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The Danish PWT Foundation – investments in Public Welfare Technology

AAL Forum 2010 Odense, 16. September

Thomas Børner, Chairman of the PWT Foundation Danish Ministry of Finance

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Agenda

>  Background: the Danish welfare society >  Challenges that the PWT Foundation seeks to meet >  What is the PWT Foundation? >  How the PWT Foundation works >  Examples >  Barriers to innovation and implementation of new solutions >  Key learnings and new opportunities

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Background: The Danish welfare society

In Denmark, health care and provision for the elderly is mainly provided by the public sector.

Basic homecare is provided free of charge.

This puts significant pressure on public finances: - Ageing population - Economic crisis

In other countries, this is handled via private insurances.

But the problems we face are the same: strained resources, a diminishing workforce, and employees who already today face an increasing workload.

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An average local municipality in Denmark (30.000 inhabitants) Some statistics…

>  1.400 have diabetes 2 >  1.200 have astma >  2.900 suffer from back injuries >  10.000 are overweight (>25 BMI) >  3.000 are obese (>30 BMI) >  2.200 drink too much >  3.650 heavy smokers between

26- 62 years

Source: Local Government Denmark & the National Board of Health

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Danish public spending on care targeted at the elderly

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Change in population groups

-6,5 %

+65 %

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We face serious challenges in the public sector!

-  Demographic challenges

-  Recruitment challenges: 25% of public sector employees will retire within the next 6-7 years (and become new users of public services)

-  Growing expectations to the public service levels from citizens (a result of growing income levels)

The double demographic challenge

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What is the PWT Foundation? - Looking for intelligent solutions

The PWT Foundation – investments in Public Welfare Technology and ICT solutions in order to save time and costs in the public sector

The Ministry of Finance distributes 400 mill. Euro in 2009-15. Focus: ICT and welfare technologies and technical aid equipment.

In perspective – what other countries would have to invest to match this:

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How the PWT Foundation works We fund projects that enable public services to meet increasing demands with fewer resources. Both local and national projects

Projects must: > Demonstrate and document labour-saving potential within public service and care. I.e.: positive business case – must make the public sector more efficient

> Test innovative solutions (the use of ICT, ambient assistive technologies or new ways of working)

>  test solutions that are general and can be copied and proliferated on a national level

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The PWT Foundation co-funds projects in all areas of the public sector with different technologies:

> Telemedicine

> Care of the elderly*

> Labour saving technologies and rehabilitation equipment and devices in care and health sectors

> Service robots and automatic solutions

> ICT e-Government and administration

* Organised at a local, municipal level (not via hospitals)

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Who can receive funding?

Applicants are public authorities (e.g. hospitals, nursing homes and other social welfare institutions) – typically in co-operation with private enterprises/industries

For local projects, public authorities must provide 25 percent co-funding (can be in employee hours)

>  Increases local ownership of the project >  Clear business case: start with the problem, not the (ICT) solution

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The trick of the PWT Foundation

>  The applicant should be able to realize the main part of the labour saving potential, service and production improvements etc. described.

>  The PWT Foundation monitors the projects focusing on labour-saving potential, efficiency and service improvement.

>  When a project has proved a positive business case/benefit realization, the initiative can be mainstreamed and implemented nationally – with the possibility for funding from the PWT Foundation -> proliferation of best practice!

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Technological maturity

Research and innovation

Research

Innovation and

development

Implementation and

distribution

Production & demonstration

General distribution (Nano technology) (E-patch)

(Planning tools: web-based, interactive boards etc.)

(PDA)

(Dish washer)

(Patient briefcase)

PWT Foundation

Implementation &

proliferation

PWT scope of funding

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Spill-over effects

The main focus is the business case perspective regarding productivity and service improvement

The employee perspective >  We create better jobs by using ICT and care-technology >  We improve the work-environment and reduce on-the-job injuries

The user perspective >  Empowerment and involvement of the user, higher quality of services,

better health and quality of life

The business perspective >  We generate demand >  Spur faster technological development >  We create a platform for improved cooperation between the public and

private sectors

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Current status

56 projects

> 54 local demonstration projects > 2 national implementation projects

If a local demonstration project after 1 ½ year can: >  produce a positive business case concerning productivity and service-improvement > and end-users as well as public employees accept and use the new solution

Then we can try to mainstream the idea and implement the solution nationally.

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Examples: PWT projects aimed at the elderly

-  Electronic locks connected to mobile phones or PDA’s

-  New lifting pillow to assist an elderly person get up from the floor

-  Specially designed toilets with wash-functions

-  Touch screens with webcams in homes of elderly persons

-  Care robots to help people with physical disabilities eat

-  IT-tools for better planning of travelling routes for home care nurses

-  Robotic vacuum cleaners… And more!

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-  Is carried in pocket, belt or purse

-  Is connected to family members mobile phone

-  Family member can call the tracker and see on Google map where the person is

GPS (micro tracker) to elderly persons with dementia living in private residences

- Red emergency button on tracker automatically alerts family member / professional assistance (depending on customized setting)

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Patient breifcase for rehabilitation in private homes

Ward rounds and rehabilitation in private homes with patient briefcase.

Patients have direct online video conferences with trained healthcare personnel who measure patient’s progress. Patients receive training in their own homes 10 min. per day instead of 20 min. twice a week.

-> Better training and faster rehabilitation, easy to use

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Why don’t they just do it?

Barriers to innovation and implementation among service providing units:

>  Focus is service and care production, not innovation >  Scarce economy, scarce resources, scarce competences >  Limited capacity and incentive to fund projects and take risks >  Silo: focus, finance, knowledge of new solutions etc.

Still a fruitful ground: >  Concrete experience and a need for new solutions >  Capacity to generate ideas and make them work >  New cross-sector solutions

Innovation must be nursed and focused on practical implementation and benefit realisation among end-users (both citizens and employees)

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Key learnings and new opportunities

A dedicated programme on a national level can:

>  gather the best new ideas and projects, fund them, evaluate them and communicate key learning points to all involved partners >  coordinate and help facilitate sharing of knowledge between different initiatives (e.g. in different parts of the public sector) >  generate synergy effects and reap benefits on a larger scale.

> Access to the right decision-making arenas on a national level is a key to success. The best solutions must become more than good examples – they need to be implemented on a greater scale as soon as the evidence is gathered and a viable business case can be established.

>  By linking budgets on a national level with the use of new technologies and more efficient ways of working, the state will be able to steer the development of the public sector in a clear direction.

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More information:

http://www.abtfonden.dk/Om_Fonden/English.aspx