Digital Disruption in the Healthcare Industry

Rani Argov, Partner, Deloitte DigitalNovember, 2017

2

Agenda

1 Healthcare has been hit by the digital wave

2 New technologies and models enable changes in the Patient Journey

1Disruption in

Healthcare

4

Digital is transforming the value chain

Medical

Records

R&

D

Insurer

Marketing

Digital products

Treatment

Experience

Applications

Network

Shift from linear to iterative

functions to create value

and connect with consumers

Supplier

Hospital/

HCP

Digital

Services

The new eco-system of value creation:

Patient uses several platforms

and different agents to collect

information

Pharma SupplierR&D B2B Marketing Insurer/

Healthcare

Network

Hospital/

HCP

Patient

Traditional Value Chain

Digital technology is benefitting providers and patients

Resons for using Health App

Help

communicating

with HCP

17%

Info on

symptoms and

medical

conditions

23%

View health

records and

tests

16%

6

Changing consumer trends, emerging technologies, and new players drive

disruption in the Healthcare sector

DRIVERS OF DISRUPTION

Changing Consumer

New Players

Technology

Cognitive Computing

Internet of Things

Wearables Additive Manufacturing

Big data & analytics

Optimization & Prediction

Augmented Reality

Autonomous Operations

Machine Learning

Autonomous Robotics Cyber Security

Blockchain

Renewable energyAdvanced Materials

XXXCyber security

Healthcare

New technologies enable the disruption in the Healthcare system

8

The digitally empowered consumer has new motivations & expectations

PERSONALIZED

• Tailored solutions

• Smart engagement

TIME SAVING & “ON THE GO”

• Looking for fast, efficient and

minimum interactions

• On-the-go, and at-home services

expected

EXPERIENCE DRIVEN

• Medical information and research is

now available online

• Biased by criticism and social

networks

• Compares services and prices

• Loyal to platforms that

differentiate the experience

• Willing to pay more for a

comfortable and accurate

experience

• Convenience driven

TRANSPARENT

• Uses mobile to contact providers

• Expects Omni Channel integration

• Wisdom of the crowd as a source of knowledge

CONNECTED

9

New PlayersNew companies with new types of

business models are in all areas of

healthcare- from fitness tracking, to

insurance companies and medical

devices.

2The New

Patient Journey

11

The New Patient Journey | Health Awareness

MAIN MOTIVATION MAIN TECHNOLOGY

Wearables & IoTConnected

Health AwarenessResearch &

BookingTesting & DiagnosisConsultation Treatment & Monitor

• Monitors physical and psychological wellbeing with mobile apps, wearables, and DNA tests

• Is notified of anything unusual, could be connected to the right resource

&

12

The New Patient Journey | Research & Booking

MAIN TECHNOLOGY

Telemedicine

Health AwarenessResearch &

BookingTesting & DiagnosisConsultation Treatment & Monitor

• Researches symptoms online, looks for a reliable source and peer input

• Video or SMS chat with a doctor for initial referral

• Books appointment through mobile

MAIN MOTIVATION

Time Saving & On-the-Go

13

The New Patient Journey | Consultation

MAIN TECHNOLOGY

Data & Analytics

Health AwarenessResearch &

BookingTesting & DiagnosisConsultation Treatment & Monitor

• In-office visits use digital to enter patient info

and give targeted educational content

• Many consultations may be held through

mobile or video chat

MAIN MOTIVATION

Experience Driven

14

The New Patient Journey | Testing & Diagnosis

MAIN TECHNOLOGY

Data &

Analytics

Health AwarenessResearch &

BookingTesting & DiagnosisConsultation Treatment & Monitor

• Tests can be sent from home

• Big data and AI support the doctor more

accurate diagnosis based on results

• Results are available though mobile

MAIN MOTIVATION

Time Saving & On-

the-GoIoT

15

The New Patient Journey | Treatment & Monitor

MAIN TECHNOLOGY

Data & Analytics

Health AwarenessResearch &

BookingTesting & DiagnosisConsultation Treatment & Monitor

• Medical records are stored digitally where they

can be shared with multiple doctors and the

patient himself

• Medical data is shared to inform other patients’

treatments

MAIN MOTIVATION

Transparent

16

Conducts over 50% of patient visits

digitally (smartphone,

videoconferencing, kiosks, etc.)

Testing &

Diagnosis

Treatment &

Monitor

Health

Awareness

Digital is connecting steps across the journey for a less linear, more iterative process

Collects and stores data digitally, to

inform individual patient care and

provide data for better diagnosis and

treatment throughout the entire

network

Research &

BookingConsultation

Example: Kaiser Permanente healthcare system serving 10.7 million in U.S.

Thank you!

rargov@deloitte.co.il

www.deloitte.co.il

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee (“DTTL”), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as “Deloitte Global”) does not provide services to clients. Please see www.deloitte.com/about for a more detailed description of DTTL and its member firms.

Deloitte provides audit, tax, consulting, and financial advisory services to public and private clients spanning multiple industries. With a globally connected network of member firms in 150 countries and territories, Deloitte brings world-class capabilities and high-quality service to clients, delivering the insights they need to address their most complex business challenges. Deloitte’s more than 225,000 professionals are committed to becoming the standard of excellence.

Brightman Almagor Zohar & Co. (Deloitte Israel) is the member firm of Deloitte Touche Tohmatsu Limited in Israel. Deloitte Israel is one of Israel’s leading professional services firms, providing a wide range of world-class audit, tax, consulting, financial advisory and trust services. Through approximately 100 partners and directors and 1000 employees the firm serves domestic and international clients, public institutions and promising fast-growth companies whose shares are traded on the Israeli, US and European capital markets.

©2017 Brightman Almagor Zohar & Co. Member of Deloitte Touche Tohmatsu Limited.