Health Innovation Models and Centers
                     HEALTHCARE 
INNOVATION
Innovation Models and Innovation Centers
HEALTHCARE INNOVATION 
MODELS
HERZLINGER: INNOVATING IN HEALTHCARE
(Process)
01-Jan-2014
Lean Canvas Project Name Iteration #x
Problem Solution Unique Value Unfair Advantage Customer 
Proposition Can’t be easily copied Segments
Top 3 problems Top 3 features Single, clear, or bought Target customers
compelling message 
that states why you are 
different and worth 
paying attention
Key Metrics Channels
Key activities you Path to customers
measure
Cost Structure Revenue Streams
Customer Acquisition costs Revenue Model
Distribution costs Life Time Value
Hosting Revenue
People, etc. Gross Margin
PRODUCT MARKET
THE PRESCRIBED ORDER
HERZLINGER’S 3 TYPES OF INNOVATION
•Consumer focused
•Technology-based
• Integrator ventures
HEALTHCARE 
INNOVATION CENTERS
Forces that influence adoption and spread of health 
care innovation
Source: AHRQ Innovation Exchange: Understanding the Forces That Influence the Adoption and Spread of Health Care Innovation
BySusan Dentzer, MA, Senior Policy Adviser to the Robert Wood Johnson Foundation; Member, Innovations Exchange Expert Panel
Health Care Delivery 
Innovation Center
Definition
“places that are working to discover, 
develop, test, and/or spread new models of 
care delivery—in hospitals, clinics, and 
patients’ homes. The innovations they test 
may be internally developed or adopted from 
elsewhere.”
Source: The Commonwealth Fund Findings from a Survey of Health Care 
Delivery Innovation Centers April 2015
Health Care Delivery Innovation Centers Overview
Question Range of Responses Median
Year started 1995–2014 2010
Annual budget $150,000–$18,000,000 $1,950,000
(when disclosed)
Number of staff
1–215 6
(full-time equivalents)
Time spent testing
1 week–3 years 3–12 months
an innovation
Number of innovations 2–100 12.5
being tested
Time horizon for funding 1 year–10 years 1 year
Source: The Commonwealth Fund Findings from a Survey of Health Care 
Delivery Innovation Centers April 2015
Note: Number of innovation center respondents varied from 21 to 32, depending on the question .
What do innovation centers do?
Ideation 97%
Prototyping 94%
Testing homegrown innovations 100%
Testing external innovations 73%
Scaling internally 88%
Scaling externally 67%
Commercialization 55%
Other activities 15%
0% 50% 100%
Source: The Commonwealth Fund Findings from a Survey of 
Health Care Delivery Innovation Centers April 2015
What do innovation centers focus on?
Care coordina... 90%
Disease-specific outc... 87%
Ac 87%
Patient engage... 84%
Workflow efficien... 77%
Population he... 77%
Clincal decision sup... 74%
Intraprofessional communica... 71%
Utiliza... 68%
Home-based ... 65%
Well... 65%
Patient sa... 61%
Dev 61%
Community-based serv... 55%
Price transpar... 35%
Other respo... 29%
0% 50%
Notes: Percentages based on 31 innovation center respondents. Other responses Source: The Commonwealth Fund Findings from a 
include spending reductions, the uninsured, helping seniors age in place, 
teaching/education, data mining, and data analysis. Survey of Health Care Delivery Innovation Centers April 2015
Innovation Frameworks (Process)
Frameworks Funnel
Funnel
Linear
Double 
Triangle
Circular
Spiral
Source: 
Community Launchpad / Community Health Network, Indiana
Innovation Frameworks (Process)
UCLA Institute for Innovation in Penn Medicine Center for Health Care  
Health Innovation
Linear Double 
Triangle
CIMIT Center for Integration of Medicine Johns John Hopkins CBID
and Innovative Technology Circular Spiral Center for Bioengineering Innovation & Design
Source: Innovation Centers Summit Workshop Series, Nov 2013 to Nov 2015, Penn Medicine Center for Health Care  Innovation
 
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