2019 Global Health

Care Outlook
Shaping the future

Global health care spending continues to increase dramatically

is projected to reach

$10.059 trillion by 2022

Annual Factors impacting health care costs
9.0 growth 9.0
life expectancy continues to climb—number of
rate
8.0 8.0

7.0 7.0 people aged over 65 globally is more than 668

6.0
5.0
6.0
5.0
5.4% million, or 11.6%, of the total global population
4.0 4.0
2018-2022
winning the fight against communicable diseases
2.9%
3.0 3.0

2.0 2.0

1.0

0.0
2013-2017
1.0

0.0
non-communicable diseases (NCDs)—most
prominently, cancer, heart disease, and
diabetes—continue to grow

Spending is expected to continue to

The need to partner with other sectors be uneven
such as employment, housing, education, Health care per person by 2022
and transportation to address the
social determinants of health, and with
new sectors such as retail, banking, and
technology giants to improve data and
platform interoperability
$11,674 United States $54 Pakistan

Shifting the focus from ‘sick’ care to

Well-being Prevention Early intervention
one of ‘health’ care, supported by:

“Superclusters” of public-private providers, payers, and market disruptor using a

smart health community approach to collectively drive innovation, increase access and
affordability, improve quality, and lower costs through more efficient delivery models.

Informed and empowered consumers How will stakeholders respond?

use innovative technologies and personalized
Change agents and These consumers programs to engage with consumers and
active caretakers of will likely be “pulling”
improve the patient experience.
their health who solutions rather
have high than being “pushed” data interoperability, security, and ownership
expectations of services (move
moves to the forefront
their health care from B2C to C2B).
ecosystem health care delivery and mobility may
radically alter everything from the site of
care to who delivers care and how.

Top issues
Creating financial sustainability in an uncertain health economy

Financial disruptors Health care spending in 2019

will likely be driven by the
emergence of personalized medicine
shared factors of:
exponential technologies aging and growing populations
disruptive competitors developing market expansion
expanded delivery sites clinical and technology advances
revamped payment models rising labor costs

How are providers addressing this issue?

Health technology Mergers, acquisitions, and partnering
Health technology sector is expected Vertical and horizontal
to reach USD $280 billion by 2021,
Alternative revenue sources
at a CAGR of 15.9% between
2016–2021

Using new care delivery models to improve access and affordability

Continued transition from

volume-based/fee-for-service (FFS) models
to value-based care (VBC)

Technology is helping in
A successful value-based this transition:
payments strategy likely requires: virtual health/telehealth
payer/provider collaboration wearables
sharing of patients’ health data
sensors, biometrics
IT and analytical support

Virtual health
64% of consumers point to Barriers of virtual health
convenience and access as lack of reimbursement
important benefits of virtual health
complex licensing requirements
Physicians’ top benefits:
high cost of the technologies
improved patient access to care
improved patient satisfaction reliability/errors
staying connected with patients privacy & security
and their caregivers

Social determinants of health often have a greater impact on health

outcomes than does health care

Socioeconomic status Education/physical environment

Social
Employment
determinants Neighborhood
of health
factors
Social care networks Health care access

Adapting to changing consumer needs, demands, and expectations

Patients and caregivers appear to be

demanding change. Dissatisfied with poor
Transformation to
service and lack of transparency around
value and
price, quality, and safety, today’s health
outcomes-based
care consumers are expecting solutions
health care
that are coordinated, convenient,
customized, and accessible.

Digital technologies can improve engagement, enable convenience-driven

access to care, and nurture a two-way relationship for the long term

Patient engagement strategies—digital health, telehealth, wearable

monitoring and fitness devices, online resources, social media

New players in this area—consumer, retail, and technology sectors

There is emerging support for moving away from a reactive approach to

chronic care management, in which coordination between stakeholders,
therapy, and care is limited or ad hoc, to a proactive model in which
engagement tools and support bolster both patients and health care providers

“Nudging”—a change in the way choices are presented or information

is framed that alters people’s behavior in a predictable way without
restricting choices—in increasingly seen as an option to help with
patient adherence.

Investing in digital innovation and transformation

There is an exponential increase in the pace and scale with

which digital health care innovations are emerging
Digital innovation impacting more
than just clinical—also impacting
back-office operations like supply
Digital innovations that are helping
chain, finance, revenue cycle, HR
reshape the future of health care by
making health care delivery more
efficient and more accessible
Internet of
Medical Things
Blockchain (IoMT)

Cloud-based
computing
AI

Digital
and virtual
reality
Robotics

Cloud-based Virtual
Robotic process software as-a-service (SaaS) health
automation (RPA)

How is digital helping?

diagnosis & treatment self-service

quality patient experience

speed & accuracy training

accelerating the development of new drugs and devices

personalization

Digital innovation is supporting and augmenting

workers and not replacing them. It is allowing
highly trained resources to focus on more
valuable, patient-facing activities.

Digital technologies are supporting health systems’ efforts to transition to new

models of patient-centered care and “smart health” approaches to drive
innovation, increase access and affordability, improve quality, and lower costs.

Maintaining regulatory compliance and cyber security

As data is becoming the new health care currency, protecting it will be key

Clinical innovations, digital interconnectivity, and market

complexity is heightening the need for new government policies,
regulatory oversight, and risk management in health care

Cybersecurity currently heads the list of regulatory

issues for many health care leaders

Volume of data
Crises are on the rise. Are organizations Interoperability
prepared? Connected devices
Quality
Experiencing a crisis teaches organizations to avoid them Safety
Leaders need more development for crisis management Cyber
Privacy
Confidence outstrips preparedness

Being at the ready significantly reduces the negative impact of a crisis

Third parties are part of the problem—and the solution

Recruiting, developing, and retaining top talent

Staffing can represent up to

70% of a hospital’s cost

Causes of current staffing issues:

increased demand/heavy workload declining morale

poor work/life balance well-being concerns

Three dimensions shaping the future of work

What work can be automated?

AI
Cognitive tech
Robotics Who can do the work?
Clinical recruitment
Where is the work done?
Alternative models
Telehealth Part-time Crowdsourced
Digital medicine Contractors Automated

Remote monitoring Freelancers

Key point—innovative approaches to workforce planning, recruitment,

skills development, and technology use will be key for the future of work

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