A Roadmap to Welcoming Health Care Innovation

A Roadmap to Welcoming Health Care Innovation

Posted Sep 8, 2021 from
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Health care systems are being flooded with a slew of digital innovations, both internally and externally sourced. The promise of remote sensors, machine learning, artificial intelligence, and personal health records, together with investment from the National Institutes of Health and private investors, has resulted in a tsunami of interest in these solutions. Yet, health care systems across the country are struggling with their approach to innovation, which has resulted in a tremendous proliferation of pilot studies but little adoption of solutions at scale. The mismatch between the promise of the technology and current organizational strategy requires further examination. 

The first challenge is that executing on innovation that impacts value (cost and quality) requires both technology and business model transformation. While we have had a significant focus on the technology aspects of the digital revolution, the business model transformation aspect has received much less attention. Business transformation requires significant investment of time by senior leadership, resources, the development of new business models, and the retirement of legacy business models. Most organizations will not undertake this level of investment in a novel concept without significant justification. 

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