Three Months in a Healthcare

Accelerator

Tom Black / @blacktmabout.me/tomblack

Madison Health Tech MeetupMay 17, 2012 / Madison, WI

The Blueprint Health loft in NYC.

In January 2012, I joined Blueprint Health’s inaugural class as a “floating founder,” which is like a tech founder

in residence. (TechStars calls them “HackStars”)

Check them out: www.blueprinthealth.org

As a coder (and part designer), I built lots of

things for the teams during the program: web sites, apps, graphics, etc.

I also learned a lot about healthcare from the many mentors that came in to

talk with us.

Here are some of the most memorable take aways during our discussions with leading

healthcare innovators.

“You’re solving meaningful problems.

Don’t forget that.”

Micah RosenbloomCEO, Sample6 Technologies

Founder & Partner, Founder Collective

“Healthcare in the U.S. is unsustainable.”

Jonathan GordonDirector of Strategy

NY Presbyterian Hospital

Reform = Access, Quality, Cost

Enhance collaboration

Invest in IT, access to data

Standardize processes

Jonathan Gordon, Director of Strategy, NY Presbyterian Hospital

“Bring a solution, not a technology”

Jason GorevicCEO, Teladoc

or service

“The market isn’t waiting for reform.”

Peter M. HotzGroup VP & President

Take Care Health SystemsWalgreens

Worries About:

Scaling EMRs

Backend analytics

Not enough PAs or NPs

Clinicians needing technology support

Peter M. Hotz, Group VP & President, Take Care Health Systems, Walgreens

On Selling:

Know the buying process

Don’t force, must be a good fit

Manage client expectations

Don’t delay bad news

Focus on the client’s goals

Be face-to-face when you can

Scale to the entire organization

Peter M. Hotz, Group VP & President, Take Care Health Systems, Walgreens

“Be disruptive on the service side. Shift risk to the patient and provider. Change the cost curve.”

Aran RonPartner, Bessemer Ventures

“It’s never been a better time for... whatever this

space is called.”

Tom RodgersPartner, ATV

Tom Rodgers, Partner, ATV

The golden age for HIT, many tailwinds

Generational shifts in health professionals

An industry invested in workarounds

No continuity of care, broken hand-offs

No shortage of entrepreneurs to fund

“Not so much about the business model, but who will pay and why?”

“Who loses, and do they have political capital? They can slow you down.”

What’s hot?

Delivery models(communication platforms/tools)

Moving data

Helping docs get paid, grow revenue

Tom Rodgers, Partner, ATV

“Healthcare defies logic.”

Amir KishonCEO, Wellness Layers

“The holy grail: medication adherence.”

Todd PietriPartner, Milestone Ventures

What’s hot?

Clinical decision support

Analytics

Continuity of care, workflow

Cost transparency

Todd Pietri, Partner, Milestone Ventures

“Outcomes depend on the journey.”

“Be religious about automation.”

John de SouzaFounder, MedHelp

“There are big egos in healthcare.Play on them.”

Michelle SnyderFormer SVP, Epocrates

Michelle Snyder, Former SVP, Epocrates

Build a network, then monetize

Do one thing really well

Trust is the #1 thing

Simplicity is critical

“Healthcare is where financial services was

10 years ago.”

Andrew DunnHumana Innovation Team

“The goal: deliver the right care, at the right time, by

the right person.”

Ben WadeDirector, Strategic Planning

Montefiore

Ben Wade, Director, Strategic Planning, Montefiore

Looking for help from entrepreneurs:

Coordinating care

Patient access (e.g. ZocDoc)

Service and satisfaction

MD practice management

Decision support analytics

Also: “Healthcare is where financial services was in the 1980’s.”

“If it’s valuable,charge for it.”

Chaim IndigFounder, Phreesia

Chaim Indig, Founder, Phreesia

Make your product small and simple

Master one area before moving to another(e.g. ZocDoc)

Focus on the playbook

“Your product will suck in the beginning. It just has to do the core thing.”

“Small companies (like yours) will be solving our

health problems.”

Michael MonsonSVP of Performance & Innovation

The Visiting Nurse Association of NY

Michael Monson, SVP, The Visiting Nurse Association of NY

What’s hot?

Informatics

Behavioral science(getting people to do stuff)

Workflow management

Referral relationships

Low-tech devices (consumers, seniors)

Alternative care models

At the Early Progress Dinnerwith the mentors:

“Healthcare is where financial services was in the 1980’s.”

Yea...we know.

“I thought I was the only one saying that!”

Nope, you’re not.

“Healthcare is where financial services was in the 1980’s.”

What the hell does this mean anyways?

Lots of unstructured data

Fragmented systems

Nothing talks to anything else

Lots of potential

Oh, thanks!

“Adherence and compliance.”

Puneet SapraDirector, Biz Dev & Innovation

Pfizer

Puneet Sapra, Director, Biz Dev & Innovation, Pfizer

On average, only 30% – 40% of patients adhere to prescription regiments

HUGE revenue opportunity moving from just 20% – 30% to a 40% adherence

Why such a low rate?

Cost, safety, feelings about the drugMuch more than just forgetting

Puneet Sapra, Director, Biz Dev & Innovation, Pfizer

What's hot?

Heath ITAnalyticsEfficiencyAdherenceComplianceBehavior

“Get it live quick. Test and see if it’s viable.”

Ben WolinCEO & Co-Founder

Everyday Health

Ben Wolin, CEO & Co-Founder, Everyday Health

Determine if there’s a market

You can always optimize later,but you have to know first(easier on the consumer side)

Distribution is always hard

“This is the future of the economy.”

Alan BlausteinFounder, CarePlanners

“Solve the problem at the smallest possible scale.”

Oliver Kharraz, M.D.Founder & COO, ZocDoc

Oliver Kharraz, M.D., Founder & COO, ZocDoc

If it’s measurable, measure it

Team flatness = strength

Prototype at the lowest possible level

“If you’re writing code,you will throw it out.”

Don’t build things people don’t want

“We focus on networks of engaged users.”

Andy WeissmanPartner, Union Square Ventures

Andy Weissman, Partner, Union Square Ventures

No explicit verticals,but we can work within them

Healthcare is the next vertical(Started with media, then education, now healthcare)

Read anything from Yochai Benkler

“Right patient,right setting,

right information.”

Rachel WinokurHead of Strategic Diversification

Aetna

Rachel Winokur, Head of Strategic Diversification, Aetna

Fastest growing business for Aetna?

Accountable care solutions(Tools and analytics to manage it)

“Analytics are only as good as the data.”

“Pharma is the early adopter.”

Isaac Ciechanover, M.D.Partner, Kleiner Perkins Caufield & Byers

Isaac Ciechanover, M.D., Partner, Kleiner Perkins Caufield & Byers

Three big areas:

1. Telemedicine (e.g. Teladoc)

2. Engagement (adherence)

3. Analytics

Isaac Ciechanover, M.D., Partner, Kleiner Perkins Caufield & Byers

Oh, and...

“KPCB has more IPOsthan any VC fund.”

...and we’ve been on stage at an Apple keynote.

So there.

“Don’t be afraid of good junior people. They will

fight for you.”

David TischManaging Director, TechStars NYC

Investor via BoxGroup

David Tisch, Managing Director, TechStars NYC; BoxGroup

Time is always on the investor’s side

Get good at logistics:email, meetings, scheduling

“Don’t star fuck. It’s common in NYC.”

“Show me the product.I want to touch it.”

Ben ChodorCEO, Happtique

Ben Chodor, CEO, Happtique

“Free doesn’t work in healthcare.”

Charging is the way you make them use it

Phew!That’s a lot of mentors.

Now to just make it through demo day, raise a seed round, acquire customers, hire

developers, build out the product,

Suggestion:If you want to learn how to innovate in health care,read this!

(click book to view on Amazon)

source: ideo.com/about

Another view of innovation...

Thanks!

Tom Black / @blacktm

about.me/tomblack