{"id":35165,"date":"2018-11-13T18:51:38","date_gmt":"2018-11-13T23:51:38","guid":{"rendered":"https:\/\/digital.hbs.edu\/platform-rctom\/submission\/the-internal-external-ai-gap-why-the-uks-leading-ai-healthcare-startup-refuses-to-deploy-ai-internally\/"},"modified":"2018-11-13T18:51:38","modified_gmt":"2018-11-13T23:51:38","slug":"the-internal-external-ai-gap-why-the-uks-leading-ai-healthcare-startup-refuses-to-deploy-ai-internally","status":"publish","type":"hck-submission","link":"https:\/\/d3.harvard.edu\/platform-rctom\/submission\/the-internal-external-ai-gap-why-the-uks-leading-ai-healthcare-startup-refuses-to-deploy-ai-internally\/","title":{"rendered":"The internal-external AI gap: Why the UK\u2019s leading AI healthcare startup refuses to deploy AI internally"},"content":{"rendered":"

\u201cIt will soon be seen as ignorant, negligent and maybe even criminal to diagnose disease without using AI\u201d[1]<\/a> Ali Parsa, CEO of Babylon Health<\/em><\/strong><\/p>\n

 <\/p>\n

Having launched in 2014 as a telemedicine provider, Babylon quickly pivoted into AI diagnostics, growing an in-house AI capability to rival that of Google\u2019s Deepmind (one of the company\u2019s earliest investors). In 2017, Babylon unveiled the UK\u2019s first digital doctor\u2019s practice and rapidly expanded internationally, launching in Africa with the Gates Foundation, the US with Samsung, and Asia with Tencent and Prudential.[2]<\/a> By mid-2018, Babylon had grown to 3M users globally, 200 corporate customers and around 400 employees \u2013 including me.[3]<\/a><\/p>\n

 <\/p>\n

Whilst the ethical debate surrounding AI-healthcare remains as pervasive as ever, Babylon\u2019s stance on the matter is clear – AI saves lives.[4]<\/a> In a study co-published by Stanford University, Babylon put its AI head-to-head against human doctors. In true IBM Watson-Jeopardy style, Babylon\u2019s AI outperformed the human – scoring 81% in accuracy of diagnosis (9% higher than the doctor).[5]<\/a> It is hard to over-emphasise the impact that AI will have on our healthcare system, as Nature explains: \u2018AI is poised to revolutionize many aspects of current clinical practice in the foreseeable future.\u2019[6]<\/a><\/p>\n

 <\/p>\n

The potential of Babylon\u2019s technology to meet the external needs of patients has been proven, but to what extent should they be investing in internal AI deployment? Babylon\u2019s decision not to utilise their own AI capabilities has resulted in an abundance of internal inefficiencies and ballooning costs, with losses of \u00a323.3M reported in 2017[7]<\/a>. How should startups think about balancing the use of technology to gain operational efficiencies, versus purely as a means to gain new customers?<\/p>\n

 <\/p>\n

Why is AI important to Babylon?<\/strong><\/p>\n

 <\/p>\n

Having amassed one of the largest clinical datasets in the world, Babylon uses a data science technique called Probabilistic Graphical Modelling<\/em> (PGM) to link a patient\u2019s symptoms with a probability-weighted diagnosis. The \u2018Babylon Brain\u2019 (Ex.1) summarises the key ingredients to their AI.<\/p>\n

 <\/p>\n

\"\"<\/a><\/p>\n

Ex.1: The \u2018Babylon Brain\u2019[8]<\/a><\/em><\/p>\n

 <\/p>\n

In addition to diagnosis and triage, Babylon provides a back-office service for doctors. We know that doctors spend twice as much time on administration as they do treating patients.[9]<\/a> By automating common administrative tasks, Babylon offers doctors more time to spend with their patients (see YouTube video)[10]<\/a>. So why has the company made such strides in improving back-office functionality for doctors, but not for their own employees? In a recent HBR publication, Satya Ramaswamy makes the case for prioritizing back-office AI deployment:<\/p>\n

 <\/p>\n

“<\/strong>Start in the back office, not the front office.\u00a0You might think companies will get the greatest returns on AI in business functions that touch customers every day (like marketing and sales) or by embedding it in the products they sell to customers (e.g. the self-driving car etc.). Our research says otherwise.<\/em>“[11]<\/a><\/p>\n

\"\"<\/a><\/p>\n

Ex.2: How Companies Around the World Are Using Artificial Intelligence[12]<\/a><\/em><\/p>\n

 <\/p>\n

In focusing all of its efforts on its client-facing AI capabilities, Babylon is missing out on the efficiencies that could be gained from integrating AI across these critical functions.<\/p>\n

 <\/p>\n

Recommendations:<\/strong><\/p>\n

    \n
  1. Identify low-hanging fruit.<\/strong> As a first step, focus on integrating AI into functions which achieve the quickest wins (e.g. legal\/compliance and workflow automation);<\/li>\n
  2. Create a dedicated Internal AI Team<\/strong>. Create a cross-divisional team of Data Scientists and Operations talent, tasked with using AI to drive through efficiencies across the organization;<\/li>\n
  3. Consider how internal AI capabilities can be commercialized externally. <\/strong>Internal and external AI development can be complimentary.<\/li>\n<\/ol>\n

     <\/p>\n

    Open Question:<\/strong><\/p>\n

    One critical question that I\u2019d like to end with; when considering technology companies\u2019 business models, should AI \u2018Start in the back office, not the front office\u2019?<\/p>\n

     <\/p>\n

    (780 words)<\/p>\n

     <\/p>\n

    References:<\/strong><\/p>\n

    [1]<\/a> Gary Finnegan, \u201cYour virtual doctor will see you now: AI app as accurate as doctors in 80% of primary care diseases\u201d, Science Business <\/em>(February 19, 2018)\u00a0https:\/\/sciencebusiness.net\/healthy-measures\/news\/your-virtual-doctor-will-see-you-now-ai-app-accurate-doctors-80-primary-care<\/a><\/u><\/p>\n

    [2]<\/a> Parmy Olson, \u201cRise Of The AI-Doc: Insurer Prudential Taps Babylon Health In $100 Million Software Licensing Deal\u201d, Forbes<\/em> (August 2, 2018) https:\/\/www.forbes.com\/sites\/parmyolson\/2018\/08\/02\/rise-of-the-ai-doc-insurer-prudential-taps-babylon-health-in-100-million-software-licensing-deal\/#4d492769628f<\/a><\/p>\n

    [3]<\/a> Mairi Johnson, \u201cBabylon Commercial Presentation\u201d, Babylon Health company documents<\/em> (August 20, 2018)<\/p>\n

    [4]<\/a> Finnegan, \u201cYour virtual doctor will see you now\u201d<\/p>\n

    [5]<\/a> Saurabh Johri, \u201cA comparative study of artificial intelligence and human doctors for the purpose of triage and diagnosis\u201d, Babylon Health company website<\/em> (June 2018)<\/p>\n

    https:\/\/assets.babylonhealth.com\/press\/BabylonJune2018Paper_Version1.4.2.pdf<\/a><\/p>\n

    [6]<\/a> Kun-Hsing Yu, Andrew L. Beam and Isaac S. Kohane, \u201c<\/strong>Artificial intelligence in healthcare\u201d, <\/strong>Nature <\/em>(October 2018), 726<\/p>\n

    [7]<\/a> Sabah Meddings, \u201cGP at hand app Babylon bleeds cash\u201d, The Times<\/em> (October 14, 2018)<\/p>\n

    [8]<\/a> Johnson, \u201cBabylon Commercial Presentation\u201d<\/p>\n

    [9]<\/a> Danielle Ofri, \u201cThe Patients vs. Paperwork Problem for Doctors\u201d,<\/p>\n

    New York Times<\/em> (November 14, 2017) https:\/\/www.nytimes.com\/2017\/11\/14\/well\/live\/the-patients-vs-paperwork-problem-for-doctors.html<\/a><\/u><\/p>\n

    [10]<\/a> Royal College of GPs, \u201cBabylon AI Event June 27th 2018 Portal Demo\u201d, YouTube<\/em>, published June 29, 2018,<\/p>\n

    [https:\/\/www.youtube.com\/watch?v=AnbYX5qwbdU<\/a><\/u>], accessed November 9, 2018<\/p>\n

    [11]<\/a> Satya Ramaswamy, \u201cHow companies are already using AI\u201d, 性视界 Business Review<\/em> (April 14, 2017) https:\/\/hbr.org\/2017\/04\/how-companies-are-already-using-ai<\/a><\/u><\/p>\n

    [12]<\/a> Ibid.<\/p>\n","protected":false},"excerpt":{"rendered":"

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