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S O R AYA G H E B L E H
DISRUPTIVE INNOVATION
IN HEALTHCARE
WHAT IS DISRUPTIVE INNOVATION?
•  Disruptive Innovation involves turning expensive,
difficult, inaccessible products and services into
simpler and more affordable ones
P e r s p e c t i v e s
WHAT DOES DISRUPTIVE INNOVATION
DO?
•  Disruptive innovation gives consumers access to
products and services that were otherwise not
affordable or accessible
•  This brings in a new consumer base
•  Disruptive innovation does not necessarily provide a
better product or a better service than those that
already exist in the market
•  It does, however, appeal to new consumers
because it is simpler and can provide close to the
same effect
WHY IS THIS IMPORTANT FOR
HEALTHCARE?
•  Healthcare costs are unsustainable, expensive, and
often unnecessarily high without providing
increased value
•  Healthcare is not changing and innovating at a
pace necessary to provide all those who require
services from healthcare providers
•  Dr. Jason Hwang provides two definitions for
disruptive innovation in healthcare:
•  The transference of skills from highly trained but also
expensive personnel to more affordable providers, including
technology-based care.
•  The shift away from traditional health care venues like
hospitals into clinics and office settings, and, in some cases,
into patients’ own homes.
WHAT DO THESE DEFINITIONS MEAN?
The transference of skills from highly trained but also expensive
personnel to more affordable providers, including technology-
based care.
•  Utilizing mid-level providers, care coordinators, and
nurses more effectively in conjunction with
technological advances has the potential to save the
healthcare system money and provide more value to
patients
•  Telemedicine is an example of a disruptive innovation
that has increased access and can improve the quality
of care and lines of communication between patients
and providers
WHAT DO THESE DEFINITIONS MEAN?
The shift away from traditional health care venues like hospitals
into clinics and office settings, and, in some cases, into patients’
own homes.
•  The emergence of patient-centered medical
homes, minute clinics, concierge medical practices,
and increased outpatient services is transforming
where healthcare services are delivered
•  Many of these innovations can provide huge cost
savings to the system and can improve patient
experiences
INNOVATION AS PART OF THE PATIENT
EXPERIENCE
•  Patients are becoming more savvy and aware of
what healthcare services exist and the variations in
healthcare delivery services provided
•  With healthcare reform, any costs associated with
healthcare will be more closely paid attention to by
consumers
•  Patient advocacy groups will have increased
power to demand better services at a reduced cost
and the healthcare system is now understanding
that they must stay in line to remain competitive
SOME EXAMPLES OF DISRUPTIVE
INNOVATION IN HEALTHCARE TODAY
•  Minute clinics at pharmacies
•  Concierge medicine
•  Medical tourism
•  Technology-abled self care
•  Retail clinics
•  Patient-centered medical homes
•  Outpatient facilities instead of hospitals
•  Self management tools
•  Telemedicine
•  Lean management in healthcare process
improvement
PROMISE FOR THE FUTURE
•  Disruptive innovation is necessary to move modern
medicine and healthcare delivery forward
•  To remain competitive, healthcare providers need
to understand the changing demands of the
population and work within the Triple Aim of
reduced cost, increased access, and improved
quality
•  Disruptive innovation extends into creating new
reimbursement mechanisms, provider interactions,
and practice design
CITATIONS
1.  https://wiki.umms.med.umich.edu/download/
attachments/118335374/disruptive-innovations-
cure-health.pdf
2.  http://medicalcenter.osu.edu/pdfs/cphc/
harvard_bus_review_disruptive_inn_phc.pdf
3.  http://www.nytimes.com/2009/02/01/business/
01unbox.html?_r=0
4.  http://www.beckershospitalreview.com/strategic-
planning/disruptive-innovation-in-healthcare-
examples-from-3-top-health-systems.html

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Soraya Ghebleh - Defining Disruptive Innovation in Healthcare

  • 1. S O R AYA G H E B L E H DISRUPTIVE INNOVATION IN HEALTHCARE
  • 2. WHAT IS DISRUPTIVE INNOVATION? •  Disruptive Innovation involves turning expensive, difficult, inaccessible products and services into simpler and more affordable ones P e r s p e c t i v e s
  • 3. WHAT DOES DISRUPTIVE INNOVATION DO? •  Disruptive innovation gives consumers access to products and services that were otherwise not affordable or accessible •  This brings in a new consumer base •  Disruptive innovation does not necessarily provide a better product or a better service than those that already exist in the market •  It does, however, appeal to new consumers because it is simpler and can provide close to the same effect
  • 4. WHY IS THIS IMPORTANT FOR HEALTHCARE? •  Healthcare costs are unsustainable, expensive, and often unnecessarily high without providing increased value •  Healthcare is not changing and innovating at a pace necessary to provide all those who require services from healthcare providers •  Dr. Jason Hwang provides two definitions for disruptive innovation in healthcare: •  The transference of skills from highly trained but also expensive personnel to more affordable providers, including technology-based care. •  The shift away from traditional health care venues like hospitals into clinics and office settings, and, in some cases, into patients’ own homes.
  • 5. WHAT DO THESE DEFINITIONS MEAN? The transference of skills from highly trained but also expensive personnel to more affordable providers, including technology- based care. •  Utilizing mid-level providers, care coordinators, and nurses more effectively in conjunction with technological advances has the potential to save the healthcare system money and provide more value to patients •  Telemedicine is an example of a disruptive innovation that has increased access and can improve the quality of care and lines of communication between patients and providers
  • 6. WHAT DO THESE DEFINITIONS MEAN? The shift away from traditional health care venues like hospitals into clinics and office settings, and, in some cases, into patients’ own homes. •  The emergence of patient-centered medical homes, minute clinics, concierge medical practices, and increased outpatient services is transforming where healthcare services are delivered •  Many of these innovations can provide huge cost savings to the system and can improve patient experiences
  • 7. INNOVATION AS PART OF THE PATIENT EXPERIENCE •  Patients are becoming more savvy and aware of what healthcare services exist and the variations in healthcare delivery services provided •  With healthcare reform, any costs associated with healthcare will be more closely paid attention to by consumers •  Patient advocacy groups will have increased power to demand better services at a reduced cost and the healthcare system is now understanding that they must stay in line to remain competitive
  • 8. SOME EXAMPLES OF DISRUPTIVE INNOVATION IN HEALTHCARE TODAY •  Minute clinics at pharmacies •  Concierge medicine •  Medical tourism •  Technology-abled self care •  Retail clinics •  Patient-centered medical homes •  Outpatient facilities instead of hospitals •  Self management tools •  Telemedicine •  Lean management in healthcare process improvement
  • 9. PROMISE FOR THE FUTURE •  Disruptive innovation is necessary to move modern medicine and healthcare delivery forward •  To remain competitive, healthcare providers need to understand the changing demands of the population and work within the Triple Aim of reduced cost, increased access, and improved quality •  Disruptive innovation extends into creating new reimbursement mechanisms, provider interactions, and practice design
  • 10. CITATIONS 1.  https://wiki.umms.med.umich.edu/download/ attachments/118335374/disruptive-innovations- cure-health.pdf 2.  http://medicalcenter.osu.edu/pdfs/cphc/ harvard_bus_review_disruptive_inn_phc.pdf 3.  http://www.nytimes.com/2009/02/01/business/ 01unbox.html?_r=0 4.  http://www.beckershospitalreview.com/strategic- planning/disruptive-innovation-in-healthcare- examples-from-3-top-health-systems.html