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Updated: Mar 28, 2026

The Innovation Arena: A Method for Comparing Innovative Problem-Solving Across Groups
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INVESTING IN INNOVATION.

Lola Butcher

    Trustee : the Journal for Hospital Governing Boards
    |December 30, 2015
    PubMed
    Summary

    Health systems are creating their own startup companies to address major healthcare challenges. This innovative approach aims to find novel solutions for complex issues within the healthcare industry.

    Area of Science:

    • Health Services Research
    • Healthcare Management
    • Innovation in Healthcare

    Background:

    • Healthcare systems face persistent, complex challenges.
    • Traditional approaches may not adequately address all emerging issues.
    • There is a growing need for innovative solutions in healthcare delivery and operations.

    Purpose of the Study:

    • To explore the trend of health systems launching or investing in startup businesses.
    • To understand the motivations behind this strategic shift.
    • To identify how these ventures aim to solve critical healthcare problems.

    Main Methods:

    • Analysis of investment and launch activities by health systems.
    • Qualitative review of strategic goals for internal startups.

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  • Case study examples of health system-led innovation.

    • Main Results:

    • A significant increase in health systems engaging with startup ecosystems.
    • Diversification of investment areas, including digital health, biotech, and care delivery models.
    • Emergence of new business models driven by healthcare needs.

    Conclusions:

    • Health systems are actively pursuing entrepreneurial strategies.
    • Internal startups offer a pathway to address specific healthcare challenges.
    • This trend signifies a proactive approach to innovation within the healthcare sector.