ZS surveyed members of the Healthcare Leadership Council and presented findings at the National Dialogue for Healthcare Innovation summit in Washington, DC. My colleague Bill Coyle led the effort, which studied healthcare executives to highlight the issues facing our industry.
Bill and I were recently interviewed by Ashley Yeo from IN VIVO magazine in a wide-reaching discussion that touched on many of the challenges facing the industry. We covered the lack of data standards in patient records, the need for a durable payer-patient relationship and a few other topics, but what I have been thinking about ever since is the part of the discussion about innovation.
We talked about how innovation is changing and how the manufacturers need to think much more about what their innovation means for the entire hospital, in terms they care about. Reflecting on this, I think we are adapting well as an industry. There is still work to be done but R&D pipelines are now explicitly screened in most medtech companies for their impact on hospital economics. We see more and more the messaging and value-in-use tools for engaging with the full complement of hospital stakeholders.
But the thinking about business integration seems to be missing, as does surrounding the pure product offering with tools and services. Creative financing options for capital are an example of what has been around for a while. But there is still plenty of room for innovation in other areas of the business—things like procedure-based pricing models, outcomes-based arrangements, supplier integration tools and other supply chain solutions are still a long time in coming.
What excites me about our current state is that even as the lifecycles of the traditional product lines start to flatten, there is still plenty of room for business model innovation.
Read the full interview: “Medtech Innovation Isn’t Dead, It’s Just Different,”