Balancing Innovation and Compliance in Healthcare: A Strategic Blueprint

In 1250, Roger Bacon invented the magnifying glass, originally a convex lens for scientific purposes. By 1280, the same technology was used to correct farsightedness. This early medical advancement is one of many milestones that have reshaped modern healthcare, notes Scott Whyte, chief strategy officer at Cleardata. Today, some healthcare organizations have moved from simple magnification tools to using Google Glass to assist surgeons in real‑time procedures.

For patients, medical innovations are now literally at our fingertips—accessing medical records on smartphones, receiving medication reminders via apps, or monitoring vital signs through wearable devices.

From the perspective of providers and payers, technology and data empower unprecedented improvements in patient care. Clinicians can use iPad apps to track disease progression, view lab results virtually, and collaborate with specialists in real time.

Despite these advances, healthcare organizations continue to grapple with daily anxieties around data security and compliance. A single misstep can jeopardize patient lives and long‑term health outcomes.

Healthcare breaches are worse than credit card breaches

A major obstacle to innovation in healthcare is the looming threat of data breaches. While cyberattacks target many industries, attackers are especially drawn to healthcare records. To cybercriminals, an electronic health record can be worth as much as $1,000 (€865.92), whereas a stolen credit card is worth an average of 25¢.

Not only are attacks more potent, but penalties are severe. Anthem, the health‑insurance giant, recently agreed to pay a record $115 million (€99.57 million) to settle lawsuits stemming from a breach that exposed data of millions of members. Governments are tightening regulations across the board.

The EU’s General Data Protection Regulation (GDPR) expands citizens’ rights to their data and grants individuals the power to demand deletion of their information from an organization’s database. Failure to comply or to honor a request to be forgotten can trigger hefty fines.

U.S. states such as California and Vermont are enacting tough new privacy laws with harsh penalties. California’s sweeping consumer privacy law, effective January 1, 2020, underscores the urgency of protecting personal data.

The daunting regulatory landscape and persistent cyber threat understandably make many healthcare organizations wary of rapid innovation. Some fear that the burden of security and compliance will stifle their ability to scale and experiment. However, several organizations are proving that innovation can thrive within a robust security and compliance framework.

Collaboration drives innovation, trust drives collaboration

Much of the breakthrough in healthcare comes from dismantling silos. Collaboration—both within and across organizations—creates opportunities for improved care and reduced waste. For example, providers partnering with payers to share patient data can deliver better outcomes and lower costs, while collaborations with pharmaceutical companies enable digital therapies tailored to their drugs.

Such large‑scale collaboration demands the sharing of highly sensitive patient information, which in turn requires unparalleled trust. When an organization demonstrates a steadfast commitment to security, privacy, and compliance, it becomes a trusted partner in collaborative efforts.

The path forward is to embed privacy, security, and compliance by design into cloud solutions. Emerging offerings, such as our new multi‑cloud platform that lets healthcare businesses leverage the strengths of diverse cloud technologies, prioritize these concerns from the outset.

The key for all healthcare stakeholders—from providers and payers to medical device makers, researchers, and pharma—is to partner with compliance experts who can set up a managed cloud that remains compliant and protects patient confidentiality. Only when privacy, security, and compliance are built in can trust and collaboration flourish, driving leaps in innovation.

What benefits do healthcare organizations gain? First, they signal to collaborators, patients, and members that they treat compliance and privacy with utmost seriousness. More importantly, they free up time and resources to pursue new approaches and technologies that deliver better care at lower cost—exactly what the global health system needs.

The author of this blog is Scott Whyte, chief strategy officer, Cleardata.