A number of powerful technologies are on the verge of producing dramatic change in how, when and where care is delivered, including artificial intelligence, genomics, monitoring sensors, robotics, nanotechnology, 3D printing, mobile computing technologies and others. This technology-driven change will dramatically impact all healthcare providers, and it will propel healthcare into the realm of Big Data. Participants will: Appreciate the role of innovation in healthcare's future. Understand the classes of technology that will foster innovation and drive change. Learn how technology-driven change will support data-driven improvement and population health management. Know how these technologies will impact analytics. Understand the application of transformational principles in light of the many engaging practitioner discussions at the recently concluded Health Analytics Summit. The future is becoming clearer and it promises to be exciting, impactful, and powerful for patients and healthcare providers alike.

1. Transforming Healthcare:
The Promise of Innovation
John L. Haughom, MD
December 2014
© 2014 Health Catalyst
www.healthcatalyst.com Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential
© 2014 Health Catalyst
www.healthcatalyst.co Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential m

2. Healthcare: The Way It Should Be
Part One – Forces Driving Transformation
• Chapter One – Forces Defining and Shaping
the Current State of U.S. Healthcare
• Chapter Two – Present and Future
Challenges Facing U.S. Healthcare
Part Two – Laying the Foundation for
Improvement and Sustainable Change
• What will it take to successfully ride the
transformational wave?
Part Three – Looking into the Future
• What will it take to successfully ride the
transformational wave?
Available for FREE download at: http://www.healthcatalyst.com/ebooks/healthcare-transformation-healthcare-a-better-way/
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 2
© 2014 Health Catalyst
www.healthcatalyst.co m

3. Why Innovation Now?
Healthcare organizations need innovation to
address:
• Inconsistent quality
• Unacceptable levels of harm
• Widespread waste
• Unsustainable growth in costs
• Rapidly rising demand
• Looming provider shortages
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 3
© 2014 Health Catalyst
www.healthcatalyst.co m

4. Innovation Definition
“The design, invention, development and/or
implementation of new or altered products, services,
processes, systems, organizational structures, or
business models for the purpose of creating new
value for customers and financial returns for the
firm.”
Department of Commerce Advisory Committee on Measuring Innovation in the 21st Century Economy.
Available at: http://www.esa.doc.gov/Reports/innovation-measurement-tracking-state-innovation-american-economy
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 4
© 2014 Health Catalyst
www.healthcatalyst.co m

5. Types of Innovation
Non-disruptive
vs.
Disruptive
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 5
© 2014 Health Catalyst
www.healthcatalyst.co m

6. Technology-driven innovation
is changing the world…
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 6
© 2014 Health Catalyst
www.healthcatalyst.co m

7. What does EXPONENTIAL
growth feel like?
© 2014 Health Catalyst
www.healthcatalyst.co Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential m

8. © 2014 Health Catalyst
www.healthcatalyst.co Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential m 8
01
02
03
04
05
06
07
08
09
10
11
12
13
14
30 Meters
Take 30
Linear
paces…

9. Take 30
Exponential
paces…
26 times
around the
Earth!
01 02 04 08 16 32 64 128 256
... 1,073,741,824 meters
© 2014 Health Catalyst
www.healthcatalyst.co Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential m 9

10. Exponential vs. Linear Growth
Linear trend
Exponential trend
Disruptive
stress/Opportunity
Knee of curve
© 2014 Health Catalyst
www.healthcatalyst.co Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential m

11. Understanding Exponential
Technology…
Peter Sasson holding
the world’s first digital
camera.
(0.01 megapixels)
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 11
© 2014 Health Catalyst
www.healthcatalyst.co m

12. Linear Exponential
© 2014 Health Catalyst
www.healthcatalyst.co Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential m 12
1996
Market Cap: $28B
Employees: 140,000
2012
Bankrupt
Employees: 17,000
2012
Market Cap: $1B
Employees: 13
“The New Kodak Moment”

13. Examples of Disruptive Innovation
• IP telephony (e.g. Vonage, Skype)
• Downloadable music (e.g. iTunes)
• Books (e.g. iBooks, Kindle)
• Search and advertising (e.g. Google)
• Streaming media (e.g. Netflix, Hulu, Spotify)
• Financial transactions (e.g. PayPal, E-trade)
• Personal communication and networking (e.g. Facebook, LinkedIn)
• Business communication (e.g. Gmail, Skype, Net Meeting)
• Electronic commerce (e.g. Amazon, Alibaba)
© 2014 Health Catalyst
www.healthcatalyst.co Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential m
• Etc.
13

14. In 10 years it’s predicted that
40% of the Fortune 500
companies will no longer exist
*Babson Olin School of Business, Fast Company April 2011, p. 121
© 2014 Health Catalyst
www.healthcatalyst.co Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential m

15. Exponential Growth of Computing
Source: Ray Kurzweil. Available at: http://www.kurzweilai.net/sin-charts#!prettyPhoto
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 15
© 2014 Health Catalyst
www.healthcatalyst.co m
Each dot is a
computing
machine
Electromechanical Relay Vacuum
Tube
Transistor Integrated Circuit

16. Transistors per Chip
Doubling: two years Source: Intel Research
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 16
© 2014 Health Catalyst
www.healthcatalyst.co m

17. Processor Performance (MIPS)
Source: Ray Kurzweil. Available at: http://www.kurzweilai.net/sin-charts#!prettyPhoto
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 17
© 2014 Health Catalyst
www.healthcatalyst.co m

18. Internet Data Traffic
Source: Ray Kurzweil. Available at: http://www.kurzweilai.net/sin-charts#!prettyPhoto
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 18
© 2014 Health Catalyst
www.healthcatalyst.co m

19. Mobile Data Traffic
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 19
© 2014 Health Catalyst
www.healthcatalyst.co m

20. Brain Power Equivalent/$1000
Source: Hans Moravec, http://www.transhumanist.com/volume1/moravec.htm
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 20
© 2014 Health Catalyst
www.healthcatalyst.co m
2014
2023

21. Has Technology Advancement
Mattered?
Tool available and additional information available at: http://www.gapminder.org
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 21
© 2014 Health Catalyst
www.healthcatalyst.co m
200 years that changed the world…

22. The Singularity is Near
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 22
© 2014 Health Catalyst
www.healthcatalyst.co m
Ray Kurzweil

23. Poll Questions
2. Within how many years do you anticipate exponential
technologies will significantly impact healthcare? 113
respondents
a. < 2 years – 34%
b. 2 to 4 years – 36%
c. 5 to 7 years – 21%
d. >10 years – 9%
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 23
© 2014 Health Catalyst
www.healthcatalyst.co m

24. Historical Healthcare Innovation
• Historically, innovation in healthcare has been
linear, not exponential
• Examples:
• Warfarin vs. Pradaxa
• Open Cholecystectomy vs. Laparoscopic cholecystectomy
• Coronary artery bypass graft (CABG) vs. Cardiac stents
• Going forward, expect disruptive (exponential)
innovation in non-traditional categories
• Examples:
• Automated, intelligent care environments
• Genomic-based personalized care
• New technology-enabled care models (ambulatory- and patient-centric)
• Integrated delivery organization design (ACOs)
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 24
© 2014 Health Catalyst
www.healthcatalyst.co m

25. Harnessing the Power of Exponential
Technologies
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 25
© 2014 Health Catalyst
www.healthcatalyst.co m
Ubiquitous Networks
Ubiquitous Sensors
Artificial Intelligence
Robotics
3D Printing
Synthetic Biology
Materials Sciences
Digital Medicine
Faster,
Cheaper,
Computing
Power

26. Programming Life & Health
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 26
© 2014 Health Catalyst
www.healthcatalyst.co m
Computer code
Genetic code
Gene splicing

27. The Tale of Two Mice
Reference: Flier SN, Kulkarni RN & Kahn CR. 2001. Proc. Nat. Acad. Sci. USA., 98:7475-7480
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 27
© 2014 Health Catalyst
www.healthcatalyst.co m

28. DNA Sequencing Cost
Source: Ray Kurzweil. Available at: http://www.kurzweilai.net/sin-charts#!prettyPhoto
Carlson, R. The Pace and Proliferation of Biological Technologies. 2003. Biosecurity and Bioterrorism: Biodefense Strategy,
Practice, and Science Volume 1 Number 3. http://www.kurzweilai.net/meme/frame.html?main=/articles/art0614.html
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 28
© 2014 Health Catalyst
www.healthcatalyst.co m

29. DNA Sequencing Data
Source: Ray Kurzweil. Available at: http://www.kurzweilai.net/sin-charts#!prettyPhoto
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 29
© 2014 Health Catalyst
www.healthcatalyst.co m

30. Wearable Sensors – Endless Opportunities
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 30
© 2014 Health Catalyst
www.healthcatalyst.co m

31. Sensory Data Means Big Data
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 31
© 2014 Health Catalyst
www.healthcatalyst.co m
Sensor data from a cross-country-flight
20 TB X 2 X 6 X 28,537 X 365
20 terabytes of
information per
engine every
hour
Twin engine
Boeing 737
Six hour
cross-country
flight from
New York to
Los Angeles
# of commercial
flights in the sky
in the United
States on any
given day
Days in a year
= 2,499,841,200 TB
(One Zetabyte = 1,000,000,000,000,000,000,000 bytes)

32. Poll Question
3. Who will drive the sensor revolution in healthcare?
120 respondents
a. Consumers – 27%
b. Employers – 1%
c. Payers – 4%
d. Health systems – 2%
e. All of the above – 67%
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 32
© 2014 Health Catalyst
www.healthcatalyst.co m

33. Seizing the Opportunity
Twenty years from now you will
be more disappointed by the
things that you did not do then by
the things that you did do. So
throw off the bowlines. Sail away
from the safe harbor and catch
the trade winds in your sails.
Explore. Dream.
Discover.
Mark Twain
Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential 33
© 2014 Health Catalyst
www.healthcatalyst.co m

34. Thank You
Upcoming Educational Opportunities
There Is A 90% Probability That Your Son is Pregnant: Predicting
the Future of Predictive Analytics in Healthcare
Date: December 17, 1-2pm, EST
Host: Dale Sanders, Senior Vice President, Health Catalyst
Register at http://healthcatalyst.com/
© 2014 Health Catalyst
www.healthcatalyst.co Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential m

35. Questions,
discussion,
comments…
Placeholder, enter your
own text here
For Information Contact:
John.Haughom@healthcatalyst.com
© 2014 Health Catalyst
www.healthcatalyst.co Follow Us on Twitter #TimeforAnalytics Proprietary and Confidential m