{"id":12864,"date":"2025-09-10T00:46:18","date_gmt":"2025-09-10T00:46:18","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/12864\/"},"modified":"2025-09-10T00:46:18","modified_gmt":"2025-09-10T00:46:18","slug":"alice-waltons-prescription-for-a-broken-us-health-system","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/12864\/","title":{"rendered":"Alice Walton\u2019s prescription for a \u2018broken\u2019 US health system"},"content":{"rendered":"<p>The world\u2019s wealthiest woman has a blunt diagnosis of the sickness she has set out to cure. \u201cHealth care is going to break and bankrupt American companies, and America itself, if we don\u2019t change it,\u201d Alice Walton says in a forceful Southern drawl.<\/p>\n<p>The 75-year-old daughter of Sam Walton, the late Walmart founder who turned a five-and-dime store in rural Arkansas into the world\u2019s largest company by revenue, thinks the US is very close to that breaking point. \u201cWe are at the crisis,\u201d she says.<\/p>\n<p>The disconnect between the country\u2019s outsized spending on health care and its struggles to stem the tide of chronic disease and preventable deaths has consumed policymakers, business leaders, and patients for years, preceding the Trump administration\u2019s Make America Healthy Again agenda or Democrats\u2019 efforts to pass the Affordable Care Act in 2010. Now \u201ceverybody\u2019s feeling the pain,\u201d Walton says, citing recent reports that health insurers in her state have been pushing companies for a one-third increase in premiums.<\/p>\n<p>Walton, a former investment banker with an estimated wealth exceeding $100 billion, has no executive role at Walmart, but she has picked its hometown of Bentonville, in the Ozark Mountains, as \u201cthe perfect playground\u201d from which to test the combination of policy, commercial, and educational reforms that she believes are needed across the country.<\/p>\n<p>Walmart\u2019s growth, coupled with investments from Walton and her family, has turned this former backwater into a heartland hotspot, known for mountain biking trails, a thriving art scene, and one of the country\u2019s fastest-growing populations. In 2011, Walton opened Crystal Bridges, a lauded museum anchored by her collection of American masterworks, including paintings by Georgia O\u2019Keeffe and Norman Rockwell\u2019s Rosie the Riveter.<\/p>\n<p>But she saw a critical missing piece in the region\u2019s revival: Arkansas has four counties without a doctor, and another eight with just one doctor and no hospital, she says, pointing to such \u201chealth care deserts\u201d as a leading cause of the country\u2019s grim medical statistics. \u201cThere is no health care in rural America,\u201d she says.<\/p>\n<p>A \u2018whole health\u2019 rethink of medical school<\/p>\n<p>There are several remedies in Walton\u2019s prescription, including the Heartland Whole Health Institute, which she launched in 2019 to manage the research and policy side of her campaign. The latest opened in July, when Walton welcomed the first 48 students (out of 2,000 applicants) to the Alice L. Walton School of Medicine, or AWSOM, a gleaming building on a plant-filled campus from which she intends to reimagine medical education.<\/p>\n<p>The Ozarks-inspired structure was designed by the Arkansan architecture studio Polk Stanley Wilcox, and features walls hung with art, a \u201chealing garden,\u201d and a two-acre rooftop park alongside its state-of-the-art examination rooms and operating theater.<\/p>\n<p>Walton seems less interested in the building than the curriculum, which she designed with the school\u2019s dean and CEO, Dr. Sharmila Makhija, an oncologist who previously ran the obstetrics department at New York\u2019s Montefiore Health System.<\/p>\n<p>Alongside a conventional medical curriculum, AWSOM\u2019s course features exposure to art and nature, an emphasis on self-care, and direct clinical experience from the very start of students\u2019 studies. Walton and Makhija hope not just to provide a \u201csupport system\u201d to ease the stresses of med school, but to train a new generation of doctors in preventive, patient-focused \u201cwhole health\u201d principles. Makhija defines these as looking not only at a person\u2019s illness, but at their broader needs and circumstances \u2014 and at the health outcomes they want from treatment.<\/p>\n<p>\u201cYou still have to know how to take care of the kidney,\u201d she says, but mainstream medical education has become too narrow, leaving young doctors lacking empathy or ill-equipped to deliver bad news. \u201cWhen you\u2019re talking to another human being and telling them that they\u2019re not going to make it, there is an art to that. There\u2019s a compassion and an empathy, and that\u2019s not taught,\u201d Makhija adds.<\/p>\n<p><img alt=\"AWSOM\" loading=\"lazy\" width=\"800\" height=\"599\" decoding=\"async\" data-nimg=\"1\" class=\"styles_imageEmbed__QsLwb styles_fullContentArea__zXct_\" style=\"color:transparent\"  src=\"https:\/\/www.newsbeep.com\/nz\/wp-content\/uploads\/2025\/09\/e9b14013d9bea474230c01f00dbe4964ca09f117-5255x3935.tif\"\/>Tim Hursley\/Courtesy of AWSOM<\/p>\n<p>12 years, 30 surgeries, and one book club<\/p>\n<p>Walton is a commanding and lively presence, brightly dressed and wearing large, luminous emerald earrings on a quiet summer Thursday morning. But AWSOM\u2019s focus on the softer skills of medical care stems from her own traumatic experiences of medical treatment.<\/p>\n<p>A car crash in 1983 led to her having 30 surgeries over 12 years. \u201cI know the health care system way too well,\u201d she says drily. \u201cThe first thing I learned is that anybody with a chronic disease is going to have mental health issues of some type \u2026 but the health care industry doesn\u2019t even recognize that. There\u2019s no support system, and I learned that firsthand.\u201d<\/p>\n<p>Walton took up meditation and yoga in those years. But painting was her main \u201cweapon against anxiety, against depression, against \u2026 all sorts of negative thoughts,\u201d she says. That\u2019s why AWSOM sits on the same campus as Crystal Bridges, why the museum has a director of arts and medicine, and why \u201ccollisions\u201d between students and curators are part of AWSOM\u2019s curriculum. Exposure to art and nature, she says, were \u201cmy personal way to get through 12 years of not much fun.\u201d<\/p>\n<p>Many wealthy individuals have fallen ill and subsequently endowed medical facilities. Education and health care have been <a href=\"https:\/\/www.wsj.com\/finance\/investing\/what-we-know-about-americas-billionaires-1-135-and-counting-98d22268?gaa_at=eafs&amp;gaa_n=ASWzDAhqMjER1gNCRvSiDlc2KDr6zVww1SVJi0I_M5fiDG21mNQy-Ymb8rJpjKAj9VQ%3D&amp;gaa_ts=68b9d84e&amp;gaa_sig=b5y1BlqJG1J-WqCU1zjfKms-7bEFFHpBwXzIpVCPnT5-eEkTjLJF8npFxl60bdZbyaEW7N5r1-WtYGnkGkp9Og%3D%3D\" class=\"styles_linkEmbed__SNmaX\" rel=\"noopener nofollow\" target=\"_blank\">the biggest recipients<\/a> of billionaire philanthropy over the past decades. But Makhija says Walton stands apart for her effort to learn the intricacies of America\u2019s health care industry. \u201cAlice can do anything she wants, and she\u2019s taking on a very complicated sector,\u201d she says. \u201cI think a lot of big changes happen when you have someone outside the system who tries to understand it, not just try to apply different measures, but to really make those changes.\u201d<\/p>\n<p>\u201cAll I\u2019ve been doing is reading health care books now for four years,\u201d says Walton, adding with a laugh that it is not a book club she would recommend.<\/p>\n<p>How to change a system with a prototype<\/p>\n<p>Walton and Makhija\u2019s ambitions start locally, but quickly radiate outwards. Close to home, they hope to start filling the shortage of physicians in rural communities, which <a href=\"https:\/\/nwacouncil.org\/wp-content\/uploads\/2021\/01\/NWAHealthcareAssessmentOnlineVersion.pdf\" class=\"styles_linkEmbed__SNmaX\" rel=\"noopener nofollow\" target=\"_blank\">one report<\/a> estimates is costing Northwest Arkansas almost $1 billion a year as patients travel elsewhere for specialist care. Of AWSOM\u2019s first intake of students, whose tuition Walton is paying in full, 55% come from Arkansas or surrounding heartland states.<\/p>\n<p>A short drive from the school, work is underway on a Bentonville health care campus, part of a $700 million partnership with the Mercy medical system and Cleveland Clinic to offer specialty care services to the local population and opportunities for students to practice what they have learned. Both Mercy and Cleveland Clinic practice \u201cvalue-based\u201d care, which focuses on health outcomes and which Walton sees as central to reforming the broken system.<\/p>\n<p>\u201cThe key thing has to be to change the financial incentives in health care,\u201d she says. \u201cEverybody follows the money, and systems behave according to where the incentives are.\u201d Right now, she sees the system encouraging doctors, hospitals, and insurers to think, \u201cLet people get as sick as you can, encourage them to have all sorts of tests that they don\u2019t need and surgeries that they don\u2019t need, and we\u2019ll make money.\u201d Medical schools, she adds, \u201cdo not focus on prevention at all, because they\u2019re not paid to prevent anything.\u201d<\/p>\n<p>With AWSOM and her other investments in Bentonville, Walton is trying to create a prototype for others to copy. \u201cWe want to create a model that you can replicate,\u201d Makhija says, adding that her team has been ruthless on budgets despite their benefactor\u2019s deep pockets, and developed an \u201copen platform\u201d curriculum others can share.<\/p>\n<p>Pushing on a corporate lever<\/p>\n<p>\u201cPhilanthropy can support change. It doesn\u2019t create change,\u201d Walton says. So she is covering tuition costs for AWSOM\u2019s first five years, but still needs to enlist corporate partners with the market power to help spread her vision of health care\u2019s future across the country.<\/p>\n<p>US businesses have been straining for years under the growing cost of providing health benefits to their staff. Amazon, Berkshire Hathaway, and JPMorgan went so far as to form a joint venture in 2018 to give employees \u201csimplified, high-quality, and transparent health care at a reasonable cost,\u201d but <a href=\"https:\/\/hbr.org\/2021\/01\/why-haven-healthcare-failed\" class=\"styles_linkEmbed__SNmaX\" rel=\"noopener nofollow\" target=\"_blank\">abandoned the effort in 2021<\/a>.<\/p>\n<p>Walton sees self-insured companies as \u201cwhere the lever is\u201d to effect larger-scale change, because \u201cthat\u2019s the only place [in health care] where the payer and the patient are aligned.\u201d Self-insured companies which run on low profit margins have been better at making benefits costs a C-suite issue, she adds, without mentioning the low-margin juggernaut her father founded. \u201cYour high-margin companies have not, and that\u2019s something that needs to change.\u201d<\/p>\n<p>Arkansas has \u201can unusually high incidence of major self-insured employers,\u201d she notes, \u201cAnd we\u2019re a tight-knit community. We all work together. We know each other, we trust each other. That\u2019s a major ingredient.\u201d<\/p>\n<p>Walton includes the broken industry she hopes to disrupt in her appeal. Her message to health care CEOs is: \u201cLet\u2019s get together and try to fix this thing. You know it\u2019s got to be fixed. Somebody\u2019s going to change it. It\u2019s probably a lot smarter if you participate in that process.\u201d<\/p>\n<p>Empowering risk-takers in an industry that resists change<\/p>\n<p>AWSOM is Walton\u2019s third major construction project, and it was completed in two years and almost 50% under its (undisclosed) budget. Asked what matters most in executing projects of this scale, she says: \u201cYou\u2019d better find the right people. And if you don\u2019t have them, you need to fix it.\u201d<\/p>\n<p>In health care, she found, \u201ca lot of people like to talk a lot about change, but very few people know how to make change.\u201d So she has picked people for leadership roles who understand that \u201cit\u2019s a process of experimentation and trying your best idea, and if it doesn\u2019t work, then you go to the next one, and you take what you can learn.\u201d<\/p>\n<p>In her health care investments, as in the similarly risk-averse museum world, she adds, she has a favorite saying: \u201cThrow spaghetti at the wall. See what sticks. It\u2019s OK if none of it sticks.\u201d<\/p>\n<p>That attitude comes from the man who put Bentonville on the map, she says: \u201cI think my willingness to take risks and try things that haven\u2019t been tried before comes directly from my father. My father loved change, and he was not afraid of risk. And I\u2019m not either. I just hope I take smart risks.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"The world\u2019s wealthiest woman has a blunt diagnosis of the sickness she has set out to cure. \u201cHealth&hellip;\n","protected":false},"author":2,"featured_media":12865,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[34],"tags":[134,527,111,139,69],"class_list":["post-12864","post","type-post","status-publish","format-standard","has-post-thumbnail","category-healthcare","tag-health","tag-healthcare","tag-new-zealand","tag-newzealand","tag-nz"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/12864","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=12864"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/12864\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/12865"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=12864"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=12864"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=12864"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}