Landscape - Health Information Technology Firms in Canada. March 31, 2011 Rizwan J. Kheraj NRC-IRAP
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1 March 31, 2011 Rizwan J. Kheraj NRC-IRAP
2 Definition Health information technology (HIT) is the application of information technology products, services and solutions to the healthcare field with the objective of lowering costs, improving efficiency and reducing errors, while delivering better health outcomes to patients. HIT is $4B of all healthcare ($185B) spent per year Canada HIT growth rate: 15% for the next 5 years (Frost & Sullivan) The Top 10 Canadian Health IT companies generated over CAD $7 billion dollars in revenue in 2009 [Branham Group]
3 High-level view Health care is fundamentally a locally-delivered service. More than 85% of care occurs at the community level (CMA 5-year HIT strategy, 2010)
4 The Canadian Healthcare Eco-System An interconnected environment comprising health care providers, health care payers, research institutes, government entities, and patients Shifting to a technology-driven integrated model of healthcare delivery (Branham 2010)
5 Canadian HIT Major Segments 5 MAJOR CURRENT TRENDS CHALLENGE HEALTHCARE SYSTEM 1. Increasing personal responsibility for HealthCare 2. Progressive retailing of healthcare services (private clinics) 3. Increasing pressure on institutional healthcare budgets 4. Globalization of access to information 5. Technology becoming a commodity (Web, Mobile, Connectivity) Creates 2 major segments: CONSUMER DIGITAL HEALTH IT SOLUTIONS ENTERPRISE (PUBLIC AND PRIVATE INSTITUTIONAL) HEALTH IT SOLUTIONS
6 Enterprise Health IT Solutions Segments Clinical / Hospital Information Systems (admin, finance, security, & clinical aspects of a hospital) Continuity of Care / Chronic Disease /Home Health Systems / Emergency (community based) Drug Information Systems / E-Prescription Systems (pharmacy integration, tracking) Electronic Health Records (Institutional record) / Personal Health Records (patient) Electronic Medical Records (Longitudinal patient record / chart maintained by doctor) Healthcare Assistive Robots (Dispensing, Surgical, etc) Image Archiving and Communication / Radiology Systems (PACS+) Laboratory Information Systems (integration with Labs, interoperable) Medical Device plus an IT component (many) Practice Management Software (Admin, Sched, HR, Logistics, Workflow, Billing / Finance Systems) Telemedicine Solutions (Video, monitoring, telepharmacy, medication compliance, virtual consult) Wireless - Apps, Networks (Assets, Alerts, Approvals, RT monitoring, Decision aids, Drug calc)
7 Canadian HIT Vendor Segments 1. Larger firms selling to the health sector plus other verticals (e.g. CGI, xwave-bell, Telus Health, RIM, Sierra Wireless, etc) 2. Pure play HIT companies: 1. Multi-application companies focused on provincial markets or specific parts of the US (e.g. QHR-Clinicare, Wolf Medical, Nightingale, Myca, Accentus, MedRunner, MedSenses, Kanayo, Calgary Scientific, etc) 2. Niche product players (e.g. Med2020, Eyelogic, Medusa Medical, SXC. Crescendo, Interfaceware, Courtyard Group, Imaging Dynamics, PHeMI, MRX, PointClickCare, Healthtech, ClinicBook, Cientis, Novadaq, MDIT, MedVoxel, etc) 3. Wireless / mhealth players (e.g. Mobile NewMedia, PortaLife, GuardRFID, Ideal Life, IgnitePlay, Healthism, Atimi, Adigy, Heartforce, CardioComm, Cartel Comm, Cypress, InMotion, LifeScan Canada, Starfish Medical, Simba, Wireless2000, Vigil, etc) 4. Multinational Canadian Subsidiaries (e.g. Sierra Systems, IBM-Cognos, Siemens, Harris-MediSolution, Hitachi, Molecular Biometrics, Maximus-Deltaware, NetApp-ByCast, McKesson, Microsoft, GE, Agfa, Canon, Honeywell, Cardinal Health, Oracle, Kodak, Philips, Cerner, HP/EDS, IBA/iSoft, 3M, Clinidata, Purkinje, RadNet, etc) 5. Foreign firms selling into Canada (e.g. Meditech, Allscripts, EMC, Epic, MedicomSoft, Misys, Eclipsys, etc) (Industry Canada, 2007)
8 Trends and opportunities in consumer digital health Many firms entering this space now
9 Trends and opportunities in consumer digital health - Increasing use of mobile and online health-care tools - Strained health-care system- $183B - Rising cost of employee benefit plans - Shifting burden for health management from hospitals to consumers/patients - Demand for tools to deliver healthy outcomes in patientcentric health care - Evolving technologies iphone is the new Medical Device - Consumer-centric product development and design MaRS Discovery District, November 2010
10 HIT Players Strengths across Canada - Over 400+ firms across Canada - Key strengths of Canadian HIT firms & organizations 1. Records management software 2. Digital Imaging 3. Collaboration with health authorities 4. Ties with strong academic and applied research institutions 5. Wireless / Communications technologies 6. Involved in the implementation of standards - Markets - International: Big markets - US, Europe, Pacific Rim, BRIC - Domestic: Limited due to regulation and provincial barriers - Alternate Verticals/Markets: e.g. Allied Health, Wellness, Energy, etc - Direct to Consumer: Potential is high (Branham Group 2010)
11 NRC-IRAP Pacific
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