Future of the Healthcare Cloud:

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1 Future of the Healthcare Cloud: Medical Grade Infrastructure David M. Hamilton Senior Vice President, Enterprise Services Siemens Medical Solutions USA, Inc. Daniel J. Emig Vice President, Managed Services Siemens Medical Solutions USA, Inc. A E1-4A00 Agenda Industry Trends Cloud Computing Healthcare Cloud Computing Medical Grade Infrastructure Page 2 1

2 Key Trends Affecting IT Today A Google search on Cloud Computing will produce over 26,500,000 results. Massive Storage: Storing the DNA analysis of one person takes 3B bytes. Declining Costs: In 1997, a GB of flash memory cost $7,870. Today it costs $1.25 Miniaturization: The computer in your cell phone is a million times cheaper, a thousand times more powerful, and a hundred thousand times smaller then the ONE computer installed at MIT in Mobility: Information is being delivered more and more through multiple mobile devices per user, with traditional point and click systems slowly becoming dinosaurs. Remote access is now a requirement. Ease of Use: 10 Million ipads sold in 9 months from launch documentation is on one side of a small glossy card. Page 3 Managed Services Supply Chain Options Page 4 2

3 Mgmt. and Security IT Industry View of Cloud Computing Wikipedia Definition of Cloud Computing Cloud Computing is the provision of dynamically scalable and often virtualized resources as a service over the Internet on a utility basis. Users need not have knowledge of, expertise in, or control over the technology infrastructure in the "cloud" that supports them. Cloud computing services often provide common business applications online that are accessed from a web browser, while the software and data are stored on the servers. Clouds have five essential characteristics: 1. On demand self-service 2. Broad network access 3. Resource pooling 4. Rapid elasticity 5. Measured service Source: Page 5 IT Industry View of Cloud Computing Should You Transform Internal IT into a Cloud Computing Center? What (cloud attributes)? Service-based Scalable and elastic Shared Metered by use Internet technologies Business Services Why (value)? Agility reduce time to market fast provisioning; faster maintenance Reduced cost capital and operational; greater automation resource reuse Reduce operational complexity Focus IT efforts on business value Leverage provider scale and innovation Information Services Application Services Page 6 App. Infrastructure Services System Infrastructure Services Cloud Enablers Source: Bringing Cloud to Earth for Infrastructure and Operations: Practical Advice and Implementations, Gartner Symposium/ITxpo

4 IT Industry View of Cloud Computing Forrester Definition of Cloud Computing Cloud Computing is a standardized IT capability (services, software, or infrastructure) delivered via the Internet in a pay-per-use and self-service way. Source: Cloud Computing for the Enterprise ; James Staten, Forrester Research; February 3, 2009 Page 7 Evolution to Cloud Cloud Mainframe + Centralized management + Secure - Limited access - Less flexible - Higher incremental cost Client/Server + Distributed CPU utilization + Added flexibility - Complex / costly to deploy and manage - Not secure - Not efficient + Simple to deploy and manage + Broader access + Scale Web + Maximum efficiency with optimized resource utilization + Increased agility with on-demand computing + User-centric Page 8 4

5 Types of Clouds Application/Information Sometimes referred to as Software-as-a-Service, a wide ranging services delivered via varied business models normally available as public offering. Development Sometimes referred to as Platform-as-a-Service, application development platforms enable application authoring and runtime environment. Infrastructure Sometimes referred to as elastic compute clouds or Infrastructure-as-a-Service, virtual hardware made available for varied uses. Two Main Deployment Environments Private Behind a firewall for use by limited, pre-determined audience. Public Accessible over the Internet for general consumption. Page 9 Healthcare Cloud Computing Page 10 5

6 Health y Skepticism Standards Tools Suppliers PHI ROI Healthcare Concern Deeper Dive Security and privacy Response time Availability Technology currency Application currency Fees Page 11 Be Confident About Your Cloud Known location of your data Strongest levels of physical access Data backup and recovery Disaster recovery Highly redundant/secure network High priority network recovery (TSP3) Competent and trustworthy partner Regulatory Healthcare Needs Typical Cloud Services Varies Varies Menu item Menu item Varies Not available Varies Page 12 6

7 Plotting the Path Pay as you grow Leveraging talent Speed to value Business flexibility Mobility Backup and disaster recovery Capital reduction Technology currency Operating cost Page 13 Evaluate Now! Go When? Capital acquisition Access to talent Struggling with currency Microsoft patches Application updates Regulatory requirements Regulatory initiatives Page 14 7

8 ARRA Grab the Carrot How Can I Get to Meaningful Use? Fast implementation Drive to live Duck the Stick Struggling with capital Do I have the space, cooling, power, etc? Do I have the finances? Technology? Staff? Page 15 The Looming Challenges Accountable Care Very few understand the impact of moving to value based payment is going to have on healthcare delivery organizations 1 IT Excellence is the base requirement to becoming an Accountable Care Organization EHR Adoption Strong understanding of data Personal Health Records Health Information Exchanges Organization must be exceptional at collecting and analyzing information (processes, software, and Business Intelligence) "Accountable care cannot help but be significant and its success cannot help but be driven by an organization's ability to manage the information about its business and its patients. We are going to see unprecedented innovation and utilization of IT in the next decade." 1 1 David Garets, The Advisory Board, February 2011 Page 16 8

9 CHIME Validation Session on Cloud Computing 2009 What Did We Hear? Siemens is Competent and Trustworthy in this space Most CIO s doing some cloud/asp but still cautious Provide remote storage options Take on legacy applications so that I can focus on new initiatives Provide single sign on across Siemens and non-siemens applications Help us with physician affinity/affiliation Concerns around traditional broad I.T. companies in this space in regards to data protection and un-intended data usage /- 70% of Siemens implementations in the cloud % of Siemens implementations in the cloud Page 17 Driving the Shift Siemens Medical Grade Infrastructure Page 18 9

10 Siemens Market Assets 40+ years of evolution and refinement World s largest healthcare provider hosting operation Large portfolio of hosted applications 219 million daily healthcare transactions Delivering applications to 850+ health institutions State-of-the-art operations center 950+ terabytes of online storage Mainframes, 5,000+ servers %+ network availability; TSP3 protected Business continuity & risk management Page 19 The Siemens Value Tenure in Cloud Data Transparency Speed, Flexibility & Reliability Medical Grade Secure Scalability: Storage, CPU, Memory & Network Trusted Partner Committed & Delivering the Future Now Page 20 10

11 Thank You Questions Page 21 11

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