True Disruptive Innovation in Health Care Sure Bets in Turbulent Times?
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1 True Disruptive Innovation in Health Care Sure Bets in Turbulent Times?
2
3 DID YOU KNOW?
4 In the next 20 years, the world population will grow by 1.2 billion c That s 3.7 times our nation s current population
5 In the United States, by 2060, the population of those 65 or older will be greater than 98.2 million people
6 That is larger than the populations of California, Texas and Florida combined State flags
7 Each day through 2030, 10,000 Baby Boomers will turn 65
8 DID YOU KNOW?
9 By 2022, there will be an additional 1.13 million nurses needed in the workforce
10 That s equal to the population of the entire Birmingham metropolitan area
11 By 2030, there will be a shortage of 100,000 doctors
12 In 2013, MDs reporting some level of burnout totaled 40% In 2017, it increased to 51%
13 In 1990, number of hospitals: 6,649
14 In 2017, number of hospitals dropped to: 5,564
15 Academic Medical Centers represent only 6% of all hospitals but account for: 61% of all level-one trauma centers 75% of all burn beds 41% of all hospital charity care nationwide
16 DID YOU KNOW?
17 $1 in every $5 is spent on healthcare
18 The top 1% of healthcare spenders use more resources than the bottom 75%
19 Health care spending in the U.S. makes up nearly 40% of total healthcare spending worldwide BUT the U.S. makes up only 4.5% of the world s population
20 Uninsured rate has dropped 6% in the past 21 years
21 But the current number of uninsured people equals 7x the population of Alabama
22 Since 1999, workers earnings have increased 60% but health insurance premiums have grown 213%
23 65% of children entering primary school today will end up in job types that don t yet exist
24 By 2024, healthcare practitioners and support occupations will account for 1 in 4 of all new jobs
25 More than 40% of jobs are likely to be automated by 2030
26 DID YOU KNOW?
27 We are living in exponential times The # of internet devices has grown ,000 1,000,000 10,000,000 15,000,000 30,000,000
28 The number of patients using telemedicine will rise to 7 million in 2018, a 1900% growth in 5 years
29 64% of U.S. adults own a smartphone Each day the average American spends 4.7 hours on their smartphone More than half an average workday
30 Americans have access to more than: 200 TV networks 7,200 magazines 15,300 radio stations 2,000,000 iphone apps 1,200,000,000,000 web pages
31 Searches Searches per per month: year: day: hour: minute: second: trillion million billion 64,000
32 In 2000, 25% of Americans looked online for health information
33 Now, 62% look online for health information
34 In 1998 Now
35 More video content is uploaded in 30 days than the major U.S. television networks have created in the past 30 years Every minute, 72 hours of video are uploaded c
36 In % of American adults used social media In % of American adults used social media By 2020 more than 3 billion people will be using social media
37 On Facebook, more than 4.75 billion pieces of content are shared DAILY
38 DID YOU KNOW?
39 By 2047 a $1,000 computer will exceed the computational capabilities of the entire human species
40 Scientists at IBM have captured 330 terabytes of uncompressed data the equivalent of 330 million books into a cartridge that fits in the palm of your hand
41 The volume of healthcare data reached 150 exabytes enough to stack DVDs from here to Mars
42 The Watson Health Cloud can read 200 million pages of text in 3 seconds What could this mean for our future?
43 I believe we will reach a point around 2029 when medical technologies will add one additional year every year to your life expectancy. -- Google, Chief Futurologist
44 Demographics Communication Technology Economics Media It s all about the patient But what happens when they have different preferences?
45 Likeliness When communicating When to Use have dissatisfied choosing of a care primary settings a with provider with care their care physician doctor
46 149 people will turn babies will be born By the end of today, in Alabama c 177,450 online healthcare searches will be made $131,954,567 dollars will be spent on healthcare and 2,545 lives will be touched by UAB Medicine
47 Hospitals lose $8.3 billion using old technology - USA Today Are healthcare workers prepared for the digital health era? - Healthcare Dive Healthcare Executives may be Underestimating Disruptive Threats - Becker s The Million Dollar Question: What will Amazon Healthcare look like? - Forbes
48 Are AMCs Ripe for Disruption? Disruption occurs when new entrants reshape an existing market or create new markets displacing traditional market leaders Low-end footholds providing goods/services to an underserved base New-market footholds turn non-consumers into consumers Leading indicators: Large economic segments Lost-cost options Unmeet needs Unknown wants Technology solutions
49 Are AMCs Ripe for Disruption? Economic pressures on a $3+ trillion industry Large entrenched incumbents Misaligned incentives Changes in needs, wants and expectation of customers Payers are saying enough!! Approaches and tools for care, discovery and education are rapidly changing Analog in a Digital World Healthcare is the most entrenched change adverse industry in the U.S. Clay Christiansen
50 Disruptive Forces Over 60k medical apps are currently available 33% of healthcare consumers are using wearable technology 25% of consumers have received virtual healthcare services 47% of consumers are willing to use an artificially intelligent virtual provider Millennials are demanding digital healthcare 71% want to book appointments with apps 74% prefer to see a provider virtually
51 Non-Traditional Providers Capitalizing on Vulnerabilities Company Examples Strategy Traditional Provider Vulnerability Retail clinics, urgent care chains, telemedicine, freestanding diagnostic centers Limited hours and locations; high prices Transparency tools Limited availability of information New primary care models Care management tools and practices Precision medicine Long wait times, challenges in caregiver communication, and other shortcomings of patient experience Lack of coordination, consistency, and assistance in coping with varied patient situations High clinical costs and inflexible traditional diagnostic and treatment methods
52 Disruption typically happens from the outside difficult to disrupt one s self
53 Same Valuation in One-Tenth the Time
54
55 Disruption typically happens from the outside difficult to disrupt one s self. What will healthcare delivery, research and discovery or medical education look like in 2047? Point of Singularity
56 Current Disruptors
57 Vulnerabilities Service platforms (connects the consumer with the content provider) First Mile shopping for goods/services - Provider comparison and selection - Scheduling Last Mile delivery of goods/services - Care planning and coordination - Provider-Patient communication - Billing and payment Healthcare s miles are among the least convenient of any industry Platforms are incredibly good at what they do - Platforms are great equalizers among content providers - Platforms are where the consumers are Platforms are becoming content providers
58 Vulnerabilities Service platforms (connects the consumer with the content provider) Product Innovation Monitoring, biosensors and tracking Point-of-care diagnostics and treatment Augmented & Virtual reality 3D-printed devices
59
60 Apple Watch Series 4 enables customers to take an ECG reading right from the wrist using the new ECG app Fall detection utilizes a next-generation accelerometer and gyroscope, which measures up to 32 g-forces, along with custom algorithms to identify when hard falls occur.
61
62 Butterfly iq -- A startup that makes a new iphone ultrasound device, whose chief medical officer used it to diagnose his own cancer, just raised $250 million
63
64 Vulnerabilities Service platforms (connects the consumer with the content provider) Product Innovation Data systems and science Artificial intelligence & machine learning Predictive analytics (outcomes and engagement) Big data network and systems Multi-institutional (private and public) discovery engines Crowd sourcing solutions
65 Vulnerabilities Service platforms (connects the consumer with the content provider) Product Innovation Data systems and science Payment Models Value based care, bundles, etc. Privately funded outcomes based research Tuition-free medical schools
66 Vulnerabilities Service platforms (connects the consumer with the content provider) Product Innovation Data systems and science Payment Models Democratization of things Prosumers Citizen scientists Tech-based/group learners
67 Vulnerabilities Service platforms (connects the consumer with the content provider) Product Innovation Data systems and science Payment Models Democratization of things Systems, Networks and Scale
68 What do we Need to do? Remove barriers of engagement and eliminate customer friction Innovate service offerings customer wants and wows Win the cost and quality battle Own/partner around the platforms Expand scope of services and scale of operations
69 What do we Need to do? Remove barriers of engagement and eliminate customer friction Innovate service offerings customer wants and wows Win the cost and quality battle Own/partner around the platforms Expand scope of services and scale of operations
70 What do we Need to do? Remove barriers of engagement and eliminate customer friction Innovate service offerings customer wants and wows Win the cost and quality battle Own/partner around the platforms What one thing could we do that would wow your most profitable patients - those in your financial core? Expand scope of services and scale of operations
71 What do we Need to do? Remove barriers of engagement and eliminate customer friction Innovate service offerings customer wants and wows Win the cost and quality battle What could a disrupter eliminate that would attract your core patients? Own/partner around the platforms Expand scope of services and scale of operations (what are they TOLERATING TODAY that they could easily OR EVEN RATHER do without?)
72 True Disruptive Innovation in Health Care Sure Bets in Turbulent Times?
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