Technologists at the Healthcare Gate: The Rise of Innovation Collaborations

by Matty Francis07-16-2018

SHARE

Technologists at the Healthcare Gate: The Rise of Innovation Collaborations

Technologists at the Healthcare Gate: The Rise of Innovation Collaborations

Healthcare executive inboxes across the country are filled with newsletters highlighting articles that cry, “Apple, Google, and Amazon are coming for your physicians and patients!” Between the attractive growth opportunity offered by the massive $3.3 trillion US healthcare market, and the aging technology infrastructure, tech companies are eagerly making plans to solve the persisting problems in healthcare. Incumbent healthcare executives have every right to be nervous. 

In just the first half of 2018, a number of initiatives and new innovation collaborations involving technology-focused competitors were announced:

These newly emerging adversaries have an enviable track record in bringing new technologies to market and a focus on delivering value over a long-time horizon, not to mention possessing significant profit dollars that can be reinvested in R&D. However, healthcare organizations have assets that all of these technology companies covet, including access to patients, physicians, and the most precious currency of the 21st century, data.

The prospect of combining tech companies’ new product development expertise with healthcare organizations’ people, patients, and data makes one excited about the future of healthcare. Assisting healthcare organizations in partnering with technology companies is one of the most satisfying parts of my work at Healthbox. However, all too often, organizations limit their choices to buying technology off the shelf or hiring a development team to build a custom solution. When thoughtfully executed, innovation collaborations can yield tremendous results. To maximize the odds of successfully building solutions with technology partners, healthcare organizations should focus on these key steps:

1. Problem / Opportunity Identification

Organizations absolutely should not rush to adopt the latest technology for the sake of appearing innovative (I’m looking at you AI and blockchain). By immediately jumping to potential solutions, organizations run the risk of investing resources in a solution without a clear problem. Begin by identifying and understanding the core pain points preventing your organization from achieving its strategic goals.

2. Asset Inventory

Once you have highlighted the problem(s) worth solving, take inventory of your organizational assets. This serves two purposes: first it identifies the people, processes, or technology that can be leveraged to develop a comprehensive solution, and second, it sheds light on gaps to be addressed before the solution can be commercialized.

Business Model Ideation and Partner Selection

The final step to craft a successful collaboration is to explore alternate business models and identify best-fit partners. It is common for new technologies to struggle to gain broad adoption until customers get comfortable with new business models. For example, cloud-based software didn’t take off until large organizations got comfortable with the SaaS business model. Spend some time discussing how your collaborative product could be monetized and be sure both organizations stand to benefit. Lastly, an innovation collaboration partner should have complementary assets. Most of the time, your organization will have data and access to patients, while your prospective partner will have technology expertise, but use the asset inventory developed in step 2 to ensure you are thinking beyond the obvious.

At Healthbox, we strongly believe the only way to make innovation repeatable is to apply a disciplined decision-making process to your innovation efforts, including partnerships. Without a repeatable process, you won’t be able to discern the role that luck played in the ultimate outcome.

This article was originally published on the Health:Further blog. 

Newsletter

Subscribe to our monthly newsletter to receive Healthbox insights on healthcare innovation.

Connect

info@healthbox.com

312.228.4669

Careers

Tell us your story, we'll be in touch!

Address

1000 W. Fulton Market
Suite 213
Chicago, IL 60607

© Copyright 2018 Healthbox, LLC. 2018 All rights reserved.