Gateway to UK NHS

112
Gateway to UK NHS Part of TEAM FINLAND Health Growth Program September 10, 2015

Transcript of Gateway to UK NHS

Page 1: Gateway to UK NHS

Gateway to UK NHSPart of TEAM FINLAND Health Growth Program

September 10, 2015

Page 2: Gateway to UK NHS

Agenda - Gateway to UK NHS

14:00 Welcome. Introductions. Presenting NHS opportunity and goal of the meeting.

Moderator Kari Kataja, Outi Keski-Äijö and Janna Mure Tekes&Finpro

14:10 The UK NHS an overview of the current landscape - including the NHS structure and procurement

Mark Outhwaite, Outhentics

14:50 NHS as business opportunity, NHS’s hot topics and current needs

Richard Stubbs, Yorkshire & Humber AHSN

15:30 How Team Finland could support Finnish companies to target NHS

Kari Kataja, TekesEero Toivainen, Finpro

15:50- 17:00

Q&A, Discussion. All

Page 3: Gateway to UK NHS

22.9.2015 Team Finland > ohjeet PowerPoint-presentaation tekoon

3

Common GOAL: to increase export of Finnish healthcare companies and Foreign Direct Investment to Finland

Page 4: Gateway to UK NHS

22.9.2015 Team Finland > ohjeet PowerPoint-presentaation tekoon

4 Recognized OPPORTUNITY: NHS’s need for new solutions and innovations – urgent need for savings as a driving force

Page 5: Gateway to UK NHS

22.9.2015 Team Finland > ohjeet PowerPoint-presentaation tekoon

5

Our strength: TEAM

COMPANY

1FORWARD

MPANY

3RWARD

COMPANY

2FORWARD

FINPRO

37EFENCE

TEKES

10LIBERO

Page 6: Gateway to UK NHS

22.9.2015 Team Finland > ohjeet PowerPoint-presentaation tekoon

6

TASK: create the winning gameplan

Page 7: Gateway to UK NHS

Agenda - Gateway to UK NHS

14:00 Welcome. Introductions. Presenting NHS opportunity and goal of the meeting.

Moderator Kari Kataja, Outi Keski-Äijö and Janna Mure Tekes&Finpro

14:10 The UK NHS an overview of the current landscape - including the NHS structure and procurement

Mark Outhwaite, Outhentics

14:50 NHS as business opportunity, NHS’s hot topics and current needs

Richard Stubbs, Yorkshire & Humber AHSN

15:30 How Team Finland could support Finnish companies to target NHS

Kari Kataja, TekesEero Toivainen, Finpro

15:50- 17:00

Q&A, Discussion. All

Page 8: Gateway to UK NHS

Health without boundaries

The UK NHSan overview of the current market landscape

Mark Outhwaite

[email protected]

Page 9: Gateway to UK NHS

KEY MESSAGES

Page 10: Gateway to UK NHS

YOU NEED GOOD EVIDENCE TO INSPIRE CONFIDENCE AND ADOPTION

Page 11: Gateway to UK NHS

You need a great story backed by good evidence

Page 12: Gateway to UK NHS

Serv

ice

Mo

del

You need evidence that inspires confidence

Reliable technology• Design/usability of

hardware and software• Data integrity

• Standards

Service Model• Value optimisation

• Pathway redesign or transformation

• Partnerships to deliver

Business Model• RoI for clients and end

users• RoI for partners

• RoI for you

Page 13: Gateway to UK NHS

THE MARKET MAY LOOK COMPLICATED BUT THE PRINCIPLES ARE ALWAYS THE SAME

Page 14: Gateway to UK NHS

How we think about the NHS is important

Many people think of the NHS like this – ok

maybe not exactly like him!

When actually the NHS is more like this – ok so you get the picture!

Page 15: Gateway to UK NHS

You still have to find the right people who:

Page 16: Gateway to UK NHS

So eventually you have a happy client

Serv

ice

Mo

del

Page 17: Gateway to UK NHS

THE DETAIL

Page 18: Gateway to UK NHS

There are four NHS administrations

Scotland£11.4bn - €15.59bn

• No quasi-market in health care

• Tougher performance targets with sanctions

from 2006• Free prescriptions

• Free personal care for over 65s

England£107.5bn - €147bn

• Quasi-market in health care

• League tables and sanctions applied for poor

performance• Developing patient choice

and competition• Use of private providers• Means tested social care

Wales£6.1bn - €8.3bn

• No quasi-market in health care

• Free prescriptions

Northern Ireland£3.8bn - €5.2bn

• Pooled budgets and management across

health and social care• No provider competition

Taken from the report The four health systems of the United Kingdom: how do they compare? Nuffield Trust and The Health Foundation 2014Expenditure figures from HMRC PESA outturns 2015

Page 19: Gateway to UK NHS

We spend a lot of money on healthcare

Page 20: Gateway to UK NHS

NHS England spends the most

Page 21: Gateway to UK NHS

What we spent in the UK in 2013

Page 22: Gateway to UK NHS

Who is paying for health and health care?

Page 23: Gateway to UK NHS

How we compare with other countries

Page 24: Gateway to UK NHS

Direct consumer spending on healthcare

Page 25: Gateway to UK NHS

The NHS is getting more money

Page 26: Gateway to UK NHS

..but not enough money…

0

20

40

60

80

100

120

140

2014/15 2020/21

NH

S Sp

end

ing:

Ind

ex:

20

14

/15

-10

0

The size of the NHS England funding gap

Extra money

Productivity gainsExtra £30bn needed by 2020/21

Source: Kings Fund. How much money does the NHS need: Jan 2015

Page 27: Gateway to UK NHS

NHS Foundation Trusts and other

NHS provision

Private sectorhealth and social

care providers

Dentists

Pharmacy

Optician

Commissioning Support Units

Clinical Networks

Clinical Senates

Advisory and Support

NICEQuality

Standards

NHS Improvement

(Monitor and TDA)

Care Quality Commission

Inspection and Licensing

(andHealthWatch

England)

Regulation, inspection and

standards

Secretary of State

NHS England

4 Regional Teams

209 Clinical Commissioning

Groups

GP Practices

Department of Health

Public Health England

Local AuthorityWith Public Health and

Scrutiny Function

Health and Wellbeing Boards

Commissioning ££

Regulation and inspection

Accountability

AHSNs

Health Education England

And it gets very complicated

Page 28: Gateway to UK NHS

NHS Foundation Trusts and other

NHS provision

Private sectorhealth and social

care providers

Dentists

Pharmacy

Optician

Commissioning Support Units

Clinical Networks

Clinical Senates

Advisory and Support

NICEQuality

Standards

NHS Improvement

(Monitor and TDA)

Care Quality Commission

Inspection and Licensing

(andHealthWatch

England)

Regulation, inspection and

standards

Secretary of State

NHS England

4 Regional Teams

209 Clinical Commissioning

Groups

GP Practices

Department of Health

Public Health England

Local AuthorityWith Public Health and

Scrutiny Function

Health and Wellbeing Boards

Commissioning ££

Regulation and inspection

Accountability

AHSNs

Health Education England

This is where most of the £££££ are spent and where you find the people who will

want to use your offer

Page 29: Gateway to UK NHS

It’s a lot simpler in the other UK countries

Health Department

Health Boards (7)

Hospitals

Community Care

Primary Care

Specialist Trusts (3)

Public Health Wales

Scottish Govt

Health Boards (14)

Hospitals

Community Care

Primary Care

Special Boards (7)

Healthcare Improvement

Scotland

Page 30: Gateway to UK NHS

And in Northern Ireland

Health and Social Care

Board

Health and Social Care Trusts (5)

Hospitals

Community Care

Primary Care

Social Care

Ambulance Trust (1)

Other agencies

Page 31: Gateway to UK NHS

Some examples of market values

AreaAddressable market value (England)

Current annual value of independent sector provision

NHS Funded General Practice

£8.5bn £319m

NHS Out-of-hours services

£396m £396m

Privately funded General Practice

£550m

Other privately funded primary medical care

£450m

Occupational health services

£600m £300m (outsourced)

NHS community health services

£9.7bn£1.8bn (for-profit)

£1.3bn (not-for-profit)

Prison healthcare £350m (UK) £150-200m (approx.)

Source: Laing and Buisson

Page 32: Gateway to UK NHS

Some examples of market values

AreaAddressable market value (England)

Current annual value of independent sector provision

NHS Out-of-hospital services – including approaches to to migrating services out of hospital

Home healthcare Several £bn £1.7bn

Telehealth and telecare

£1bn (conservativeestimate incl. £300m telehealth and £700m telecare)

£200m (approx £50m telehealth and £150m telecare)

Disease management (incl telehealth)

£1bn (conservative estimate)

<£50m

Sub-acute care transferred from hospital to care homes

£500m (if 10% of non-elective, non critical in-patients were transferred)

Source: Laing and Buisson

Page 33: Gateway to UK NHS

THE PRIVATE HEALTHCARE MARKET

Page 34: Gateway to UK NHS

The private healthcare market

£2 397,90; 55 %

£1 196,80; 27 %

£631; 15 %

£130,60; 3 %

Sources of funding of private acute healthcare at private hospitals 2012 £m

Private Medical Cover

NHS

Self-pay

Overseas

Source: Laing and Buisson

Page 35: Gateway to UK NHS

Long term care market

13,78620,09

30,5876,58

9,509

14,272

0

10

20

30

40

50

2011 2020 2030

Residential and non-residential revenue £bn

Residential Non-residentialSource: Frost and Sullivan

Page 36: Gateway to UK NHS

ROUTES TO MARKET

Page 37: Gateway to UK NHS

There are different routes to market

• Direct to market– Either through a response to tender, through a framework contract/catalogue

• Distribution Agreement– Supply to market through a local distributor

• Managed Equipment Service (i.e. Siemens MES)– Largely aimed at high cost capital items and related consumables within a specific

service area (i.e. Imaging Solutions) supplied under a supply, support and upgrade agreement

• Managed Service (i.e. Roche Optimall Managed Pathology Services )– Where a client outsources all of a discrete service to a prime contractor (i.e.

Managed Pathology Services or Telecare Services). This will normally include the provision and management of specialist staff as well as the supply, support and upgrade of equipment and consumables

• Joint Ventures/Partnerships– Formal partnerships with other suppliers or with a key client to provide a Managed

Service to the market

More about this later

Page 38: Gateway to UK NHS

ROUTES TO PROCUREMENT

Page 39: Gateway to UK NHS

Procurement landscape - England

Organisational Procurement Teams

Trusts, CCGs, GPs, Social Care

National

Regional

Local

National - Govt

Page 40: Gateway to UK NHS

Procurement in the UK countries

Page 41: Gateway to UK NHS

Procurement in the public sector - headlines

• All Public Sector organisations have to abide by The Public Procurement Regulations 2006 which is the law that relates to Procurement and is common to all European member states following the European Procurement Directive 2004/18/EC (tenders above €134,000 or £113,000 for supplies and services)

• Procurement in NHS Trusts is also governed by the individual Trust Standing Orders and Standing Financial Instructions, which dictate the value at which a quotation or tender process is required

• Tenders completed appropriately by other organisations via OJEU (the Official Journal of the European Union) may be able to be used by other individual organisations

• Framework agreements may be the result of national or local tenders. But getting onto a framework does not mean people will buy your offer – just easier for them to do so if they want to.

Page 42: Gateway to UK NHS

Procurement headlines

• Most procurement is still undertaken locally by individual NHS and Social Care organisations

• Many NHS organisations will also be part of local procurement partnerships /collaboratives and local frameworks

• NHS and Social Care organisations will also use national frameworks

• Procurement is more centralised within Scotland, Wales and Northern Ireland

But you still have to develop the compelling offer that potential clients want to procure

Page 43: Gateway to UK NHS

BUT THERE ARE PATHWAYS THROUGH THE COMPLEXITY AND PEOPLE WHO CAN HELP….

Passing over to Richard Stubbs

Page 44: Gateway to UK NHS

Adopting Excellence, Creating Opportunity

www.yhahsn.org.uk @AHSN_YandH

Gateway to the UK National Health Service

Richard Stubbs

Commercial Director, Yorkshire and Humber AHSN

Page 45: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Page 46: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Page 47: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Life Science UK – A Snapshot

Pharma MedTech & BioTech

UK Jobs 70,000 96,000

UK companies 477 4,400

Annual Turnover £30bn £20bn

The UK has a uniquely powerful combination of: • World-leading universities• Established industrial R&D, manufacturing and supply chain • Translational research infrastructure and clinical network • Globally renowned research charities • An NHS with 60+ million patients and access to unrivalled health data• A firm commitment to partner with industry and establish access points

for industry to the UK life science base

Page 48: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

UK National Health Service (NHS)

• 50m people covered• 1m people per 36 hrs• 18m ER attendance pa• 18m hosp procedures • 35m diagnostic tests • 300m GP attendances

• 1.2m staff• 370k Nurses• 40k Doctors• 41k GPs• 310k AHPs

• 500 Hospitals

• 120k IP beds• 11k d/c beds

• Tax Funded• £110bn pa• 8.4% GDP• Free @

point of use£

• >75% UK Public believe NHS Works well (better than 11 other OECD Countries).

• >82% UK Patients rate care as good or very good.

• Maximum wait from cancer referral to treatment 31 days

• >90% ER attenders wait less than 4hrs to complete treatment.

• 90% access to Family Doctor (GP) Services on day of request

• Saves more lives/£ than any other health system (WHO)

Page 49: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

NHS World Firsts

1948: Universal

Healthcare System

1962: Pioneer artificial

hip joint and surgical

technique

1978: First “test tube”

baby born using IVF

1971: Introduce CT

scanning

1998: Paediatric triple

organ transplant

2007: Grow heart

valves from stem cells

2010: Heart surgery

using a fully remote-

controlled robotic arm

2010: Keep livers alive

outside the human

body & useable for

transplant

Page 50: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

ADOPTION AND DIFFUSION – THE LEADERSHIP

CHALLENGE

“It takes an estimated average of 17 years for

only 14% of new scientific discoveries to enter

day-to-day clinical practice”

Westfall, Mold & Fagnan, 2007

Page 51: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

inventionproof of

concept

early

adoptionculturebest

practice

Innovation Continuum

v. strong strong weak patchy aim

Page 52: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Our Challenge

The NHS is facing its biggest ever challenge:

• £20 billion productivity shortfall• a global economic crisis• a growing and ageing population• increasing costs of new drugs and

technologies • growing public expectations

Page 53: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH55

Reduce variation in the NHS, and

drive greater compliance with NICE

guidance

Create a more systematic delivery

mechanism for innovation

“If we always do what we always did, we will always get what we always got”

And that means increasing financial pressure on an already hard pressed service

Page 54: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Innovation, Health & Wealth (Dec, 2011)

Page 55: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Five Year Forward View (Oct, 2014)

• Empowering Patients

• New Models of Care

• Prevention

• A Modern Workforce

• An Information Revolution

• Accelerate Innovation

Page 56: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Identified barriers to Innovation in the NHS

1. Poor access to and use of evidence, data and

metrics

6. Lack of effective and systematic innovation delivery architecture

5. Leadership culture to support innovation is inconsistent or lacking

2. Insufficient recognition and celebration of

innovation and innovators

3. Financial levers do not reward innovation and can deter adoption and

spread

4. Commissioners lack the tools or capability to drive

innovation

DIFFUSION

Page 57: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Does the NHS need the innovation?

Page 58: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Is the innovation the right solution ?

Page 59: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Would you spend your own money on it?

Page 60: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Page 61: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Page 62: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

What are Academic Health Science Networks?

• In May 2013, England became the first country in the world to create a

nationwide system of Academic Health Science Networks (AHSNs)

• Each of the 15 AHSNs has a five-year licence to deliver against four broad

objectives:

• Focus on the needs of patients and local populations

• Build a culture of partnership and collaboration

• Speed up adoption of innovation into practice

• Create economic prosperity

Page 63: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

AHSN National Configuration

North West Coast North East and North Cumbria

Greater Manchester

Kent Surrey and Sussex

Yorkshire and Humber

East Midlands

Eastern

UCL Partners

Imperial College Health PartnersOxford

Wessex

South LondonSouth West Peninsula

West of England

West Midlands

Page 64: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Economic Growth

The healthcare sector contributes to economic growth in a number of ways:

• By making people better and keeping people well

• Through working in partnership with academia and industry to grow research in healthcare

• Through accelerating the adoption and diffusion of innovation and best practice

• Through promoting services, innovations and expertise overseas

Page 65: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Economic Growth

Examples of the AHSN contribution to economic growth:

• Improving the health, and thereby productivity, of the population

• Improving productivity of healthcare providers

• AHSNs as market makers

• Making UK healthcare an attractive place to invest and do research

• Promoting UK healthcare expertise

Page 66: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Page 67: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

AHSN Impact Report 2015

Spreading Innovation, Improving Health, Promoting Economic Growth

www.ahsnnetwork.com

Page 68: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Page 69: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Page 70: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

AHSN National Configuration

North West Coast North East and North Cumbria

Greater Manchester

Kent Surrey and Sussex

Yorkshire and Humber

East Midlands

Eastern

UCL Partners

Imperial College Health PartnersOxford

Wessex

South LondonSouth West Peninsula

West of England

West Midlands

Page 71: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

The Yorkshire & Humber AHSN

Population covered 5.8m

Annual Budget £5.2m

Regional NHS budget £12bn

>180 Health related SME

>20 health related MNO

2/8 English Core cities

Regional economy £80bn

Page 72: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Our Members & Partners

• 3 Leading Teaching Hospitals

• 13 Acute Hospitals

• 6 Mental Health Trusts

• 22 Health Commissioners

• 9 Universities

• 3 Medical Schools

• Research Networks

• Innovation Scout Networks

• Training Network

• Regional Business Networks

Page 73: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

2015/16 Strategic Objectives & Programmes

Population Health

Empowering Citizens to manage their own health

Healthy Active Ageing

Improving Healthcare

Across Systems

In Organisations

Economic Growth

Accelerating Industry/NHS Partnerships

Accelerating Spread and adoption

Maximising International Growth

Across Systems

In Organisations

Page 74: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

2015/16 Strategic Objectives & Programmes

Population Health

Empowering Citizens to manage their own health

Healthy Active Ageing

Improving Healthcare

Across Systems

In Organisations

Economic Growth

Accelerating Industry/NHS Partnerships

Accelerating Spread and adoption

Maximising International Growth

Across Systems

In Organisations

Page 75: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Our Role

#1Facilitating regional and

national economic growth through SME and MNO

engagement, support and development

#2Identifying and spreading

industry-led healthcare innovation into NHS and related care pathways to

improve patient outcomes and productivity

#3Establishing the AHSN international office to

attract inward investment and partnerships in key

overseas markets for the region and the UK

#4Identifying and achieving new sources of funding for the region to enable

rapid growth of new healthcare technologies

and innovations

#5

Providing commercial expertise to NHS,

industry and academic regional partners

Page 76: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

The Ask From Industry

• Relationships based on trust not transaction

• Quicker adoption of new ideas

• Failing faster

• Better understanding of each others business

• Less criticism and more collaboration

• Co-development of patient-centred solutions

• Fewer access points

• Consistency of decision making

• Commitment to “do once”

Page 77: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Health and Wellbeing Programme

• Sheffield Teaching Hospitals, Bradford Teaching Hospital, Airedale Hospital – staff employed > 26,000.

• Exercise & fitness a competitive advantage.

• Evidence;• ROI for every £1 expect between £3-8

• STH potential savings up to £2m pa not including productivity gains

• Nationally £350m savings pa

• Improved Staff satisfaction

• Improved patient satisfaction

• Phase 1: > 750 staff recruited onto program• ↓ BP, ↓ Cholesterol, ↓ Waist circumference, ↓ BMI

• ↑Aerobic Fitness, ↑ Staff satisfaction, 7:1 ROI to date

Rapid spread and adoption

Commercialisation through Franchising

model

Significant return on investment

Page 78: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Supporting SMEsRD Biomed: New innovative diagnostic device

adopted by AHSN

AHSN support enabled:

• Validated cost consequence models

• Focussed business cases

• Networks of key clinicians, GPs and support

agencies

Outcomes:

• Engaged with CCGs to start crucial audit studies

• Engaged with key hospital clinics

• Major collaborative study in London, Leeds and

Newcastle.

• Networked across North of England AHSNs

• Future International work

Page 79: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Open Innovation Programme

• Digital Health for Healthy Ageing

• 24 UK/China SMEs/Academics in Open Innovation programme

• Potential £2m in China funding for UK participants

• AHSN 7.5% equity stake in UK/China partnerships

• Funding provided by Guangzhou Development District

• 2015 – China part 2, Canada, India, Mexico

Page 80: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Page 81: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Page 82: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

International Activity

• Close partnership working with other Government agencies including

Healthcare UK, UKTI & Office of Life Sciences

• Seeking projects bringing increased export opportunities and creating inward

investment

• Quebec/Ontario

• Mexico

• Arab Health 2015

• UbiFrance Trade Development

• Africa Healthcare Summit 2015

Page 83: Gateway to UK NHS

The NHSA Members and Northern Ecosystem

• 1,000 life science business supporting approximately 38,000 high skilled jobs.

• 15m population combined with strengths in bioinformatics and a collaborative ecosystem providing a platform for investment.

• Globally leading life science research institutes with four of the Global Top 100 HEIs.

• 15,000 academic staff with a research income of £740m (16% of UK sector).

• In health research in 2014 the NHSA members secured:

o £272.6m of national funding in 2014 - 3rd most funding in the UK by region, with only London (£649.4m) and the South East (£319.9m) getting more;

o 2334 funding awards in 2014; 2nd most funding awards in the UK, with only London (4359) getting more.

• Significant strengths in genomics, the North of England is home to three of the 11 NHS Genomic Medicine Centres that will lead the way in delivering the 100,000 Genomes Project.

Northern Health Science Alliance Ltd (NHSA)

The Northern Health Science Alliance Ltd (NHSA) is a unique partnership creating an internationally recognised life sciences and healthcare system. It acts as a single portal to bringing together research, health science innovation and commercialisation to provide benefits for researchers, universities, hospitals and patients.

Hakim YadiChief Executive

[email protected]

Kris ShuttleworthCorporate Engagement [email protected]

Page 84: Gateway to UK NHS

www.yhahsn.org.uk @AHSN_YandH

Engagement

15 AHSNs

AHSN Network

NHSA

National Commercial

Directors

Page 85: Gateway to UK NHS

Adopting Excellence, Creating Opportunity

www.yhahsn.org.uk @AHSN_YandH

Richard StubbsCommercial Director

[email protected]

@Richarddstubbs

Page 86: Gateway to UK NHS

Health without boundaries

Routes to market

Mark Outhwaite

[email protected]

Page 87: Gateway to UK NHS

There are different routes to market

• Direct to market– Either through a response to tender, through a framework

contract/catalogue

• Distribution Agreement– Supply to market through a local distributor

• Managed Equipment Service (i.e. Siemens MES)– Largely aimed at high cost capital items and related consumables within a

specific service area (i.e. Imaging Solutions) supplied under a supply, support and upgrade agreement

• Managed Service (i.e. Roche Optimall Managed Pathology Services )– Where a client outsources all of a discrete service to a prime contractor

(i.e. Managed Pathology Services or Telecare Services). This will normally include the provision and management of specialist staff as well as the supply, support and upgrade of equipment and consumables

• Joint Ventures/Partnerships– Formal partnerships with other suppliers or with a key client to provide a

Managed Service to the market

Page 88: Gateway to UK NHS

Research before you select a route

• Who are your customers?

• What problem does your product/service solve?

• Is this problem being solved by someone else?

• Is yours better than the competition (quality, cost, value)

• Where do potential customers buy this existing product from?

• How much of the value chain do you want to capture?

• How much control do you want to retain over your brand?

• Your appetite for risk

• Availability of funding for expansion

• Ability to scale at pace

Page 89: Gateway to UK NHS

ADVANTAGES AND DISADVANTAGES TO SMEOF THE DIFFERENT ROUTES TO MARKET

Page 90: Gateway to UK NHS

Direct to market

Advantages• Good for complex offers• No ‘middle-man’ taking €€• Retain control of marketing and brand

image• Direct relationships and feedback from

clients – building your networks• Direct presence on frameworks and

catalogues• Direct access to evidence of impact and

case studies• Opportunities for constructive

partnerships to further develop the offer

Disadvantages• Break-in to new markets can take a

lot of time and resource which can be challenging for a new entrant SME

• High cost of sales:– Requires the local sales resources

to maintain a market presence which can be expensive

– Cost of tendering/bidding

• Requires in-country support resources (installation, maintenance and training)

Suitable for:Consumables, low cost capital technologies (i.e. monitors, diagnostic tools), scalable services, organisations which already have a market presence and sales network

Page 91: Gateway to UK NHS

Distributor

Advantages• Access to existing client networks

and market expertise

• Access to local sales force and support

• Potential to incentivise sales in distribution agreements (sole distributor etc)

• Potential to build good market intelligence, feedback and evidence as part of conditions of agreement

Disadvantages• Just another product on the

catalogue and no incentive to prioritise sales

• Stock supply and control can be more complex working through an unpredictable third party

• Difficult to ensure consistent messaging and brand positioning– Rogue distributor can destroy

brand and trust of client very fast

• Requires good due-diligence and strong continuing relationship maintenance – qualification is key

Suitable for:Consumables, low cost capital technologies (i.e. monitors, diagnostic tools), software

Page 92: Gateway to UK NHS

Managed Equipment Services (MES)

Advantages

• Consistent and predictable revenue streams

• Lower cost of sales:– Access to the partner’s sales

and support networks and existing framework contracts

– Single point of contact/contract rather than multiple clients

– Bidding/tendering expertise

• Wider potential reach to established partner clients

Disadvantages• Loss of brand image control• Potential leakage of

Intellectual Property• Risk sharing requirements with

partners may be onerous• Lack of direct access to clients • Lack of direct evidence of

impact/value of your specific item

• Have to bid to frameworks if you later want to sell direct.

Suitable for:High cost complex medical capital equipment such as scanners, PACS, IT systems and software. Provided direct to client or through a partner such as Siemens

Page 93: Gateway to UK NHS

Managed Services (MS)

Advantages

• Your product is positioned within a service model that demonstrates value

• May be an essential part of the offer and difficult to replace when established

• Access to wider pool of expertise

• Sustainable revenue streams

• Access to existing client networks if partnering as part of an existing service offer

• Access to expertise in tendering/bidding in the market

Disadvantages

• Potential loss of brand control – subsumed within brand of the lead service provider

• Lower margins as working through an intermediary

• Potential leakage of Intellectual Property

• Potential lack of direct relationship with end-user

Suitable for:Capital equipment, IT hardware and software, consumables specific to the service, diagnostics

Page 94: Gateway to UK NHS

Joint Ventures/Partnerships

Advantages• Mutual dependencies and common

interests strengthen partnership

• Good levels of visibility and control

• Creation of valuable service brand/offer – not just tech/kit

• Access to relevant complementary expertise

• Good access to evidence and direct relationship with clients for development

• Shared risk

Disadvantages• JVs inherently risky relationships if

interests not aligned and groundwork not carefully laid

• Cultures of partners not complementary

• Needs absolute clarity and consistency of roles and communications

• Need clear exit/contingency strategy prepared and agreed in advance in case one partner wants to sell/leave and threatens viability of service offer

• Potential different approaches to priorities and incentives.

Suitable for:Wearable technologies, remote monitoring, SaaS, keystone technologies (a high value technology that needs a service ‘wrapper’)

Page 95: Gateway to UK NHS

Tekes and FinPro have a cunning plan

Page 96: Gateway to UK NHS

Agenda - Gateway to UK NHS

14:00 Welcome. Introductions. Presenting NHS opportunity and goal of the meeting.

Moderator Kari Kataja, Outi Keski-Äijö and Janna Mure Tekes&Finpro

14:10 The UK NHS an overview of the current landscape - including the NHS structure and procurement

Mark Outhwaite, Outhentics

14:50 NHS as business opportunity, NHS’s hot topics and current needs

Richard Stubbs, Yorkshire & Humber AHSN

15:30 How Team Finland could support Finnish companies to target NHS

Kari Kataja, TekesEero Toivainen, Finpro

15:50- 17:00

Q&A, Discussion. All

Page 97: Gateway to UK NHS

WHO, WHAT, WHY, WHEN, HOW ?

Public resources

Companies

Page 98: Gateway to UK NHS

Team Finland players and other potentialstakeholders

COMPANIES

Local consultantsand experts

Page 99: Gateway to UK NHS

Companies in all development stages are welcome to join the groups.

What do we expect from you? fit to supply and fit to the current activity

business model compatibility

commitment of time and resources

Page 100: Gateway to UK NHS

Ideally in groups

102

Ideally approaching the target in groups– meet the right decision makers– leverage from teaming companies within same field

of technology

INFORMATICS

EYE TECH

MOBILE & WEARABLESOLUTIONS

DX

Page 101: Gateway to UK NHS

RECURRING ACTIVITIES WITH COMPANY GROUPS

PREWORK

in Finland & UK

ROAD SHOWS in UK

AFTERWORK

in Finland & UK

PREWORK

in Finland & UK

ROAD SHOWS in UK

AFTERWORK

in Finland & UK

PREWORK

in Finland & UK

ROAD SHOWS in UK

AFTERWORK

in Finland & UK

Page 102: Gateway to UK NHS

RECURRING ACTIVITIES WITH COMPANY GROUPS

PREWORK

in Finland & UK

ROAD SHOWS in UK

AFTERWORK

in Finland & UK

• Formation of groups of SME-companies to plan the activitiescalendar together

• Preparations in UK (contacts, meetings, …)

• Information portal - updated info e.g. on NHS, UK purchasing law, politics, factors influencing business in UK, establishing an affiliate, learnings, etc.

• Coaching, mentoring and training

Page 103: Gateway to UK NHS

RECURRING ACTIVITIES WITH COMPANY GROUPS

PREWORK

in Finland & UK

ROAD SHOWS in UK

AFTERWORK

in Finland & UK

• Focus in Workshops, Networking events, 1-2-1 meetings, etc. with different NHS level decision makers

• Meetings with local universities and local companies

• Investor&networking events– higher level influencing

• Participation in a major trade show/health technology event(s) under TF umbrella

Page 104: Gateway to UK NHS

RECURRING ACTIVITIES WITH COMPANY GROUPS

PREWORK

in Finland & UK

ROAD SHOWS in UK

AFTERWORK

in Finland & UK

• Follow-up and continuous communication to all stakeholders

• Reporting and sharing results to improve the model to future activities and other targets (country specific).

Page 105: Gateway to UK NHS

Team Finland Health will

make Finland’s health sector well-known for its

research, innovations and new businesses.

Page 106: Gateway to UK NHS

Your Future in WearablesGateway to UK NHS,Deep dive US,Helsinki

10.9.-11.9

MobileWorldCongress,Barcelona22.2.-25.2.

Finnish Medical Convention, Helsinki13.1.-15.1.

ArabHealth,Dubai25.1.-28.1.

Team Finland Health trip to Boston and California

29.9.-9.10.

BioJapan, Yokohama

14.10.-16.10.

Week ofHealth andInnovation,Odense

19.10.-23.10.

Slush,Helsinki

11.11.-12.11.

Medica, Düsseldorf

16.11.-19.11.

2015 2016

Gateway to UK NHS activity,UK AprilJune/May

Page 107: Gateway to UK NHS

FUNDING OPTIONS FOR THE ACTIVITIES• No participation fee for “Gateway to UK NHS”

(part of TEAM FINLAND Health Growth Program)

• COMPANIES pay their own travel expenses

• TEKES – grants by application for planning international growth, 50-75%, de minimis

• e.g. for consultation services and pilots

• ELY (Enterprise Finland) – grants by application, 50%, de minimis

• e.g. for consulting services, travels

• FINNVERA – loans, securities and debenture stocks

• starting, renewing, growing and internationalization of company activities,

• managing credit risks

OTHER FUNDING

Page 108: Gateway to UK NHS

22.9.2015 Team Finland > ohjeet PowerPoint-presentaation tekoon

110

Networks and channels for business, collaboration and piloting opportunities

NHS decision makers

UK companies

UK universities

Other Finnish companies entering UK markets

UK and Finnish VC’s

Team Finland services

Participation in activities, e.g. workshops and meetings, trade shows, pitchings (selection applied)

Updated information on NHS and UK markets

Training and mentoring

Financial support

WIIFM ?

Page 109: Gateway to UK NHS

22.9.2015 Team Finland > ohjeet PowerPoint-presentaation tekoon

111

Heading to the Big Arena ?

Page 110: Gateway to UK NHS

22.9.2015 Team Finland > ohjeet PowerPoint-presentaation tekoon

112

COMPANY

1FORWARD

CONTACT US:

janna.mure(at)finpro.fi+44 7841233734

outi.keski-aijo(at)tekes.fi+358 505577663

kari.kataja(at)tekes.fi+358 505577626

Join our TEAM now !

Page 111: Gateway to UK NHS

Discussion

• What type of support needed by companies?

Market research. Information on establishing a subsidiary/sales office in UK / finding a distributor. Legislation, contracting , …

• Type/number/frequency/place of activities needed/wanted by NHS?

Lunch meetings, dinners, workshops, organized 1-2-1 meetings, …

• How to differentiate from competition?

Is good reputation and high quality enough?

Page 112: Gateway to UK NHS