Stakeholders Gather to Discuss Health Care Innovation

Local startups innovating in health care made important connections with leaders from health systems and payer organizations during the “Aligning Health Care Innovation in North Carolina: Health Systems, Payers, Innovators, and the Quintuple Aim,” event held on April 27. 

Hosted by the North Carolina Biotechnology Center, in collaboration with the University of North Carolina at Chapel Hill, Duke University and North Carolina State University, the meeting featured dynamic conversation around the Quintuple Aim of Health Care, innovative approaches for solving critical health care problems, and ideas on how healthcare innovation can meet needs while also being profitable.  

More than 130 people attended the health care innovation conference, which was designed to help startups, service providers, health systems, payer organizations and investors understand how to work together in a way that has the most positive impact on health care.

Mary Beth Thomas, Ph.D., senior vice president of science and business development at NCBiotech, introduced the meeting by describing the center’s mission and emphasizing the importance of having an event that focuses on connecting stakeholders with common goals. “Many of the life-changing products that we are supporting go toward improving patient care and health outcomes,” she said. “Our North Carolina companies need to understand where their products are headed and make sure they are needed and are relevant.”  

Health system and payer priorities

The first panel focused on health system strategies and was moderated by Elizabeth Cuervo Tilson, M.D., MPH, state health director and chief medical officer for the North Carolina Department of Health and Human Services. She talked about the importance of focusing on, and developing accountability for, the health of the entire population, not just individual patients. Tilson pointed out that traditional healthcare is only part of the equation and encouraged whole person (not patient) health, which encompasses treatments and prevention strategies. 

In terms of what health systems need from health care startups, panelist Todd Dunn, vice president of innovation at Advocate Health, said it is important for startups to show that they understand the problem their technology aims to solve – not just the solution. “Almost every startup has a prescription –  what’s your diagnosis?” he said.  

Diana Rhyne, MBA, executive director, research and innovation, at WakeMed Health & Hospitals, encouraged entrepreneurs to think creativity about how they are contracting with health systems. “We’re now asking our new vendors to write contracts that really put the money where their claims are,” she said.  

The panelists also discussed artificial intelligence, which can be used to streamline diagnoses or improve clinical outcomes. "Never has the provider world been more open (to AI technology),” said panelist Dan Galles, partner at Providence Ventures. “Find a customer you can work with early.”

This discussion was followed by a payer panel moderated by Marion Couch, M.D., Ph.D., MBA, CEO of IntoValue Group and adjunct professor at Duke Medical School. She said that early stage health care companies need to know that many payers look at more than just the financial ROI when investing in technology. For example, technology that helps patients navigate complex care could have important implications for clinical care outcomes. Panelist Matthew Garabrant, vice president of operations for diversified business groups at Blue Cross Blue Shield of North Carolina, pointed out the need for new tools that the average consumer can use to make the best decisions about their own care. These tools could assist people with selecting a primary care provider, figuring out the cost of an MRI or understanding a hospital bill, for example. 

Panelist William Lawrence, M.D., chief medical officer of Carolina Complete Health, said that when he talks to health care startups, he expects them to have a good understanding of the organization. Several panelists brought up the importance of non-medical drivers of health, such as access to food and shelter, especially in rural areas. 

For example, panelist Lisa Shock, D.Ph., MHS, PA-C, chief population health officer of North Carolina Health Plan, UnitedHealthcare Community and State, emphasized their efforts to address food security. “We are investing in communities across the state,” she said. "What's needed in Murphy may not be needed in Manteo." 

Solving health care problems 

The event featured pitches from 10 innovative health care startup companies curated to target areas identified by health systems and payers. During his pitch, Stephen Eckel, Pharm.D., M.H.A., founder of Assure Technologies, LLC, said that almost 20 percent of hospitalized children get the wrong dose. The company has developed technology that aims to reduce preventable IV medication errors to make patient care safer and more efficient. 

After the event, Eckel said that he appreciated the opportunity the meeting provided for getting companies, payers, hospitals, and investors all together to find opportunities and to see where there's overlap and interest.  

Sam Fox, chief executive officer of Seneca Devices, Inc., said that about 12 percent of nurses leave the industry due to injury. During the pitch session, he described the company’s EasyShift Repositioning System and how it could help prevent injuries by aiding with in-bed boosting and turning of dependent patients who are being cared for in acute, long-term, and home care settings. 

Steve DeVrieze, chief executive officer at Heads Together Health, pitched the company’s concussion management technology, which captures, analyzes, and presents key data that supports concussion assessment and recovery outcomes. “Concussion is a big and complex problem,” he said. “For providers, there's a lack of personalized treatments.” 

Other companies that pitched included A LaRue Company, LLC; CareDirections, Inc; Couplet Care, LLC; Mente, Inc.; mPATH; PhotoCide, Inc. and VitalFlo, Inc. 

The startup pitches were followed by a reverse pitch session during which eight investors representing 11 venture capital funds shared their top areas of interest in health care and life sciences. This session provided an opportunity for attendees to make new connections — that could potentially lead to new partnerships — based on shared interests. 

Investment firms that pitched included Carolina Research Ventures, Excelerate Health Ventures, FCA Venture Partners, Hatteras Venture Partners, the Harbright Ventures and Wolfpack Investor Network partnership, Providence Ventures, Rex Health Ventures, and VTC Ventures.  

The day ended with a networking reception that gave attendees a chance to network and speak more in-depth about some of the day’s discussion topics. 

“We invest at a later stage, but it's always great to hear from these earlier companies, be able to bring them into the system, get them feedback that they can use as they continue to evolve,” said attendee Natasha DeLong, portfolio manager, from Rex Health Ventures, who also participated in the reverse pitch session.  

Read more about the event here:  

Triangle-Area Startups Featured at Health Care Innovation Conference  

April Conference Aims to Align Health Care Innovation in North Carolina