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GETTING STARTED WITH 
PREDICTIVE ANALYTICS 
Professor Bryan Bennett 
Northwestern University 
July 14, 2014
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Agenda 
• Predictive Analytics Primer 
• Predictive Analytics Program 
• The Analytics Program Lifecycle 
• Areas Where Predictive Analytics Can be 
Utilized Right Away 
• Major Challenges to Implementing a 
Healthcare Predictive Analytics Program
Predictive Analytics Primer
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What is Predictive Analytics? 
• Predictive analytics is the practice of extracting 
information from existing data sets in order to 
determine patterns and predict future outcomes 
and trends. 
• It does not tell you what will happen in the 
future. 
– It forecasts what might happen in the future with an 
acceptable level of reliability, and includes what-if 
scenarios and risk assessment. 
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Gartner Even Goes Further 
• In addition to predicting what might happen, they 
add: 
– Analysis measured in hours or days (real-time or near 
real-time). 
– The emphasis on the business relevance of the 
resulting insights, like understanding the relationship 
between x and y. 
– An emphasis on ease of use, thus making the tools 
accessible to business users. 
Source: www.gartner.com 
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Gartner Analytic Ascendancy Model 
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Gartner Analytic Model Examples 
Type of 
Analytics 
Question 
Answered 
General Business 
Example 
Healthcare Example 
Descriptive 
Analytics 
What 
Happened? 
How many cars did we 
sell last year? 
How many patients were 
diagnosed with HBP last 
year? 
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Gartner Analytic Model Examples 
Type of 
Analytics 
Question 
Answered 
General Business 
Example 
Healthcare Example 
Descriptive 
Analytics 
What 
Happened? 
How many cars did we 
sell last year? 
How many patients were 
diagnosed with HBP last 
year? 
Diagnostic 
Analytics 
Why Did It 
Happen? 
Why did we only sell x 
cars last year? 
Why did these patients 
develop HBP? 
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Gartner Analytic Model Examples 
Type of 
Analytics 
Question 
Answered 
General Business 
Example 
Healthcare Example 
Descriptive 
Analytics 
What 
Happened? 
How many cars did we 
sell last year? 
How many patients were 
diagnosed with HBP last 
year? 
Diagnostic 
Analytics 
Why Did It 
Happen? 
Why did we only sell x 
cars last year? 
Why did these patients 
develop HBP? 
Predictive 
Analytics 
What Will 
Happen? 
If I run x advertising 
programs, how many 
cars can we sell? 
What are the chances Mr. 
Jones’ HBP will result in a 
stroke? 
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Gartner Analytic Model Examples 
Type of 
Analytics 
Question 
Answered 
General Business 
Example 
Healthcare Example 
Descriptive 
Analytics 
What 
Happened? 
How many cars did we 
sell last year? 
How many patients were 
diagnosed with HBP last 
year? 
Diagnostic 
Analytics 
Why Did It 
Happen? 
Why did we only sell x 
cars last year? 
Why did these patients 
develop HBP? 
Predictive 
Analytics 
What Will 
Happen? 
If I run x advertising 
programs, how many 
cars can we sell? 
What are the chances Mr. 
Jones’ HBP will result in a 
stroke? 
Prescriptive 
Analytics 
How Can We 
Make it 
Happen? 
What do we need to do 
to sell x number of 
cars? 
Mr. Jones should be put 
on x medication to 
prevent his HBP from 
resulting in a stroke. 
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Getting Started With a Healthcare 
Predictive Analytics Program
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Predictive Analytics Implementation 
• Needs executive support 
• Needs a well-defined business challenge or query 
– Is there a relationship between certain variables and a health 
outcome? 
• Needs lots of data 
– Past and current 
• Need the right team 
– Quantitative (numbers) and qualitative (strategic) 
– Transform data from information to intelligence and insight for 
organization 
• Needs to be an integral part of the organization’s 
operations 
• Need to track results and update models 
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Importance of Executive Support 
• Success is not all about the tools utilized or best 
analyst 
– Management support for analytics throughout the 
organization has proven to be a critical success factor, 
including: 
• Top down mandates for analytics, sponsors and champions 
• Being open to change and new ideas 
• Having unified analytics-driven focus on the patient’s health 
• Identifying and addressing operational threats to patient 
care
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Importance of Executive Support 
• Enterprise-wide solutions needs enterprise-wide 
support 
– Cross departmental silos 
• Need sufficient resources 
– Right people on the team 
– Commitment from other departments 
• Most important of all attributes 
– Makes the others happen
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Executive Support Leadership 
Management Leadership
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Executive Leadership Involves 
• Using a good solution selection process 
• Making sure you have the needed resources 
to complete the project 
– Financial and personnel 
• Having a vision for where you’re going 
• Building credibility with your team members 
• Raising your team members to their potential
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Wall of Shame 
• Examples are Everywhere 
• CEOs and CIOs are resigning or 
terminating due to problemed EHR 
implementations 
• Blame game 
– I.T. can’t force EHR or analytics program on staff 
• Like telling them how to practice medicine
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Implementation Complexity 
• Many EHR implementation mistakes 
• An analytics program implementation is much 
more complex than an EHR 
– On a scale of 1 to 10 
• EHR = 5 Analytics = 12
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Importance of Executive Support 
• Healthcare Challenge 
– Executives have to manage organization’s staff to get 
their cooperation and buy-in 
• Particular challenge working with providers who might 
believe someone is trying to tell them how to practice 
medicine 
• Possible Solution 
– Be involved! 
– Get staff involved as early as possible 
– Focus on the benefits the analytics will offer
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Well-Defined Business Problem 
• How do we reduce readmissions? 
• How can we predict when someone might 
develop a more serious condition while in the 
hospital, i.e., stroke, heart failure, etc.? 
• The business problem must be measureable 
and the operation repeatable over a specific 
time period
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Well-Defined Business Problem 
• Measureable 
– The results of the analysis must be able to be 
measured or counted to determine if the 
prediction was accurate 
– For example: 
• Number of patients developing a certain condition
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Well-Defined Business Problem 
• Repeatable operation: 
– The attribute you choose to measure must occur 
regularly and have a repeatable pattern 
– For Example: 
• Patients unfortunately get readmitted regularly or 
develop other measurable conditions
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Well-Defined Business Problem 
• Specific time period 
– The variable being measured must have a specific 
beginning and ending 
– For Example: 
• Readmissions within 30, 60 or 90 days 
• Condition developed during hospital stay
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Well-Defined Business Problem 
• Healthcare Challenge 
– Business challenges are everywhere. The real 
problem is prioritizing which one to address first 
• Possible Solution 
– Find the challenge(s) that have the most potential 
of showing quick results and improving care 
• Picking ‘low hanging fruit’ is always good 
• People lose interest in longer term projects if results 
aren’t delivered soon
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Data Needs 
• A variety of data is needed for an effective 
predictive analytics program 
– Transactional and descriptive 
• In many cases, the data is usually kept in 
multiple silos across the organization 
• A data warehouse is typically needed to 
efficiently access all this data
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Organization 
Sales & 
Marketing 
Executive 
Accounting 
& Finance 
Purchasing/ 
Production 
Customer 
Service 
Corporate Data Silos 
Typical Data Model
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The Problem With Data Silos 
• Data silos are a repository of data stored and 
used by a single or few departments in an 
organization 
• Usually does not exchange data with other 
groups or departments 
– Data may not be updated 
• Impacts data integrity 
• Executive sponsor is needed to “open” these silos
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Sales & @enabledhealth 
Marketing 
Executive 
Accounting 
& Finance 
Purchasing/ 
Production 
Customer 
Service 
Corporate Strategic 
Data Warehouse 
Corporate 
Strategic Data 
Warehouse
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Types of Data Needed 
• Some of the types of data needed: 
– Clinical Data 
– Demographic Data 
– Insurance / Reimbursement Data 
– Operational Data 
– Cost Data
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Data Needs 
• Healthcare Challenge (1) 
– There’s lots of data but a lot of it is locked in 
departmental silos which ultimately makes all the 
data useless 
• Possible Solution 
– Determine what data is valuable and have 
executive open regular access to it
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Data Needs 
• Healthcare Challenge (2) 
– There are no predefined predictive variables, like a 
FICO score 
• Some basic variables like high blood pressure may 
predict other potential problems 
• Don’t know which variable(s) will be most predictive 
• Possible Solution 
– Need a good team of modelers, analysts and 
clinicians to make sense of the model results
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Data Warehouse Challenges 
• A well designed data warehouse will provide 
the data services infrastructure to for an 
effective predictive analytics programs 
– One of the most overlooked aspects 
• Data warehouses also decrease the risk that 
current (or more recent) data gets accidentally 
overwritten with outdated (or less recent) 
data
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Data Warehouse Challenges 
• Healthcare Challenge 
– Healthcare data includes structured as well as 
unstructured (text) data 
• Possible Solution 
– Tools are currently available that take the 
unstructured data and convert it into some form 
of useful structured data
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The Analytics Project Team 
• Executive – to insure access to the needed data 
and the right people 
• Champion – ultimate owner of the analytics 
project whose problem or query we seek to 
answer. Could be department head or CMO 
• Project Manager – needed for larger projects to 
manage the day-to-day needs of the project and 
to make sure the analysts have the data and 
support they need
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The Analytics Project Team 
• Data Analyst – usually builds or gathers the 
data into a format or file the modeler will use 
• Modeler – usually a statistician who will 
actually build the models using various 
modeling tools 
• Clinician – needed to help the team make 
sense of the results / numbers from a 
healthcare point of view
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The Analytics Project Team 
• Healthcare Challenge 
– The challenge will be finding qualified people from 
an already scarce resource pool and getting them 
to accept the lower wage healthcare may pay 
• Possible Solution 
– The entire team must be paid market wages 
– Outsourcing might need to be an option 
• Bottom Line: GET HELP! 
– Especially when first starting
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Integral Part of the Organization 
• Organization must constantly be asking why, 
what, who, when, where and how 
• Not solved solely with technology 
– Must include processes to capture the right 
information 
– Personnel must be trained to capture and properly 
record information for analysis
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EHR Staffing Mistake 
• Many tried to implement EHRs with current 
staff 
– Have other responsibilities 
– Lacked skills set 
• Need specialized personnel to be successful
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Integral Part of the Organization 
• Healthcare Challenge 
– Everyone must buy-in to the results of the 
analytics program including clinical, finance and 
operational staff. 
• Possible Solution 
– Focus on the benefits of your analytics program 
– Show real results to providers 
• Avoid the impression that the analytics will tell them 
how to practice medicine
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Results Tracking and Model Updates 
• Need to determine if results were predicted 
by the model 
• Utilize prior results to improve on model 
– Update and test frequently 
• Otherwise, model may loose its effectiveness
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Results Tracking and Model Updates 
• Healthcare Challenge 
– With the right team in place this should not be an 
issue 
• Possible Solution 
– Have the right team but also the right process to 
manage and update the models 
– See Analytics Program Lifecycle
The Analytics Program Lifecycle
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Journey vs. Destination 
• A predictive analytics program 
implementation is a journey not a destination 
• The results and learnings from previous 
analysis and modeling should be incorporated 
in future analysis 
– Builds a stronger model 
• Must follow the Analytics Program Lifecycle
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The Analytics Program Lifecycle 
• Initial Research & Pre-Analysis 
– Defining the business problem or query 
• Data Gathering 
– Capturing data and creating file for analysis 
• Execution 
– Model building and applying to dataset 
• Post-Analysis 
– Did the model predict what was expected 
• Adjust model based on results 
– Use the results of the analysis to improve the model
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Pre Analysis 
Data 
Gathering 
Execution 
Adjustment 
Post 
Analysis 
Analytics 
Project 
Lifecycle
Areas Where Predictive Analytics 
Are Being Utilized Right Now
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Areas Showing Benefits Now 
• Improved Patient Flow 
• Disease Outbreak Prediction 
• Emergency Room Risks 
• Reduced Readmissions 
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Improved Patient Flow 
• Can help an organization predict which 
resources will be needed at any given time 
• Predicting patient flow versus patient tracking 
• Reduces bottlenecks and wait times 
– Especially in the emergency room 
– Increases patient satisfaction 
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Improving Patient Flow 
• Admissions and discharges 
– Efficient patient placement at admission 
– Find bottlenecks and drive for earlier or later 
discharge times 
• Capacity management 
– Identify underused beds and labs to better target 
patient usage 
– Improves patient care and increased revenues 
• Transport and housekeeping 
– Track job times and responsiveness to improve 
turnover 
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Disease Outbreak Prediction 
• Google Flu Trends has been shown to foresee 
an increase in influenza cases 7 to 10 days 
earlier than the CDC 
– Based on online search trends 
• People with symptoms seek further information 
• Can pinpoint disease increase down to the hospital 
level 
– Resources can be allocated to prepare for influx of 
patients with the flu 
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Predicting Disease Outbreak 
• Google Flu Trends found a close relationship between how 
many people search for flu-related topics and how many 
people actually have flu symptoms 
– A pattern emerges when all the flu-related search queries are 
added together 
• They compared query counts with traditional flu 
surveillance systems 
– Discovered that many search queries tend to be popular exactly 
when flu season is happening 
• By counting the frequency of the search queries they can 
estimate how much flu is circulating in different countries 
and regions around the world 
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Emergency Room Uses 
• Used to predict whether a patient is likely to: 
– Go into cardiac arrest 
– Suffer a stroke 
– Potentially suffer from sepsis shock 
• While in the emergency room 
• Collecting real time data along with patient’s 
clinical history 
– Compare to prior patient data 
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Reduced Readmissions 
• Risk of readmission in 30 days can be 
predicted in order to assist with the decision 
to release a patient 
• Reduces cost of readmission and the 
opportunity cost of a patient occupying a bed 
that could be used by someone else 
• Requires a proactive versus reactive approach 
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Reducing Readmissions 
• The hospital must understand the factors effecting 
readmissions (discovery) 
– Create an algorithm built on data from past patients who 
were and were not readmitted, i.e. what was different? 
• Create automated processes to identify patients who 
are at risk for readmission based on clinical, 
demographics, etc. 
– Counter with a strategic response 
– Gaining information immediately from failures 
• Make sure personnel adher to the identified strategy 
– Evaluate effectiveness of their approach. 
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Reducing Readmissions 
• Structuring a Project 
– Problem Definition 
– Data Needs 
– Modeling 
– Results Analysis
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Reducing Readmissions 
• Structuring a Project – Problem Definition 
– What patients are most likely to be readmitted 
– What are the causal drivers of readmission
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Reducing Readmissions 
• Structuring a Project – Data Needs 
– Patient vitals 
– Patient conditions 
– Departments involved in patient care 
– Specialties involved in patient care
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Reducing Readmissions 
• Structuring a Project – Modeling 
– Run simulations, optimizations and/or regression 
analysis to determine likelihood or readmission 
– Use all patients 
• Readmitted and Non-readmitted 
– Create an individual readmission risk score
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Reducing Readmissions 
• Structuring a Project – Results 
– Use risk score results to determine which patients 
likely to be readmitted in next 30 days 
• Real time results or daily 
• Hospital can exercise appropriate 
interventions 
– Communications 
– Post-discharge interventions
Major Challenges to Implementing a 
Healthcare Predictive Analytics Program
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Major Challenges Summary 
• Have involved executive support 
• Building a comprehensive data warehouse 
• Identifying predictive variables 
• Hiring analysts / modelers 
• Incorporating the program into the data 
collection and transformation process 
• Access to the analysis on devices at the point 
of patient contact
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Questions and Answers 
• Contact Information: 
– J. Bryan Bennett, “The Professor” 
• Healthcare Transformation Specialist, Data Scientist and 
Predictive Analytics Professor 
– E-mail 
• bryan@dataenabledhealth.com 
– Website / Blogs 
• www.dataenabledhealth.com 
• www.himssfuturecare/blog/1266 
– Twitter 
• @enabledhealth 
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