big data, and analytics are seen as a potential way to improve the care process. EHR: Electronic health record; ePHI: El
2015 global health care sector outlook Deloitte Touche Tohmatsu Limited’s yearly look at the topics, trends, and issues impacting the global health care sector
Sector overview
Global health care spend to grow at 5.2% annually to 2018
Global health care spend represents 10.6% of GDP
Where’s the growth expected?
Western Europe
North America
4.9%
2.4% 8.1%
Asia Middle East and Africa
Latin America
4.6%
8.7%
Contradictory forces influence health care spending • Aging population • Growth of emerging markets • Advances in treatments
Aging population Percentage age 60 and over
• Heath care cost reduction pressure
2.4%
7.6%
1980-2010
2010-2040
Global health care drivers — chronic disease
63% of deaths
Total deaths from diabetes are project to rise by more than 50% in the next 10 years
in 2008 were from non-communicable diseases
By 2020, tobacco will kill 7.5 million people per year, accounting for 10% of all deaths worldwide
Top issues and trends
Regulations and compliance
Cost
Key issues in
2015 Adapting to market forces Transformation and digital innovation
Adapting factors Cost increase
Cost
to market forces
Regulations and compliance
Higher premiums, OPP
Risk, regulations, and compliance
Affordable Care Act
Overuse of services
Coverage expansion
Austerity measures
Disruptive technologies
Transformation Pressure to contain costs and demonstrate value and digital is coming from all sides innovation
Governments
Providers
Health plans
Life sciences companies
Political uncertainty, persistent economic stress, and austerity measures in numerous countries are calling into question the sustainability of public health care funding
Consumers
New value-basedcare models focus on maximizing value (lower cost and higher quality) are being increasingly looked at as a solution
Continual cost increases and margin erosion are impacting all stakeholders
Adapting to market forces
Risk, regulations, Market forces and compliance
Disruptive technologies
Transformation and digital innovation
Increasing role of government Governments introducing broad reforms to cut cost and improve quality
Scale to prosper Vertical and horizontal integration, cross-industry M&A
Competition for talent Number of doctors to remain flat, uneven distribution of caregivers, opportunities outside of home markets
Improving access to care Emerging market expansion, innovative solutions outside of traditional models
Consumerism Patients engagement increasing due to rising out-of-pocket costs, more choice, better access to information and shift to patient-driven health care models
Globally, the number of doctors per 1,000 population is expected to remain virtually the same between 2012 and 2015
Risk, regulations, and compliance
Adapting to market forces
Transformation and digital innovation
Disruptive Adoption of new digital HIT advances is transforming technologies the way stakeholders interact
Cost
Technology Risk, Adapting regulations, mHealth, telemedicine, AM, AI, diagnostics, wearables, to market forces are seen as a potential and compliance big data, and analytics way to improve the care process
Regulations and compliance
Disruptive Environment is complex and evolving Transformation and digital innovation
Challenges Challenges exist in widespread adoption due to patient engagement, security, and privacy
technologies
Much focus on drug and patient safety
Protected health information impacted by security breaches and cyber attacks
Push for payment transparency continues to take center stage
Health care security and privacy challenges Safeguarding security and privacy likely to become more challenging with the evolving health care landscape
New technologies
EHR/ePHI
Increased regulatory scrutiny
Population health/ new care models
Risk data flow and number of players
Health care stakeholders
Growing consumerism
Escalated risk PHR EHR: Electronic health record; ePHI: Electronic protected health information; PHR: Personal health record
To learn more about the global trends and issues impacting the global health care sector as well as outlooks for 13 countries, please visit our 2015 global health care sector outlook at www.deloitte.com/healthcareoutlook. Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee (“DTTL”), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as “Deloitte Global”) does not provide services to clients. Please see www.deloitte.com/about for a more detailed description of DTTL and its member firms. Deloitte provides audit, tax, consulting, and financial advisory services to public and private clients spanning multiple industries. With a globally connected network of member firms in more than 150 countries and territories, Deloitte brings world-class capabilities and high-quality service to clients, delivering the insights they need to address their most complex business challenges. Deloitte’s more than 200,000 professionals are committed to becoming the standard of excellence. © 2015. For information, contact Deloitte Touche Tohmatsu Limited.
