Session 6 (20/9) Reflections

Brief Overview

In this session we looked at the biobusiness revolution, in particular, the area of healthcare and biomedical sciences. We watched an introductory video, which gave us a glimpse into the future of healthcare, as well as a humorous video starring Bill Maher criticizing US health policies and pharmaceutical industry. We also looked at some statistics relating to biobusiness and discussed about the high levels of spending in US on healthcare. There were several interesting presentations focusing on subjects such clinical trials and growing organs.

Interesting Ideas/Observations

The relationship between intellectual property rights (IPRs), biotechnology and the third world is explored in reading 2. As a result of the developed countries’ system of commodization, profit and economic control through IPRs, negative impacts have been imposed onto third world local communities regarding genetic and biological diversity. This system works towards market dominance and maximizes profit but has nothing to do with invention and reward or sustainable economic development, inviting ecological and socio-economic disaster instead.  I was particularly intrigued by this article as IPRs are a product of our modern legal systems which are intangible and yet can have so much impact on our tangible surroundings.

Reading 4 examines whether disruptive innovations can solve problems in the US healthcare industry. The article suggests that healthcare may be the most change-averse industry and innovations that can make improvements are ready but cannot find backers. It examines factors that result in a resistance or inertia within the system to adopt new systems and technologies. An interesting point is how regulation is often used as a method of preserving the current system and how this needs to be overcome. The last part of the article highlights the need for leadership to embrace disruptive changes in the healthcare sector in order to build a higher quality, more convenient and lower cost healthcare system.

This article harks back to Session 4’s discussion on change leadership and management. I felt that the first presentation by Dave looking at the possible future adoption of electronic medical records tied up nicely with this reading as it covered the barriers to implementation of this new system and possible ways implementation could take place.

Reading 5, a testimony by the then Commissioner of Food and Drugs in US, raises several interesting points about economic contributions and costs of new medical technologies. Technological change in medicine brings about benefits in addition to direct economic gains which are usually not taken into account (e.g. less absent time from work). Also, direct economic and public health benefits of developing new medicines often take time to be realized due to clinical trials etc, compared to other forms of technologies. Innovations in medicine can reduce spending on medical care, but they can also increase spending as more people undertake certain medical procedures (e.g. cataracts surgery). Increased spending is therefore not a negative reflection on technological change.

Maximizing public health gains and economic gains from new medical technology requires encouraging high value innovations and realizing more value from products used. There is great uncertainty especially with regards to cost and time spent, in the development of new treatments and medicines. This long and difficult process of development requires the right mix of incentives and safeguards in order to maximize the benefit from safe and effective new medical technologies. 

Reading 6 looks at the global healthy strategy that the Gates foundation adopts. The goal of the program is to use advances in science and technology to address major causes of illness and death in developing countries. The foundation has chosen to invest in a specific set of diseases and health conditions which have been neglected, and they support the creation and delivery of vaccines, drugs and diagnostic through methods such as grantmaking. Advocacy is also used to encourage wise policies, strong political commitment and sustained contributions from other sources. I thought reading 6 was particularly enlightening as it introduced me to the significance and impact of private philanthropy as a way to fund and promote health in the developing world, an area often thought to be the purview of NGOs and governments.

Key Take Away Points

• Biobusiness- commercial activities based on an understanding of life sciences and processes
• Intellectual property rights play a big role in the future of biotechnology as well as biodiversity
• Like any other area, change management is required for the healthcare industry to continually improve and progress
• Medical technologies and innovations have positive impacts which cannot be measured through traditional economic methods
• The process of development requires the right mix of incentives and safeguards in order to maximize the benefit from safe and effective new medical technologies.
• Private philanthropy is a major source of funding for healthcare in developing countries

Issues for Further Discussion

In class, prof showed us the chart showing the high level of spending on healthcare by the US and also the Bill Maher video. I found the discussion on US healthcare rather interesting. I would have liked it if more discussion of this issue was covered.

Also, more emphasis on Reading 2 would have been interesting. A comparison/link between Reading 2 and Reading 6 could have been made, especially since expensive patented drugs is an issue which has been raised in relation to healthcare in the developing world.

Rating

8/10