2016 BHF360 Annual Magazine

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DO WE NEED TO

disrupt the healthcare system to save it? One of the fathers of modern philosophy, Socrates, was renowned for answering a question with a question – a most successful approach. And so, in the spirit of success and ancient wisdom, I adopt the Socratic method to consider this matter.... in order to answer the question: ‘Do we need to disrupt the healthcare system to save it?’ we should firstly be clear about what we mean by ‘disrupt,’ and secondly decide on whether the healthcare system needs saving. By Dr Farayi Chinyanga EXECUTIVE MANAGER – MEDSCHEME

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he concept of disruption in business is widely attributed to Clayton Christensen, a Harvard professor who first coined the term ‘disruptive innovation’ in his book The Innovator’s Dilemma. As any student of linguistics knows, the meanings of words have a tendency to change over time and with use; think of Michael Jackson and the 1987 hit song Bad. When disruption is mentioned in a business context, more often than not, what is being referred to is the concept of ‘disruptive innovation’.

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As is the case with many business concepts, no single definition of the term suffices. Perhaps the definition that best captures Christensen’s intended meaning is the one penned by his close associate, Scott Anthony, who says: “At its core, disruptive innovation is something that creates a new market or transforms an existing one through simplicity, convenience, accessibility or affordability.”1 Sound familiar? Expressed differently, disruption in business is a process of transformation that leads to an industry operating in a completely different manner from the way it did before. Most significantly, this change often

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renders elements of the pre-disruption industry completely redundant. Disruptive innovation does not happen spontaneously. It is the product of carefully considered decisions and changes deliberately put in motion. It is therefore important to identify just what these agents of disruption are. A great variety of things impact on a system, but key instruments include legislation, the introduction of a novel business model or process, groundbreaking technology and the entry of a new player into a monopolistic market. However, more often than not, it is a combination of two or more of these elements that leads to


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