Deloitte unveils provocative predictions for the healthcare and life sciences sectors in 2020

SINGAPORE, 3 December 2014 — Deloitte UK’s Centre for Health Solutions has recently released ten provocative statements predicting the world of 2020 in a new report, Healthcare and Life Sciences Predictions 2020: A bold future? This report draws on the observations of trends, events and small but bold steps that – if accelerated through to the year 2020 and beyond – paint a picture of a world that is very different from today.

In 2020, Deloitte predicts that individuals will become better informed about their genetic profile, the diseases they have and might have, and the availability of healthcare. The ‘quantified self’ will have embraced prevention and is devoting time, energy and money to staying healthy. Patients will become true consumers: they understand they have options and use information and data about themselves and providers to get the best treatment at a cost, time, and of course, place, convenient to them.

“In recent years, we have been witnessing a trend towards greater individual engagement in health matters,” commented Dr Yong Chern Chet, Deloitte Southeast Asia’s Healthcare Sector Lead. “Increasingly, patients are adopting physiological self-monitoring and health analytics technologies that support and empower them, as well as establish linkages between them and clinicians or influencers across the healthcare ecosystem.”

Indeed, Deloitte believes that in 2020, with the ubiquity of digital communication, the home is where much of the medical care takes place. No longer confined to clinicians in the clinic or hospital, many doctor-patient contracts are virtual and deliver care to the patient in their home. However, the success of this delivery system will lie in the convergence of digital health and interaction, harnessing technology while providing trust-based, patient-centred care.

According to Dr Yong, “The preference for home health care is especially pronounced in the palliative healthcare segment. For many of these patients, dying at home with dignity and surrounded by family and close ones is a key priority. Globally, healthcare institutions have been increasing their focus on hospice and end-of-life care, for instance, by providing round-the-clock medical support and coaching primary caregivers on the healthcare needs of these patients.”

In 2020, wearables will also shape the quality of life of the consumer, capturing and tracking how people live with and manage their condition. Consumers and providers alike can integrate information across multiple devices seamlessly to create a comprehensive view of the individual. With a widespread adoption of wearables beyond the keep-fit and health fanatics, and the affordability of specialist medical or bio-sensing wearables, the new clinician/patient partnership will be based on improved awareness, self management and prevention, replacing the paternalistic approach of the old.

“In long term, we can foresee that wearables are likely to transform from fitness tools of the healthy to valid, reliable accessories for even the sickest among us,” Dr Yong said. “As networked technologies provide the promising potential to revolutionise health care delivery, we can expect the future health care hub to transition from hospital to the home to human (wearables).”

The report also predicts that by 2020, the pharmaceutical industry will have made real inroads in repairing the negative corporate reputation that has plagued it over the last few decades. Tackling corporate reputation has been a top priority for all pharmaceutical companies, though for most, full rehabilitation will require a few more years.

“Pharmaceutical companies will have an increased challenge in Asia to meet the compliance standards. Asia is a complex and diverse region with language and cultural differences that make a one-size-fits-all regulatory compliance solution - like the ones adopted in West - difficult to achieve. Furthermore, many Asia countries are in early stages of healthcare system development. While resources are limited, there is a compelling need to raise the compliance standards,” remarked Mohit Grover, Life Sciences & Health Care Leader for Deloitte Southeast Asia.

At the same time, emerging markets in Africa, Indonesia, Latin America, and Vietnam will be incubating new business models and leading in the development of drugs. Termed as “frugal innovation”, Indonesia and Nigeria in particular will be at the forefront in addressing the sheer size, geographical spread and inherent challenges of young populations with high levels of unmet need, as well as prevalence of infectious diseases and poverty.

“The main challenges for emerging markets are access and affordability with low levels of public or insurance based funding and high levels of out of pocket expenditures. Governments in the region have responded by introducing new access and funding models,” Mohit said. “Successes will have been where the pharmaceutical companies have become more inclusive and actively seek to understand and meet the needs of their stakeholders.”

Ten predictions for 2020

External environment shaping predictions

1. Health consumers in 2020: Informed and demanding patients are now partners in their own healthcare

2. Healthcare delivery systems in 2020: The era of digitised medicine – new business models drive new ideas

3. Wearables and mHealth applications in 2020: Measuring quality of life not just clinical indicators

4. Big Data in 2020: Health data is pervasive – requiring new tools and provider models

5. Regulatory compliance and patient safety in 2020: Regulations reflect the convergence of technology and science

Internal industry performance shaping predictions

6. Research and development in 2020: The networked laboratory – partnerships and big data amidst new scrutiny

7. The pharmaceutical commercial model in 2020: Local is important but with a shift from volume to value

8. The pharmaceutical enterprise configuration – the back office in 2020: Single, global organisation responsible for insight enablement

9. New business models in emerging markets in 2020: Still emerging, but full of creativity for the world

10. Impact of behaviours on corporate reputation in 2020: A new dawn of trust