TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

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January 20, 2015 Forging Tomorrow’s Healthcare CIO

Transcript of TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

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January 20, 2015

Forging

Tomorrow’s

Healthcare

CIO

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Table of Contents

Reproduction of this presentation in part or in its entirety is prohibited

without express written consent from The Kiran Consortium Group, LLC.

Copyright 2015. All rights reserved.

Forging Tomorrow’s Healthcare CIO

2

• Introduction

• Industry

Surveys

• Industry Trends

• Forge Your

Path

• Bibliography

• Contact

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© 2015 The Kiran Consortium Group, LLC

Introduction

3

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Introduction

© 2015 The Kiran Consortium Group, LLC

As we start the new year, 2015, it is worth assessing how today’s CIOs can forge their role for

tomorrow and into the foreseeable future.

4

Forging Tomorrow’s Healthcare CIO

Industry complexity remains

high with evolving care delivery

and declining reimbursement

models

Hospitals mergers, acquisitions

and divestitures continue

User demand always exceeds

capacity

Emerging and new technologies

are abundant and compete with

finite budgets

Project prioritization remains

challenging with regulatory and

internal requirements

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Introduction

Presentation

Goals:

5

Forging Tomorrow’s Healthcare CIO

© 2015 The Kiran Consortium Group, LLC

Review trends identified by CIOs,

within Healthcare and across

industries

Identify industry trends that can

impact your role as a Healthcare

CIO

Determine approaches to meet

your employer’s needs as well

as your professional goals,

today and

tomorrow

What is not included in

this presentation:

1) Tactical challenges to

Healthcare CIOs, and

2) Resource management.

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© 2013 The Kiran Consortium Group, LLC 6

Industry Surveys

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Industry Surveys

An abundance of industry surveys are conducted

annually seeking to gather and share insights from

Chief Information Officers (CIOs).

Caution: The results from surveys should be reviewed in a broader context since sample size

varies and the selected questions may not arrive at an anticipated conclusion that is authoritative .

7 © 2015 The Kiran Consortium Group, LLC

Our presentation will

look at a select

number of surveys

that focus on key

issues facing CIOs in

Healthcare and

across other

industries.

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Industry Surveys

2014 Healthcare CIO Survey Source: SSi-SEARCH

8 © 2015 The Kiran Consortium Group, LLC

“What is your greatest challenge in

terms of accomplishing your

objectives? “ (1)

Budget 24 %

Resources 18 %

Lack of Strategic Involvement 17 %

“What is the most important capability

you need to meet the challenge of

your role now and in the future?” (1)

Data Analytics 46 %

Clinical expertise 22 %

“How would that [important] skill be

acquired or improved?” (1)

• Partnering with another member of

the team with this skill

• Bringing on additional resources to

augment the team with this skill set

• Advanced degree (only 7 %)

“In terms of partnership, which

leadership roles are most critical to

you in terms of achieving key

objectives of your role?” (1)

CEO 72 %

CFO 52 % (estimated)

COO 46% (estimated)

CMO 45 % (estimated)

CMIO 39 %

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Industry Surveys

9 © 2015 The Kiran Consortium Group, LLC

“CIO Level of Satisfaction” [Identify the areas within their current roles

that provide CIO satisfaction.] (2)

1. Career Path

2. Strategic Involvement and

Compensation, and

3. Resources

If CIOs Considered Another

Role, What Might They Be? (2)

• Chief Transformation Officer

• CEO

• COO and

• Chief Strategy Officer

2014 Healthcare CIO Survey Source: SSi-SEARCH

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Industry Surveys

10 © 2015 The Kiran Consortium Group, LLC

2014 Gartner Executive Programs Survey (All Industries) (3)

Survey: Conducted Q4, 2013 with participating CIOs (n=2,339) in 77 countries.

The Gartner Executive Programs report "Taming the Digital Dragon: The 2014 CIO Agenda," represents the

most comprehensive examination of business priorities and CIO strategies.

"CIOs are facing all the challenges they have for many years,

plus a flood of digital opportunities and threats. Digitalization

raises questions about strategy, leadership, structure, talent,

financing and almost everything else. All industries in

all geographies are undergoing digital disruption.

This is both a CIO's dream come true and a

career-changing leadership challenge."

"2014 will be a year of dual goals: responding to ongoing needs for

efficiency and growth, but also shifting to exploit a fundamentally

different digital paradigm. Ignoring either of these is not an option.“ (3)

Dave Aron

Vice President and Gartner Fellow

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2014 Survey of Top CEO Concerns (4)

Source: American College of Healthcare Executives (ACHE)

Industry Surveys

NOTE: • Survey results released January 12, 2015.

• The average rank given to each issue was used to

place issues in order of concern to hospital CEOs, with

the lowest numbers indicating the highest concerns.

• The survey was confined to CEOs of community

hospitals (nonfederal, short-term, non-specialty hospitals).

© 2015 The Kiran Consortium Group, LLC 11

For 11 years, Financial Challenges

have remained in the #1 survey spot

What do CEOs think?

The results of this survey

are striking since the

ranking remains virtually

identical over the last

three year period.

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Industry Surveys

14th Annual State of the CIO Survey (5)

Source: CIO Magazine and IDC, a company of CIO

12 © 2015 The Kiran Consortium Group, LLC

54 % Business leaders see the IT group as an obstacle to getting things done

33 % CIOs agree with this statement

27 % CIO respondents can be classified as business strategists this year, down

from 34 % last year

36 % CIOs admit they are fighting turf battles against others in the C-suite -

a kind of tumult that can arise in times of big change.

“Business leaders want the CIO to simplify technology;

it's the most important thing CIOs can do to improve relations,

they say. They also say it's much more urgent than CIOs think for

the IT group to reorganize, to be easier to work with and

to train IT people to focus on external customers.” (5)

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Industry Surveys

Healthcare Industry: Chief Information Officers, Health Systems Source: Deloitte

“New Normal” for HIT Professionals “Teams with “actuaries, health economists, clinicians, allied health professionals, web

designers, social network specialists, and informaticists as clinical and administrative

data is amassed, structured, stored, and used internally across the organization’s care

continuum and externally with key stakeholders – consumers, patients, health insurers,

employers, supply chain partners, employers, regulators, and public health agencies .” (6)

Key Challenges (6)

o Cost and Resources

o Governance

o People “… Increased talent and IT capacity requirements to structure and manage data, synthesize

it as useful information, and support decision-making at every level of the organization”…

o Providers and Consolidation

o Technology

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Industry Trends

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15 © 2015 The Kiran Consortium Group, LLC

Industry Trends

This segment focuses

on a select number of

Industry Trends that

can directly and

indirectly impact both

the goals of your

employer as well as

those goals for which

you are responsible.

Some trends will emerge from internal factors specific

to your employer, while other challenges result from

external factors (e.g. government, market pressures,

consumer patterns, branding, etc.).

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Industry Trends

We have selected six factors and the corresponding

U.S. trends that can impact the goals and efforts of

Healthcare CIOs. Taking time to look at a broader set of

industry trends brings an industry perspective rather

than just a single organizational view.

• Fiscal State

• Consolidation

• New Relationships

• Technology

Innovation and

Investment

• Medicine in the

Digital World

• The Consumer

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Industry Trends

Fiscal State

o Inpatient Admissions: - Continued decline during the Q3, 2014

[Note: True for many health systems ,but not all.] (7)

o Operating Margins: (7)

o Standard & Poor Study of Financial Data: (9)

“Ratings are reacting to the margin pressure. There is a lot of operating pressure on

hospitals and our expectation is that it's going to continue… The brief improvement in

2012 came from cost-cutting. [The strategy worked—but only temporarily.] Hospitals

are running out of room to cut costs” even as the decline in patient volume

accelerates.” Martin Arrick, Managing Director, Standard & Poor's

o Revenue vs. Expenses: (8)

- Moody’s reviewed 2013 audited financial

statements for 448 not-for-profit hospitals

and health systems

- “Expenses grew at an annual rate of

4.6%, while revenue grew at annual rate

of 4.1%”

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Industry Trends

Fiscal State o Hiring Patterns (2014): (11)

• “nearly average employment gains

for the year after five years of below-

average growth”

• “Healthcare ended last year with 14.9

million workers, accounting for

roughly 1 out of 10 U.S. jobs”

o Employee Layoffs (2014): - It has become more common to see

layoffs at health systems across the

country as pressures to control expenses

continue.

o Outpatient Visits: - Some organizations are experiencing

growth in outpatients (e.g. Sloan-Kettering

experience 3.4% outpatient growth while their

inpatient admissions declined by 2.4%) (10)

o Non-Operating Revenue: - Some Hospitals and Health Systems

have benefited due to the investments

in their portfolio due to a robust stock

market.

(11)

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Industry Trends

“Despite a history of strength and stature in

America, the hospital institution is in the

midst of massive and disruptive change.

Such change will be so transformational that

by 2020 one in three hospitals will close

or reorganize into an entirely different

type of health care service provider.

Several significant forces and factors are

driving this inevitable and historical shift.” (12)

Consolidation

Tomorrow? Other industry voices, state in hushed tones, that

the U.S. may eventually have 250 to 500 health systems.

Today…. (13)

Total Number of All U.S. Registered Hospitals (2012): 5,723

Total Staffed Beds in All U.S. Registered Hospitals (2012): 920,829

Number of Community Hospitals in a System (2012): 3,100 (of 4,999)

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20 © 2015 The Kiran Consortium Group, LLC

Industry Trends

Consolidation

A sampling of transactions during the last year with hospitals and health

systems nationally:

2015: Community Medical Center (Missoula) sold to

joint venture between

Billings Clinic and RegionalCare Hospital

Partners (TN)

TriHealth (OH) buys McCullough-Hyde

Memorial Hospital (OH)

Mercy Memorial Hospital System (MI)

joins ProMedica (OH)

Methodist HealthCare (TN) to close Methodist

Fayette Hospital (TN)

United Memorial Medical Center (Batavia, NY) and

Rochester Regional Health

System (NY) merge.

Community Health Systems (TN) signs agreement to sell Dallas

Regional Medical Center (TX( and

related outpatient services to Prime Healthcare Services (CA)

Community Health Systems (TN) acquires

operational control of

Gaffney Medical Center (SC)

Mercy Health System (WI) and Rockford

Health System (IL)

merge

Geisinger Health System (PA) and Spirit Health

System (PA) affiliate

Hackensack (University Health Network (NJ)

and Meridian Health

(NJ) merge

Prime Healthcare Services (CA) to acquire hospitals, long-term

care facilities and other assets

of Carondelet Health in Kansas City (MO, part of Ascension).

[Includes St. Joseph Medical

Center (MO), St. Mary's Medical Center (MO) and 3 Carondelet

Health long-term care facilities.]

New health system: Beaumont Health System,

Botsford Health Care and

Oakwood Healthcare (MI)

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Industry Trends

Consolidation

Just a sampling of what has transpired over the last year with hospitals

and health systems nationally:

Hospitals continue to close: - 2013: 14 Critical-access hospitals

closed in 10 states (14)

- HCA (for-profit) will shut down Edward

White Hospital in St. Petersburg, FL (162

licensed beds; 110 staffed beds (15)

- The Mayo Clinic (non-profit) closes 100-

bed Franciscan Skemp Healthcare-

Arcadia Campus (WI) (16)

- New Jersey: 26 hospitals closed (1992-

2012); 8 hospitals declare bankruptcy

(2007-2012) (17)

Repurposing Existing Space: (18)

“Since 2008, developers have bought

hospitals in Paterson, Jersey City,

Hammonton and Trenton, converting the

buildings into so-called medical malls that

house an array of services like urgent care

centers, doctors’ offices and dialysis centers.”

“ Nevertheless, these buildings are often

ideal for medical uses — an emergency

department can be repurposed as an urgent

care center. Existing operating rooms can be

used for outpatient surgical centers. And an

inpatient floor is a natural fit for a sub acute

care facility. Added to that, the new use is

certainly preferable to a deteriorating

structure that contributes to urban decay.”

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Industry Trends

Select Examples of New Relationships include, but are not limited to:

New Relationships

There are a growing number

of non-traditional

relationships and/or ventures

to enhance and/or expand

delivery models. The

implications for Information

Technology are not always

evident on the surface, if at

all.

o Health System and Retail

Pharmacies

o Health System with Retail Web

Site

o Health System and Vendor Create

Services Firm

o Health and Retail Ventures

o Health System (Non Profit) / Health

System (For Profit)

o Health System Joint Contracting/

Joint Operating Agreements

o New Delivery Model and Multiple Care

Providers

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Industry Trends

New Relationships

Carondelet Health Network (AZ, part of Ascension Health) sign

nonbinding letter of intent with Dignity Health (CA) and a subsidiary of

Tenet Healthcare Corporation (TX) to create a joint venture.

The joint venture would own and operate Carondelet… (19)

o Health System (Non Profit) / Health System (For Profit)

“…Tenet would be the majority partner and

would hold management responsibility for all

operations of Carondelet's assets, although

the joint venture would maintain

Carondelet's heritage and identity. The joint

venture will connect Carondelet to a regional

healthcare system of hospitals owned and

operated by Dignity and Tenet in the

Phoenix area, as well as Tenet and Dignity's

accountable care organization, Arizona Care

Network. “ Ascension Health would hold a

minority interest. (19)

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Industry Trends

New Relationships

Example:

“…Ascension [Health] is not on an acquisition spree. Its latest deals—in Illinois,

Michigan, Arizona and Wisconsin—are not outright purchases, but rather agreements

with regional rivals and other national players to jointly own, operate or contract

for hospitals and insurance companies. “ (20)

o Health System Joint Contracting/ Joint Operating Agreements

“[We] pair Ascension with well-established players in

each market and allow the system to avoid costly

competition or wasteful duplication by capitalizing

on partners' resources that Ascension lacks. There

are times we don't have all the pieces.” (20)

Robert Henkel

Chief Executive Officer

Ascension Health

Note: “Joint contracting or joint operating agreements also can yield leverage needed to boost rates paid by

insurers, lower prices paid to suppliers and prevent exclusion from increasingly prevalent narrow network

health plans, or plans that limit access to a select group of providers…” (20)

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Industry Trends

New Relationships

o New Delivery Model and

Multiple Care Providers (21)

• Trinity Health System (MI,

86-hospital system active across 21 states)

and the 34,000-physician

Heritage Provider Network (CA)

to provide population health

management in select markets

throughout the country.

• The joint venture, Trinity Health

Partners, will use new models

for primary care, care

management, hospitalists,

long-term care, and high-risk

clinics to improve and

coordinate care.

"Trinity Health's strategic plan calls for us to

become a people-centered health system that

extends beyond just providing acute and post-

acute care….This joint venture allows us to

rapidly expand our capabilities to contract with

payer-partners for full-risk, capitated

arrangements that will result in better health,

better care, and lower costs in the communities

we serve." (21)

Richard J. Gilfillan, MD

President and CEO

Trinity Health

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Industry Trends

New Relationships

o Health System and Retail Pharmacies

Walgreen Company and 2 health systems

enter into agreement to offer and coordinate

acute, chronic and preventive-care

services: (23)

• 7 Healthcare Clinics in the Indianapolis-area

facilities with 8-hospital Community Health

Network (IN), and

• 13 Central Florida Healthcare Clinics and 4-

hospital Orlando Health system (FL).

“Along with treating minor illnesses and

injuries, Walgreen will provide routine

screenings, immunizations and management of

conditions such as asthma, diabetes, high

cholesterol and hypertension.” (23)

Health IT: (a) Community Health Network (IN): “integrate

Walgreen’s EHR with Community Health's

proprietary Community CareConnect system

(b) Orlando Health (FL): “read-only access to

patient medical information and creating an on-line

center for appointment scheduling” (23)

CVS Health and 4 Health Systems

enter into a clinical affiliation: (22)

• Baptist Health System (Birmingham, AL),

• Community Health Systems affiliated

hospitals,

• Tennova Healthcare (Knoxville, TN), and

• Premier Health (Dayton, OH).

What is included in this clinical affiliation? “CVS will provide the health systems' patients

with access to clinical support, medication

counseling, chronic disease monitoring and

wellness programs at CVS stores and

MinuteClinic.” (22)

Health IT: “CVS and the health systems will also integrate

their EHR systems to enable CVS to provide

patients' prescription and visit information to the

health systems.” (22)

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27 © 2015 The Kiran Consortium Group, LLC

Industry Trends

o Health System and Vendor Create

Services Firm: (24)

• Dignity Health (not-for-profit) and a

subsidiary of UnitedHealth have an

agreement to create a revenue cycle

management firm.

• Optum360, newly named firm, staffed by

3,000 employees from both organizations .

• Dignity Health enters into a 10-year

contract with Optum360 (2013). (25)

• Dignity Health: minority owner in venture.

New Relationships

o Health System with Retail Web Site (26)

Sentara Healthcare (VA) launches a

new retail, direct-to-consumer

website (shopsentara.com) providing

over-the-counter medical and health

products for patients in four categories: • wellness and nutrition,

• health at home,

• fitness and exercise and

• braces and foot care.

Sentara Healthcare partners with Paquin Healthcare to

develop, host, distribute, and provide customer service.

“But as more consumers look for

increased convenience and trusted

information, the ability to provide a

branded option that offers a higher

trust factor and unique patient

experience gives us a leg up.“ (26)

Ken Krakaur,

President

Sentara Third Core Division

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Industry Trends

New Relationships o Health and Retail Ventures:

Sam’s Club: “….health screenings are free, confidential and

available to the public at all …locations with a

pharmacy (598 locations). Since launching the

monthly health screenings in 2011, Sam’s Club

has conducted nearly one million screenings per

year, providing important, personalized health

care results that help people stay informed about

their well-being. “ (27)

Health System and Local Grocery

Stores: Edward Hospital (IL) is opening two

Quick Care Clinics at Jewel-Osco stores in the

Chicago suburbs. Offer routine treatment and

preventive care, without an appointment, seven

days a week. (28)

Walmart: On its third “iteration in retail clinics. The first

Walmart Care Clinic is in Carrollton, TX. (29)

Health System and Retailer: Kaiser Permanente (CA) to open three clinics at

Target stores in San Diego, Vista, and Fontana.

Clinics will include telemedicine capability.

- Access for Kaiser health plan members and

non-members.

- Four clinics to be staffed by Kaiser clinicians.

- Now Target has a total of 84 clinics in 8 states (30)

Retail Pharmacy in Health System: Children's National Medical Center opens new

Walgreens Pharmacy inside its lobby (July, 2014). (31)

Retail Pharmacy and Coordinated

Care Program: Walgreens has deployed its WellTransitions

program at more than 150 health systems.

The ….”pharmacists …role within care teams

responsible for transitioning patients from acute

care to home…[etc.] These pharmacists will be

available for medication review, bedside medication

delivery, patient counseling and follow ups to help

hospitals reduce readmission rates…” (32)

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Industry Trends

Investment of all types of

resources and focus on innovation

for emerging or new information

technologies and medical devices

is an important goal.

Health systems will need to

determine whether they have

capacity, interest and strategic

motive to pursue and sustain

this type of initiative.

Success is not guaranteed!

Note: A few select examples are provided on the following slides. Some

organizations will be successful in this undertaking while many may not be

able to sustain the resources required to create a center of innovation.

Technology Innovation and Investment

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Industry Trends

For-profit and not-for-profit Health

Systems are investing in

innovation and emerging

technologies at a growing rate.

Examples include: (33)

Ascension Health (St. Louis. MO) set aside

a $225 million venture capital fund

earmarked for projects involving health IT,

devices and diagnostic screenings

Hospital Corporation of America (Nashville,

TN) aims to grant $10 million annually to

startups in the healthcare field through its

subsidiary Health Insight Capital

Investment firm, Heritage Group (Nashville,

TN), has raised $157 million from

investments from surrounding hospital

systems including Community Health

Systems, LifePoint Hospitals and

Vanguard Health Systems

The map on the following slide identifies a select number of U.S. health systems that are funding their

own centers of innovation that are contributing to the

accelerating number of technologies in support of digital patient care as well as other advancements to

enhance care delivery.

Technology Innovation and Investment

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There are numerous innovation centers nationally that continue to

explore how best to improve health through existing and emergent

technologies.

Sources of data (34)

Transformation Lab – Intermountain

Healthcare (Murray, UT)

Scripps

Translational

Science Institute

– Scripps Health (La Jolla, CA)

Glassomics (San Diego, CA)

UPMC Technology

Development Ctr. (Pittsburgh, PA)

Partners Healthcare

Center for

Connected Care (Boston, MA)

Mayo Clinic Center

for Innovation (Rochester, MN)

CCF Innovations (Cleveland, OH)

The Innovation

Institute - St. Joseph Health

(Orange, CA) xG Health Solutions

Geisinger Health

System & Oak

Investment Partners (Danville, PA)

Garfield Health

Care Innovation

Center (Kaiser

Permanente)

Industry Trends

Technology Innovation and Investment

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Industry Trends

Advances continue at a dizzying pace to the market and

medicine is grappling with more data, more devices,

more access to support clinical care.

What happens with a growing amount of patient data?

Yale University and Johnson & Johnson have announced the first such deal to enable

external investigator access to medical device and diagnostics clinical data from J&J. (35)

Partnership between Phoenix Children's Hospital and the Chan Soon-Shiong Family

Foundation, based in Los Angeles, has the potential to fundamentally transform the way

pediatric specialists approach treatment protocols through a commitment to genomic

technology and its implications for pediatric medicine (36)

Providence Health and Services (OR) will be the first healthcare system that will utilize the

system giving the most comprehensive view of each patient’s disease available to date. The

CLIA-certified clinical genomics lab will be located at NantOmics (Culver City, CA). (37)

Medicine in the Digital World

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Industry Trends

Additional examples of advancements:

Medicine in the Digital World

Managing Chronic Disease: (38)

“The Michael J. Fox Foundation (MJFF) and

Intel Corporation are partnering to gather and

analyze data from wrist-worn devices on

people with Parkinson’s disease with the

goal of helping individuals and their doctors

better manage disease and progress research

toward better treatments and a cure.”

Health Sensor Data: (39)

The Center of Excellence for Mobile Sensor

Data-to-Knowledge, a NIH-funded center, at

the University of Memphis (TN): Researchers

developing software solutions to assist

clinicians to analyze and use data

collected by wearable devices.

Smart Clothing: (40)

Intel Corporation: smart shirt, designed

for people who exercise; embedded

sensors that are made from conductive

fiber that tracks heart rate data streamed

over Bluetooth and WiFi to a smartphone

or computer. Note: Smart clothing continues to evolve and be

refined over time. It is not clear whether this

information will be added to a Personal Health

Record or be shared in some way with clinicians.

Tech industry innovators -Google, Apple and

Samsung – are working toward adding health

IT features into wearable devices in order to

transmit biometric data to clinicians. (41)

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Industry Trends

Both internal consumers of technology and the broader

world of consumers outside the healthcare ecosystem

are fueling interest, exploration and intent to be

involved in their health.

The Consumer

Clinician adoption of mobile technology as well as their

status as “digital natives” may expedite and expand use

of information to support patients. A recent survey: (42)

• 69 % of clinicians use both a desktop/laptop and a

smartphone/tablet to access data, and

• 33% of “respondents polled believe smartphones and tablets

will drive overall efficiency in care by eliminating

redundancies and view mHealth devices as having a positive

impact on care quality and coordination.” (42)

Internal Consumers:

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Industry Trends

External Consumers:

The Consumer

“[Dr. Eric Topol] makes the

case that smartphones and

other mobile devices in the

hands of patients will serve

to “democratize medicine”

giving them control of their

data—which has historically

been the domain of

physicians.” (44)

Some 2015 predictions show the following: (43)

- “65 % of consumer transactions with healthcare

organizations will be mobile by 2018, thus requiring

healthcare organizations to develop strategies to

harmonize experiences across the Web, mobile and

telephonic channels.”

- “70% of healthcare organizations worldwide will invest

in consumer-facing mobile applications, wearables,

remote health monitoring and virtual care by 2018,

which will create more demand for big data and

analytics capability to support population health

management initiatives.”

While health system portals and web sites have been made available to

consumers and patients for a number of years, not all information is readily

available when multiple clinicians are required nor is utilization as high as

anticipated, in spite of on-going efforts to transition consumers to digital interaction.

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36 © 2015 The Kiran Consortium Group, LLC

Industry Trends

External Consumers:

The Consumer

Connected Health Study (December, 2014) (45)

56 % “Americans want to monitor their health with

connected health devices that automatically connect online

and send information to their doctor or other people they

choose…”

Why do Americans want connected health devices? “It would keep track of my health information accurately – 30 %

It would allow me and my doctor to see trends and patterns – 29 %

It would give me peace of mind to know how I’m doing – 24 %

It would allow my doctor to be “in the know” to prevent surprises during

appointments – 19 %

It would allow my doctor to monitor my health 24/7 if necessary – 18 %

Internet of Things is the future of medicine – 11 %

The whole world is connected so it makes sense for devices to be

connected – 10 %

It’s difficult to enter the information into an app – 3 %”

There remains a disconnect between what the consumer wants and

what can be delivered today regarding their patient information.

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37 © 2015 The Kiran Consortium Group, LLC

Forge Your Path

Page 38: TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

Forge Your Path

38 © 2015 The Kiran Consortium Group, LLC

Where do we invest our effort to enhance and advance

our role as a healthcare Chief Information Officer?

There is no single,

guaranteed path for

HIT professionals to

advance their careers.

Page 39: TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

Forge Your Path

39 © 2015 The Kiran Consortium Group, LLC

Where will you focus your efforts?

1. Strategy Matters, Find

a C-Suite Mentor

2. Create Measurable

Improvement

3. Build a Customer-

Centric Team

4. Develop Your Next

Generation of Leaders

5. Industry Consolidation

May Point to A

Non-Linear Career

6. Think About Your Next

Career Step

Page 40: TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

Forge Your Path

40 © 2015 The Kiran Consortium Group, LLC

1. Strategy Matters, Find a C-Suite Mentor

A. Executive mentorship is essential to further insights and

understanding of business opportunities and challenges that

require timely solutions. Cultivate these relationships!

B. Discussions with your mentor will reframe thinking and

conversations to focus on the targeted strategic goals.

C. Determine what additional

skills you have yet to develop.

Make a plan and work on these

skills.

D. Volunteer for an initiative that

will stretch your current skills

when working with other

executives.

Page 41: TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

Forge Your Path

41

2. Create Measureable Improvement

1. Strategy

© 2015 The Kiran Consortium Group, LLC

B. Think beyond sustainability

and focus on ideas that

create measurable growth

for your organization.

C. Identify solutions for growth

that are consistent with

the CEO’s strategic

goals. Link back to

one or more of

these goals.

A. Identify solutions that not only enhance operations but facilitate

growth.

D. Ensure that solutions

are feasible within the

context of organizational

culture and capacity.

E. Optional: There may be non- traditional

ventures that might provide

measureable improvement.

It will depend on the strategic

goals of the employer, their

risk tolerance and cultural

approach for new ventures

as to whether this path will be

pursued.

Page 42: TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

Forge Your Path

42 © 2015 The Kiran Consortium Group, LLC

3. Build a Customer-Centric Team

The rise of a digital environment

has made consumers, internal

and external, more demanding

of excellent customer service.

A. Identify successful IT

departments, regardless of

industry, who have raised

the level of customer

support. Learn from them.

B. Your team will enhance their skills by becoming a more

customer-centric group, the organization will benefit, and

you will gain insights from this experience.

Page 43: TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

Forge Your Path

© 2015 The Kiran Consortium Group, LLC

4. Develop Your Next Generation of Leaders

43

A. Talent management becomes even more important in a

competitive landscape for the best resources.

B. Leadership is both formal and informal. Engage all of your

department to become a leader.

C. By developing the next generation of leaders, your efforts can

remain focused on strategic and enterprise efforts.

D. Leadership becomes

even more important

as organizations

flatten and operations

leverage a matrix model.

E. Build a Succession Plan

Page 44: TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

Forge Your Path

44 © 2015 The Kiran Consortium Group, LLC

5. Industry Consolidation May Point to a Non-Linear Career

A. The “classic” ladder (i.e. non-linear) career progression

may not necessarily be available to all Healthcare CIOs given

industry consolidation.

B. Begin today. Identify additional executive responsibilities

that can be added your current role.

The

Matrix

Career

C. Investigate other roles within

your employer and determine

how you might be considered for

that position(s).

D. Develop your own career

strategic plan should you

choose a matrix career moving

forward. Tomorrow will bring change!

Page 45: TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

Forge Your Path

45 © 2015 The Kiran Consortium Group, LLC

6. Think About Your Next Career Step

A. The consolidation of health

systems points to a declining

number of opportunities.

Research trends in evolving

positions that can capitalize

on your experience and skills.

B. Identify potential positions

that you might consider in

the future; find colleagues

who have made these steps

and determine what their path

has been to secure and

transition to that role.

C. Expand your personal

and professional network

today.

D. Join an external Board, internal

or external to Healthcare, and/or

a cause-based organizations.

Page 46: TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

Forge Your Path

There is no time like the present to forge your tomorrow.

1. Today’s complexity provides countless opportunities.

2. Dedicate some time to map out your goals now.

3. Recharge your career and discover new avenues to

create a sustainable professional path.

46 © 2015 The Kiran Consortium Group, LLC

We wish you well as you

undertake the

modernization effort on

your own career.

Start today!

Page 47: TKCG - Forging Tomorrows HC CIO 012015 LMN FINAL

© 2013 The Kiran Consortium Group, LLC

Bibliography

47

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© 2013 The Kiran Consortium Group, LLC

Thanks to Ms. Helen L. Hill, Principal, for her review of this presentation.

Presentation: Cover Page Graphic found on cover page is found on Bing.

https://www.bing.com/images/search?q=Aluminum+Foundry+Industry&FORM=R5FD1#view=detail&id=A163DA57545B9C9884068E2963

BB423FCB847A00&selectedIndex=116

Introduction

No citations

Industry Surveys Page 6: Photo on divider slide: Survey photo from Bing.

https://www.bing.com/images/search?q=Survey+Research&FORM=R5FD2&crslsl=0#view=detail&id=A3CEA576D39BB

5512A48DCACFADBB6737A188580&selectedIndex=1

Photo on divider slide. Word photo “research” from Biing.

https://www.bing.com/images/search?q=Survey+Research&FORM=R5FD2&crslsl=0#view=detail&id=F8F57

9862EB4A0388033ECE995C2284AB80D9B93&selectedIndex=34

Page 8: (1) Dixon, Pamela. “Can CIOs keep up with pace of change? “, Healthcare IT News, December 29, 2014 .

http://www.healthcareitnews.com/news/can-cios-keep-healthcare-change?single-page=true

Page 9: (2) Dixon, Pamela. “CIOs ramp up strategic focus”, Healthcare IT News, January 6, 2015.

http://www.healthcareitnews.com/news/cios-ramp-strategic-focus

Page 10: (3) Press Release. “Gartner Executive Programs Survey of More Than 2,300 CIOs Reveals Many Are

Unprepared for Digitalization: the Third Era of Enterprise IT”, January 14, 2014.

http://www.gartner.com/newsroom/id/2649419

Bibliography

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© 2013 The Kiran Consortium Group, LLC

Industry Survey (continued) Page 11: (4) Press Release. “Survey: Healthcare Finance, Reform Top Issues Confronting Hospitals in 2014”,

American College of Healthcare Executives (ACHE), January 12, 2015..

http://www.ache.org/pubs/Releases/2015/top-issues-confronting-hospitals-2014.cfm

Survey sent to 1,118 community hospital CEOs who are ACHE members, of whom 338, or 30.2 percent,

responded.

Page 12: (5) Nash, Kim S. “CIOs Need to Snap Out of Complacency”, CIO, January 5, 2015 5:00 AM PT.

http://www.cio.com/article/2860697/it-strategy/cios-need-to-snap-out-of-complacency.html?nsdr=true

Survey included 304 non-IT business decision-makers on some of the same questions the State of the CIO

survey posed to 558 IT leaders.

Page 13: (6) Harry Greenspun, MD, Paul H. Keckley, PhD, and Sheryl Coughlin, PhD., MHA. “ Health System Chief

Information Officers: Juggling responsibilities, managing expectations, building the future” , Deloitte White

Paper, February 12, 2013. http://www.deloitte.com/assets/Dcom- United

States/Local%20Assets/Documents/us_chs_HealthSystemChiefInformationOfficers_021213.pdf

Industry Trends Page 14: Graphic from this cover page. Source of graphic image, Bing:

https://www.bing.com/images/search?q=Survey+Research&FORM=R5FD2&crslsl=0#view=detail&id=6EA43D

CEDE5E108A7D09EB5E647FE8AFD6D25459&selectedIndex=50

Page 15: Source of graphic image, Bing:

https://www.bing.com/images/search?q=Complexity+Health+Care+Word+Cloud&FORM=RESTAB#view=detail

&id=45F63F231F9BAA2DDB7945F7072F671A656B166C&selectedIndex=120

Page 17: (7) Landen, Rachel. “Hospitals' admissions still declining”, Modern Healthcare, January 3, 2015 .

http://www.modernhealthcare.com/article/20150103/MAGAZINE/301039966&utm_source=link-20150103-

MAGAZINE-301039966&utm_medium=email&utm_campaign=digitaledition

Bibliography

49

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© 2013 The Kiran Consortium Group, LLC

Industry Trends (continued) Page 17: (8) Landen, Rachel. “Not-for-profits' expenses continue to outpace revenue growth, Moody's finds”, Modern

Healthcare, April 23, 2014. http://www.modernhealthcare.com/article/20140423/NEWS/304239963

(9) Kutscher, Beth. “Fewer hospitals have positive margins as they face financial squeeze” , Modern

Healthcare, June 21, 2014 .

http://www.modernhealthcare.com/article/20140621/MAGAZINE/306219968/fewer-hospitals-have-positive-

margins-as-they-face-financial-squeeze

Page 18: (10) Kutscher, Beth. “Sloan-Kettering sees higher outpatient volume, payment rates”, Modern

Healthcare, August 6, 2014 . http://www.modernhealthcare.com/article/20140806/NEWS/308069962

(11) Evans, Melanie. “Happy days are here again for healthcare hiring, mostly”, Modern Healthcare,

January 9, 2015. http://www.modernhealthcare.com/article/20150109/NEWS/301099976

Page 19: (12) Houle, David and Fleece, Jonathan. “Why one-third of hospitals will close by 2020”, KevinMD.com,

March 14, 2012. http://www.kevinmd.com/blog/2012/03/onethird-hospitals-close-2020.html David Houle and Jonathan Fleece are the authors of “The New Health Age: The Future of Health Care in America”.

(13) Health Forum, LLC. “Fast Facts on US Hospitals, 2012” , Health Forum, LLC, an affiliate of the American

Hospital Association , updated January 2, 2014. http://www.aha.org/research/rc/stat-studies/fast-facts.shtml

Page 21: (14) Sandler, Mike. “More critical-access hospital closings likely “, Modern Healthcare, September 30,

2014. http://www.modernhealthcare.com/article/20140930/NEWS/309309932

(15) Herman, Bob. “HCA to close Florida hospital as inpatient volumes dwindle”, Modern Healthcare,

September 24, 2014. http://www.modernhealthcare.com/article/20140924/NEWS/309249963

(16) Evans, Melanie. “Mayo closes Wis. Hospital”, Modern Healthcare, April 2, 2011.

http://www.modernhealthcare.com/article/20110402/NEWS/304029999

(17) New Jersey Hospital Association. List of New Jersey Hospitals that have been closed or file for

bankruptcy. http://www.njha.com/media/31188/hospitalclosureposter.pdf

(18) Kaysen, Ronda. “Repurposing Closed Hospitals as For-Profit Medical Malls”, The New York Times,

March 4, 2014.

http://www.nytimes.com/2014/03/05/realestate/commercial/repurposing-closed-hospitals-as-for-profit-medical-malls.html?_r=0

Bibliography

50

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Bibliography Industry Trends (continued)

Page 23: (19) Adamopoulos, Helen. “Ascension, Dignity, Tenet to Enter Into Joint Venture”, Becker’s Hospital Review,

July 23, 2014.

http://www.beckershospitalreview.com/hospital-transactions-and-valuation/ascension-dignity-tenet-to-enter-into-joint-venture.html

Page 24: (20) Evans, Melanie. “Reform Update: Ascension deals signal new economic reality in healthcare”, Modern

Healthcare, August 27, 2014 - 4:00 pm ET.

http://www.modernhealthcare.com/article/20140827/NEWS/308279965&utm_source=AltURL&utm_medium=email&utm_campai

gn=mpdaily&AllowView=VXQ0UnpwZTVBdmFaL1IzSkUvSHRlRU9oalVzZEErQlk=

Page 25: (21) Mace, Scott. Trinity Health, Heritage Provider Network Announce Joint Venture,” HealthLeaders Media ,

January 13, 2015.

http://www.healthleadersmedia.com/print/LED-312095/Trinity-Health-Heritage-Provider-Network-Announce-Joint-Venture

Page 26: 22) Ellison, Ayla. “CVS Health enters into clinical affiliations with 4 health systems ,” Becker’s Hospital Review,

October 31, 2014. http://www.beckershospitalreview.com/hospital-transactions-and-valuation/cvs-health-enters-

into-clinical-affiliations-with-4-health-systems.html

(23) Robeznieks, Andis. “Walgreen will offer services to Orlando, Indianapolis health systems”, Modern

Healthcare, August 30, 2013.

http://www.modernphysician.com/article/20130830/MODERNPHYSICIAN/308309973#ixzz2dU0KUCXI?trk=tynt

Page 27: (24) Shinkman, Ron. “Dignity Health, Optum form revenue management cycle firm”, Fierce Health Finance,

October 21, 2013. http://www.fiercehealthfinance.com/story/dignity-health-optum-form-revenue-management-

cycle-firm/2013-10-21?utm_medium=nl&utm_source=internal

(25) “Dignity Health And Optum360 Form Revenue Cycle Management Company”, Industry Bulletin, October 13,

2013. http://www.openminds.com/market-intelligence/bulletins/101413-dignity-health-optum-360-revenue-cycle-

aca.htm/ (26) Jayanthi , Akanksha. “Sentara launches retail site for OTC products”, Becker’s Hospital Review, January 12,

2015.

http://www.beckershospitalreview.com/healthcare-information-technology/sentara-launches-retail-site-for-otc-products.html 51

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Bibliography Industry Trends (continued)

Page 28: (27) Press Release. “Sam’s Club® Invites Americans to Take Control of Their Health in 2015 with Free Monthly

Screenings ‘, January 05, 2015. http://www.businesswire.com/news/home/20150105006277/en#.VK23AHssCyM (28) Press Release. “ Edward Quick Care Clinics to Open at JEWEL-OSCO Pharmacies in Naperville,

Romeoville”, November 08, 2012.

( 29) Cheney, Christopher. “Retail Clinics Solidify Their Market Niche”, HealthLeaders Media , December 9, 2014.

http://www.healthleadersmedia.com/print/HEP-311067/Retail-Clinics-Solidify-Their-Market-Niche (30) Rubenfire, Adam. “Kaiser expands clinic services to Target stores”, Modern Healthcare, November 20, 2014.

http://www.modernhealthcare.com/article/20141120/NEWS/311209949?utm_source=link-20141120-NEWS-

311209949&utm_medium=email&utm_campaign=mpdaily&utm_name=top

(31) A summer of retail-hospital partnerships in Washington region”, Washington Business Journal , September 3,

2014.

http://www.healthleadersmedia.com/print/LED-308009/A-summer-of-retailhospital-partnerships-in-Washington-region

(32) Editorial Staff. “Walgreens launches coordinated care program at 150+ sites”, Clinical Innovation +

Technology, 10/16/2012 .

http://www.clinical-innovation.com/topics/clinical-practice/walgreens-launches-coordinated-care-program-150-sites

Page 29: (33) McLaughlin, Jim. “HCA, Ascension Pump Venture Capital Into Quality, Efficiency Innovations”, Becker’s

Hospital Review, January 17, 2013.

http://www.beckershospitalreview.com/racs-/-icd-9-/-icd-10/hca-ascension-pump-venture-capital-into-quality-

efficiency-innovations.html

Page 31: (34) Graphic developed by The Kiran Consortium Group LLC, 2013. Information derived from a number of

industry articles:

- Boyer, E.J. “New health care incubator coming to Nashville”, July 10, 2013,; updated: Jul 12, 2013.

http://www.bizjournals.com/nashville/blog/2013/07/new-health-care-incubator-coming-to.html

- Jacob, Steve. “Digital Health Accelerator Opens Its Doors to Startups”, Technology, April 24, 2013.

http://healthcare.dmagazine.com/2013/04/24/digital-health-accelerator-opens-its-doors-to-startups

52

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Bibliography Industry Trends (continued)

Page 31: (34) Continued…

Additional articles that pertain to the map:

- Press Release. “Partners HealthCare and Center for Connected Health launch personal health technology

platform to improve care delivery, Pioneering program to seamlessly and securely integrate data patients

collect”, 6/20/2013. https://www.partners.org/About/Media-Center/Articles/Partners-Center-for-Connected-

Health-Technology-Platform.aspx

- Wicklund, Eric. “Scripps Health looks for cost savings in digital health”, mHealthNews , August 08, 2013 .

http://www.mhealthnews.com/news/scripps-health-looks-cost-savings-digital-health

- Munro, Dan. “Intermountain Healthcare Opens Innovation Center”, Forbes, September 5, 2013; first posted on

Forbes 8/25/2013 http://www.thedoctorweighsin.com/intermountain-healthcare-opens-innovation-center/

- Pai, Aditi. “Sprint Launches Mobile Health Startup Accelerator in Kansas City”, MobiHealthNews, September 24,

2013. http://mobihealthnews.com/25724/sprint-launches-mobile-health-accelerator-in-kansas/

Page 32: (35) Lawrence, Stacy. “Yale to enable J&J to share its device, diagnostics clinical data with external researchers”,

Fierce Medical Devices, January 15, 2015.

http://www.fiercemedicaldevices.com/story/yale-enable-jj-share-its-device-diagnostics-clinical-data-external-research/2015-01-

15?utm_medium=nl&utm_source=internal Some additional text is found below:

“Yale University and Johnson & Johnson ($JNJ) have announced the first such deal to enable external investigator

access to medical device and diagnostics clinical data from J&J. The medical conglomerate will allow

investigators access to its clinical trial data in those businesses, as well as for pharmaceuticals, via the Yale

University Open Data Access (YODA) Project, which will sit as an independent intermediary that manages

investigator requests and facilitates access to the data. The deal includes access to data across the company,

including all relevant J&J business. The deal is an expansion upon a previous data sharing deal from last year

that was combined just to the drug business of J&J…”

(36) Meyer, Robert L. (President and CEO, Phoenix Children's Hospital) “Genomic-based treatment protocols:

Altering the future of medicine”, Becker’s Hospital Review, January 07, 2015.

http://www.beckershospitalreview.com/healthcare-information-technology/genomic-based-treatment-protocols-altering-the-

future-of-medicine.html

53

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Bibliography

Industry Trends (continued)

Page 32: Continued…

( 37) Press Release. “Providence Health, NantHealth and The Chan Soon-Shiong Institute of Molecular

Medicine Partner to Create the Country’s First Health Network for Clinical Whole Genomic Sequencing

Health Network Spans 5 Western United States Serving 22,000 New Cancer Patients and 100,000 Cancer

Cases Per Year.”, July 31, 2014.

http://www.businesswire.com/news/home/20140731006562/en#.U9v9TF50w2w

Page 33: (38) Walsh, Beth. “Partnership to use personal fitness device data on Parkinson's”, Clinical Innovation +

Technology, August 19, 2014.

http://www.clinical-innovation.com/topics/mobile-telehealth/partnership-use-personal-fitness-device-data-parkinson-s

(39) Gregg, Helen. “New University of Memphis center seeks to make sense of health sensor data”,

Becker’s Hospital Review, October 20, 2014. http://www.beckershospitalreview.com/healthcare-information-

technology/new-university-of-memphis-center-seeks-to-make-sense-of-health-sensor-data.html

(40) “Just wear it? Intel unveils ‘smart’ shirt”, Clinical Innovation + Technology, May 30, 2014.

http://www.clinical-innovation.com/topics/mobile-telehealth/just-wear-it-intel-unveils-%E2%80%98smart%E2%80%99-shirt

(41) O’Connor, Fred. “Wearable Devices with Health IT Functions Poised to Disrupt Medicine”, CIO, May

01, 2014. http://www.cio.com/article/print/752291

Page 34: (42) Dvorak, Katie. “John Nosta: 'Digital natives' to drive technological revolution in medicine”, Fierce

HealthIT, January 7, 2015. http://www.fiercehealthit.com/story/john-nosta-digital-natives-drive-

technological-revolution-medicine/2015-01-07?utm_medium=nl&utm_source=internal

Page 35: (43) Pedulli, Laura. “IDC’s predictions for 2015 “, Clinical Innovation + Technology, November 26, 2014.

http://www.clinical-innovation.com/topics/health-it/idc%E2%80%99s-predictions-2015 (44) Slabodkin, Greg. “Patients Take Control of Data in ‘Democratization’ of Medicine”, Health Data

Management, January 8, 2015 7:48am ET.

http://www.healthdatamanagement.com/news/Patients-Take-Control-of-Data-in-Democratization-of-Medicine-49590-1.html?utm_campaign=daily-

jan%208%202015&utm_medium=email&utm_source=newsletter&ET=healthdatamanagement%3Ae3616603%3A4223235a%3A&st=email

54

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Bibliography

Industry Trends (continued)

Page 36: (45) Penic, Fred. “56% of Americans Want Connected Health Devices to Monitor Their Health”, HIT

Consultant, January 14, 2015. http://hitconsultant.net/2015/01/14/americans-want-connected-health-

devices/?utm_source=HIT+Consultant+Newsletter&utm_campaign=00043cb1c1-

HIT+Consultant+Weekly+Insights+01%2F08%2F15&utm_medium=email&utm_term=0_37fb10719e-00043cb1c1-300787845

Forge Your Path Page 38: Graphic source, Bing:

https://www.bing.com/images/search?q=Survey+Research&FORM=R5FD2&crslsl=0#view=detail&id=3E234

B9186F6F63B4E41DF08CFDD7418B6711BDC&selectedIndex=29

55

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56 © 2013 The Kiran Consortium Group, LLC

Lucy Mancini Newell, MBA, FHIMSS

Managing Partner

Cell Phone: 224.388.6376

Corporate Phone No: 1.800.678.8524

Web Site: www.Kiran-Consortium.com

Other Thought Leadership Materials Are

Found On Our Web Site.

E-Mail Address:

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