Healthcare expenses now represent 17.6 percent of US GDP, nearly $600 billion more than the expected benchmark for a nation of the United States’s size and wealth says a McKinsey report. The Washington Post states that health insurance coverage now costs $23,215 for a typical family, with employers bearing 60% of those costs. According to the Institute of Medicine, the U.S. healthcare system wastes more than $765 billion each year—about 30 percent of our healthcare spending.
Employers are looking for ways to cut down healthcare costs for their employees. And, insurance companies are looking to deliver optimized healthcare costs by standardizing treatments. For example, Wellpoint announced that they are seeking to standardize cancer treatment using protocols that are supposed to be more cost effective and offer the right amount of benefits versus side effects.
Technology might be the answer to deliver on this increasing challenging task. With the proliferation of technology in healthcare, it opens up avenues for cost optimization – reduce inefficiencies and redundancies, use data to identify better treatment outcomes, which in turn means lesser doctor and hospital visits. A McKinsey and Co. report last year estimated that big data could help reduce health care expenses by as much as $450 billion by allowing providers to quickly identify high-risk patients, stage effective interventions and closely monitor those in need.
Two companies are helping hospitals, doctors and researchers analyze medical data to develop treatment protocols that improve patient outcomes. Both are members of the SAP Startup Focus program.
ConvergenceCT‘s data warehouse and analytics solution, based on proprietary data models and processing methods, provides a direct, holistic, and interactive exploration of health data. Focusing on treatment of breast cancer, it enables healthcare professionals to provide better patient outcomes while reducing costs for patients and providers.
PHEMI Central is a big data digital asset library that collects, curates, and analyzes a variety of relational, structured and unstructured data across disparate information systems in hospitals. It simplifies the information system architecture which in turn helps keep costs down while unlocking the data potential for better decision making by healthcare providers.
Technology can transform healthcare by helping us keep costs flat while improving our health.
Come and hear more from these two companies at the Think Like a Startup Forum at SAPPHIRE NOW in Orlando June 3-5, 2014.