1. law, govt and politics
2. government

Zac Jiwa - Joshua Rosenthal, PhD - Bryan Sivak - Fred Trotter
Government is releasing lots of data*
* Expertly captained by
Need market to adopt – use to create value
Cf. Weather & Geo-Location data
Thanks, government!
Context
Idea
1 %*
Prototype
1 %*
Funded
1 %*
Exit
1 %*
Exit w/
Good Multiple
*Health Care Start Ups
fail at astounding,
disproportionate rates
Measuring Value Creation
Most ‘Successes’, Aren’t
Measuring Value Creation
Measuring Value Creation
User Guide (ALT)
Consultants /
Professional Services,
Providers
SaaS-based
data / analytic
platforms
Health care has not done so well
In this race vs. other verticals
“Just wait ‘till next year Financial Services & Energy!”
Challenge: Starting Hard with Cool Tech
High
Biz Value
Big Data
Public Data
Start with Biz
Problem, figure
out data / tech
?
Figure out how
to create value
from tech / data
VC /
Accelerator
?
Low
Biz Value
Most:
Cool Tech
Complex Data
Comp Sci. Interests
Hard
Easy
Challenge: Direct to Consumer Apps
*Direct-to-Consumer Note:
People don’t like to pay
out of pocket for something
they don’t like to do or
don’t want to know about
Challenge: Fluff in nice suits
Speaking at a major health care conference near you
Challenge: Noise from Tech
I have better
engineering / architecture
Hmm, ‘fixing the pipes’
was not the answer
Challenge: Bubbles (design)
I have better
design & experience
Hmm, the pretty colors
on my social app didn’t stop me
Challenge: Buzz (cf. big data)
My data is bigger than yours
Silly boys
Hmm,
this fixation indicates...
Challenge: Perverse Incentives
*
* Source: Dartmouth Atlas for Unwarranted Variation
Perverse Incentives: Fee for Service
Payers aggregate –
but some have not historically been “health care”
“Actually, I make more money
off of bad drivers.”*
(Read w/ accent)
* Note:
Affordable Care Act changes this
Cf. Medicare Advantage
Perverse Incentives: Fee for Service
Some Hospitals/Providers may historically generated revenue
by filling rooms*
Keep patients away?!?
I was trying to book you for an extra night!
* Note:
Affordable Care Act changes this
Cf. Medicare Advantage
Perverse Incentives: Disrupting Status Quos
Open Health Data Outperforms Claims and Electronic /
Personal Health Records, & Devices for Risk & Cost
David Wennberg, MD
RowdMap Advisory Board
Challenge: Interpretation of Data
Then again… Maybe there’s something to it?
Causal?
Challenge: Interpretation of Data
Then again… Maybe there’s something to it?
A new Prescription?
=
Live to be 126 years old?
Review
FAIL
Health Care Start Ups
fail at astounding,
disproportionate rates
OPEN SOLUTION - CONNECT DATA TO BIZ MODEL
Solution: NEW INCENTIVES
Government Announces Sun-setting of Fee for Services
Government Announces New Pay-for-Value Models
OPEN SOLUTION - CONNECT DATA TO BIZ MODEL
Solution: NEW DATA
Affordable Care Act data to determine Provider Pattern Intensity Profiles and
Readiness for every provider,
Risk-Readiness of Providers / Networks Risk
hospital, post acute center in the US.
All preloaded with no IT.
New Government
Released Performance Data
(Individual providers, groups,
hospitals and post acute centers
including the new part B&D)
New Government
Released Referral Data
(Patient flows between
PCPS, specialists, hospitals
and post acute centers)
Dartmouth Atlas for
Unwarranted Variation
(Decades of research and data on
unwarranted variation by condition
and geography to keep things
apples-to-apples for comparisons,
hence “Unwarranted” in the name)
OPEN SOLUTION - CONNECT DATA TO BIZ MODEL
If Dr. Berlin had same ratio as Dr. Milan:
• His decompression rate would drop from
6.01 to 0.436 per patient.
• Which translates to 2,608 fewer
decompressions per year.
For every 10 back fusions Dr.
Berlin* does 103 decompressions
For every 10 back fusions Dr. Milan*
does 2 decompressions.
• At an average cost of $332 per
decompression, this represents potential
savings of over $850K
If Dr. Berlin's decompression to fusion rate
were average for orthopedic surgeons:
• He would have 1629 fewer
decompressions for a potential savings
of $540K.
OPEN SOLUTION - CONNECT DATA TO BIZ MODEL
Answering the Open Challenge:
Connecting Open Data to an Meaningful Business Model
DIY it!
Guide: http://tinyurl.com/l2nxvw9
Sources: http://tinyurl.com/ko7jnfa
Game: http://tinyurl.com/kspxr4e