Challenges facing venture capitalists in developing economies - DiVA
How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists...
Transcript of How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists...
![Page 1: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/1.jpg)
1
How Venture Capitalists Assess Healthcare Information Technology
Business PlansEugene D. Hill, III
SV Life Sciences Advisers, LLC
Harvard-MIT School of Health, Sciences, and Technology Course HST.921April 2, 2009
HST.921 / HST.922 Information Technology in the Health Care System of the Future, Spring 2009.Harvard-MIT Division of Health Sciences and Technology Course Directors: Dr. Steven Locke, Dr. Bryan Bergeron, Dr. Daniel Sands, and Ms. Mirena Bagur
![Page 2: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/2.jpg)
2
The Substance
Key IssuesThe MarketThe ManagementThe MethodThe MoneyThe Metrics
![Page 3: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/3.jpg)
3
ProjectsEvaluated
Venture Capital Deal Flow
Projects Funded
Business Plans Received
![Page 4: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/4.jpg)
4
Key Triage Factors
Management Pedigree
Deal Source
Process Management
Customer Validation
Adherence to Plan
![Page 5: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/5.jpg)
5
Key Focus Areas
Major Risk Factors
Obvious Show Stoppers
Better, Faster, Cheaper, or Brave New World
![Page 6: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/6.jpg)
6
Major Risk Factors
Technological
Market
Regulatory
Operational
![Page 7: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/7.jpg)
7
Market
MacroSizeGrowth RateConcentrationBarriers to Enter
MicroEconomics (Pricing, Operating Margins)CustomersSegmentation
![Page 8: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/8.jpg)
8
Methodology
Business Model
Value Proposition
Distribution Strategy
Competitive Differentiation
Growth Strategy
Technology
![Page 9: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/9.jpg)
9
Management
Vision
Experience (Quality, Quantity, Relevancy)
Education
Track Record
Capability
![Page 10: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/10.jpg)
10
Money
Financial Strategy
Capital Requirements
Structure
Valuation
Liquidity Path
Use of Proceeds
![Page 11: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/11.jpg)
11
NumbersIncome Statement
Revenue Projections ($, Units, Average Sale Price)Expense Projections (Head Count, Salary Level, Corporate Overhead)Margins (Gross, Operating)
Balance SheetCashAccounts ReceivableInventoryGoodwill/IntangiblesDebtLiabilities
![Page 12: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/12.jpg)
12
Cash FlowOperatingFinancing
Budget
Capitalization TableInvestorsManagementOption Pool
![Page 13: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/13.jpg)
13
The ProcessBusiness Plan Review
Management Presentation
Site Visit(s)
References
Competitive Analysis
Financial Analysis
Corporate Review
The Deal
![Page 14: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/14.jpg)
14
Business Plan Review
Form
Substance
Vision
Business Model
Marketing Plan
Technology Plan
Financial Plan
![Page 15: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/15.jpg)
15
Venture Capital GlossaryWhat We/They say… and What We/They Really Mean…
Acquisition Strategy the current products have no market
Adverse Customer Selection existing customers can’t stand the product; no positive customer references
Basically on plan revenue shortfall of 25 percent
Dotcom business model potentially bigger fools have been identified
Considerably ahead of plan hit plan in one of the last three months
Currently revisiting the budget financial plan is in total chaos
Cyclical industry posted a huge loss last year
Entrepreneurial CEO totally uncontrollable, bordering on maniacal
Funding Interruption existing investors tapped out and unwilling to provide additional funding
Ingredients are there given two years we might find a workable strategy
Investing heavily in R&D trying desperately to catch the competition
Limited downside it can’t get much worse
![Page 16: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/16.jpg)
16
Venture Capital Glossary...What We/They say… and What We/They Really Mean…
Long selling cycle yet to find a customer who likes the product
On a manufacturing learning curve can’t make the product with positive margins
Possibility of a slight shortfall a revenue shortfall of 50 percent
Repositioning the business multimillion-dollar investment recently written off
Somewhat below the plan revenue shortfall of 75 percent
Too early to tell results to date have been grim
Turnaround opportunity lost cause
Unique no more than six competitors
Upgrading the management team the organization is in complete disarray
Window of opportunity without more money, the company is dead
Work closely with the management talk to them on the phone once a month
![Page 17: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/17.jpg)
17
Pipeline Qualification
Suspect: A potential Prospect
Prospect: A Suspect with whom contact has been made
Qualified Prospect: A potential Customer with budget actively seeking a solution
Customer: A contractually committed financially viable client
![Page 18: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/18.jpg)
18
Technology Review
TechnologyArchitecture (web-enabled or web-centric) thick versus thin clientOperating SystemRelational DatabaseApplication CodeDevelopment Environment
![Page 19: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/19.jpg)
19
Technology Review (continued)
ResourcesBudget
» Cap Ex» Development» Operating» Maintenance
Staff» External» Internal
![Page 20: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/20.jpg)
20
Technology Review (continued)
Track RecordFinanceDevelopmentExperience
![Page 21: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/21.jpg)
21
Technology Review (continued)
FunctionPublishInteractTransactTransform
![Page 22: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/22.jpg)
22
Development Semantics Pre-alpha
» A concept in someone’s mind
Alpha» Works only in development laboratory
Beta» Installed in production environment, partial
feature/function complete
First Customer Release» Debugged, defined feature/function shipping to
paying customers
Technology Review (continued)
![Page 23: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/23.jpg)
23
Management Presentation
Articulation
Cogent Strategy
![Page 24: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/24.jpg)
24
Site Visit
Headquarters
Outlets
First Impression
Organizational Culture
![Page 25: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/25.jpg)
25
References
Management: Former employer(s), bosses, peers, direct reports, board members, advisors, competitors, analysts
Customers: Current, former, prospective
Company: Auditor, legal, bank, investors
![Page 26: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/26.jpg)
26
Competitive Analysis
Market Share
Mind Share
Momentum
Differentiation
Buyer Motivation - Painkiller or Vitamin?
Sales Cycle
Pricing
![Page 27: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/27.jpg)
27
Pricing
TraditionalSoftware License FeeAnnual Maintenance
EmergingSubscriptionTransaction Based
![Page 28: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/28.jpg)
28
Valley of Death
Gro
ss M
argi
n
Average Sale Price
< $1.5K > $250K
![Page 29: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/29.jpg)
29
Financial BarrierTo Adoption
Organization Size/Financial Resources
ASP Pricing Model
Market
![Page 30: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/30.jpg)
30
Financial Analysis
Actual vs. Plan
Sales Pipeline
Leverage (Operating, Financial)
Competition (Margin, R&D, Distribution, ASP, Corporate)
Valuation
Return ($, IRR)
![Page 31: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/31.jpg)
31
Corporate Review
Audit and Management Letter
Legal (Lawsuits, Licensing, Agreements, Distribution Agreements, Employee Agreements, Employee Benefits, Shareholder Agreements, Stock Options, Financing Agreements, Stock Ledger, Customer Contracts, etc.)
Regulatory (Licenses, FDA, Environmental)
Intellectual Property (Patents, Copyrights, Trademarks)
Insurance (Liability, Key Man, D&O, E&O)
Leases (Real Estate, Capital Equipment)
![Page 32: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/32.jpg)
32
The Deal
Term Sheet
Legal Representation
Document Preparation
Closing
Post-Closing Review
![Page 33: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/33.jpg)
33
Tips
Dos:Conduct site visits of corporate and regional offices’arrive earlyTour with junior (non-management) staffMeet with worker beesSee production environmentAsk lots of questions
![Page 34: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/34.jpg)
34
Tips
Don’ts:Mistake development for productionVisit only corporate site and staffDiscuss anything in elevators or bathroomsLeave your files unattendedSign the visitor logLead the witnessVolunteer competitive informationBreach moral/written obligation of confidentiality
![Page 35: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/35.jpg)
35
Human Capital Assessment Venture Techniques
Art Critic
Sponge
Prosecutor
Airline Captain
![Page 36: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/36.jpg)
36
Management Orientation
Missionary
Mercenary
![Page 37: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/37.jpg)
37
KEY ATTRIBUTES
Passion, Vision
Persistence, Tenacity
Process, Systems
Profits
Management Attributes
STAGE
Start-up
Early
Expansion
Late
FOCUS
Development
Entry/Pilot
Adoption
Penetration
![Page 38: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/38.jpg)
38
Health Care DriversAging Demographics
Scientific Innovation
Consumerism
Cost Escalation
![Page 39: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/39.jpg)
39
Health Care I/T
MarketSize: Healthcare $1.7T (13.8% GDP) 7% CAGR
Healthcare IT $25B; 12% CAGR
Entitles: Health Plans (500)Hospitals (5,000)Nursing Homes (20,000)MDs (650,000)RNs (2,200,000) est.
![Page 40: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/40.jpg)
40
Stimulus Bill
Funding: $20B
Recipients: Hospitals/MD’s
Purpose: EHR Adoption
Mechanism: Add on to fee service payments
![Page 41: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/41.jpg)
41
Clinical
Administrative
Financial
DataCapture
TransactionProcessing
DataBase
DecisionSupport
Health Care I/T
FOCUS
F U N C T I O N
![Page 42: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/42.jpg)
42
Health Care I/T
High Potential OpportunitiesPharmaceutical Services
» E-detailing» Clinical trial management (Phase Forward)
Clinical Systems» Electronic medical record» Image management (EMed Technologies)» Medication management» Remote physiological monitoring
Employee Benefits» Consumer driven
Supply Chain Management» Exchanges
![Page 43: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/43.jpg)
43
Health Care I/T
Barriers to AdoptionStructural
» Fragmentation» Decision process
Economic» Cost benefit ROI -- Increased revenue
Reduced timeReduced cost
» Macro – reimbursement» Micro – margins
![Page 44: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/44.jpg)
44
Health Care I/T
Barriers to Adoption (continued)Operational
» Work flow integrationTechnological
» Legacy system integration» Standards: Articulation
ComplianceRegulatory
» HIPPAAdoption rate
» Crossing the Chasm
![Page 45: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/45.jpg)
45
Innovation Adoption – Life Cycle
Mar
ketP
enet
ratio
n
Time
100%
0%
EarlyAdoption
Chasm
Early
Ado
ption
Late Adopters
![Page 46: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/46.jpg)
46
Adoption
DriversEconomicRegulatoryPsychologicalDemand
EnablersFinancialRegulatoryTechnologicalStandards
![Page 47: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/47.jpg)
47
Disruptive Technology
Technology Paradigm Shift:
Moore’s Law (Speed/Cost Inverse Relationship)
Metcalfe’s Law (Network Effective)
![Page 48: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/48.jpg)
48
Technology Evolution - Network
2000s1990s1980s1970s1960s
Arc
hi-
tect
ure
Spee
dC
onne
ct-
ivity
Proprietary(SNA)
Non-proprietary-packet(TCPIP)
KB MB GB
WiredCopper Fiber
Wireless-Analog Digital
Switc
hes
Con
tent
Analog OpticalDigital
VoiceData
Graphic-Static Dynamic
GovernmentAcademic Commercial
![Page 49: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/49.jpg)
49
Technology Evolution - Hardware
2000s1990s1980s1970s1960s
Plat
form
Stor
age
Proc
esso
r
Mainframe PC Laptop PDAMini
Workstation Server
DiscMag Tape
Floppy, 5 ¼ 3 ½ CDRAID SAN
ArchitectureSpeedType
Media
CapacityI/O
KB MB GBSCSI
TBFiber Channel
4 bit 8 bit 16 bitMHz
32 bitGHz
CMOSIC Micro RAM
USB
![Page 50: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/50.jpg)
50
Technology Evolution - Software
2000s1990s1980s1970s1960s
Lan
guag
e
Proprietary Open Source
Dat
aB
ase Non-Relational
Proprietary(ISAM/VSAM)
RelationalNon-Proprietary
ASCII
Arc
hi-
tect
ure
Mainframe Mini Client Server2 Tier 3 Tier
WebnTier
Con
-te
nt Text GraphicsVoice
Inpu
t CharacterPunch CardMag Tape
GraphicFloppy CD
OwnershipStructure
Machine(Binary)
Compiled1st 2nd 3rd(Basic)
Object-Oriented(C, VB)
Ownership
Code
Platform
Assembler
Machine Specific Intra-operative(Java)
![Page 51: How Venture Capitalists Assess Healthcare Information ... · PDF fileHow Venture Capitalists Assess Healthcare Information Technology ... Audit and Management Letter ... How Venture](https://reader033.fdocuments.us/reader033/viewer/2022052313/5a78730c7f8b9aa2448c1afb/html5/thumbnails/51.jpg)
MIT OpenCourseWarehttp://ocw.mit.edu
HST.921 / HST.922 Information Technology in the Health Care System of the FutureSpring 2009
For information about citing these materials or our Terms of Use, visit: http://ocw.mit.edu/terms.