Partnerships between insurers, health systems and medtech companies as well as insight gleaned from Big Data are going to key to the success of value-based care in the medical devices industry.
Insights from Big data and partnerships among medtech companies, insurers and health systems will drive the success of value-based care.
That was the message from industry executives gathered at the annual conference of the medtech industry — AdvaMed 2016 — in Minneapolis that concluded Wednesday.
Those partnerships are already leading to better clinical outcomes, said Dr. Richard Migliori, chief medical officer of UnitedHealthcare. Medtronic became the preferred provider of insulin pumps for UnitedHealth Group’s commercial and Medicaid patients in July in an initiative to reduce hypoglycemia incidents that frequently send patients to the emergency room.
“It’s just a great way of linking back from a desired outcome to a delivery system that’s focused on that outcome,” Migliori said.
Migliori and executives from Medtronic, Mayo Clinic, and IBM Watson Health agreed that the move toward value-based care will continue, despite the impending change in U.S. political administrations.
“The move to value-based payment is pretty important but it’s also undefined at the moment,” said Dr. John Noseworthy, CEO of Mayo Clinic.
Mayo is focused on understanding the value that its system provides by quickly getting the answers to helping patients with complex conditions, and bringing in technology early in the process to advance that effort, Noseworthy said. Mayo is looking for strategic partners to help in those efforts, he added.
Those partners for hospitals and medtech companies needn’t be as large as a Medtronic to get new technology to market, according to Noseworthy and Medtronic CEO Omar Ishrak. Smaller medtech companies can move more quickly to develop products because they don’t have to contend with the layers of bureaucracy that exist at a large corporation, Ishrak explained. If the healthcare industry values outcomes over products, whoever finds an effective solution to a healthcare problem will get credit for that, he said.
Stifling the creativity of small companies would be a “huge mistake,” added Noseworthy. “There are some advantages in being small. You don’t have to ask for permission. You just ask for forgiveness later on.”
The rapid evolution of artificial intelligence is also expected to help drive health systems as well as medtech companies to improve patient outcomes and value-based care. Experts said AI resembles the Internet of the mid 1990s and will expand into a variety of products and services, according to a report in the New York Times.
Applying cognitive value to data from a variety of sources will help lead to the best patient outcomes for the best value, said Deborah DiSanzo, general manager of IBM Watson Health. IBM Watson Health is working with Mayo by funneling clinical trial information directly to oncologists so they may determine which patients might be eligible to participate, she said.
The U.S. healthcare system would be wise to look toward the Netherlands and some of the Scandinavian countries for leadership in executing value-based models, Medtronic’s Ishrak noted. Those countries have good healthcare data and have worked in different conditions to execute value-based models, although they haven’t been scaled across any one particular country yet, he said. The Netherlands instituted a bundled-payment model for diabetes in 2007, in which insurers pay a care delivery group to cover diabetes care services for one year, according to a report in Harvard Business Review.
“One thing is for certain,” Ishrak declared. “The move is going to happen and everybody is going to have to change. I can’t change my business model without everybody here changing their business model.”
New communications technology has the potential to both disrupt and enhance the pharmaceutical industry, but research shows that pharma often needs to up its game when it comes to the adoption of new technologies.
Mobile devices have transformed how we access and consume content, and are poised to make similarly huge changes to the way consider our health (read “The mHealth App Market is at the Saturation Point”; http://sco.lt/5thWGv). mHealth revenue is projected to reach 26 billion by 2017, and the number of health apps has doubled in just the past two years. Social is also likely to have a major impact in the way that pharma communicates in the coming years. 52% of physician’s surveyed by Deloitte in this research expressed interest in communicating with pharma companies via social media.
However, pharma currently lags behind other verticals for using social media. Pharma spending on digital advertising is far below that of other industries, and it still conducts most of it’s communications with physicians via traditional channels. There is big potential for new communications technology to make the pharmaceutical industry more efficient and more engaged with it’s customers. This infographic from Deloitte shows the potential for new digital technology to allow pharma to market itself more effectively.
A growing number of people turn to the Internet for information on healthcare. More and more of them also use social media—like Twitter and Facebook—to share their personal experiences—whether it’s rating their healthcare provider or discussing their medicines.
Understanding the benefits and risks of medicine from a patient’s point of view is important to the evaluation of our medicines.
"We need to hear from patients about their experiences with our medicines,” says Dr. Murray Stewart, Chief Medical Officer for GSK, who is charged with looking out for patient health and safety when it comes to GSK’s medicines. “Social media presents an opportunity to listen in a much more immediate and direct way than we’ve used in the past.”
We set out recently to find new ways to tap into the information patients share about their ‘real-world’ experience with our medicines.Real-time safety data
With the help of digital experts from outside GSK, we began to analyze publicly available internet posts, filtering out unrelated information and anything that would identify individuals to GSK.
In a 2-year period, we found approximately 22 million Twitter and Facebook posts discussing potential adverse events for 1,000 medicines. Compare this figure to the 8.6 million adverse event reports received by the U.S. Food and Drug Administration’s Adverse Event Reporting System (FAERS) since 1968, and the size of the challenge becomes clear.Real-time benefits data
An additional evaluation of 15 medicines showed that 26% of posts also mentioned the benefits of taking the medicine and useful information around how long a medicine took to work, how long the effects last, and how it compared to other treatment options.
Monitoring social media when one of our inhaled allergy medicines became available over the counter was also hugely helpful. The feedback enabled us to understand how well the product worked for patients when their healthcare professionals were no longer involved in choosing the medicine or giving instructions on dosing.Protecting patients through social listening
Social media posts have also helped us to evaluate and characterise abuse of a medicine, for example reports of crushing tablets that were meant to be swallowed and then consuming them in other ways such as by injection or inhalation. Being aware of common misuse of treatments helps us to make decisions on appropriate labeling and further guidance.More opportunities to explore
While we’ve come a long way in our use of social media, there is still a lot of work to do to fully understand the strengths and weaknesses of this data and to establish best practices. For example, we are working to create automated tools that can sort through very large volumes of information and identify urgent issues so they are addressed quickly.
We believe people will continue to use social media to share their experiences with medications. By paying attention to comments -- whether they are about the benefits or about potential drawbacks – social media can help us to understand the full context of patient experiences. We’re excited by the potential of social media to improve our patient care and we can’t wait to see where it may take us next.
Johnson & Johnson Innovation LLC (JJI) today announced the creation of the Center for Device Innovation at Texas Medical Center (CDI @ TMC), a broad, new collaboration between JJI and TMC that aims to accelerate end-to-end development of breakthrough medical devices. This expands on JJI’s collaboration with TMC established earlier this year with the opening of JLABS @ TMC, combining the resources of the world’s largest medical complex with the capabilities of the Johnson & Johnson Medical Devices Companies*, to advance the health and well-being of people around the globe.
The CDI @ TMC will include multiple components that will accelerate the development of new medical technologies from concept through commercialization, including a new medical device engineering studio housed at the TMC Innovation Institute. This state-of-the-art “maker space” will be home to R&D staff of the Johnson & Johnson Medical Devices Companies and will be used to accelerate both select internal projects and strategically aligned ventures of JJI partner companies.