Transcript Better Health Technologies Presentation - IEEE-USA

Convergence of Medical Devices,
Telehealth, and eDisease Management
Presented at
SAINT IEEE Workshop on Global
Telehealth/Telemedicine & the Internet
San Diego, CA
January 9, 2001
Vince Kuraitis JD, MBA
Principal, Better Health Technologies
www.bhtinfo.com
(208) 395-1197
Clicks and Bricks
Services/
Bricks
Internet
Technology
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50
100
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Presentation Overview
•
Background and Terminology
•
Emergence of Remote Monitoring
•
Strategy and Business Model Design
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Background and Terminology
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Better Health Technologies
• Strategy, business models, partnerships
• Disease/care management and e-health
• Consulting/Business Development
•
E-Care Management News
– Complimentary e-newsletter
– 2,500 subscribers in 27 countries worldwide
– www.bhtinfo.com/pastissues.htm
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Recent BHT Clients
• Pre-IPO Companies
– Life Navigator (remote monitoring connectivity and health intermediary
services)
– DiabetesManager.com (Internet diabetes DM)
– CogniMed (highest cost/risk patient management software)
– Caresoft (consumer focused DM)
– Benchmark Oncology (oncology DM)
– SOS Wireless (cellular phone technology)
– Click4Care (Internet DM)
•
Established organizations
– Medtronic -- Neurological DM (medical devices/chronic disease solutions)
-- Cardiac Rhythm Patient Management
– Disease Management Association of America (trade association)
– PCS Health Systems (PBM)
– Varian Medical Systems (oncology equipment & systems)
– VRI (behavioral health care management services)
– Washoe Health System (integrated delivery system)
– S2 Systems (medical transaction processing software)
– CorpHealth (MBHO)
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– Physician IPA
– Centocor (biopharma)
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Distribution of Health Care Claims
In A Population
% of population
% of claims
60%
5%
45%
37%
50%
3%
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Distribution of Health Care Costs:
Conceptualizing Population Health
$100,000
$75,000
$50,000
Cost Per
Claimant
Per Yr.
$4,000
$3,000
$2,000
$1,000
$0
0
10
20
40
30
50
60
70
80
90
100
Claimant Percentile
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2 Differing Approaches Emerging
$100,000
$75,000
$$ Per
Claimant
Per Yr.
$50,000
$4,000
$3,000
$2,000
$1,000
$0
0
10
20
30
40
50
60
70
80
90
100
Disease Management Services
eDM/eCare Management
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Differing Value
Propositions
eDM/eCare Management
DM Services
• Care Coordinator = patient
• Health care consumerism
• Save $$ long term on behalf
of the patient
• Optimize patient health status
• Care Coordinator = 3rd Party
• Cost containment
• Save $$ short term on behalf
of health plan
• Prevent unnecessary
hospitalizations and ER visits
• Done “to” the patient
• 5-10 top diseases
• Local/regional focus
• Done “by” the patient
• 100+ conditions/diseases
• Not geographically bound
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Emergence of Remote Monitoring
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1) A Portable Cure: PDAs for drug research and
prescriptions are getting attention
2) Enhancing Patient Care: In-hospital wireless
monitoring
3) Freedom From Hospitals: Remote monitoring of
chronic illnesses
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Types of Remote Patient Data
• Biometric
– list
• Patient satisfaction
• Subjective symptoms
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–
–
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Pain
Fever
Shortness of breath
Etc.
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Characteristics of Remote
Monitoring (RM) Data
• Real time
• Multiple sources
– Across multiple devices
– From the patient
• Subjective
• Patient satisfaction
• Passive (gathered by the device)
• Integrated with other data across multiple
providers, e.g., EMR, lab, pharm, claims
• Longitudinal
• Data warehouse, data mining opportunity
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Timing of Biometric Data
•
•
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•
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•
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Quarter-to-Quarter (q/q)
Month-to-Month (m/m)
Week-to-week (w/w)
Day-to-day (d/d)
Hour-to-hour (h/h)
Minute-to-minute (m/m)
Second-to-second (s/s)
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4 Cs of E-Health
Care
Connectivity
Commerce
Content
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A Crude Map of the New World:
eHealth & Care Management Framework
A Crude Map of the New World:
eHealth & Care Management Framework
Personal
Online
Medical
Record
eDisease
Management
Electronic
Medical Record
Disease
Management
Outsourcing
Telemedicine
Services
Strategy and Business Model
Design
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Fragmented RM Market
Health
Plans
Medical
Device
Companies
DM/eHealth
Vendors
Consumers
Telemed
Companies
Employers
eHealth
Providers
Internet
Appliance
Etc.
Wireless
Telecom
11/21/00
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Life Navigator, Inc.
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LNI Value Proposition
Health
Plans
Medical
Device
Companies
DM/eHealth
Vendors
Consumers
Telemed
Companies
Employers
eHealth
Providers
Internet
Appliance
Etc.
Wireless
11/21/00
Telecom
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Life Navigator, Inc.
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Multiple Sources of Revenue
• Sponsorship Fees
• Advertising
• Health Data Fees &
Infomediary Sponsorships
• Marketing & Product Launch
Fees
• Pharmaceutical
Sponsorships
• Clinical Trial Recruitment
• Electronic Prescriptions
• Pharmacy Sponsorships
• Delivery of Health Care
• Directory Advertising
(provider and non-provider)
• Consumer Advice and
Research Services
• Online Disease Monitoring
and Disease Management
Services
• Disease Testing Services
• 2nd and 3rd Opinions
• E-mail Reminder Notices
• Health Claim Assistance
• Direct
Source: Business model for DiseasesRx.com
http://corporate-partnering.com/names/clicks-to-bricks-business-model.htm
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Services/
Bricks
Internet
Technology
0
50
Marginal Cost Per Unit of
Service
Close to zero
Scaleability
Hi
Valuation
8-15 x Revenues
100
High
Lo
2-3 x Revenues
(valid in 3/2000, not today!)
Operating Model
Web enabled tools
IT
ASP
Connectivity
Internet
Value Proposition
Ride the wave
of health consumerism
Geography
Ubiquitous
Services
Client/Server
Fax, phone, mail
Identify leverage points
of behavior change
Regional markets
Key Questions to Consider
Services/
Bricks
Internet
Technology
0
50
100
• Where are you today?
• Where are you headed?
– Direction?
– Speed?
– Momentum?
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•
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What is the optimal mix of bricks and clicks?
Are any extreme business models viable?
Where will contemplated capital investments move you?
Should you make or buy Internet technologies?
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END
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