According to a worldwide study, the global healthcare market is expected to grow by ten percent to USD 11.6 billion in 2030. However, the expenditure per patient will be reduced by 27.5 percent. This is due to the fact that the proportion of the population with access to healthcare will grow strongly in the future. Based on these projections, the net margin in the pharmaceutical industry is expected to decrease significantly. Sales growth is also expected in the Swiss healthcare market in the coming years. However, the increasing cost and margin pressure on service providers and the resulting decline in profitability poses a major challenge.
Uncertain Times and Advancing Technology
The traditional business models of service providers, pharmaceutical and medical technology companies are facing uncertain times. Technology companies are pushing more and more into the market and are driving change in the healthcare sector at a rapid pace. Preventive, personalised digital services that are integrated into everyday life will play a central role in healthcare in the future. As a result, illnesses will not be treated at all or in some cases only later, because preventive measures mean that they no longer occur or only occur later. There is also a consensus that in future the informed, self-determined individual will be the focus of attention. These developments are forcing market participants worldwide to rethink. They will have to invent new, innovative business models that are increasingly geared to the needs of patients and the use of new technologies.
Significance for the local Health Care Markets
In the future, prevention through technology will play an even greater role than it does today in the entire healthcare market and thus particularly in the business models of service providers. It can be assumed that the revenue per patient generated by medical treatments will decline for all market participants. According to the survey, this poses additional challenges for pharmaceutical companies. However, this will also affect service providers who focus on medical care. Healthcare providers are already struggling to achieve a sufficient profit margin to survive in the long term. New, innovative business models are needed to keep pace with changes in the healthcare system and to increase efficiency. These should be geared towards holistic care and integrated processes across all levels of care. Today’s service providers must develop into health care providers through the interaction of different levels of care (family doctor, hospital, rehabilitation, home care, etc.), pharmaceutical and medical technology companies, insurance companies and responsible patients. They also need to build up new skills in the digital networked sector through targeted investments in the growth areas of diagnostics, prevention and digital health solutions in order to remain competitive in the market. This also requires structures that allow the necessary agility for quick decisions.
Become Agile
An agile approach to the development of digital processes makes sense. We introduce such processes step by step, ensuring that your employees can follow and appreciate the new approach. We would be happy to show you how to perform your leadership role with agile teams and thus successfully manage the transformation.