Transcript Philips Innovation KC Proposal EasyIscan to Healthcare

EasyISCAN
Right to Sight
TOC
1. Overview of EasyIScan proposition
2. Value Proposition House
3. Selection criterion - Healthcare Incubator
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 2
Overview of EasyIScan
proposition
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 3
Blindness is prevalent
in developing world
45 million blind people
worldwide
Nine out of ten blind people live in
the developing world
9 million blind people in India
Refractive
errors
20%
Glaucoma
Diabetic retinopathy
childhood blindness
Others
17%
Cataract
63%
PHILIPS CONFIDENTIAL
Globally, every five
seconds a person goes
blind
EasyISCAN, Vinay Shenoy: Slide number 4
They are treatable, though
80% of blindness can be prevented or cured
Regular screening is key!!
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 5
However…
• Large scarcity of ophthalmologists
– 12000 practicing in India
– 800 graduate every year in India
– Most practice in cities/large towns
• Hence
– Only 7% in various stages of blindness are screened and
treated
– Less than 10% of Non-Cataract diseases are
detected/treated
– Less than 8% of children requiring spectacles wear them
– Less than 15% of people over 50 yrs requiring spectacles wear
them
Screening (access and cost) is the first major bottleneck
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 6
If only screening can be done locally and
affordably
• Not requiring an ophthalmologist
• Simple for operators to learn and use
• Quick and easy to interpret diagnosis
• Can be deployed in rural areas
• Can operate with limited hours of grid power
• Screening for under Rs. 30 (Eu cents 70)
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 7
There is a large market for it
Global visual
impairment
=
162 million people (2002 data)
(4 x blind people)
India visual
impairment
=
35 million people
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 8
India Business Creation Center
has a proposition
~ 15,000 $
~ 10,000 $
Retinal
camera
(Image of
Retina)
Keratometer
(Curvature of
Cornea)
+ Fully digital & intelligent
- No hydraulics
- No chin rest
- No dedicated computing
- No special chair
= Low cost all in one
NC Tonometer
(pressure in the eye)
~ 8000 $
~ 6,000 $
Slit Lamp &
Refractor(Myopia
Hyperopia)
~ 4000 $
Slit Lamp
(image of cornea)
PHILIPS CONFIDENTIAL

~ 3,000 $
Head Mount Display with Camera
& Constant pressure Air Jet unit
+ PC interface
Hospital go to patient
EasyISCAN, Vinay Shenoy: Slide number 9
With a family of products
Stand alone – portable
Intelligent Imaging
With pressure meter
Intelligent Imaging
$ 2500
$ 3500
$ 1200
Intelligent Imaging
With pressure meter
Personal Intelligent Imaging
With pressure meter
$ 3000
X 5,000
$ 2000
X 10,000
X 7,500
2007
PHILIPS CONFIDENTIAL
Low cost Image enhancer
For low vision patients
2008
EasyISCAN, Vinay Shenoy: Slide number 10
2009
And others in the value chain are willing to
partner
• Aravind Eye Hospital
–
–
–
–
–
–
India’s leading Eye Care Institution
30 Years of Existence
16 M Out Patients, 2.4 M eye Surgeries till date
More Surgeries per year than whole of UK, 11% of US
Plan 100 hospitals in the next 5 years
Manufactures and sells to over 120 countries with 7 % Market
share worldwide.
• Pharmaceuticals companies
Initial discussions with Eye drop manufacturers
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 11
Estimated Market Potential over 5 year
period
• Institutional buyers
• Government Bodies
• Opticians
2000 units
20000 units
12000 units
• Total Market Potential of
34000 units
Total sale value of 100 Million Euros
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 12
Philips has strengths to succeed
• Optical technology
• Image acquisition
• Image processing
• Decision support systems
• Synergies with Diabetes monitoring project in Philips
Research
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 13
If only
• Philips Medical Systems includes ophthalmology in its
market scope
IBCC is funded for developing this proposition
–
–
–
–
–
Need 300 kEuros in 2006 & 2007
First demonstrator in April 2006
Trials start at Aravind mid 2006 (committed)
Screening software development for Complex diagnostics
Excludes cost of other organizations (Philips Research for
example)
– Includes the cost 15 units needed in field trials
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 14
A first prototype is being developed at PIC
Bangalore
• Focus on 83% opportunity
– Cataract, Refractive errors
• Platform from Maastricht
Instruments, Maastricht Univ
• Resources from CE, AppTech
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 15
If action is not taken
to reduce blindness,
the number of blind
people in the world is
estimated to increase
from 45 million in 2000
to 76 million by 2020,
creating an enormous
economic
burden.
Developing countries
could
potentially
achieve a £192 billion
boost in economic
productivity over the
next 20 years if they
adopt
appropriate
measures to reduce
blindness.
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 16
People do not go blind by the million, they go
blind one by one…and for each person the
impact is enormous.
Poverty and blindness are a formidable
combination, depriving many people in the
developing world of basic human rights. Loss of
sight often results in social exclusion, making
blind people vulnerable to abuse, poverty and
early death.
Less than half of all children who lose their sight
will survive to adulthood. The figures appear
overwhelming, yet providing help is simple.
Let’s make a start….
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 17
Value Proposition House
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 18
EasyIScan
version 1.0
Benefits
Reasons to Believe
Discriminator
• Affordable eye screening close to rural
areas by leveraging CE technologies and
eliminating the need for ophthalmologist
• Help prevent over 80% of the blindness in
developing world by timely intervention
• Trust in Philips Brand
• Endorsement by Hospital Partners
• Advocacy by Government and
healthcare NGOs
• Instant and simple to interpret reports
• Short confirmation cycle by Hospitals
• Affordable, Accurate and Timely service
at the doorstep
• Operation by a trained operator or a
paramedic without the need for an
ophthalmologist
Competitive Environment
Target
Consumer Insight
• Current ophthalmic equipment are
designed to operate in Hospitals or
specialty clinics
• They are designed around an
ophthalmologist
• They are expensive as they offer full
diagnostic capability
• They are not easily portable
• Population in early stages of visual
impairment that cannot afford to visit
hospitals in cities – direct and indirect
costs are prohibitive
• Hospitals will use this as a rural
catchments step
• Primary Healthcare Centers – Vision 2020
supported by WHO and IAPB
• People are willing to spend on treatment
if they are sure of a disease
• Very low emphasis on prevention
amongst people – primarily due to access
and cost
• Conventional process steps for diagnosis
in rural areas are not practical and
economically not viable for Hospitals
Concept Signature
Designed Around You
• Quick screening process
• Simple installation and
calibration
• Affordable at your
doorstep
PHILIPS CONFIDENTIAL
EasyIScan – for your right to sight!
Easy To Experience
• No specialized training
required to operate and
maintain
• Ophthalmologist can
relate to the screening
results for follow-up
EasyISCAN, Vinay Shenoy: Slide number 19
Advanced
• Highly accurate results
almost instantaneously
• All digital experience –
scan can be
electronically sent to
hospitals for follow-up
36
Selection criterion
Healthcare Incubator
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 20
Market Attractiveness
qualitative profile
L
H Comments
1
Market Size
35 million visually impaired in India and 150
million in developing countries. 80% is
preventable.
2
Market Growth
Market is highly underserviced. Less than 10%
have access to screening and treatment
3
Market Profitability
Assuming unit price of Eu3000, a screening price
of Eu cents 60 yields a margin of over 15% for a
4
Financial Value
Size of Indian market for equipment is over Eu
100 million. Size of Indian market for screening is
over 60 million annually. Developing world
market is four times this size.
5
Barriers to entry
Few ophthalmic equipment companies have
access to consumer electronics technology
and image processing software. Most focus on
image acquisition only. Philips will also have
Pioneer’s lead.
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 21
6
Strategic Fit
qualitative profile
L
H Comments
1
Mission / Vision
Technology and Healthcare to
prevent blindness – fits well into
Philips strategy. Also brings care
cycle earlier in the process.
2
Growth
New market for Philips Medical
Systems – Ophthalmic diagnosis
equipment
4
Designed around you
Bring screening service outside
hospitals to people’s doorstep at
affordable cost
5
Easy to Experience
No specialized training required to
operate and maintain
Ophthalmologist can relate to the
screening results for follow-up
6
Advanced
Instantaneous, automatic and
reliable result that is easily
endorsable by Ophthalmologists
7
Building on Philips’
capabilities
Optics, Image acquisition, image
processing, consumer electronics
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 22
7
Commercial chance of success
qualitative profile
L
H Comments
1
Non-invasive solution
Non invasive
2
Knowledge of
Healthcare market
Strong partnership already formed with
Aravind Eye Hospital for delivery and
process steps related to diagnosis
3
Knowledge of
consumer market
Strong partnership already formed with
Aravind Eye Hospital for knowledge of
consumers
4
FDA approval
Not investigated yet. No major issues
foreseen
5
Consumer channels
Via Hospitals, Government agencies
and rural entrepreneurs
6
IPR protecting benefits
IPR possibilities primarily in image
acquisition and diagnosis algorithms.
7
Reimbursement
??
8
Pricing model
Will yield over 20% margin for operators
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 23
8
Technical chance of success
qualitative profile
L
H Comments
1
Technical competitive
strength
Image capture uses standard off the
shelf instrumentation. May require
specialized optics later, which Philips
possesses. Will utilize philips strength
in image processing for diagnosis.
2
Productization
Key to produce locally or in low cost
countries to benefit from cost
competitiveness. Technology is
amenable to this.
3
Industrialization
No major bottlenecks perceived.
4
IPR
Especially in the area of image
acquisition and analysis (algorithms)
5
Competing
technologies
Competing technologies today
focus on Hospitals and designed
around Ophthalmologists.
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 24
9
Auxillary slides
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 26
Global visual impairment
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 27
Causes of blindness as a percentage total
blindness
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 28
Global patterns of visual impairment
PHILIPS CONFIDENTIAL
EasyISCAN, Vinay Shenoy: Slide number 29