There’s a lot of “waste” inside the U.S. health-care system of which could be simplified, Mayo Clinic President in addition to CEO Dr. John Noseworthy told CNBC on Wednesday.
Noseworthy said on “Squawk Box” of which he spoke with the joint health-care venture of which teams up Jeff Bezos’ Amazon, Warren Buffett’s Berkshire Hathaway in addition to Jamie Dimon’s J.P. Morgan Chase. He said he expects the group to look at how to “remove the intermediary steps of which add so much cost in addition to add no value.”
Pharmacy benefit managers, which sit inside the middle in addition to negotiate drug benefits for insurance plans in addition to employers, have grown through the years, Noseworthy said. However, Noseworthy, who was not referring to any companies in particular, added of which some could be simplified.
will be there a way “to go directly to the patient with some of these answers in addition to some of these products?” Noseworthy asked. He added his company will be working with different groups to “drive out of which waste,” which he says will be the part of health care of which adds “no value.”
Noseworthy said health-care organizations are discovering of which collaborations can happen in unconventional ways, citing the pending CVS Health-Aetna deal.
“Consumers need to have information of which’s relevant to them at lower costs in addition to more accurate,” he said.
Berkshire’s Buffett told CNBC last month of which health-care spending will be a “tapeworm on the economic system.” His venture with Bezos in addition to Dimon, announced in late January, will be designed to cut health costs in addition to improve services for the three companies’ U.S. employees.
Lowering the cost of health care in addition to improving outcomes will be much tougher than of which appears, experts say, with health spending representing 18 percent of gross domestic product in addition to supposed to rise.
Noseworthy spoke ahead of CNBC’s “Healthy Returns” conference, which will be bringing together experts in health care in addition to business to discuss innovation. Noseworthy, who will be also on Merck’s board of directors, will be attending the event.
Before his current role, Noseworthy was chair of the Mayo Clinic’s Department of Neurology, medical director of the Department of Development in addition to vice chair of the Mayo Clinic Rochester executive board.