Friday, 31 July, 2009

Healthcare Collaterals- Mobiles based Healthcare

Pharma Companies under Focus

How can Mobiles add value to the B2B order processing and Process Management?

Here you will have to go by the Healthcare Value chain. Mobility value add in Order processing i.e. B2B will be helpful only if:

It eases out product procurement and delivery

It helps stumbling blocks to improved value chain operations

For this one need to understand the strategies in three product areas i.e. pharmaceuticals, medical devices, and medical-surgical products and other such deliverables.Let's take the pharmacy market first!

There is already a scope for healthcare products/Devices and Pharma products as far as process management in the value chain are concerned.Introduction of M-commerce in health care value chain is also worth pondering over.

For eg. Mobiles can be useful in effectively managing a small scale industry supply chain.

Similarly, managing prescription order workflow in a pharmacy network can be done using mobile phones. A workflow may define a sequence of queues. To complete the distributed processing of the prescription order, the task object may be passed along the queues, where each queue corresponds to a portion of work in processing a prescription order. The original order data object may be referenced in the task object or passed along with the task object.

Value = a MOBILITY service provider in a B2B value model, the value that it will pass on to the entire workflow would primarily be:

  1. Effective Communications
  2. Process Productivity

The revenue for a service provider would be fee-for-service business model. For most of the Value chain, Big Pharma Distributors like ABC say for example operate on a buy/hold business model under which a company would purchase drugs from manufacturers in large quantities based on what their own pricing models predicted would happen to the value of the drugs. Then ABC would sell the drugs to its customers for a higher price than that paid for the drugs. This set up is also evolving today and shifting focus, which can readily be addressed by Mobile Phones.

Wholesalers are shifting rapidly to a new, fee-for-service pricing strategy- in which suppliers pay directly for wholesaling services rather than having those services bundied and paid for indirectly through gross margin and unseen discounts.

Free for Service Model using Mobiles:

ABC says “ABC has traditionally benefited from profits earned through buy-side opportunities from manufacturers .We have invested our profits in serving customers by dramatically increasing service levels over time. However, the manufacturers' model is changing, shifting to just-in-time inventory models that reduce our buy-side opportunities.”

ABC= “To support our investments in quality, technology and the future, we are making changes in how we do business. And while our goal is to insulate customers from changing economics whenever possible, we must make sure all our customers pay in a fair way for the value they receive." "We are moving toward a model in which manufacturers compensate us for distribution services on a fee-for-service basis."

Solutions/Services on Mobiles will help:

NEW Profits and Services
1. creating and managing service fee programs per contract
2. calculating, and managing fees as they accrue
3. setting up payment packages
4. accurately calculating payments based on incoming sales data
5. publishing this data to distributor’s (ABC) Pricing module on
6. a transaction-by-transaction basis

Traditional Profit margins:

The price wholesalers charged for servicing manufacturers dwindled down to a small, set discount

In today’s increasingly complicated supply chain, Mobile based (Solutions+ communications) contracts are a powerful tool for maintaining wholesaler relationships. Mobile based transactions as well as services will soon be used as a part of VAS to acquire data, manage inventory, and gain greater visibility into who’s buying once products. Because, although most of the companies want this feedback and snail-trail , they do not have the infrastructure to manage payments for these vital relationships.

Will come up with more…

Copyright @ Ruchi Bhatt ,Canadian Guild 2008

Sunday, 26 July, 2009

Mobile based Healthcare model

Mobile based Model- The Process and the Differentiation

Value Chain

Healthcare Social Linkups

In September 2008, Informa Telecoms & Media conducted the annual Mobile Content & Services Industry Survey. Of the 307 telecom industry professionals who participated in the survey, 71% believed that social networking & community services will have a significant impact on driving P2P uptake of mobile content. Healthcare services can therefore be benefited using social networking to doctor to doctor, doctor to patient and patient to patient social networking.

Will this work?

Mobile operators and service providers are increasingly integrating social networking and community features in their value added services. For example, if we look at some of the popular mobile music services such as MusicStation, Cyloop Mobile, Shazam, Bebo Mobile and Vodafone Music Reporter; they all include community features. Prima-facie looks like it will work for Healthcare based Information as well, Reason being:

  1. “Word of Mouth” (as in endorsement of a particular treatment, mode of treatment, prevention or home based healthcare) spread is high in healthcare related business. Also, there is a preponderance of data that confirms that word of mouth remains the most trusted form of advertising across the globe. According to, Vision of People Picking Providers Based on Price and Quality Information Far from Reality (So here comparisons database don’t work), Word of mouth is the most effective marketing for medical practices. Specialists generate new patients mostly from physician referrals.
  2. Spending Power (See todays news Economic Times- INDIA will get back to 9% growth by September 2010- reiterating the Centre’s commitment to create more spending power in the hands of people especially growth of rural India. This will call for convenience and better health standards. Success will hence be particularly in the area of health awareness schemes and training health care professionals. Mobile phones are generally affordable and available to the population at large, making them more accessible than computers and far more cost-effective than hospital beds.
  3. Encouragement and Assurance Say a doctor recommends an insulin pump for a newly diagnosed diabetic, here the patient has no idea what that is, so it can be scary for him. In that case, going to a handy mobile community and being in contact with others who have the same thing happening to them can be reassuring.( SMS to encourage medication- SIMpill is another example of SMS, being used to help combat diseases. This time it is about making sure people take their medication. It was used during a 2007 trial in South Africa to ensure people took their medication for TB. In the pilot, 90% of patients complied with their TB medication compared to 22% to 60% take-up without it.)
  4. Support Groups - According to the Jupiter Research report, 17 percent of "online health connectors" said they used the Internet "to get emotional support" for a health condition. Mobile based social networking would help connect patients to each other through disease-specific online communities, virtual support groups, real-time Web chats, and other features whereby patients share experiences and advice, and even rate their doctors.

Value Added Services in Healthcare

Customized knowledge services company Boston Analytics forecasts a 50 percent compounded annual growth rate (CAGR) in India's Mobile Value Added Services (MVAS) industry that will lead to a US$348.8 million market by 2009.Timely convergence of a saturated mobile voice market, little government involvement, an emerging ecosystem and rich consumer demand will lead to rapid development and adoption of Healthcare VAS content within the country. Last year, the Government of India, through its enterprise -- Bharat Sanchar Nigam Ltd (BSNL) -- soft-launched third generation or 3G services in Delhi.

Competitive Landscape of VAS


Computer weekly

Consultant Live

All Business

Cellular News

IMRB, Boston analytics

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