Rethinking Global Health Innovation Education: GENiE Conference Notes - Reimbursement Strategies for Medical Innovation

April 17, 2019

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Global Health Innovation Educators GENiE Notes - Learn how top business schools are educating tomorrow's healthcare innovators

Perspectives on Medical Reimbursement

By JR Associates

In today’s highly complex healthcare environment, what’s the best way to prepare the next generation of life science innovators? This central question is often top-of-mind among members of the Global Educators Network for Health Innovation Education (GENiE Group). It also provides an overarching framework for the GENiE annual conference.

Each year since 2012, dozens of educators from the world’s top business schools have gathered to explore this strategic challenge, along with healthcare business executives, clinical leaders and experts in public health and medical science.

At the 2018 conference, participants focused on a “triple aim” − developing educational programs that help life science innovators bring products to market that:

•  Elevate patient clinical outcomes
•  Improve patient quality of life, and
•  Add demonstrable value, while helping providers manage costs.

Last fall, our VP of Global Health Policy, Jo Ellen Slurzberg traveled to Copenhagen, Denmark to participate in the 2018 GENiE forum. As a member of a panel that examined the economics of innovation, Jo Ellen focused on the role that medical device and pharmaceutical manufacturers play in assuring that often-costly innovation is accessible to health care providers and patients.

After Jo Ellen’s panel concluded, we talked with her about the conference in a one-on-one interview. The following Q&A features highlights from that discussion…

ABOUT THE GENiE CONFERENCE

1) How did you learn about this event?

I was invited to speak by GENiE Chair, Professor Regina Herzlinger, of Harvard Business School. I’ve collaborated professionally with her for more than 15 years.

2) Why did you choose to participate?

This is an excellent opportunity to shape the education of entrepreneurs who will be developing and commercializing novel medical technology in the future.

3) Are the ideas discussed at the conference documented and shared?

Absolutely. Guidance and insights are captured in business school notes and case studies, as well as presentation slides, research papers and “teach the teacher” materials that are published for interested educators to use.

PANEL DETAILS

1) In your view, how can manufacturers help make innovative medical products accessible to healthcare providers and their patients?

To drive market access, manufacturers must lead in driving collaboration across all stakeholders − providers, payers and patients. It’s essential to create a foundation for this in clinical evidence, market planning and commercial program development.

2) What characteristics define successful market access strategies?

Novel or alternative payment programs vary in their approach, depending on the technology or product. But an increasing number of programs now provide access for patients who otherwise could not afford new treatments or technology.

3) What role does reimbursement play in this process?

“Reimbursement” represents the “premier” financial transaction that occurs in the process of commercializing a product. It is a key driver in achieving market penetration, particularly for novel treatments or interventions that include a pharmaceutical or device, or those that disrupt the current standard of care.

4) What’s the primary hurdle these programs face?

They are very costly to develop and run.

5) Are these programs making progress?

The scope and outcomes of these programs vary, but many are helping providers expand treatment to a broader range of patients. They’re also educating providers and payers by creating a communication path that serves as an evidence-sharing conduit among stakeholders.

6) What can be done to improve outcomes?

Payers and providers could be more open to innovation. Manufacturers could drive toward higher quality and level of clinical evidence. And providers and payers could open the door to a broader number of manufacturers as they introduce innovative treatments and technologies. It can be especially challenging for smaller companies to gain an audience or to be invited to participate in these discussions.

CONFERENCE TAKEAWAYS

1) In your opinion, how challenging is innovation education in today’s global healthcare climate?

Students and professors at healthcare-focused business programs around the world are up to the challenge. Many innovative solutions are being introduced in the classroom.

For instance, some innovative services and programs are advancing healthcare in Russia, eastern Europe and parts of Africa. We should take a step back and learn from them. They leapfrog over our trial-and-error methodology, and they aren’t hampered by the same bureaucracy we face in our developed healthcare systems.

2) Is the situation improving or not?

It is. Perhaps not a quickly as we all would like, but we do see deliberate progress.

3) Although GENiE focuses on connecting healthcare educators, what issues were discussed that may interest the medical technology community-at-large?

Medtech can’t innovate in a vacuum. You can’t do what is useful if you are out-of-touch with stakeholders.

Also, I believe we need to expand the definition of innovation beyond simply “a modestly new way” doing something we already do. True innovators realize that the bar is higher now to disrupt purposefully.

4) Are you excited about forums like this? What kind of potential do they hold?

The GENiE conference is an incredible opportunity to connect and strengthen the international healthcare innovation community. Our collective future depends on all nations becoming healthier and more secure, economically. Without global collaboration, we cannot elevate healthcare in our own countries, let alone in underserved locations.

The world is getting smaller all the time. Although countries, cultures and regions are diverse, we have much more in common than some may assume. It’s vital for all of us to continue learning and evolving by understanding what is happening elsewhere and openly sharing ideas.