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© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
October, 2019
AI IN HEALTHCARE
THE STATE OF ADOPTION
Alex Ermolaev, Director of AI,
Change Healthcare
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
2
Intelligent Healthcare Network
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
3
Why Apply AI to Healthcare?
Source: https://fortune.com/2019/02/21/us-health-care-costs-2/ , https://www.beckershospitalreview.com/finance/healthcare-poised-to-become-largest-r-d-spending-industry-by-2020-study-says.html ,
https://advocacy.consumerreports.org/research/engaging-consumers-on-health-care-cost-and-value-issues/ , https://www.cbinsights.com/research/report/ai-trends-healthcare/
Largest Industry
$3.65T
2018 US Healthcare spend
Lots of Waste
30%
of US Healthcare spend is wasted
Second in R&D
$170B
2018 US Healthcare R&D
Lots of Opportunities
>500
AI Healthcare startups funded
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
4
AI in Healthcare
Early Diagnosis Health Monitoring Medical Imaging
Diagnostics
Precision Medicine Personalized Treatment Plans Clinical Trials
Personalized
Treatments
Smart Electronic
Health Records
Payment Accuracy
Patient Identification
and Retention
Optimized
Healthcare
System
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
5
Diagnostics
Early Diagnosis Health Monitoring Devices Medical Imaging
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
6
Sepsis Diagnostics
1.6M diagnoses/year (U.S.)
25%-30% mortality rate
#3 cause of death
#1 hospital cost in U.S.
Antibiotics increase survival rate
7.6% per hour
Source: Made for World Sepsis Day by lingruen-gmbh.com
0%
20%
40%
60%
80%
100%
120%
Sepsis is a medical emergency
0 1 2 3 4 5 6 9 12 24 36
Hours
Patients with effective antibiotic therapy
Patients survival
rate (%)
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
7
Sepsis Diagnostics cont.
Source: https://www.researchgate.net/publication/326661039_Applying_Artificial_Intelligence_to_Identify_Physiomarkers_Predicting_Severe_Sepsis_in_the_PICU
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
8
Source: http://news.mit.edu/2019/using-ai-predict-breast-cancer-and-personalize-care-0507
Using AI to Predict Breast Cancer and Personalize Care
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
9
Predicting Alzheimer 6 Years Before Symptoms Appear
Source: https://www.ucsf.edu/news/2019/01/412946/artificial-intelligence-can-detect-alzheimers-disease-brain-scans-six-years
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
10
Medical Devices
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
11
Intelligent Workflow Driven by AI
Brain
Subarachnoid Hemorrhage
Subdural hemorrhage
Extradural hemorrhage
Intraventricular hemorrhage
Parenchymal hemorrhage
Hydrocephalus
Midline shift
Descending transtentorial herniation
Ascending transtentorial herniation
Abdomen
Perforation / Free air
Bowel obstruction
Spinal epidural hemorrhage
Vertebral fracture
Chest
Pneumothorax
Aortic dissection
PE
Spinal epidural hemorrhage
Vertebral fracture
Neck
Retropharyngeal abscess
Spinal epidural hemorrhage
Vertebral fracture
Vertebral artery dissection
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
12
Personalized Treatments
Precision
Medicine
Personalized Treatment
Plans
Drug Discovery &
Clinical Trials
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
13
Precision Medicine
Source: https://allofus.nih.gov/
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
14
Personalized Treatment Plans
Source: https://www.media.mit.edu/publications/reinforcement-learning-for-designing-novel-clinical-trials-for-treating-cancer-patients/
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
15
Clinical Trials
Oncology Trials
3.4%
of oncology clinical trials
are completed
Patients Enrolled
5%
of cancer patients are
enrolled in clinical trials
Sources: http://blogs.sciencemag.org/pipeline/archives/2018/02/02/a-new-look-at-clinical-success-rates
https://www.beckershospitalreview.com/quality/just-5-of-cancer-patients-participate-in-clinical-trials-5-things-to-know.html
"I don't think it's an unwillingness on the patients' part. I don't
even think it's an unwillingness on the physician's part. It’s really
a system error...” Scott Delacroix, MD, told PBS NewsHour.
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
16
Optimized Healthcare System
Smart Electronic
Health Records
Payment Accuracy
and Streamlining
Patient Identification
and Retention
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
17
About 1/3 of Healthcare Spending is Wasted
Sources: https://advocacy.consumerreports.org/research/engaging-consumers-on-health-care-cost-and-value-issues/
$10,000
$8,000
$6,000
$4,000
$2,000
$0
Average U.S. Healthcare
Spending per Person in 2014
$9,700
Total Wasted Spending per Person……… $2,910
Wasted
Spending
Necessary
Spending
Unnecessary Services
Example: Duplicate Tests $800
Inefficient Care Delivery
Example: Test Results Not Shared $495
Inflated Prices
Example: Excessive Profits $400
Fraud
Example: False Claims $285
Prevention Failures
Example: Missed Flu Shot $210
Excess Administrative Costs
Example: Billing Errors $720
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
18
Medical Text
Understanding
Header ✓
Footer ✓
David A. Smith, M.D. ✓
Legalese ✓
Likely diagnoses ✓
Member info ✓
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
19
Medical Claims
1. Source: https://www.businesswire.com/news/home/20170626005391/en/Change-Healthcare-Analysis-Estimated-262-Billion-Healthcare
2. Source: Change Healthcare Internal Statistics
US Medical Claims:
$3T per year1
Claims Denied:
$262B per
year (9%)1
Cost of Rework:
$118 per claim1
Total Loss:
> $100B2
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
20
Patient Identification: Dual Enrollment
1 - CMS Fast Facts, January 2018: https://www.cms.gov/Research-Statistics-Data-and-Systems/Statistics-Trends-and-Reports/CMS-Fast-Facts/index.html
2- Kaiser Family Foundation: https://www.kff.org/medicare/state-indicator/medicare-beneficiaries-by-fpl/?currentTimeframe=0&sortModel=%7B%22colId%22:%22Location%22,%22sort%22:%22asc%22%7D
3- CMS, https://www.cms.gov/Medicare-Medicaid-Coordination/Medicare-and-Medicaid-Coordination/Medicare-Medicaid-Coordination-Office/DataStatisticalResources/Data-and-Statistical-Resources.html
Today
58.8M
Medicare beneficiaries
Live at or below
34%
of the federal poverty level
And only
10.6M
are dual-enrolled
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
21
AI in Healthcare Summary
Early Diagnosis Health Monitoring Medical Imaging
Diagnostics
Precision Medicine Personalized Treatment Plans Clinical Trials
Personalized
Treatments
Smart Electronic
Health Records
Payment Accuracy
Patient Identification
and Retention
Optimized
Healthcare
System
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
22
Healthcare
AI Startups
Source: https://www.cbinsights.com/research/artificial-intelligence-startups-healthcare/
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
23
AI in Healthcare Challenges
Embrace
Variety
Respect
Data
Understand
Workflow
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
24
Not All AI Projects are Viable Today
Source: An Empirical Model of Large-Batch Training, https://arxiv.org/pdf/1812.06162.pdf
Technically
Feasible
Economically
Feasible
Budget
Deadline
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
25
Different AI Accuracy Requirements
EMS
Coding
Radiology
Coding
Risk & HEDIS
Coding
Revenue
Optimization
Audit
Payment
Integrity Audit
Full AI coding AI as a component
Dual
Eligibility
HEDIS is a registered trademark of the National Committee for Quality Assurance (NCQA)
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
26
Source: https://www.pwc.com/gx/en/issues/data-and-analytics/publications/artificial-intelligence-study.html
PwC’s Global Artificial Intelligence Study: Sizing the Prize
37%
Ready to go
Medical insurance and
smarter scheduling
(e.g., appointments
and operations)
23%
Medium-term potential
Data-driven diagnostics
and virtual-drug
development
40%
Longer-term potential
Robot doctors carrying
out diagnosis and
treatment
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.
27
“In order to understand trust in the relationship
between humans and automation, we have to
explore trust in two dimensions: trust in the technology
and trust in the innovating firm.”
Source: https://hbr.org/2017/04/to-get-consumers-to-trust-ai-show-them-its-benefits
© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.

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AI in Healthcare: the State of Adoption. ODSC West 2019 Keynote

  • 1. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.© 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. October, 2019 AI IN HEALTHCARE THE STATE OF ADOPTION Alex Ermolaev, Director of AI, Change Healthcare
  • 2. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 2 Intelligent Healthcare Network
  • 3. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 3 Why Apply AI to Healthcare? Source: https://fortune.com/2019/02/21/us-health-care-costs-2/ , https://www.beckershospitalreview.com/finance/healthcare-poised-to-become-largest-r-d-spending-industry-by-2020-study-says.html , https://advocacy.consumerreports.org/research/engaging-consumers-on-health-care-cost-and-value-issues/ , https://www.cbinsights.com/research/report/ai-trends-healthcare/ Largest Industry $3.65T 2018 US Healthcare spend Lots of Waste 30% of US Healthcare spend is wasted Second in R&D $170B 2018 US Healthcare R&D Lots of Opportunities >500 AI Healthcare startups funded
  • 4. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 4 AI in Healthcare Early Diagnosis Health Monitoring Medical Imaging Diagnostics Precision Medicine Personalized Treatment Plans Clinical Trials Personalized Treatments Smart Electronic Health Records Payment Accuracy Patient Identification and Retention Optimized Healthcare System
  • 5. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 5 Diagnostics Early Diagnosis Health Monitoring Devices Medical Imaging
  • 6. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 6 Sepsis Diagnostics 1.6M diagnoses/year (U.S.) 25%-30% mortality rate #3 cause of death #1 hospital cost in U.S. Antibiotics increase survival rate 7.6% per hour Source: Made for World Sepsis Day by lingruen-gmbh.com 0% 20% 40% 60% 80% 100% 120% Sepsis is a medical emergency 0 1 2 3 4 5 6 9 12 24 36 Hours Patients with effective antibiotic therapy Patients survival rate (%)
  • 7. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 7 Sepsis Diagnostics cont. Source: https://www.researchgate.net/publication/326661039_Applying_Artificial_Intelligence_to_Identify_Physiomarkers_Predicting_Severe_Sepsis_in_the_PICU
  • 8. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 8 Source: http://news.mit.edu/2019/using-ai-predict-breast-cancer-and-personalize-care-0507 Using AI to Predict Breast Cancer and Personalize Care
  • 9. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 9 Predicting Alzheimer 6 Years Before Symptoms Appear Source: https://www.ucsf.edu/news/2019/01/412946/artificial-intelligence-can-detect-alzheimers-disease-brain-scans-six-years
  • 10. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 10 Medical Devices
  • 11. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 11 Intelligent Workflow Driven by AI Brain Subarachnoid Hemorrhage Subdural hemorrhage Extradural hemorrhage Intraventricular hemorrhage Parenchymal hemorrhage Hydrocephalus Midline shift Descending transtentorial herniation Ascending transtentorial herniation Abdomen Perforation / Free air Bowel obstruction Spinal epidural hemorrhage Vertebral fracture Chest Pneumothorax Aortic dissection PE Spinal epidural hemorrhage Vertebral fracture Neck Retropharyngeal abscess Spinal epidural hemorrhage Vertebral fracture Vertebral artery dissection
  • 12. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 12 Personalized Treatments Precision Medicine Personalized Treatment Plans Drug Discovery & Clinical Trials
  • 13. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 13 Precision Medicine Source: https://allofus.nih.gov/
  • 14. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 14 Personalized Treatment Plans Source: https://www.media.mit.edu/publications/reinforcement-learning-for-designing-novel-clinical-trials-for-treating-cancer-patients/
  • 15. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 15 Clinical Trials Oncology Trials 3.4% of oncology clinical trials are completed Patients Enrolled 5% of cancer patients are enrolled in clinical trials Sources: http://blogs.sciencemag.org/pipeline/archives/2018/02/02/a-new-look-at-clinical-success-rates https://www.beckershospitalreview.com/quality/just-5-of-cancer-patients-participate-in-clinical-trials-5-things-to-know.html "I don't think it's an unwillingness on the patients' part. I don't even think it's an unwillingness on the physician's part. It’s really a system error...” Scott Delacroix, MD, told PBS NewsHour.
  • 16. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 16 Optimized Healthcare System Smart Electronic Health Records Payment Accuracy and Streamlining Patient Identification and Retention
  • 17. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 17 About 1/3 of Healthcare Spending is Wasted Sources: https://advocacy.consumerreports.org/research/engaging-consumers-on-health-care-cost-and-value-issues/ $10,000 $8,000 $6,000 $4,000 $2,000 $0 Average U.S. Healthcare Spending per Person in 2014 $9,700 Total Wasted Spending per Person……… $2,910 Wasted Spending Necessary Spending Unnecessary Services Example: Duplicate Tests $800 Inefficient Care Delivery Example: Test Results Not Shared $495 Inflated Prices Example: Excessive Profits $400 Fraud Example: False Claims $285 Prevention Failures Example: Missed Flu Shot $210 Excess Administrative Costs Example: Billing Errors $720
  • 18. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 18 Medical Text Understanding Header ✓ Footer ✓ David A. Smith, M.D. ✓ Legalese ✓ Likely diagnoses ✓ Member info ✓
  • 19. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 19 Medical Claims 1. Source: https://www.businesswire.com/news/home/20170626005391/en/Change-Healthcare-Analysis-Estimated-262-Billion-Healthcare 2. Source: Change Healthcare Internal Statistics US Medical Claims: $3T per year1 Claims Denied: $262B per year (9%)1 Cost of Rework: $118 per claim1 Total Loss: > $100B2
  • 20. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 20 Patient Identification: Dual Enrollment 1 - CMS Fast Facts, January 2018: https://www.cms.gov/Research-Statistics-Data-and-Systems/Statistics-Trends-and-Reports/CMS-Fast-Facts/index.html 2- Kaiser Family Foundation: https://www.kff.org/medicare/state-indicator/medicare-beneficiaries-by-fpl/?currentTimeframe=0&sortModel=%7B%22colId%22:%22Location%22,%22sort%22:%22asc%22%7D 3- CMS, https://www.cms.gov/Medicare-Medicaid-Coordination/Medicare-and-Medicaid-Coordination/Medicare-Medicaid-Coordination-Office/DataStatisticalResources/Data-and-Statistical-Resources.html Today 58.8M Medicare beneficiaries Live at or below 34% of the federal poverty level And only 10.6M are dual-enrolled
  • 21. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 21 AI in Healthcare Summary Early Diagnosis Health Monitoring Medical Imaging Diagnostics Precision Medicine Personalized Treatment Plans Clinical Trials Personalized Treatments Smart Electronic Health Records Payment Accuracy Patient Identification and Retention Optimized Healthcare System
  • 22. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 22 Healthcare AI Startups Source: https://www.cbinsights.com/research/artificial-intelligence-startups-healthcare/
  • 23. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 23 AI in Healthcare Challenges Embrace Variety Respect Data Understand Workflow
  • 24. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 24 Not All AI Projects are Viable Today Source: An Empirical Model of Large-Batch Training, https://arxiv.org/pdf/1812.06162.pdf Technically Feasible Economically Feasible Budget Deadline
  • 25. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 25 Different AI Accuracy Requirements EMS Coding Radiology Coding Risk & HEDIS Coding Revenue Optimization Audit Payment Integrity Audit Full AI coding AI as a component Dual Eligibility HEDIS is a registered trademark of the National Committee for Quality Assurance (NCQA)
  • 26. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 26 Source: https://www.pwc.com/gx/en/issues/data-and-analytics/publications/artificial-intelligence-study.html PwC’s Global Artificial Intelligence Study: Sizing the Prize 37% Ready to go Medical insurance and smarter scheduling (e.g., appointments and operations) 23% Medium-term potential Data-driven diagnostics and virtual-drug development 40% Longer-term potential Robot doctors carrying out diagnosis and treatment
  • 27. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved. 27 “In order to understand trust in the relationship between humans and automation, we have to explore trust in two dimensions: trust in the technology and trust in the innovating firm.” Source: https://hbr.org/2017/04/to-get-consumers-to-trust-ai-show-them-its-benefits
  • 28. © 2019 Change Healthcare LLC and/or one of its subsidiaries. All Rights Reserved.