CHICAGO, Feb. 26, 2019 /PRNewswire/ -- Health systems are beginning to develop innovative partnerships with an entirely new class of partners: technology companies. These emerging partnerships enable providers to secure the capabilities that will be necessary to ensure their sustained growth and viability in this era of healthcare digital industrialization. Today the Chartis Group released a paper "The New World of Healthcare Partnerships: Technology Companies," that provides a strategic framework for providers to successfully evaluate and develop technology partnerships.
The paper also includes an overview of the top healthcare technology value propositions being funded, a matrix of potential technology partners and an overview of non-traditional partnership models.
Tom Kiesau, Chartis Director, Digital Health Leader and co-author of the paper stated, "In the first half of 2018 alone healthcare startups raised over $15 billion in capital, and this figure does not include the enormous bets being placed by some of the most established players in the technology sector, such as Apple, Google and Amazon. Providers can be disrupted by these technology-oriented companies or become a partner and disrupt their own business models."
Providers' network of physicians and geographic distribution of assets have historically offered a strategic barrier to entry. In the digital domain, these constraints are dramatically reduced and, in some cases, completely eliminated. This paper provides a three-step process for formulating these technology-related partnerships:
- Consider a Wide Range of Potential Partners
The range of new partners to consider is significantly broader and ever-growing, and new (sometimes unproven) companies should be in providers' consideration set.
- Evaluate Diverse Models for Partnering
The model for providers to partner with these companies may be unlike traditional partnerships thy have had in the past in terms of revenue and governance structure.
- Ensure a Bilateral Value Proposition
Providers must create mutually beneficial partnerships with innovative value propositions. A provider's value proposition may be different o technology companies than it has been to other provider organizations.
Cindy Lee, Chartis Director, Strategy Practice Leader and co-author of the paper noted, "Providers should consider partnerships for developing new high-priority capabilities and at the same time constantly re-evaluate the partnership landscape for new technologies. Success for providers will hinge on the ability to act quickly and decisively, while making informed decisions on whether to double down or exit new technology initiatives."
About The Chartis Group
The Chartis Group® (Chartis) provides comprehensive advisory services and analytics to the healthcare industry. With an unparalleled depth of expertise in strategic planning, performance excellence, informatics and technology, and health analytics, Chartis helps leading academic medical centers, integrated delivery networks, children's hospitals and healthcare service organizations achieve transformative results. Chartis has offices in Atlanta, Boston, Chicago, New York, Minneapolis and San Francisco. For more information, visit www.chartis.com.
SOURCE The Chartis Group