1.
IND-1418
Medical Device Transformation: How to be
Relevant and Bring Value to Healthcare
Session Type : Breakout Session
Date/Time : Wed, 24-Feb, 01:15 PM-02:00 PM
Venue : Mandalay Bay SOUTH
Room : South Seas C
Presenter – Elizabeth Koumpan, IBM
ekoumpan@ca.ibm.com

2.
Please Note:
1
• IBM’s statements regarding its plans, directions, and intent are subject to change or withdrawal without notice at IBM’s sole
discretion.
• Information regarding potential future products is intended to outline our general product direction and it should not be relied on in
making a purchasing decision.
• The information mentioned regarding potential future products is not a commitment, promise, or legal obligation to deliver any
material, code or functionality. Information about potential future products may not be incorporated into any contract.
• The development, release, and timing of any future features or functionality described for our products remains at our sole discretion.
• Performance is based on measurements and projections using standard IBM benchmarks in a controlled environment. The actual
throughput or performance that any user will experience will vary depending upon many factors, including considerations such as the
amount of multiprogramming in the user’s job stream, the I/O configuration, the storage configuration, and the workload processed.
Therefore, no assurance can be given that an individual user will achieve results similar to those stated here.

3.
Ineffectiveness and inefficiency are
driving evolution of the HealthCare
environment.

4.
The Current Global Health Care Faces Serious Challenges…
Global Health Care Outlook Common Goals, Competing Priorities. Rep. Deloitte, 2015. Web. 16 June 2015.
Roeder, Amy. Reducing Wasteful Health Care Spending Begs the Question, What Is Waste? Harvard, T.H. Chan School of Public
Health. Harvard, T.H. Chan School of Public Health.
2015 Global Health Care Outlook Common Goals, Competing Priorities. Rep. Deloitte, 2015. Web. 16 June 2015.
• $7.8T healthcare spend (up to
18% GDP)
• Healthcare spend growing at
2.5X the economy (US)
• Over 1TB of healthcare data
per patient
• New clinical insights exceed
clinician availability
•Evolving FDA requirements
for remote patient
monitoring solutions
•18-25% of population have a
chronic disease, consuming
80+% of healthcare spend
•20-25+% of major healthcare
markets over 65
• Growth of accountable care
models
• Increasing Patient-Centered
Medical Home initiatives
• 30% of healthcare/social
spend is wasted
• 44% of initial cancer
treatments are modified
3
Drive to outcome-based,
patient-centric healthcare
Exploding patient dataChronic disease epidemic
Unsustainable
healthcare spend
Inefficient care
Shifting
regulatory environment

5.
4
Emerging Technologies are Driving Change through
Economic and Societal Forces
Healthcare based drivers
Increased Competition and
Regulations
 More regulations and compliance
requirements
 Technology enabled new
competition
Demographics and Lifestyle
 Expectations for better quality, value
and outcomes
 Aging population and escalating
incidence of chronic disease
Resource Shortages
 Shortage of right skills, capabilities
and supplies
 Shortage of consumer and provider
based services
Technology driven forces
Connected and Open
 Proliferation of mobile devices and
internet access
 Fosters collaboration within the
ecosystem
Fast and Scalable
 Anticipate unknown requirements
and quickly address them
 Reduced cost of innovation
Simple and Intelligent
 Reduced and masked complexity
 Analytics and insights to drive
decision-making
HEALTHCARE
TRANSFORMATION
Organizations must
embrace disruptive
technologies to drive
innovation
Social
Mobile
AnalyticsCloud
3-D Printing
Nanotech

6.
The global market for
Wearable Medical Devices is
projected to reach US$4.5
billion by 2020, driven by the
growing need for effective
management of chronic
diseases, rising healthcare
awareness, and launch of
innovative health management
devices
Wearable Applications in Healthcare Span Clinical and
Operational Areas
Source: Market Research http://www.strategyr.com/MarketResearch/Wearable_Medical_Devices_Market_Trends.asp#sthash.kF3HKQxq.dpuf
4

7.
Technology is the most Important External Force that will
Affect the Enterprise
6
“Healthcare is becoming a more customer-driven
business and younger consumers are being influenced
by other industries, so self-service is key.
These consumers wear FitBits and use their mobile
devices to access data for do-it-yourself diagnoses.
They ‘want it now’ and they’re moving away from making
appointments to on-demand medical care.”
CFO, Healthcare Provider, US

8.
We need technology that provides
better visibility into vast amount of data,
linking to the patient and
securely shared across the enterprise
ecosystems.

9.
Data from Medical Devices is a Disconnected Component
of the Health Care Model
8

10.
Medical Device Companies can Deliver the Compelling
Experiences Consumers Demand
• Better Devices with Better Insights – better value for Health care
• Moving from a Product Company to Service Augmented Product Company
• Servicing Multiple Ecosystem Customers Demands a Platform Approach
“I am taking responsibility for My Health”
patient centric
Collect device data
Present data (alerts, readings)
Augment (additional devices, logs, journals,
surveys)
Aggregate (device data repository)
“We are Coordinating Patient Care”
provider centric
Present data (alerts, readings)
Augment (patient data from various sources)
Report
“We are Managing Patient Costs”
payer centric
Population Management
Risk Stratification
Service Utilization
Comparative Effectiveness Research
“We are Innovating/Leading”
Med device business unit centric
Trend analytics
Competitive insights
Customer satisfaction
Product Life cycle management
“We are collaborating to Improve Standards of Care”
ACO ( accountable care organization) model centric
Sharing Insights
Intelligence as a Services
Ecosystem participation
9

11.
Device Data which is not Linked to a Patient – are Useless
 The use of device data by an information system varies,
presenting problems for users and information exchange.
 The device data handling system, which includes the
devices, device intermediaries if any, record systems and
viewing systems must handle clinically important data
and provide access to potentially terabytes of high-
resolution monitored patient data, including multiple
waveform streams over an extended period.
 The device data which are not linked to a patient are
useless, and device data linked to the wrong patient are
dangerous.
10

12.
The Healthcare industry is Building an Ecosystem with the
Patient and Consumer at their Core
Note: For the Healthcare industry, the term “consumer” may imply: individual, member, patient, carer or customer
Adherence
Personalized medicine
Workplace safety
Employee wellness
Community health
Digital hospital
Transitional care
Home care
Ancillary care
Population analytics
Member wellness
Preventative care

13.
Medical devices have an opportunity to
address the needs by moving from a
product company to service augmented
product company

14.
New Service and Solution Capabilities will be Required to
Deliver Connected Care Solutions
Cloud-enabled Ecosystem
Operating Models
Monitoring &
data collection
Insight-based
Engagement
Analytics
Transitionto
highervalue
Legacy Internal
Operational Capabilities
Diagnostic Product Enhancement
•Technology/procedure-centric (‘niche’)
•Traditional customers, declining growth
•Traditional capex business model
•Efficient services
Disease Management Solutions
• Patient/disease-centric
• New customers, double-digit growth
• Outcome-based business model
• Solution-centric operations
Provider Coordinated Care Solutions
• Shift to services
• Traditional customers, single-digit growth
• Monetized services
• Hybrid product/service operations
Advanced Clinical
Decision Support
Preventative Support
Operational Consulting
Chronic Disease
Management
Clinical Consulting
Integrated patient
monitoring
Aging in Place

15.
Transformative Healthcare Engages the Ecosystem…
Community healthPopulation analytics
Member wellness
Preventative care
Digital hospital
Transitional care
Home care
Ancillary care
Adherence
Personalized
medicine
Workplace safety
Employee wellness
14

16.
Medical Devices can deliver Innovative Healthcare
Solutions across Ecosystems
 The industry is at an inflection point: we now can address the most difficult problems and
turn insight into action due to advances in data availability, analytics, and connectivity.
 Big Data enables the aggregation of a wide variety of information, everything from
individual genetics and personal health records to environmental conditions and studies of
large populations over long periods of time.
 Analytics tools, including cognitive systems such as Watson, make it possible to
understand all factors affecting health much more deeply, so all participants across the
continuum of care, including the patients, can make better decisions.
 Cloud computing makes it easier for all parties to share and access information.
 And a new generation of mobile devices–including fitness trackers and other home
monitoring devices– enables people to gather data about themselves and connect with
health advisors and physicians anywhere, anytime.
 The industry needs an open platform--with an agnostic host-- who can convene players
from across all stakeholders: physicians, researchers, insurers and companies focused on
health and wellness solutions
15

17.
Medical Devices are Essential Components of Ecosystems
Clinical
data
data
Genomics
data
data
Exogenous
data
Medical
Literature
Guidelines
Institutional
Knowledge
• Patient monitoring
• Alarm data
• Point-of-care devices
• In-home patient monitoring
16

18.
Establishing a connected service delivery
platform that turns aggregated data into
insight and actions enables med tech
companies, providers and patients to
transform healthcare

19.
An IoT Connected Care Platform serves as the Foundation
for Transformative Healthcare Solutions
Vital Monitoring
Wearables
Diagnostic Imaging
Systems
Analytics, Insights
(Intelligence)
Care Coordination, Patient Engagement
(Integration)
Foundation
(Instrumentation/Interconnection)
Security
360°Holistic Patient
View
Advanced Clinical
Decision Support
Coordinated Care
Longitudinal
Patient Record
Predictive Device
Management
Tele-health
Digital Specialist
Aging in Place Chronic Disease
Management
Digital Hospital
Post-Acute
Transitional Care
Outcome-
based,
patient-centric
healthcare
Exploding
patient data
Chronic
disease
epidemic
Care resource
shortage
New markets for
existing product
categories
New monetized
services with
existing clients
Seamless
patient
experience
Efficient service
delivery for
existing
products
18

20.
Deliver Secure Edge-to-Cloud Solutions
Sensor Data History
Sensors
In-memory
Analytics
Predictive
Analytics
Publish /
Subscribe
Cloud
Infrastructure
Real-time
Analytics
Real-time
Analytics
Operational
Analytics
Big Data
Analytics
(no gateway)
Big Data
Platform
Big Data
Analytics
Smart
Gateways
for local
analytics
TimeSeries
Service
19

21.
Connected HealthCare Platform Transforms Operational
Capabilities to Deliver Solutions, not Technologies
20

22.
We need a solid foundation to remove
information barriers, automatically
capture data and seamlessly integrate it
with analytical insights into healthcare
processes to enable smarter decisions

23.
Big Data Analytics Requires Integrated Capabilities that Scale
Trusted  Relevant  Governed
Analyze
Integrate
Manage
External
Information
Sources
Cubes
Streams
Hadoop
Master
Data
Unstructured
Content
Structured
Data
Streaming
Information
Quality
Security &
Privacy
Lifecycle
Enterprise
Data
Warehouse
Standards
Clinical and
Transactional
Business
Applications
Content &
Predictive
Analytics
Information
Governance
ODS
Data Model
Clinical and Business
Analytics
Applications
• Drug database
• Public health
• Claims data
• Social media
• EMR
• Labs
• Patient Intake
• Care coordination
• Operational analytics
• Patient engagement
• Care coordination
• ACO dashboards
• Similarity analytics
• Predictive analytics

24.
A Next Generation Advanced Analytics Platform
New / Enhanced
Applications
Data sources
Population Risk
Management
Regulatory
Applications
Clinical
Applications
Predictive Analytics
Financial
Performance
Knowledge
Management/Reco
mmendations
IBM Watson Foundations
Big Data & Analytics Strategy, Integration & Managed Services
Big Data & Analytics Infrastructure
What’s
happening?
Discovery
Why
did it
happen?
Reporting &
analysis
What could
happen?
Predictive
analytics
What’s
best?
Cognitive
What action
should I
take?
Decisions
Information Integration,
Security & Governance
Landing, Exploration
& Archive
data zone
EDW &
data mart
zone
Operational
data zone
Real-time Data Processing
& Analytics
Deep
Analytics
data zone
Device Data
EMRs
Pathology
Images
Registries
Radiological
Images
Emergency
Case
Reports
Clinical
Dictation Data
Genomics
Registration
Schedules
Lab /
Pharmacy
Financial
Other

25.
“Cognitive computing will fundamentally
change the way the medical patient file is
used and perceived. When we can perform a
true and concrete analysis of the information,
we’ll be able to provide doctors with advice.”
CIO, Healthcare Provider, Belgium

26.
IBM Watson Health Cloud Enables Access of Cognitive
Clinical Decision Support
25
Health Data ServicesHealth Data Services
Imaging PACSWearable Data Patient Monitoring Data
Clinical
data
Genomics
data
Exogenous
data
Medical
Literature
Guidelines
Institutional
Knowledge
DATA SOLUTIONS KNOWLEDGE SOLUTIONSDATA & KNOWLEDGE SOLUTIONS

27.
WATSON Health Capabilities
Population Health
Management
Identify care gaps and
enable delivery of timely,
coordinated care
Social
Programs
Ensure that care
approaches address
individuals' social context
Real World
Evidence
Uncover health
interventions to
inform care
approaches
Condition
Specific Care
Apply best care
protocols to manage
chronic conditions
Health
and Wellness
Empower individuals to
live healthier, more
productive lives
Discovery
Solutions
Accelerate research and
improve treatments
options
...
Exogenous
data
Med device
Lab &
diag.
Clinical Genomic
Payments
& Claims
...
Terminology
& taxonomy
Published
texts
Scientific
journals
Medical
guidelines
Patient cohorts
Disease
progression
Risk
Factors
Population
Analytics
Adverse events Drug efficacy
Comparative
effectiveness
Pricing models
Provider
segmentation
Sales deployment
Marketing
effectiveness
Off-label use
Patient-trial
Matching
Site Selection
Insights as a service delivered by Watson Health platform
Data and Knowledge Ingested by Watson health Platform
26

28.
To support transformation, Industry
needs a technology partner that can
deliver a new analytical ecosystem

29.
Turn data into insights to drive business and care outcomes
• Reduce the number of preventable errors
• Deliver improved outcomes at lower costs
• Reduce re-admissions
• Align resources for the best care possible in the most cost effective way
• Integrate and analyze varieties of data, structured, unstructured
• Analyze at scale and interact in natural language processing
• Leverage cognitive computing systems
Enable new ways to engage individuals and across the enterprise
• Engage Individuals and families in health and wellness, across care
continuum and the enterprise
• Extend reach and capacity with mHealth initiatives
• Assure comprehensive privacy and secure connectivity across device,
technology, venues
• Improve patient satisfaction
Essential Partner for Healthcare Enterprises
Remake the enterprise to support transformation
• Drive business agility to meet changing demand, new business models,
partnerships and services with cloud
• Optimize to lower costs; support transformational initiatives
• Apply dynamic models for consumption and delivery of business and IT
services
• Transfer fixed costs to variable costs for new demands and service
opportunities 28

30.
IBM Brings Knowledge and Data Together
• Provide an open platform for partners, researchers,
providers, payers, pharma, and medical devices companies
to develop new solutions and discoveries around Health
• Brings together Knowledge and Data – building upon IBM’s
strengths in cognitive computing, analytics, security and
cloud
• The Watson Health Cloud: an open, highly scalable and
secure data platform to provide clients, partners and medical
researchers with access to clinical, research and social
health data
• New relationships with leading companies such as Apple,
Johnson & Johnson and Medtronic
• Three acquisitions: Explorys , Phytel & Merge – advancing
our healthcare analytics capabilities
• A new business unit: IBM Watson Health dedicated to the
advancement of innovation in health insight and solutions
IBM is a technology partner that can deliver a new analytical ecosystem that
supports the entire spectrum of traditional and big data analytical workloads in
collaborative way, while keeping data governed and everything integrated.
29

31.
Use Case: The Ottawa Hospital Brings Mobile Technology
Bedside to Achieve Better Care
Challenges
The Ottawa Hospital had an aggressive goal of becoming a
top 10 percent performer in quality of care and patient safety
in North America. Care teams were struggling to compensate
for manual processes that could be highly variable.
Solution
IBM provided a care management platform, improving
coordination of and visibility into changing patient and hospital
conditions, allowing practitioners to collaborate and spend
more time with patients.
Benefits
Improvements in patient flow through electronic closed-loop
consults and easy access to patient information
Improves quality of care, patient safety, access to
specialized resources and the overall patient experience.
“I have never had care process improvement
initiatives that were as positive as this one, the
stakeholders were riveted to our meetings. They
were extremely excited about the options they
were being presented with.”
~ Glen Geiger,
Chief Medical Information officer,
The Ottawa Hospital
30

32.
Envision the Future
The combination of rapid technology developments together
with the expectations of patients and providers is driving lasting
changes and transformation in the medical device space.
This model where capabilities, such as disease management,
are delivered as services through a shared IT Platform, can be
extended globally.
In this future, Medical device companies can be trusted
providers of chronic disease management services, such as for
diabetes, congestive heart failure and sleep disorders,
partnering with IT Solution Partners for an underlying shared IT
platform and business process services
31

33.
Change the future today

34.
Notices and Disclaimers
33
Copyright © 2016 by International Business Machines Corporation (IBM). No part of this document may be reproduced or transmitted in any form without written permission
from IBM.
U.S. Government Users Restricted Rights - Use, duplication or disclosure restricted by GSA ADP Schedule Contract with IBM.
Information in these presentations (including information relating to products that have not yet been announced by IBM) has been reviewed for accuracy as of the date of
initial publication and could include unintentional technical or typographical errors. IBM shall have no responsibility to update this information. THIS DOCUMENT IS
DISTRIBUTED "AS IS" WITHOUT ANY WARRANTY, EITHER EXPRESS OR IMPLIED. IN NO EVENT SHALL IBM BE LIABLE FOR ANY DAMAGE ARISING FROM THE
USE OF THIS INFORMATION, INCLUDING BUT NOT LIMITED TO, LOSS OF DATA, BUSINESS INTERRUPTION, LOSS OF PROFIT OR LOSS OF OPPORTUNITY.
IBM products and services are warranted according to the terms and conditions of the agreements under which they are provided.
Any statements regarding IBM's future direction, intent or product plans are subject to change or withdrawal without notice.
Performance data contained herein was generally obtained in a controlled, isolated environments. Customer examples are presented as illustrations of how those customers
have used IBM products and the results they may have achieved. Actual performance, cost, savings or other results in other operating environments may vary.
References in this document to IBM products, programs, or services does not imply that IBM intends to make such products, programs or services available in all countries in
which IBM operates or does business.
Workshops, sessions and associated materials may have been prepared by independent session speakers, and do not necessarily reflect the views of IBM. All materials
and discussions are provided for informational purposes only, and are neither intended to, nor shall constitute legal or other guidance or advice to any individual participant or
their specific situation.
It is the customer’s responsibility to insure its own compliance with legal requirements and to obtain advice of competent legal counsel as to the identification and
interpretation of any relevant laws and regulatory requirements that may affect the customer’s business and any actions the customer may need to take to comply with such
laws. IBM does not provide legal advice or represent or warrant that its services or products will ensure that the customer is in compliance with any law

35.
Notices and Disclaimers Con’t.
34
Information concerning non-IBM products was obtained from the suppliers of those products, their published announcements or other publicly available sources. IBM has not
tested those products in connection with this publication and cannot confirm the accuracy of performance, compatibility or any other claims related to non-IBM products.
Questions on the capabilities of non-IBM products should be addressed to the suppliers of those products. IBM does not warrant the quality of any third-party products, or the
ability of any such third-party products to interoperate with IBM’s products. IBM EXPRESSLY DISCLAIMS ALL WARRANTIES, EXPRESSED OR IMPLIED, INCLUDING BUT
NOT LIMITED TO, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE.
The provision of the information contained herein is not intended to, and does not, grant any right or license under any IBM patents, copyrights, trademarks or other intellectual
property right.
IBM, the IBM logo, ibm.com, Aspera®, Bluemix, Blueworks Live, CICS, Clearcase, Cognos®, DOORS®, Emptoris®, Enterprise Document Management System™, FASP®,
FileNet®, Global Business Services ®, Global Technology Services ®, IBM ExperienceOne™, IBM SmartCloud®, IBM Social Business®, Information on Demand, ILOG,
Maximo®, MQIntegrator®, MQSeries®, Netcool®, OMEGAMON, OpenPower, PureAnalytics™, PureApplication®, pureCluster™, PureCoverage®, PureData®,
PureExperience®, PureFlex®, pureQuery®, pureScale®, PureSystems®, QRadar®, Rational®, Rhapsody®, Smarter Commerce®, SoDA, SPSS, Sterling Commerce®,
StoredIQ, Tealeaf®, Tivoli®, Trusteer®, Unica®, urban{code}®, Watson, WebSphere®, Worklight®, X-Force® and System z® Z/OS, are trademarks of International Business
Machines Corporation, registered in many jurisdictions worldwide. Other product and service names might be trademarks of IBM or other companies. A current list of IBM
trademarks is available on the Web at "Copyright and trademark information" at: www.ibm.com/legal/copytrade.shtml.

36.
Thank You
Your Feedback is Important!
Access the InterConnect 2016 Conference Attendee
Portal to complete your session surveys from your
smartphone,
laptop or conference kiosk.