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How Can Technology Reduce Healthcare Costs? IT May Be The Answer!

A severe disconnect has emerged in the way technology is utilized for healthcare in the U.S. Yet, in terms of technology investment, the U.S. healthcare system is ahead of many other countries. Currently, the U.S. is the leader in healthcare technology development in terms of spending. This issue can be traced back to outdated delivery systems and restrictive regulations. So, with the question, “How can technology reduce healthcare costs?”, IT may be the answer.  The bold challenge for IT to save the healthcare system is complex and involves creating a program which can be used by everyone at an affordable price.

One major point of contention is that the U.S. spends $9,000 per capita on healthcare. In comparison, other advanced countries, like Japan, spend less than half that amount per capita. Unfortunately, this case does not translate to a healthier population with a higher life expectancy. In 2016, 7.6 percent of Americans reported that they were uninsured for more than a year with 17.1 percent being uninsured for part of the year. Furthermore, among those who consider themselves as “poor”, the uninsured rate was 26 percent, while for those who were “near-poor” the uninsured rate was 23 percent.

On Healthcare Providers and Systems

The model for the American Health Care Act uses a mix of private and public funding. It also makes use of private doctors and healthcare providers who are reimbursed for their costs. Those who do not have insurance, or are not qualified under their insurance, must pay the full price out of pocket. Due to certain restrictions, including those imposed by drug regulations and pre-existing conditions, the healthcare system does not cover every person, nor every disease. The central challenge for Americans seeking healthcare is the ability to pay. In contrast, European countries, as well as Japan and Canada base their healthcare system on a government insurance program leading to lower hospital bills for citizens and residents.

How Can Technology Reduce Healthcare Costs?

Some perceive that one place where money can be saved in the U.S. healthcare system is in information technology. Healthcare, as an industry, has not yet harnessed automation and information technology where you can ask questions, as well as see comparable costs from other hospitals and healthcare providers. There is no source or menu of prices available that shows the cost of a doctor’s consultation, hospital stay, treatment costs, and medicines. Without improvements that lead to cost transparency being executed efficiently, estimates of these total costs prior to a consultation or operation are still years away.

The initiative for the Electronic Health Records (EHR), included in the Affordable Care Act, is an important step in creating an integrated database. However, the process has not been standardized, and no system has been developed for sharing this information. The offshoot of this includes a possibility for duplication of needed tests and other services.

How Can Technology Reduce Healthcare Costs —A Final Note

Although tech companies are at the forefront of new developments, the delivery system still lacks communication capabilities between agencies, hospitals, and healthcare providers. Additionally, there is still an issue regarding the lack of transparency when it comes to cost estimates. Among other things, an integrated EHR with access to pricing information can help lower the cost of services for everyone across the U.S.

Breaking the Recidivism Through Educational Programs for Prisoners

In 2013, the incarceration rate for the United States was the highest in the world at 716 per 100,000 of the national population behind bars. That is an incredible waste of resources and human capital. It is compounded by the fact that educational programs for prisoners are not being given. No practical training for jobs or life skills that could help break the cycle of recidivism.

Over 60 percent of all prison inmates are functionally illiterate. There has to be a better way to spend their time.

Uneducated people are more likely to commit crimes and find themselves in prison than those with marketable skills. Every prisoner behind bars represents a loss to society as a whole, in terms of lack of productive output and in terms of the cost to maintain them in prison.

If we can encourage educational programs for prisoners to take it would result in lower recidivism, prisoners returning to jail, and helps to create productive, tax-paying, self-reliant citizens. One of the best ways to reduce the cost of prisons is to prepare prisoners for life outside so that they never have to return.

Edovo is stepping up to the plate with a software platform that stimulates educational programs for prisoners. Launched in 2013, the platform offers educational programs for prisoners. It provides a sense of purpose, achievement, and valuable educational skills.

The mission of Edovo is not only to give meaningful access to core education but also to communication and self-improvement tools. Brian Hill, the CEO, and Founder of this platform, wants to unlock the many and varied possibilities for every incarcerated person.

The bold innovation means that people can still learn, even while inside a prison cell. This software platform is particularly helpful to people in juvenile detention, although it can be useful to all inmates.

According to Hill, “Over 60 percent of all prison inmates are functionally illiterate. There has to be a better way to spend their time.”

Edovo Educational Programs for Prisoners

The company delivers tablets and wireless networks to prisons and jails across America. They provide prisoners with access to the Edovo platform.

Educational programs for prisoners: Prisoners in jump suits learning.

Once connected to the portal, inmates discover a collection of vocational, treatment, and educational resources that are all curated.

In a research study from the RAND Corporation, accessing vocational and educational programs for prisoners reduces recidivism by almost 43%.

“We found strong evidence that educational programs for prisoners play a role in reducing recidivism,” said Lois Davis, who is the Lead Researcher and Senior Policy Researcher at Rand.

Project Literacy, funded by Pearson, another education company, is providing all-out support to Edovo. Project Literacy is a global movement that gives people the chance to unleash their potential through the power of words.

The movement offers three valuable things, which they believe will help millions.

  • Mobilizing action and raising awareness
  • Innovating for new solutions
  • Advancing best practice

The Edovo platform has been widely accepted by many already. They operate in over 15 states across the United States. Currently, Edovo can launch at least one new portal site every week.

EdTech Start-Ups That Transform Learning

Despite being the new player, Edovo has already made its mark by being part of the top 10 start-ups that are innovating the education sector. The software company gives inmates certificates for learning. These certificates can later be presented to future employees, staff, and courts as an indicator of their learning engagement.

Other startup companies on the list include the following:

  • Play My Way
  • Artificial Intelligence Ltd
  • Edovo
  • Kytabu
  • 3DNovations
  • CogniToys
  • Code Club
  • Primo Toys
  • 3Dexter
  • Nearpod

It has been four years since Edovo launched. Its innovative method has provided a change in the learning process. For the year 2017, this bold software platform will continue providing communication skills enhancement, educational advancement, and a chance of success to those in the correctional system.

Masako Wakamiya — A Granny Creates a 5-Star Mobile App for Seniors!

Many people defy their age by means of getting better as they grow older. Masako Wakamiya —a grandmother who is also lovingly called “Ma-chan”—from Japan, is a living testimony that age is just a number and that it is never too late to create something that is innovative! Masako Wakamiya is an 82-yr-old who decided to get into mobile app development. TedXTokyo said that she and her friends created a website called “Mellow Club” in 1999. The club was a group ‘for the aged and by the aged’. Markedly, it has many active members in Japan.

Masako Wakamiya and Her Bold Idea

Mellow Denshoukan—or “Mellow Club” in English—is a digital archive to share personal experiences of those who have witnessed World War II and the post-war period. Now, Wakamiya decided to expand the project to mobile. So, she developed a mobile application called “Hinadan”. Hinadan is a game application for seniors or what she calls “people her of age”. The game is a one-of-a-kind innovative application.

Hinadan is played by trying to arrange dolls from a Japanese doll festival. Wakamiya’s idea came from combining “Hina”—traditional Japanese Emperor and Empress dolls—and the word “dan”. The real aim of her application is to educate people on how to dress up dolls in a correct manner. The app is also a way to prepare individuals in Japan for Hinamatsuri or “Girls’ Day”. Notably, Masako Wakamiya recognizes that people are not aware of the Hinas’ proper arrangement.

A Mobile App for Seniors, Developed by an 82-Year-Old

At the Worldwide Developers Conference (WWDC) in California, Apple CEO Tim Cook announced that Masako Wakamiya was the oldest developer in attendance. Her mobile application also received five stars in the App Store.

According to Wakamiya, “The internet gave me wings. Those wings took me to a wide world I never knew before I used a computer.” She made sure to teach herself how to operate a personal computer in order to stay connected with family, friends and the world. Through 6 months of attending a computer class, she discovered the ins and outs of Swift programming. Swift programming is easy to learn, but it is also a very powerful programming language. (Apple Inc. made the method for iOS, macOS, watchOS, tvOS, and Linux.)

Indeed, Hinadan is the brainchild of the 82-yr-old developer. Masako Wakamiya has proven that old age does not stop people from cracking difficult codes. Because of her dedication, she didn’t let the digital age slow her down or stop. Instead, she dove right in and made the most of it.

The Bold Bottom Line

Masako Wakamiya shares: “Most applications are for young people, and people of my generation find them boring. As we age, our eyesight gets worse, and we can’t move our fingers the way we’d like to. This game is designed so that even people with these problems can enjoy it.” The app is now widely accepted and enjoyed by many elderly women. The 82-yr-old developer also encourages seniors to be more involved with today’s innovative technology. This success makes Wakamiya do and want more. She plans to develop another app, which she thinks will be beneficial to an even wider range of people.

Indeed, Wakamiya proves that age is no barrier to creativity or innovation—even when it comes to digital technology. The information age is for everyone and by everyone.

Tech Companies Getting Into Healthcare — Giants Are Eyeing Positions!

Tech companies have been reluctant to enter the healthcare market. Some of the reasons are that heavily regulated healthcare is tediously slow in terms of innovation, while tech companies evolve in cycles that take months rather than decades. Except for a relatively few traditional companies—like HP and IBM—most tech companies have shied away from healthcare. Indeed, tech companies getting into healthcare seem like an unusual occurrence. Tech giants like Apple, Google and Amazon have not fully embraced ventures into health care tech—yet.

Historically, HP ran its own medical tech division, which was spun off during the late 1990s. IBM, on the other hand, has its Watson Health technology company—which has grown with the acquisition of Truven Health Analytics and Merge Healthcare. Aside from these two giants, other big tech companies have been hesitant about getting into healthcare until recently.

The Discussion in Detail

On the discussion of tech companies getting into healthcare: One of the latest rumors surrounds Athenahealth, which is involved in cloud-based health record-keeping for small hospitals and doctors’ offices. Apple seems interested in the said electronics record-keeping company, mainly due to its existing capabilities. With Apple going into health and fitness wearables, via the Apple Watch, it seems like a natural fit to go after Athenahealth as they can serve as a repository for the health and fitness apps information.

So far, Apple is content in the development of apps for Apple Watch, extending its use to the health and fitness market. Apple already has plans for a wearable which can read vital signs like blood pressure, pulse rate, temperature, and blood glucose levels. This research is ongoing, and it is not yet clear whether it will be integrated into the Apple Watch or utilized in a completely new wearable. Indeed, the healthcare tech industry is one of the most heavily regulated and has shown the slowest adoption of new tech advancements. Among other things, it is not easy to see a fit between companies. This case is also true in terms of culture, company growth and focus.

Giants, Google and Amazon, Enter Healthcare Field?

A Google representative was once asked why the company was not actively buying health tech companies. They replied with: Google is good at building things for billions, but not so great at creating tools for a hundred thousand people. In terms of scope and scale, a more focused approach is needed for healthcare tech, which is not present in these consumer-oriented tech companies.

a white-coated physician holding a smart tablet with a caduceus symbol in the middle of the screen and the logo of companies Apple Alphabet and IBM in the space below the tablet amid tech companies getting into healthcare

Alphabet, Google’s parent corporation, already has a health care company called Verily Life Sciences. The wholly-owned subsidiary mainly focuses on life sciences research. Among the projects in their pipeline is a contact lens for those with diabetes, which reads the glucose level of the wearer; a health-tracking wristband; a nanoparticle platform which integrates with the wristband and can detect diseases; surgical robotics (collaboration with Johnson & Johnson); bioelectronics medicine development; and miniaturized continuous glucose monitors.

Amazon has recently bought Whole Foods, and with their stockpile of cash, they can easily go into a bidding war for Athenahealth. Notably, Amazon bought Whole Foods for close to $14 billion, which is substantially more than the current estimated price of Athenahealth, at $5 billion. There is still a lot of room for growth in medical data warehousing. As studies have shown, some small hospitals have not yet fully converted to paperless data-keeping and retrieval.

A Final Note On Tech Companies Getting Into Healthcare

The bigger challenge is the fact that the healthcare companies and the industry itself lag behind in terms of technology. For Athenahealth to move forward, it must attract a larger market. However, it hasn’t not yet automated their document keeping. This step can be a big investment for the hospital or doctors’ clinic. In addition, it can be a big investment for Athenahealth to handle the infrastructure required for all the data migration.

At the end of that day, all tech companies getting into healthcare must make bold moves if they hope to make an impact in the industry.

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