Medical Memory Systems
MMS
1
12/8/2003
Medical Memory Systems
Project Manager
Jeff McCreary
Funding/Prototyping
Research Plan
Web Designer/Budgeting
Software WBS
Resources/Marketing
EMR/WBS
Megan Babb
Daniel Anderson
Richard Strosahl
Timeline/Logistics
WBS
Rabia Haq
Support Stats/
Risk Analysis
Chris Fronda
2
12/8/2003
Medical Memory Systems
Preview
• Communication breakdowns in the Healthcare Industry
• Developed solution
•
•
•
•
•
•
•
Technical Innovations
Market Plan and Analysis
Evaluation Plan
Project Management Plan
Resource, Staffing, Schedule and Budget
Cost and Profit
Funding
3
12/8/2003
Medical Memory Systems
The Institute of Medicine (IOM) concludes that 44,000 to 98,000
patients annually die from systematic medical errors, caused by
“miscommunication or a breakdown in workflow”, which
resulted in patients being given the “wrong treatment or no
treatment at all”.
Article by Greg Gillespie, Managing Editor of Health Data Management .com
4
12/8/2003
Medical Memory Systems
Diagnostic Radiology
Clinical
Physician
Surgeon
Dr. Bennett, Staff Radiologist with Medical Center Radiologist (MCR)
Lori Prowant RT(R), Director of Maryview Medical Center Radiology
5
12/8/2003
Medical Memory Systems
Problem Statement
Current means of accessing medical information are too slow,
inadequate, or outdated to meet the demands for inter-facility
communications.
6
12/8/2003
Medical Memory Systems
Goals
• Save Time
• Reduced time in tracking down history
• Save Money
• Decrease number of procedures done in error
• Save Lives
• More complete medical history
• Increase quality of service
7
12/8/2003
Medical Memory Systems
Current Methodology
• Verbal
• Inaccurate
• Written
• Illegible
• Electronic – Current Methods
• Not practical
• Not cost effective
8
12/8/2003
Medical Memory Systems
Diagnostic Radiology
Clinical
Physician
Surgeon
9
12/8/2003
Medical Memory Systems
Our Solution
•MMD
10
12/8/2003
Medical Memory Systems
•Small
•Light weight
•Durable
•Non volatile
Memory Button by MacSema
11
12/8/2003
Medical Memory Systems
EMR
Server
Validation
Upload
Download
Backup Copy to Printer
Internet
System
Validation
Modem
Validation
Server
12
12/8/2003
Medical Memory Systems
Important Medical Information
•
•
•
•
•
Allergies
Current medications
Laboratory results
Recent surgery finding
History and physical
13
12/8/2003
Medical Memory Systems
14
12/8/2003
Medical Memory Systems
15
12/8/2003
Medical Memory Systems
16
12/8/2003
Medical Memory Systems
Connectivity
• Integration – HL7 (Health Level Seven)
• EMR Communication Standard
• Our software data structure will be governed by XML.
• Dataflow
•
•
•
•
Data written in XML format
Encryption mechanism
To MacSema interface
To memory device
17
12/8/2003
Medical Memory Systems
Quality Attributes
• Easily updated
• Accurate
• Secure
• Durable
• Inexpensive
• Wearable
18
12/8/2003
Medical Memory Systems
Customers
• Initial Market
• Hampton Roads, Washington DC, Raleigh Durham
Research Triangle
• Clinical Physicians
• Over 3,000 physicians in Hampton Roads
• Over 15,000 in Initial Market
• Patients
• Initial Market Population – 7.5 Million *
• Elderly Population – 750,000 (10%) **
*Hampton Roads: Demographics (Census 2000)
**http://www.hreda.com/pdfs/Data_for_web_site/Demographics_2000.pdf
19
12/8/2003
Medical Memory Systems
The Elderly
•
•
•
•
Increased amount of medical history
Decrease memory
Decrease comprehension
Two to four times more likely for medical injury
Local Market
• Hampton Roads
• Bon Secour’s
• Sentara Lee
20
12/8/2003
Medical Memory Systems
Number of Physicians using
Some form of EMR
27%
73%
Currently With
Currently
without
http://www.stanford.edu/~topham/market.htm
21
12/8/2003
Medical Memory Systems
In 3 years…
28%
72%
With EMR
Without EMR
Frost and Sullivan's technology survey
22
12/8/2003
Medical Memory Systems
Evaluation Strategy
Clinic
Clinic
Hospital
Clinic
23
12/8/2003
Medical Memory Systems
Evaluation Phase
• Durability
• Functionality
• Frequency
• Usability
• Impact
24
12/8/2003
Medical Memory Systems
Marketing
• Medical Facilities
• Medical Representatives
• Proof of effectiveness
• Conventions and Seminars
• General Public
• Standard forms of Advertisement
• Educational Material
• Medical Advise
General Goal – Name Recognition
25
12/8/2003
Medical Memory Systems
Project Management Plan
• Management Plan
• Work Breakdown Structure
• Project Manager Responsibilities
• Schedule
• Budget
• Quality Control
• Risk
26
12/8/2003
Medical Memory Systems
High Level Concerns
• HIPAA
• Record Activity
• Audit’s
• Encryption
• Protect patient’s health information (PHI)
• System Validation
• Appropriate user’s
27
12/8/2003
Medical Memory Systems
Risk
• Developing Customer Base
•
•
Level – High
Resolution – Aggressive Marketing
• Inconsistent Use
•
•
Level – High
Resolution – Patient Education and Ease-of-use
• Pricing
•
•
Level – Medium
Resolution – Aggressive Marketing leads to bulk sales and purchasing
• Competing Products
•
•
Level – Medium
Resolution – Pratical and unique product line
• Training
•
•
Level – Low
Resolution - Ease-of-use and Tutorials
28
12/8/2003
Medical Memory Systems
29
12/8/2003
Medical Memory Systems
30
12/8/2003
Medical Memory Systems
31
12/8/2003
Medical Memory Systems
32
12/8/2003
Medical Memory Systems
33
12/8/2003
Medical Memory Systems
Phase 1 Budget
Quantity
Memory Button Technology
Memory button
Scanner
Price/Unit $ For use of:
9
3
34
150
development and testing
development and testing
MySQL
1
free
Database development
Macsema for hardware
1
3000
Total price
$306.00
$450.00
software
Travel
Variable needs cost
Miscellaneous
2 day visit
wiring, connectors, etc
Resources Total -Phase 1
$3,000.00
$500.00
$4,256.00
34
12/8/2003
Medical Memory Systems
PERSONNEL PHASE 1
Quantity Price/Unit $ For use of (days):
Total price
Electrical Technician
1
31,000
21
$2,604.00
Website development
Web developer
1
50,000
18
$3,600.00
Software development
Software Engineer
Programmer Level 1
Programmer Level 2
1
1
2
51,000
45,000
38,000
77
70
25
$15,708.00
$12,600.00
$7,600.00
Project Manager
1
61,000
82
$20,008.00
Personnel Total -Phase 1
$62,120.00
SubTotal Phase 1
$66,376.00
$26,550.40
TOTAL Phase 1
$92,926.40
ODU overhead
40%
35
12/8/2003
Medical Memory Systems
36
12/8/2003
Medical Memory Systems
PHASE 2 BUDGET
Quantity Price/Unit $ For use of:
Total price
Hardware
Mid-Range Desktop
4
1700
testing
$6,800.00
4
4
499
349
software development and testing
software development and testing
$1,996.00
$1,396.00
3
2,100
Field service, Buyer, Lobbyist
$6,300.00
Network Laser printer
Dell PE server
3
3
1249
6200
Medical Office backup
Medical Office application
Switch
1
499
Low-range Desktop
Laptop
Wireless needs
Wireless Firewall
Wireless access point
1
1
$640
389.99
Tape backup
VS80 tape bundle
40GB Cartridge
1
2
1700
45
development network
$3,747.00
$18,600.00
$499.00
system security
$640.00
$389.99
data and development backup
backup
Hardware-Phase 2 Total
$1,700.00
$90.00
$48,307.99
37
12/8/2003
Medical Memory Systems
Marketing Stategy cost
Promotional items
Website Banners
Newspaper Ad 1/3 page
Medical Magazine Ad
1 Ad/month for the last 6 months
Radio Ad.
Variable needs cost
Supplies
Miscellaneous
Quantity Price/Unit $
variable
variable
10
3
5100
3
2645
1
Total price
$1,000.00
$300.00
$15,300.00
$7,935.00
$8,000
$8,000.00
Marketing strategy cost - Phase 2
$32,535.00
paper, cartridge
Misc
Total resources -Phase 2
$14,500.00
$500.00
$95,842.99
38
12/8/2003
Medical Memory Systems
PHASE 2 PERSONNEL
Project Manager
Marketing
Marketing Manager
Market Research Analyst
Medical Sales Representative
Legal
Lobbyist
Medical Attorney
Clerical Staff
Accountant
Technical Writer
General Clerk
Hardware development
Electronic Engineer
Jewelry Designer
CAD Engineer
Supply
Professional Buyer
Quantity
1
Salary/yr $ # of working days
61,000
393
1
1
1
60,000
40,000
35,000
30
15
15
$7,200.00
$2,400.00
$2,100.00
1
1
57,000
54,000
36
30
$8,208.00
$6,480.00
1
1
1
36,000
41,000
22,000
110
48
39
$15,840.00
$7,872.00
$3,432.00
1
1
1
70,000
50,000
40,000
30
30
45
$8,400.00
$6,000.00
$7,200.00
1
38,000
21
$3,192.00
Total Personnel cost
Sub Total Phase 2
ODU overhead
Final salary
$95,892.00
40%
TOTAL Phase 2
$273,324.00
$369,166.99
$147,666.80
$516,833.79
39
12/8/2003
Medical Memory Systems
Additional Personnel
Customer Service
Field service Engineer Level 1
Customer Service representative
2
2
40
12/8/2003
Medical Memory Systems
•Total Cost for Phase I and II - $609760
41
12/8/2003
Medical Memory Systems
MMD Cost
• Less than $50 for 8 MB
• 20$ to $60 range for jewelry casing
Full EMR Installments - $12,000
42
12/8/2003
Medical Memory Systems
Profitability
•Licensing - $2500 (3 physicians)
•Annual fee - $500
•System support
•Validation services
•Goals
•Phase I and II total - $609,760
•Breakeven target - $900,000 (breakeven target)
•3 Metropolitan’s - Populations
•Hampton Road’s
•Washington DC
•Raleigh Durham Research Triangle
43
12/8/2003
Medical Memory Systems
•Total population – 7.5 million people
•200 doctors to 100,000 people in metropolitan area’s*
•Total physicians – 15,000
•Average licensing fee per physician - $833
•To reach break-even target of $900,000
•1081 single licenses (360 3-user license)
•Capture 7.2% of market
•Does not include annual support fee
*www.bna.com
12/8/2003
44
Medical Memory Systems
MMD profits
• 7.2% of population – 540,000 people
• 10% of that – 54,000 (represents elderly population)
• 10% profit margin - $5 per unit sold
• .7% of patient market yields - $270,000
45
12/8/2003
Medical Memory Systems
Funding
• SBIR
• Year 1 – $359,229.79
• Year 2 – $250,530.40
46
12/8/2003
Medical Memory Systems
47
12/8/2003
Medical Memory Systems
References
Article by Greg Gillespie, Managing Editor of Health Data Management .com
Interviews with:
•
Dr. Bennett, Staff Radiologist with Medical Center Radiologist (MCR)
•
MCR provides radiologist for Sentara and Bon Secour’s of Hampton Roads facilities
•
Lori Prowant RT (R), Director of Maryview Medical Center Radiology
•
Hampton Roads: Demographics (Census 2000)
•
http://www.hreda.com/pdfs/Data_for_web_site/Demographics_2000.pdf
•
http://www.stanford.edu/~topham/market.htm
•
www.bna.com
48
12/8/2003
Medical Memory Systems
Solution Characteristics
•
•
•
•
•
•
Complete and Historically up-to-date
Easily accessible to appropriate medical organizations
Information obtained from reliable sources
Reliable physical components
Cost effective
Portable
49
12/8/2003
Medical Memory Systems
Out of 180,000 annual deaths from medical injury
124,000 Death’s
Due to
Preventable
Medical Injury
(69%)
50
12/8/2003
Medical Memory Systems
Annual cost due to medical injury- $200 Billion
$138 Billion
Due to
Preventable
Medical Injury
(69%)
51
12/8/2003
Medical Memory Systems
EMR Expenditures
$800
$700
$600
$500
$400
$534
$748
2000
2004
EMR
$300
$200
$100
$0
in million’s
52
12/8/2003