Mid-year already – and the momentum around digital transformation and investment across Australia’s health system is only accelerating.
Two major national reviews are currently underway, offering the promise of much-needed clarity for our health and medical research and development sector. At the same time, the recent election has delivered the Albanese Government a strong mandate to deliver on its ambitions: boosting economic complexity, lifting productivity from historic lows, and strengthening sovereign capability – all in the context of growing global uncertainty.
At the DHCRC, we have continued to focus on the core concept of innovation – not just as invention, but as a driver of improved health outcomes and smarter models of care. Innovation, underpinned by research and discovery, must be enabled to deliver value – through implementation, partnerships, and systems change.
Yet we continue to hear frustration from our digital technology industry participants about the challenges of doing business in Australia’s health sector. Despite stated aspirations to increase the share of procurement directed to local companies, the proportion going to Australian businesses remains stubbornly low.
Meanwhile, the UK’s National Health Service has become a growth market for Australian health tech, with many of our companies finding traction in a larger, more coordinated system.
To better understand why, DHCRC recently joined industry partners on a visit to the UK, combining attendance at the NHS Confed Expo and HLTH Europe in Amsterdam with a series of strategic meetings across the NHS, the investor community, and policy and regulatory leaders. We explored in depth the NHS innovation and procurement ecosystem – and asked what lessons might apply in an Australian context.
Our visit coincided with the release of a preview of England’s new 10-year health plan, which is framed around three transformational shifts:
- From treatment to prevention
- From hospitals to community
- From analogue to digital
These priorities could just as easily guide a refreshed national vision for Australia. Reflecting on our own national health strategies, we asked: Are they still current? And do they provide the shared mission needed to unite the many players across Australia’s health landscape?
At HLTH in Amsterdam, one message rang clear: technology accounts for just 20% of successful digital transformation. The remaining 80% is culture. If Australia is to achieve genuine impact from digital health, we must also pursue cultural transformation.
This means developing a shared vision – across state and federal governments, The Australian aged care data landscape – front cover of report public and private providers, primary care, aged care, insurers, and community services. With 70% of health spending publicly funded, government has a powerful lever to align efforts – but coordination remains a major challenge.
Encouragingly, we’re seeing early signs of what’s possible through collaboration. The Sparked program is one example. The work of the Australian Digital Health Agency on national infrastructure and My Health Record is another.
At the DHCRC, we have sought to model collaborative innovation through flagship initiatives such as Aged Care Data Compare – helping demonstrate the power of data to drive system improvement.
We now have a once-in-a-generation opportunity – not just to enable digital transformation, but to reorient our system toward transformational shift.
Let’s not miss it.
Warm regards,
Annette Schmiede
CEO
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