Innovation Institute. "Sometimes the biggest obstacle to change is ourselves. Our unique business model not only fosters collaboration through common ownership and shared vision, but it also offers new revenue opportunities, better quality and faster execution through this independent vehicle."
The Innovation Institute is a healthcare provider of innovation solutions, business process services, and investment management services to hospitals and health systems. It consists of three primary business units: (i) the Innovation Lab, an incubator for new disruptive breakthrough inventions; (ii) the Enterprise Development Group, a group of shared services offering high-quality, cost-effective solutions; and (iii) the Growth Funds, a portfolio of investments in emerging businesses and assets.Deborah Proctor, President and CEO of St. Joseph Health, who helped form The Innovation Institute says, "In response to health care reform, every health system is looking for ways to promote value through increasing efficiency and ensuring high quality. Incremental changes from traditional methods may no longer be sufficient or offer sustainable solutions. The Innovation Institute provides St. Joseph Health with a vehicle for us to explore effective, thoughtful responses to health care challenges and collaborate with others who share our focus and vision." The Innovation Institute is currently in active discussions with several other large not-for-profit health systems looking to invest as member owners.