Ross Map Team: Nick Adam Prakhar Goel Shlomi Barsheshet Samuel Hsiao Jessy Cheng Dave Lilly

Ross Map Team:Nick Adam Prakhar GoelShlomi Barsheshet Samuel HsiaoJessy Cheng Dave Lilly

= The Future of Healthcare and Prevention

Wellness + Prevention, Inc.+ Ross MAP Team

Overview Methodology Product Categories Recommendation

• Market Overview• Methodology• Product Categories• Recommendations

Agenda


Current Healthcare Market

Sick Care

$243 Billion spent on Obesity and

Smoking Related Diseases2

Inefficient

Institutional Payers

21% – 47%of HC spending is

wasted3

1 – http://www.ebri.org/pdf/briefspdf/EBRI_IB_09-13.No390.Sources.pdf2 – http://www.medworkohio.com/pdfs/Smoking%20&%20Obesity%20Effects%20on%20Health%20Care%20Costs%20JOEM%203-12.pdf3 – Includes failure to provide and coordinate appropriate care, overtreatment, administrative complexity, pricing failures and fraud. http://news.medicine.duke.edu/wp-content/uploads/2013/08/Eliminating-Waste-in-US-Healthcare-Berwick.pdf4 – http://www.census.gov/newsroom/releases/pdf/20130917_ipslides.pdf5 – At no cost* http://www.hhs.gov/healthcare/facts/factsheets/2011/08/womensprevention08012011a.html6 – http://www.rand.org/content/dam/rand/pubs/research_briefs/2005/RAND_RB9136.pdf

81%of US pop covered by Employers or Public

Programs1

Future Healthcare Market

Preventative Care

More Efficient

Empowered Consumers

$77 Billionsaved as a result of HIT

solutions6

48 mil pplpurchasing individual policies through HEs4

Increased Consumer Power

The Rise of Health Information Technology

Shift to Prevention71 mil pplgained access to

preventive services5

Evolving healthcare market presents fantastic opportunities for W&P

Increased Consumer PowerOpportunities to:1) Help payers develop direct-to-consumer relationships2) Help consumers navigate the health exchanges and identify appropriate plans

Shift to PreventionOpportunity for Wellness Programs to receive referrals from payers, employers and healthcare practitioners

Rise in Health Information TechnologyOpportunity to use patient data in order to improve outcomes and efficiency of care

http://news.medicine.duke.edu/wp-content/uploads/2013/08/Eliminating-Waste-in-US-Healthcare-Berwick.pdf


W&P needs to move quickly to capture opportunities

Shift to Prevention

• Core competency• Digital Health

Training Programs for preventative care

Increased Consumer Power

• Consumer choose health plans

• 7-Minute Fitness App

• Partnership with Tactio Health

The Rise of HIT

• W&P does not gather data from hospitals

• Tough to gain access

Moving in the right direction with planned

social and gaming reinforcements

Evaluate shifting focus to D2C approach

Need to gain access to HIT data

Strong Alignment

Medium Alignment

Weak Alignment


• Identify high value product categories:• Perform market scan of emerging technologies• Identify categories that marry well with the trends• Create methodologies to shortlist the most

important categories • Identify companies/ products that W&P could

further explore

• Deliver final recommendation for W&P

The MAP team is here to help


Creating structure for a broad landscape

Macro OverviewPrimary Research Secondary Research

Weighted Scoring System

Recommendation

35 Product CategoriesWeighted Scoring System Survey

5 Key CategoriesTechnology Assessment

W&P Opportunity Analysis

Key Stats: • 20+ interviews in 3 weeks• 400+ hours of research Notable Interviewers• Dr. Bertalan Mesko, MD, PhD, TedTalk Speakder, Medical Futurist• Prof. Thomas Buchmueller, Ross Professor Healthcare• Nick DeHann, Tech Mining Specialist at U of M Medical School• Prof. Afton Hassett, psychologist, Research Scientist at U of M Anesthesiology• Sean McClellan, PhD, Fellow at Palo Alto Medical Research InstitudeNotable PublicationsForresterFrost & SullivanDeloitteMcKinseyBooz Allen Hamilton

Criteria• Scalability – Is this product category scalable?• Adoptability – How widely will the product category be used by its target population?• Fit – Good strategic fit for W&P products?• Time to Market – How likely is this product category going to be in the market within 5 yrs?• Engagement – Could this product category increase W&P's engagement with its consumers?• Market Impact – How big of an impact?


Healthcare is filled with exciting growth opportunities

Evidence-based Mobile Health

Inter-disciplinary Therapies

Smartwatch

Augmenting Human Capabilities

Robotic Interventions

Augmented Reality

Optogenetics

Telemedicine

External Sensors - Wearable E Skin

Virtual Digital Brains

Holographic Data Input

Digestible Sensors

Curated Health Records

3D Printed Biomaterials and Drugs

Humanoid Robots

No touch interface

Home Diagnositics/Medical Tricorder

Artificial Intelligence

Virtual Trials

NanoRobots in Blood

Remote Touch

Virtual Dissection

Recreational Cyborgs

DIY Biotechnology

Multi-functional Radiology

Personalized Genomics

Digital Literacy In Medical Education

Robotic Nurse Assistant

Artificial Organs

Redesigned Hospital Experience Real-Time Diagnostics in the OR

Meaningful Use of Social Media

Full Physiological Simulation

Gamification Based Wellness

Virtual Reality Application


The most compelling new products are….

Evidence-based Mobile Health

Inter-disciplinary Therapies

Smartwatch

Augmenting Human Capabilities

Robotic Interventions

Augmented Reality

Optogenetics

Telemedicine


Virtual Digital Brains

Holographic Data Input

Digestible Sensors


3D Printed Biomaterials and Drugs

Humanoid Robots

No touch interface

Home Diagnositics/Medical Tricorder

Artificial Intelligence

Virtual Trials

NanoRobots in Blood

Remote Touch

Virtual Dissection

Recreational Cyborgs

DIY Biotechnology

Multi-functional Radiology


Digital Literacy In Medical Education

Robotic Nurse Assistant

Artificial Organs

Redesigned Hospital Experience Real-Time Diagnostics in the OR

Meaningful Use of Social Media

Full Physiological Simulation

Gamification Based Wellness

Virtual Reality Application


The most compelling new products are….

Augmented Reality


Digestible Sensors




How will we assess these opportunities?

Priority Product Category

Significant Value Proposition

Considerations Opportunities

1 CHR

2 Genomics

3 External Sensors

4 Augmented Reality

5 Digestible Sensors

Why is the product category significant?

• Benefit to Healthcare

• Growth Potential• Distinct Features

How the product category fits with W&P?

• Value Proposition – Strengths and Opportunities

• Considerations – Threats and Weaknesses

What can W&P do next?• Product/Company• Evaluate the

solution• Opportunities

Technology Assessment Framework

Neutral

Good

Extremely Good


1. http://search.proquest.com/docview/1508441687#2.http://www.itp.net/595668-augmented-reality-set-for-take-off#.U1hSDPldU1o

In Augmented Reality the live view of real-world environment is amplified by computer-generated input

Why is Augmented Reality significant?• Maximizes engagement by revolutionizing the way in

which information is gathered and shared• Gather information and respond in real time

• High potential for growth:• Existing tech that is expected to become mainstream in near future1

• Demand is forecasted to be high: 200M app users by 20182 • Platform for new applications:

• Social Media• Games• Fitness

New applications of augmented reality can be used to increase end-user engagement


W&P should use extensive in-house behavioral & health science knowledge and data to customize health and wellness Augmented Reality solutions

Value Proposition• More accurate capture of user

activities• Instant feedback to the user• Opportunity to incorporate

behavior science

Considerations• Shift to direct-to-consumer

business model• Dependency on external

platforms• Competition with other fitness

apps

Augmented Reality improves effectiveness of wellness programs


• Developer of Augmented Reality fitness apps • Aims to challenge and motivate racers by making them race 3D

avatars

RaceYourself will drive engagement by gameifying exercise

Strengths:• A pioneering app• Beta is already available• Can develop many different kinds

of games

Weaknesses:• Currently only developed for

Google Glass• Early stage startup• Lack of demonstrated success

Opportunity:Develop “gamified” fitness app that tracks wellness activities and uses tailored messaging to improve results


Why are CHRs significant?• Significant benefits to healthcare industry:

• Better Patient Outcomes1

• Guaranteed growth:• Increased Cost Savings2

• Rapid Adoption of EHRs: 21.8% of physicians in 2009 48.1% in 20133

• Core component of HITECH Act of 2009

Curated Health Records will be a core component of health care in the future

HIECurated Health Records (CHRs) contain relevant, accurate patient health information that can be shared instantaneously between providers, payers and patients. They are an integral part of HIT systems.

1 – Buntin MB, Burke MF, Hoaglin MC, Blumenthal D (2011) Health Aff. (Millwood) 30:464–471. 2 – Adler-Milstein J, Salzberg C, Franz C, Orav EJ, Newhouse JP, Bates DW (2013) Ann. Intern. Med. 159:97–1043 – http://www.cdc.gov/nchs/data/databriefs/db143.pdf

http://www.cdc.gov/nchs/data/databriefs/db143.pdf




W&P programs could integrate well with CHRs and patient portals


Integrate with CHR systems in order to:

1. Consume EHR Information

2. Offer wellness programs through patient portals

With CHRs, W&P can improve the lives of large numbers of patients

Value Proposition• More tailored products

• Improved data accessibility and accuracy

• Track improvements over time• Positioned for the future

• Additional distribution channel for rollout of future capabilities

• Exposure to new advancements in healthcare

• Large and growing # of referrals

Considerations• Identify the right partner• Complex / costly implementations• Is W&P practicing medicine


Epic offers HIT solutions for mid-to-large sized medical groups, hospitals, and integrated healthcare systems

Integrate with EPIC HIT Solutions to gain access to UMich Health Services

Weaknesses• Other focuses• No sales / marketing team• Closed software platform• No Wellness Programs

Opportunity: 1) Incorporate W&P programs into Epic’s patient portal2) Leverage common partners to appropriate stakeholder

Strengths• Premier HIT solution1

• 260 customers2

• 130 mil EHRs2

• Common partners• Kaiser Permanente• UMich Health

Services• Friendly Patient Portal

1 – http://www.epic.com/recognition-klas.php2 – http://www.forbes.com/sites/zinamoukheiber/2012/04/18/epic-systems-tough-billionaire/

http://www.epic.com/recognition-klas.php

http://www.epic.com/recognition-klas.php


Easily accepted by the body internally and are used to track various vital statistics of the entire body and/or particular organs.

Digestible & Embedded sensors save money and lives by monitoring the body from the inside

Why are digestible sensors significant?• Real time analysis from within body• Huge potential for growth in 2 areas

1. Wellness and Prevention • Wellness and Diagnostics Devices - 34.25 M devices – 2015, 170 M devices

- 20172. Medical Adherence – Track and remotely control drug adherence.

• Save $289 B and potentially 125,000 lives each year

1 http://www.businessweek.com/articles/2013-03-28/take-your-pills-reminders-from-apps-and-gadgets

http://www.businessweek.com/articles/2013-03-28/take-your-pills-reminders-from-apps-and-gadgets

http://www.businessweek.com/articles/2013-03-28/take-your-pills-reminders-from-apps-and-gadgets


Integrate digital health coaching and real time data to add more depth to the information disbursed to the end user through customized and actionable recommendations

Digestible sensors provide opportunity for increased user engagement & new markets

Value Proposition• Internal data delivers meaningful

digital coaching• Leverage J&J home diagnostics

distribution channel• Extend product line to include

medical adherence• Premium HRA offering through 24x7

monitoring

Considerations• Early Stage technology –

reliability and scalability concerns

• Requires advance data analytics engine

• Privacy and Data Abuse Concerns


As pioneers in the digital health sensor industry, Proteus is an attractive partner

Proteus Health• Records a person’s heart rate, body position, and

activity level• Sensor collects data in stomach, communicates to the

body patch, and shares data via Bluetooth

Strengths• Executive Team – Medical startups

and health practice expertise• Investor Panel – Novartis, Otsuka,

and Oracle • Gained FDA approval

Weaknesses• Potential acquisition expensive

- Pioneer in digital health sensors

• Potential high cost to customer

Opportunity: Explore partnership through data-licensing


Sensors that are worn on the user’s body to accurately collect information such as blood pressure, heart rate, calories burned, and sleep patterns.Why are external sensors significant?• Can analyze and relay data in real time to impact

consumer behavior

• Affordable, price range from $140-$500 per unit1

• Explosive growth: • 20M shipments in 2014 and 112M by 20182

predicted

• Exciting economic opportunities: $1.4B market in 2013 and $19B by 20183

• Leading consumerization and prevention trends

External sensors are quickly gaining market share as consumers pursue a healthier lifestyle

1. http://www.telecomengine.com/article/wearable-tech-makers-ship-10-million-units-2014-deloitte2. http://www.idc.com/getdoc.jsp?containerId=2473182.3. 2.http://www.hitconsultant.net/2013/11/22/infographic-the-future-of-wearable-technology-in-

healthcare/


W&P can collect real-time personal data from external sensors and offer continuous feedback to drive behavior change.

External sensors offer an opportunity to collect biometric data in a non-invasive manner

Value Proposition• Strong compatibility with

existing digital health coaching (e.g., weight management, physical activity, eating and sleep disorder)

• Data accuracy and quality• Increase consumer

engagement through continuous usage; 24/7 monitoring

• Leverages popularity of demand

Considerations• No competitive advantage• High competition• Data security


Basis

Wristband that contains advanced sensors which captures heart rate, motion, calorie expenditure by activity.

Basis offers a bundle of features unrivaled in the market

Strengths:• Goes beyond data

capture; drive behavior change

• Wide features available (heart rate, skin temperature, perspiration) and can recommend goals

Weaknesses: • Hard to substitute

smartphone (smart-watch is like a smartphone but with limited features)

• Highly competitive space

Opportunity: Partner with Basis and utilize data from their smart-watches to provide tailored feedback to clients.


Low cost gene sequencing paves the way for Personal GenomicsPersonalized diagnostic, treatment and prevention plan for individuals based on gene sequenceWhy is personal Genomic significant?• Holistic Data• Predictive Nature: 3000+ diseases

• Rapid cost reduction• Exponential Growth: 10m by 2016

and 100m by 2020*• Policy Promotion: Supreme Court

ruling promotes information sharing

*Association for Molecular Pathology vs. Myriad Genetics**Transparency Market Research, 2012

http://www.supremecourt.gov/opinions/12pdf/12-398_8njq.pdf


Digital Coaching - Enhance existing coaching product by customize diet and exercise plans according to individual’s gene type

HRA - Automate and improve accuracy of HRA by accepting genome data import

Nutrigenomics has the potential to enhance W&P’s existing value proposition

Value Proposition• Extensive personalization

increases engagement• Early mover advantage• Existing knowledge from other J&J

subsidiary: Janssen Pharmaceuticals

• Low consumer cost*

Considerations• Limited wellness-related gene

analysis completed• FDA regulations

*Cited from Booz Allen Hamilton Report “Market Trends in Genetic Services”


Inherent HealthPersonalized coaching programs based on Interleukin Genetics test

Turning a failing competitor into a winning venture

Strengths• Existing product• Low Cost: $169• Product awareness• Strong patent portfolio

Weaknesses• Lack of depth in report • No follow-ups or tracking• No relationship with healthcare providers• No consumer marketing expertise

Most Popular Product: Weight Management Report

Opportunity:Add-on Inherent Health to existing coaching program. Leverage W&P’s existing relationships, marketing expertise to promote program


With so many opportunities, where should W&P start?

Priority Product Category

Importance Value Proposition

Considerations Actionable Steps

1 CHR

2 Genomics

3 External Sensors

4 Augmented Reality

5 Digestible Sensors

Extremely Good

Good Neutral


The MAP team recommends integrating with CHRs because …

• CHRs will play an important and pervasive role in the future of healthcare • By integrating W&P solutions with CHR, W&P could:• Reach many users very quickly• Improve quality of its products and lives of its users• Position itself to take advantage of the future of the healthcare

• There’s a good strategic fit between W&P and HIT companies such as EPIC


Next Steps - Recommendation

• Conduct CHR due diligence• Research market size, risk, and potential synergies• Understand potential revenue streams• Ensure W&P meets compliance standards• Assess market entry strategies (i.e. greenfield, joint

venture, licensing)

• Initiate conversation with Epic• Identify appropriate stakeholders within Epic through

Kaiser Permanente and UMich Health Services• Understand cost of partnership & decide level of

relationship


Summary

Recommendation

Product Categories

Methodology

Market Overview• Consumerization, HIT and Preventative health trends create growth opportunities for W&P

• Systematic framework narrows ∞ > 35 > 5 emerging technologies

• 5 emerging technologies represent significant opportunities for W&P

• CHRs’ timing and fit with W&P tops our recommendation


Q&A

Thank You


References:• Global Augmented Reality Market 2014- 2018, (2014, March 19). Retrieved from:

http://search.proquest.com/docview/1508441687#• Roger Field, (2013, November 13). Augmented Reality Set for take off. Retrieved from http://www.itp.net/595668-

augmented-reality-set-for-take-off#.U1hSDPldU1o• Buntin MB, Burke MF, Hoaglin MC, Blumenthal D (2011) Health Aff. (Millwood) 30:464–471. • Adler-Milstein J, Salzberg C, Franz C, Orav EJ, Newhouse JP, Bates DW (2013) Ann. Intern. Med. 159:97–104• Chun-Ju Hsiao, PhD., and Esther Hing, M.P.H., (2014, January ). NCHS Data Brief, No. 143, Use and Characteristics

of Electronic Health Records Systems Among Office-based Physician Practices: United States, 2001-2013 Retrieved from: http://www.cdc.gov/nchs/data/databriefs/db143.pdf

• KLAS’ 2013 Best in KLAS Report rated Epic as the #1 Overall Software Suite based on 25 separate performance measures across multiple enterprise categories. Retrieved from: http://www.epic.com/recognition-klas.php

• Zina Moukheiber, (2012, April 12). Epic Systems’ Tough Billionaire. Retrieved from : http://www.forbes.com/sites/zinamoukheiber/2012/04/18/epic-systems-tough-billionaire

• John Tozzi, (2013, March 28). Take Your Pills’ Reminders From Apps and Gadgets. Retrieved from: http://www.businessweek.com/articles/2013-03-28/take-your-pills-reminders-from-apps-and-gadgets

• Iain Morris, (2014, January 15). Wearable tech makers to ship 10 million units in 2014: Deloitte. Retrieved from: http://www.telecomengine.com/article/wearable-tech-makers-ship-10-million-units-2014-deloitte

• Ramon T. Llamas, (2014, March). Worldwide Wearable Computing Device 2014-2018 Forecast and Analysis. Retrieved from: http://www.idc.com/getdoc.jsp?containerId=247318

• Jasmine Pennic, ( 2013, November 22). Infographic: The Future of Wearable Technology in Healthcare. Retrieve from: http://www.hitconsultant.net/2013/11/22/infographic-the-future-of-wearable-technology-in-healthcare/

• Association for Molecular Pathology vs. Myriad Genetics• Transparency Market Research, 2012• Timathie Leslie, Daniel Agar, Sarah Feilding, and Sophie Miller, (2013), Market Trends in Genetic Services,

Impacting Clinical Care through Better Prediction, Detection, and Care Selection. Retrieved from: Booz Allen Hamilton Report “Market Trends in Genetic Services”

Appendix (1)


References:

• Brian Nichols, (2014, March 22). Which Company Has the Most to Gain in Wearable Technology. Retrieved from: http://www.fool.com/investing/general/2014/03/22/which-company-has-the-most-to-gain-in-wearable-tec.aspx

• Wearable Technology – Market Assessment, An IHS Whitepaper, (2013, September). Retrieved from: http://www.ihs.com/pdfs/Wearable-Technology-sep-2013.pdf

• Maude Standish, (2013, April 22). How Will Wearable Technology Disrupt Us? Retrieved from: http://www.metropolismag.com/Point-of-View/April-2013/How-Will-Wearable-Technology-Disrupt-Us/

• Bill Wasik, (2013, December 17). Why Wearable Tech Will Be as Big as the Smartphone. Retrieve from: http://www.wired.com/2013/12/wearable-computers/

• Study: Wearable tech market to gain strength in 2014, (2014, April 11). Retrieved from: http://latino.foxnews.com/latino/news/2014/04/11/study-wearable-tech-market-to-gain-strength-in-2014/

• Tony Rizzo, (2014, January 15) Wearable Technology Market Will Ship at Least 10 Million Units in 2014, 100+ Million by 2020. Retrieve from: http://www.wearabletechworld.com/topics/from-the-experts/articles/366740-wearable-technology-market-will-ship-least-10-million.htm

• Louise Taylor, (2014, February 21). Wearable technology in business: big data benefits bring legal and privacy risks. Retrieved from: http://www.v3.co.uk/v3-uk/opinion/2329804/wearable-technology-in-business-big-data-benefits-bring-legal-and-privacy-risks

• Proteus Digital Health: http://www.proteus.com/technology/frequently-asked-questions/

• Anthony Shih MD, M., Julia A. Berenson, M., & Melinda Abrams, M. (2012, April 18). Preventive Care and the Affordable Care Act. Retrieved from Medscape Multispecialty: http://www.medscape.org/viewarticle/762139_1

• Congressional Budget Office. (2014). Insurance Coverage Provisions of the Affordable Care Act—CBO’s April 2014 Baseline. Washington DC: Congressional Budget Office.

• Control, C. f. (2013, September). Preventable Deaths from Heart Disease & Stroke. Retrieved from Center for Disease Control: http://www.cdc.gov/vitalsigns/pdf/2013-09-vitalsigns.pdf

Appendix (2)


References:

• Medicine, N. R. (2013). U.S. Health in International Perspective: Shorter Lives, Poorer Health. Washington DC: The National Academies Press.

• Nichols, B. (2014, March 22). Which Company Has the Most to Gain in Wearable Technology? Retrieved from www.fool.com: http://www.fool.com/investing/general/2014/03/22/which-company-has-the-most-to-gain-in-wearable-tec.aspx

• Rabin, R. C. (2012, August 26). Kaiser Health News. Retrieved from Hospitals Look To Become Insurers, As Well As Providers Of Care: http://www.kaiserhealthnews.org/stories/2012/august/26/hospital-insurers.aspx

• Stephen C. Schimpff, M. (2012, March 1). A sick care system instead of a health care system. Retrieved from medpageToday's KevinMD.com: http://www.kevinmd.com/blog/2012/03/sick-care-system-health-care-system.html

• The World Bank. (2012). Health expenditure, total (% of GDP). Retrieved from The World Bank, working for a world free of poverty: http://data.worldbank.org/indicator/SH.XPD.TOTL.ZS/countries/1W?order=wbapi_data_value_2012%20wbapi_data_value%20wbapi_data_value-last&sort=desc&display=default

• United States Census Bureau. (2013, September). Income, Poverty, and Health Insurance Coverage: 2012. Retrieved from Census.gov: http://www.census.gov/newsroom/releases/pdf/20130917_ipslides.pdf

• Wayne, A. (2014, March 18). How Is Obamacare Affecting Competition Among Health Insurers? Retrieved from Insurance Journal: http://www.insurancejournal.com/news/national/2014/03/18/323575.htm

Appendix (3)


Technology Assessment:

Appendix (4)

Product Category Augmented Reality External Sensors Digestible Sensors Personal Genomics CHRs

Characteristics Disruptive or Incremental Change To some extent – the technology can be seen as either an extension of the delivery method currently use or as a disruptive delivery method.

External sensors have the potential to become the next disruptive technology.

The technology is disruptive. It can displace a portion of the diagnostics market.

The adaption of personal genomics will cause disruptive changes in diagnostic and medical treatment plan.

The technology is significant, but incremental change to the way in which health information is collected, stored and shared.

Unique or one of the potential solution The technology is very unique. The technology is still in the early stage and expects to evolve and grow rapidly in the next two to five years.

One of the potential solutions. There are other types of sensors that capture the data.

The technology is extremely unique. CHRs will inevitably be adopted by the healthcare system. However, there is no unifying software architecture across CHRs due to the multiple developers, stakeholders and lack of federal oversight.

Technology Complexity Medium to High. Some application are more complex than the other.

The complexity of the technology is very high.

Technology is very complex since the pill has to be embedded within the body. All the parts of the sensor have to be FDA compliant and acceptable for human use.

The technique to isolate gene and map gene to certain health traits is a very complex process. Scientist would need to analyze a large amount of data, create scientific testing and review results before agreeing to the outcome.

Due to the number of CHR developers, stakeholders and the lack of central guidance, there is no unifying software architecture across CHRs. As a result, CHRs should be viewed as a very complex technology.

Can W&P add value? Using its extensive in house behavioral, health science knowledge and data, W&P can customize health and wellness Augmented Reality solutions.

W&P can add a lot of value by providing tailored messages to consumers using external sensors.

W&P has the algorithm to process that data and make recommendations personalized to the patient. They can use this tech instead of HRA into their digital coaching programs.

W&P can add a lot of value with each incremental genome decoding.

By consuming information within CHRs, W&P may be able to improve the efficacy of its programs and track the success of its programs over time.

Attributes Key Characteristics 1. Increases Engagement; 2. A “buzz” creating product category; 3. Scalable; 4. Informational.

External sensors can provide personal data for healthcare professionals in disease management and prevention space.

Real time data gathering. Personal genomics will create accurate and predictive data for healthcare professionals in disease management and prevention space.

Comprehensive collection, storage and sharing of information over time.

Customer Benefits Mainly a very unique and applying delivery method.

Patient will benefit by receiving customized feedback based from the information collected by the sensors.

No-Intrusive health tech device. Real time data health analysis.

Genome data is unique and accurate. Patient will benefit by receiving customized care from healthcare professionals.

Doctors may see reduced costs and improvements to patient outcomes. Patients gain easy access to their health information.

Adoptability Augmented reality is likely to be widely adopted in the next few years.

We see an increasing demand and growing consumer adoption. However, there are still several barriers to overcome in order to have a widespread adoption.

Adoptability can start with health care centers and sports athletes.

Genome data will become widely adopted in the future and will be a requirement like the blood test of our days.

The HITECH act of 2009 is successfully incentivizing the adoption of CHRs in hospitals and amongst health care providers.


Technology Assessment (continued):

Appendix (5)


Competitive Landscape

Other alternate technologies for the problem

There are many, but most are less appealing than Augmented Reality.

There are other alternatives available in the market such as digestible/embedded sensors.

External sensor individually or in combination can cover the functionality of these sensors.

As of current scientific understanding, there are no substitutes for the kind of predictive data from decoding human genomics. Gene is the ultimate holy grail of human anatomy.

The HITECH act of 2009 is successfully incentivizing the adoption of CHRs in hospitals and amongst health care providers.

Threat of new entry Medium - development of new products require a medium level of investment .

There are many players in the existing market.

Development of product requires huge initial investment and patents. Threat of new entrants will be similar to the ones faced for any new drug.

None as now. Because of Federal support of CHRs (specifically EHRs), the threat of competing technologies is limited. However, we can expect intense competition within the product category.

Development Status Stage of development The more adoptable health care AR technologies are still under development and will be available in next few years .

Early stage. We see a strong growth in the next 5 years.

A working product by Proteus Health has been approved by FDA recently.

Infant stage. Only few hundred disease have been linked to certain gene.

Basic CHRs have been developed and have been adopted by 44% of non-federal acute care hospitals. 48% of physicians have adopted CHR systems.

Evidence of performance As of today evidence of performance are limited .

The external sensors market was 2.5 billion in 2013. Experts said they expect to see a market size of 20 billion by 2018.

The data is not available in public domain.

Great, there have been many promising reports of gene targeted cancer therapy that shows great results.

A recent study has shown that adoption of EHRs resulted in savings of 3.1%.

In-house development or 3rd Party Licensing

As a result of lack of experience W&P will need to either partner with or acquire a company that develops AR software/devices.

Most of the research is developed internally.

W&P will need to license the technology or partner with the sensor company. The technology is R&D intensive and synergies from external partnerships will be much higher.

A lot of the gene analysis is open source knowledge circulated amongst academia.

W&P would gather information from EHR systems in order to create more customized programs for its users. It would make these programs available through patient portals.

Commercialization Pathways

Capabilities and Resources to launch the application

Very easy through an application store (such as Play or the App Store) .

Large investments are needed to develop smart technology.

Access to report database and the algorithm to customize the digital coaching programs to each patient’s characteristics.

Big computing power and large investment in researcher scientist will be needed for the task.

Significant resources must dedicated to identify key partners, conduct additional market research. Once the adequate partners are identified, significant integration work will need to take place.

Alternative applications and use case scenarios for technology

Can be used to provide services to healthcare professionals as well.

External sensors can provide efficiency and simplicity for us.

Tracking of patients and human beings through GPS. Remote administration of drugs.

Gene mutation or correction in order to augment or change an individual for recreational purpose instead of medicinal purposes.

Though EHRs will be limited to hospitals and healthcare practitioners, external PHRs could be used by patients without connecting to official healthcare provider systems.


Technology Assessment (continued):

Appendix (6)


Commercialization Pathways

Potential time to market 2 years (depended on supporting platforms).

2-5 years. 2-3 years to gain the necessary approvals and build the infrastructure to take the product to end user.

5-10 years. CHRs are already being adopted by hospitals and practitioners. The HITECH act of 2009 outlines guidelines for systematic adoption in the market.

Concerns Doubts about efficacy There are as tech is very new . The external sensors are still expensive for general public. In addition, there are still barriers for widespread and concerns on security.

The technology is still in nascent stage and hasn’t been proven completely.

Decoding gene takes a lot of time and risks. Certain conclusive results may ultimately be false because scientist do not fully understand the language of biology.

To date, it has been difficult to measure the impact of CHRs on the cost and quality of care.

Political or Social Concerns Privacy issues. There are a lot of concerns on the security and privacy of the personal data obtained.

Serious concerns about privacy. Data theft and abuse pose serious challenges.

Genome is a human’s true identity. Therefore, there are a lot of discrimination, privacy and ethical issues in dealing with the genome.

There is significant social concern regarding the sharing of private health information.

Government/FDA Regulations Might be regulated in future because of privacy concerns.

As of now, there is limited regulation on external sensors. As the technology plays a bigger role in society, we will see more complex regulation to be involved.

The product category is heavily regulated by FDA and therefore, requires significant approval challenges.

FDA has traditionally adopted enforcement discretion toward human genome. However, with the increasing commercialization of gene sequencing. FDA is reconsidering their policy.

Though the federal government is pushing the adoption of CHRs, they have not outlined guidance for a common, unifying software architecture.

Documents

Ross Map Team: Nick Adam Prakhar Goel Shlomi Barsheshet Samuel Hsiao Jessy Cheng Dave Lilly