Technology is changing the concept of work as we know it and the technological advances anticipated over the next several years will dramatically continue to do so. This evolution is expected to have a substantial impact on an organization’s work culture, work space and workforce. Specifically, each of these organizational pillars is influenced in the following manner:
Life sciences supply chains need to adjust to increasingly complex environments globally. Pharma manufacturers and wholesalers in Europe must undergo a fundamental transformation to remain competitive in this market. The rapidly approaching deadline of the European Union’s Falsified Medicines Directive (FMD) for drug serialization and traceability is currently the top concern of life science companies supplying pharmaceutical products to the European markets. However, companies can take this opportunity to upgrade their digital systems and operations and realize the broader potential of the 3rd platform and innovation accelerator technologies to achieve “smart compliance,” deriving a longer-term business value for their supply chains.
Providing a differentiated customer experience is becoming more difficult for brands. Yes, customers are integrating more technology into their lives that results in more channels engage with and more data for the brand, it also makes it more difficult to provide a consistent experience across those channels to effectively and contextually target those customers with the right experience without more technology. It is becoming a never-ending cycle.
With direct digital transformation (DX) investment spending of $5.9 trillion over the years 2018 to 2021, this topic continues to be a central area of business leadership thinking.
IDC’s 2019 DX predictions represent our perspective on the major transformation trends we expect to see over the next five years — based on our almost 800 business use cases spanning 16 industries and 8 functional areas, our DX spending guides showing where industry is both prioritizing digital investments, and where we expect to see the largest growth in 3rd Platform and innovation accelerator technologies.
The 2019 worldwide health industry predictions offer insight into the future of the health industry as it is being transformed in the new digital era. The future belongs to visionary leaders and forward-thinking organizations that are able to break the shackles of legacy systems and accelerate mastering digital-first strategies. The thrivers will be those that champion data-driven, experiential, and personalized approaches through health IT.
As industries — and the global economy — rapidly realign and consolidate around digital innovation, CXOs must race to reinvent their organizations for the fast-paced multiplied innovation world. This means reinventing IT around a distributed cloud infrastructure, public cloud software stacks, agile and cloud-native app development and deployment, AI as the new user interface, and new, pervasive approaches to security and trust at scale.
Blockchain interoperability needs time and momentum to mature toward a wider scale of adoption and to truly impact healthcare. However, the future is now and the market clearly reflects much buzz around the technology and its potential for hard-coding change. Blockchain interoperability could pave the way toward forming a next-generation vehicle for data exchange that contributes to digital transformation in provider organizations through its network effect.
As IDC Health Insights predicted in August 2017 (Digital Transformation and New Economics Highlight Payer Disintermediation), we anticipated more deals and vertical integration. CVS announced its intention to buy Aetna. In December, and this week Amazon, Berkshire Hathaway, and JPMorgan Chase announced a partnership to cut health-care costs and improve services for their U.S. employees, with the aim of improving employee satisfaction and reducing costs.
The day-to-day management of fee-for-value (FFV) transactions is virtually 100% manual, with critical calculation of value-based payments performed by spreadsheet or custom programming in SAS or SQL. As the number and breadth of value-based relationships grow, the industry’s administrative burden worsens. Important FFV calculations and financial settlements are months delayed, lacking transparency and accuracy. The ability of payers to launch new value-centric benefit products is hobbled by inflexible contract and payment platforms.
Patient engagement is a journey that offers an advantageous paradigm for healthcare digital transformation strategies. Conceptually, it builds on an appreciation of the changing role for patients (and their families) in modern day healthcare and the importance of generating efforts that organize towards engaging them as care-seeking consumers. In application, patient engagement and its underlying technologies can transform care-seeking consumers into new patients and empower existing patients to become more involved in their health and care. With time this journey can culminate into a digital transformation end state, which combines a mix of patient engagement technologies that collectively achieve an inimitable, competitive, and highly necessary advantage for the provider organization that is conducive to success.