Editor's note: This blog was originally published on July 30, 2019
Tech startups have set their sights on health care's $3 trillion market, and investors have been all too willing to throw funding their way. These new market entrants are young, nimble, and stocked with IT talent. Startups often develop a concept for a product or service that sounds revolutionary, and venture-capital firms, seeking to profit off of the company's growth potential, can value these companies in the millions—even if an actual product doesn't exist yet. Digital health funding in particular has been rising exponentially for years now, giving birth to a number of "unicorns," or startups that have a valuation of over $1 billion.
But it's not just the startups that are looking to shake up the industry. Employers, insurers, and large tech companies (e.g., Amazon, Google) are also going big on digital health innovation. Unfortunately, many of these efforts have failed to deliver breakthroughs that match the hype.
In his book Mistreated, Dr. Robert Pearl outlines a number of reasons why "sleek and shiny new gadgets" end up hitting a dead end.
However, despite these speed bumps, digital disruption and innovation are happening, and health care providers cannot afford to be complacent. The intersection of changing market forces, technical advancement, and growing consumer expectations around digital enablement are pushing providers to fundamentally rethink their care delivery processes.
With so many changes underway, the designated digital transformer (e.g., CIO, Chief Digital Officer, Chief Innovation Officer) must lead, educate, and balance practicality with "rethinking impossibilities." IT leaders also play a key role in building the foundational competencies required for the digital health system of the future. As your organization prepares for digital transformation, keep these lessons in mind:
Across the past few years, health care organizations have rapidly implemented new technologies in response to the ongoing Covid-19 pandemic. After this flurry of investment, it is only natural for organizations to slow their pace of adoption as they evaluate next steps.
This potential lack of urgency, however, can backfire and derail future progress. Join us to learn why health care organizations must continue to advance their digital strategies in the face of staffing challenges, changing consumer demands, and an ever-evolving competitive landscape.
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