A focus on using real-world data, advanced analytics and focused sets of services is defining the digital medicine age for life sciences.
In the age of digital medicine, life science companies will increasingly move toward the use of real-world data, advanced analytics and focused sets of services as the basis for their contracting. Not because they are required to do so, but because they have a higher likelihood of receiving fair reimbursement for their novel therapies and devices when they are linked to value creation.
However, moving from volume to value will require investments in new areas and collaborative operating approaches. The life sciences leaders will disrupt traditional operating models and adopt three key elements:
The move from business intelligence to predictive intelligence
The emphasis is now on collaboration, value-based data acquisition and advanced analytic capabilities. These are required to gain insight into approaches and care coordination activities that can substantially improve patient outcomes and increase the value realized.
Not all data will be real-world—coming from electronic medical records, genomic/genetic or social sources. But increasingly this will be the case as reimbursement becomes more value-based, medicine more digital and go-to-market models involve patient- and provider-facing services.
Such value-based agreements require foundational capabilities:
Access to real-world data in real time to support diagnosis and treatment selection.
Access to historical real-world data to establish a baseline.
Advanced predictive analytics and engagement technologies during treatment in support of clinicians, patients and their families for adherence and treatment response monitoring.
Quality, outcome and value metrics made available to the contracting pharma company and healthcare providers.
You can’t do it alone
The scope and scale of care management solutions for most patient populations is beyond what any a single healthcare provider or life science company can take on. This drives a need to understand the entire patient and provider journey so that gaps can be identified, solved for and collaboratively deployed.
Value innovators: the new definition of leadership
In the future, leaders will be value innovators, bringing a combination of scale, technology depth, analytic aptitude, advanced partnerships and open operating models to bear. As the pace of market change accelerates, cycles will no longer be tied only to patient expiry or new indications—rather we’ll see services and value-based contracting models delivering new value to patients and health systems, and more quickly. Those not taking on this role will fall even further behind.
More and more companies are collaborating and forming ecosystems that make it possible for them to drive value and lower cost, creating a wave of disruption that will ultimately benefit the patient first and foremost. The coming months will see the transition from pilots to full-scale deployment of highly targeted solutions and entirely new business models, increasingly more reliable and robust digital infrastructure connecting devices and across settings.
Those that disrupt, the true value innovators, will accelerate investments to fully evolve their operating models from volume-based to value-based, and create partnerships that are differentiating and distinctive.