How mobile technology is transforming health care gv

How mobile technology is transforming

health care

November 2013

Research Study

By Gisela Vendrell

es.linkedin.com/in/giselavendrellhernandez/

@giselebcn

http://es.linkedin.com/in/giselavendrellhernandez/







https://twitter.com/giselebcn

How mobile technology is transforming health care

2

1. Overview of the mHealth market

2. Players perspective

3. Conclusions

Contents


3

The global healthcare industry is facing major challenges

Outcomes

Access

and

coverage

Cost

Key

challenges

Figure 1: Major challenges in the global healthcare industry [Source: own elaboration]

Shortage of health professionals- likely to worsen

further- thus leading to low coverage in certain areas

Increasing demand for more available access to

healthcare in developing countries

Access

and

coverage

Patients are increasingly demanding better

outcomes in terms of quality, velocity and safety Outcomes

Health spending as part of GDP is expected to

reach 15% in larger developed countries in 2015*

Cost escalation due to chronic diseases increase

- costly to manage and time-consuming

Cost

* McKinsey estimate


4

Technology innovations have the potential to overcome them, enabling more

accessible, faster, better and cheaper services

Figure 2: Technology innovation impact on healthcare provision [Source: Ernst & Young analysis, 2013]

Large scale, flexible and secure data storage

in a public or private cloud

Remote access via cloud applications and

microsites designed for mobile devices

Cloud computing

Mobile access to health personalized data and

services - anywhere and anytime

Networking with healthcare providers and

connection with patients

Social networking

Disease progress tracking (eg: PatientsLikeMe.com-150m users)

Understanding of patients care experience and

findings sharing

Increased access to critical health insights

collection and sharing trough social networks

Technology enabler Impact Applications

Big data analytics Use of insights to build treatment practices

predictive modeling Ever-growing information processing and

transformation into valuable data

Wireless and user-friendly devices (eg: senior

phones)

Increased access to health information and

delivery through mobile devices and apps

Smart mobility

Remote treatment and real-time interactive

communications

Prescription of smartphone apps to patients


5

Smartphones expansion is driving mHealth growth- healthcare delivery supported

by mobile devices

Delivery of health-related services through mobile

technology platforms on cellular or wireless

networks …

− Such as cell phones, tablets, mobile-enabled

diagnostic and monitoring devices

…anytime and anywhere…

− Real-time information access and monitoring

outside of physicians’ offices and patients’

home

…thus driving a significant change in the

healthcare traditional delivery system

− Patients are actively engaged in delivery and

assist to real-time experiences

m-Health

Figure 3: Smartphone (SP) connections split by region [Source: Informa

telecoms & media, 2013]

0

500

1.000

1.500

2.000

2.500

3.000

3.500

2011 2012 2013 2014 2015 2016 2017

Con

ne

ctio

ns (

mill

ion

s)

Western Europe North America Middle East

Latin America Eastern Europe Asia Pacific Developing

Asia Pacific Developed Africa

12% 16% 21% 26% 31% 36% 42% Global

smartphone

penetration

44M health-related apps downloaded in 2011- 142M downloads by

2016 (CAGR of 26%)

3B of SP connections by 2017 with exclusive functionalities

(expanded memory, location tracking, touch-screen technology, …)


6

The global mHealth market is expected to reach $ 23 billion by 2017 –growing at a

compound annual growth rate (CAGR) of 50%

1 5 7

10

15

23

2012 2013 2014 2015 2016 2017

CAGR ‘13-’17:

50%

Figure 4: global mHealth market evolution [Source: PwC, 2013]

30%

30%

28%

7% 5%

Europe

Asia Pacific

North America

LatAm

Africa

Figure 5: global mHealth market per region [Source: PwC, 2013]

($ in billions)

Health call centers creation and SMS for reminders

among the most common initiatives

Key drivers of mHealth might differ per country

and stakeholder

− Convenience of access and desire to take greater

control of own health are the leading drivers of

mHealth in developed countries…

− …while cost reduction is the biggest attraction in

emerging countries, such as India

52.7M m-health connections worldwide by 2021,

growing at a GAGR of 43% between 2011 and 2021

Key highlights


7

Remote monitoring is supposed to account for 65% of global market, mainly to

manage chronic disease

65%

15%

11%

5% 3%

1% 0% 0% Monitoring

Diagnosis

Threatments

Support to medical personnel

Wellness

Prevention

Administration

Surveillance support

Figure 6: global mHealth market distribution per type of

service [Source: PwC, 2013]

71% 29% Remote mobile

monitoring

Chronic Disease Management

Older patients management

Figure 7: global mHealth monitoring services per type of

patients [Source: PwC, 2013]

Chronic diseases represent by far the leading

cause of mortality in the world…

− Eg: Diabetes, hypertension, heart failure, many

cancers, and Alzheimer’s

…and are increasing in number in both developed

and emerging countries

Remote monitoring technologies are likely to

prevent and treat chronic disease, as they provide

real-time and continuous management …

…and are expected to lead significant cost

savings, improved disease evolution and patient

lifestyle

Key highlights


8

Remote monitoring devices enable patients to record, send and access their own

health measures

Automated data collection from

peripheral monitoring devices…

− Pulse oximeters

− Glucose meters

− Blood pressure monitors

− Weight scales

… through a wireless mobile

handheld device (healthPal)

Data communication through

servers and IVR to an electronic

health record or the user’s account

(HealthVault)

Access for patients and families to

data stored on user’s account or

electronic health records…

… and for health professionnals

using a web-based patient

management portal (healthCOM)

Data

collection

Data

Transmission

Data

Management

Figure: healthPal capabilities, a wireless mobile handheld system [Source: MedApps]


9



3. Conclusions

Contents


10

The mHealth market is a complex ecosystem, with a broad variety of

stakeholders...

Figure 8: The complex mHealth ecosystem [Source: own elaboration]

Biopharma

companies Medical

device

companies

Regulators

Pharmacies

Patients

Healthcare

professionals

Entrepreneurs

and retailers

Technology

companies

Governments

Health care

providers

…

NGO’s

Telecom

operators

There is a shift trend towards a patient-centered model


11

... with different incentives to adopt mHealth

Better care and lower costs

Increased quality of life

Efficiency (greater time for patients, processes...)

Improved quality (better health outcomes)

Platform for demonstrating value of therapeutics

and diagnostics

Increased incremental revenue on top of existing

voice and data revenue streams

Opportunity to expand into infrastructure

services, managed services, cloud computing

and professional services

Opportunity to own/dominate and take first

mover advantage

Figure 9: Key stakeholders incentives to adopt mHealth [Source: own

elaboration]

Patients

Health care

providers and

professionals

Life science

companies

Telecom

operators

Lower costs (fewer admissions and emergency

room visits, avoidable over use of medications and

increased use of self-care)

Increased access and coverage

Governments

Cost and

capability

advantage

Ability to create a cost and capability

advantage, based on core capabilities

of connectivity, networking and large

scale information management

Integration

and access

Integration solutions based on mobile

operators core capabilities, accessible

by a large user base

Figure 10: Opportunities for mobile operators

[Source: own elaboration]


12

Patients expect significant changes in terms of health data access, management

and communication, thus enhancing convenience, quality and cost

Convenience

Quality

Cost of

health

care

52%

48%

46%

Figure II: mHealth expected benefits by patients

[Source: Economist Intelligence Unit, 2012]

(% of patients agreeing with mHealth

improvements, in the next three years) Technology

enabler Expected patient impact

Figure I: Technology enabler’s impact on patients [Source: Ernst & Young analysis,

2013]

Ability to…

− Communicate with doctors and hospitals

− Access health-related information

− Obtain care from remote and underserved

communities

− Monitor and manage chronic disease

− Fitness and wellness programs monitoring

…from anywhere at any time

Smart

mobility

Cost comparison of different providers

Outcome performance comparison

Peer advice on treatment and living with chronic

conditions

Social

networking

Delivery of “heavyweight” healthcare services and

information to “lightweight” mobile devices

Secure storage of patient information

Cloud

computing


13

Efficiency and quality are considered as top incentives among doctors

Figure III : Top incentives to adopt mHealth among doctors [Source: Economist Intelligence Unit, 2012]

13%

14%

16%

17%

24%

25%

26%

29%

32%

32%

36%

Expectation/demand of medical personnel or employees

Encouragement by regulations

Ubiquity of smartphones and applications in all areas of life

Opportunity to provide new services/tap into new markets

Easier access to care for existing patients

Lower overall cost of care for patients

Patient expectations/demand

More efficient internal processes/communication

Ability to reach previously unreachable patients

Reduction in administrative time for medical personnel, allowing greater time for patients

Improved quality of care/better health outcomes

Efficiency incentives

Quality incentives


14

mHealth can also benefit developing countries by spreading information and

bringing health care to underserved populations

mHealth

key applications Description

Education and

awareness

Spreading of mass information about various subjects through SMS…

− Including testing/treatment methods, availability of services, disease management

… to strengthen education and awareness and healthy habits adoption

Remote data

collection

Collection and transmission of real-time data quickly, cheaply and efficiently…

− Eg: location and levels of specific diseases, areas of greatest needs within a country

…. thus leading to disease and epidemic outbreak tracking

Remote

monitoring

Automated monitoring to patients situated in different location to healthcare professionals leading to:

− Better tracking of patient conditions, medication regimen adherence and follow-up within environments of limited

resources

Figure IV: Key applications for mHealth in developing countries [Source: UN Foundation and Vodafone Foundation, 2013]

Remote

treatment

Automated care delivery and advice about diagnosis and treatment of patients through mobile devices…

− Eg.: SMS, mobile applications, …

…specially useful to mitigate cost and time of travel for patients located in remote areas


15

Telecom operators have three potential options to monetize mHealth

No relationship between mHealth providers and MNO’s

Data transmission through MNO’s

Mobile charges as part of data plan or charged as additional usage via mobile bill

Pure

connectivity

MNO’s as the primary face to the consumer, providing an integrated solution

− Transmission, Devices, Software apps, Deployment & integration services

Benefits for Telcos: larger revenue share in the value chain

Challenges for Telcos : lack of healthcare knowledge; patients may hesitate

Operator

end-to-end

Interaction with mhealth providers

− Providers are not required to develop a large tech infrastructure

Transmission and other services subcontracted to MNO’s

Joint

service

Figure: Potential options to monetize mHealth for Telcos [Source: McKinsey]

1

2

3


16

However there are several factors that may affect mHealth initiatives success and

Players should bear in mind...

Figure 12: Key factors in mHealth models success and level of contribution [Source: own elaboration from PWC data,

2012]

Impact level - +

Interoperability with sensors and other devices that enable information

sharing (when authorized) Interoperability

Integration

Intelligence

Socialisation

Engagement

Integration into existing activities and workflows of providers and patients

Provision of real-time and qualitative solutions based on existing data

Share information across a broad community to provide support, coaching and

recommendations

Enable patient involvement and provision of instant feedback in order to improve

services orientation

Outcomes

Provide a return on investment in terms of cost, access, and quality of care...

... by defining a suitable business model, taking into account patients

willingness to pay and technology costs

Impact

... thus requiring an in-depth analysis of the ecosystem, key challenges and success factors


17



3. Conclusions

Contents


18

Mobile technology is enabling a new era in health care

− Shift towards a patient-centric model, delivering health care anytime and everywhere

− Smartphones expansion as key accelerator of mHealth adoption

The global mHealth market is expected to show strong growth-reaching $ 23 billion by 2017

− Remote monitoring is supposed to account for 65% of global market, mainly to manage chronic disease

The mHealth ecosystem involves a broad variety of stakeholders with different perspectives and levels of

involvement

− MNOs have an opportunity to play a big role in mHealth and develop new revenue streams

There are key challenges that may affect mHealth adoption and need to be deeply analyzed

− In terms of technology, business models, policy and regulatory barriers

Key findings