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DISRUPTIVE TRENDS IN AGED CARE

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<strong>DISRUPTIVE</strong> <strong>TRENDS</strong><br />

<strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

Using Technology to Get Ahead


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

01<br />

We’ve entered an era of low cost<br />

‘smart devices’ that can improve<br />

the standard of care and offer<br />

greater independence to our<br />

country’s ageing population.<br />

Growing old in Australia is changing. There is currently more information online<br />

to help families find the right services, and processes are increasingly<br />

automated to improve the safety, security and quality of aged care facilities.<br />

But is the system changing fast enough to cater to the 3 million people over the<br />

age of 65 in Australia? Are aged care providers staying on top of digital trends<br />

that could improve the health and welfare of their residents? And what about<br />

people who wish to avoid going into care? What about areas where there’s an<br />

overwhelming lack of vacancies?<br />

Companies are responding to the growing consumer demand for ‘connected<br />

independence technology’ - things like in-home monitoring and security devices<br />

- by creating a range of products designed to play an assistive role in allowing<br />

older people to live independently for longer.<br />

This technology can significantly improve the quality of life of older people,<br />

whether they reside in care or at home. Smart devices are now equipped with<br />

cameras, trackers, GPS, voice command, Bluetooth, mobile connectivity and<br />

sensors to monitor older people’s activity and ensure things like medication is<br />

correctly taken and accidents promptly addressed.


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

02<br />

The Challenges Facing<br />

the Aged Care Sector<br />

Census data published by the<br />

Australian Bureau of Statistics<br />

shows that between 1994 and 2014<br />

the number of people aged 65 years<br />

and over increased from 11.8% of the<br />

total population to 14.7%. What’s<br />

more, the proportion of people aged<br />

85 years and over almost doubled<br />

from 1.0% in 1994 to 1.9% in 2014.<br />

As our life expectancy continues to<br />

increase, we’re seeing a greater<br />

demand for aged care - a demand<br />

that providers are struggling to<br />

meet. At the same time, a growing<br />

number of older people simply don’t<br />

want to enter a facility, and in many<br />

regions in Australia, a lack of<br />

vacancies means that this isn’t an<br />

option anyway.<br />

By 2028, we’ll see more people over<br />

the age of 60 than under the age of<br />

20. With a decreasing tax base and<br />

increasingly dependent ageing<br />

population, governments will have to<br />

look for ways to drive down the cost<br />

of care while enhancing its quality,<br />

convenience and efficiency.<br />

To do this, we must ensure<br />

widespread and sustained adoption<br />

of assistive technology.


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

03<br />

How Technology is<br />

Changing the Face of<br />

Aged Care<br />

Assistive technology and smart devices offer better access to care services;<br />

they reduce the number of home visits by healthcare providers and offer the<br />

most up-to-date information to care staff.<br />

For people who wish to avoid going into aged care, technology gives their loved<br />

ones the emotional confidence to leave their parents or relatives at home for<br />

longer. It’s often very distressing to move family members into a facility, and<br />

these devices can extend their at-home comfort.<br />

But, well, how are old people<br />

supposed to actually use technology?<br />

We’re not exactly talking<br />

smartphones for teenagers here….<br />

Professor Jeffrey Soar holds a Personal Chair in Human-Centred Technologies<br />

in the School of Management and Enterprise at the University of Southern<br />

Queensland and believes that assistive technology need to be accessible and<br />

user friendly in order to see sustained adoption at the level at which we’ve<br />

experienced in other fields.


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

04<br />

“It needs to be passive and unintrusive in order to succeed. Devices need<br />

to exist without much maintenance from older people who might not be<br />

comfortable with technology to begin with. Where people have to wear<br />

something or interact with a machine, they’re less likely to do that,” says<br />

Soar.<br />

And developers in this space have certainly listened.<br />

Consumer independence technology is<br />

currently a $2 billion industry that is<br />

expected to grow to around $30 billion by<br />

2020.<br />

Examples of devices already in existence<br />

today include mobile push-button<br />

emergency response systems, digital pill<br />

dispensers that unlock the correct dosage<br />

each day, daily activity trackers with<br />

biometrics monitoring, and even GPS<br />

insoles to keep an eye on wandering<br />

parents. All of these devices can be<br />

programmed remotely and require little<br />

interaction from their elderly users.


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

05<br />

Key Trends Affecting<br />

Aged Care<br />

Assistive technology can be broken up into three broad categories. Each<br />

contributes to the quality of care and overall wellbeing of our ageing population in<br />

different ways.<br />

1<br />

Communication technology<br />

Smart devices aren’t just about monitoring the movements<br />

of frail Australians. They’re not all designed to take away<br />

the privacy (and dignity) of their subjects, even though<br />

such devices might give family members much needed<br />

peace of mind. Communication technology, such as Skype<br />

and FaceTime, links people with their loved ones in remote<br />

areas and provides affordable ways to keep in touch.<br />

For technology resistant older people, the Jitterbug Plus<br />

from Samsung offers large, easy-to-use buttons and a<br />

simple interface for basic communication needs.


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

06<br />

2<br />

Tracking and monitoring technologies<br />

Lively is by far the most popular activity tracking<br />

system and gives family members insight with<br />

in-home activity sensors that share the daily routine<br />

of their loved ones. There’s also an optional smart<br />

watch that doubles as an emergency response button<br />

and offers intelligent reminders to eat or go for a<br />

walk. Lively ports can be attached to everyday things<br />

like the fridge and medicine cabinet, and the company<br />

can send healthcare professionals and loved ones<br />

alerts if there’s a break in daily routines or habits.<br />

Similar companies such as Dropcam or Piper use<br />

cameras throughout the home to monitor activity and<br />

sync with a smartphone to maximise convenience.<br />

Within this space there’s an emerging number of mood tracking devices<br />

that can be integrated with physical health information to provide a more<br />

detailed picture of a loved one’s wellbeing.<br />

3<br />

Assistive technology for around the<br />

home<br />

We might not be at the level of robot housekeepers<br />

and Jestons-esque automation, but help around the<br />

house in the form of robot vacuum cleaners and<br />

automated window cleaners are both affordable and<br />

extremely convenient for seniors. There’s also<br />

automowers, smart locks and even cooking systems<br />

that switch off if the stove appears to have been left<br />

on for too long.


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

07<br />

Barriers to the Success<br />

of These Innovations<br />

Policy makers and healthcare professionals have been reluctant to adopt these<br />

technologies in any systematic way and, as a result, they have largely failed to<br />

reach a mass audience.<br />

According to Professor Soar, many interdisciplinary players are now moving<br />

into the healthcare sector from non-traditional areas such as consumer<br />

electronics, telecommunications and software development, and these new<br />

ways of doing things may be contributing to our reluctance.<br />

“There is a need for an even greater range of disciplines in the future, however<br />

this requires healthcare providers and policy makers to be open to new<br />

business models. There’s a disconnect between people designing and selling<br />

these technologies and the people running health and aged care<br />

organisations,” says Soar.<br />

Accessibility and unobtrusiveness are also key factors.<br />

“Most of us don’t welcome ageing and disability and we’re<br />

not happy to be reminded of our loss of capacity. So if<br />

there’s technology that can operate in the background that<br />

can track our actions and mood that will surely include<br />

increased adoption.”


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

08<br />

Disruptors in the Sector<br />

Careseekers is an online platform that<br />

connects people looking for in-home<br />

carers with the right provider. The<br />

service, which was established in 2014,<br />

was founded on the premise that baby<br />

boomers, who make up the largest<br />

demographic in Australia today, are<br />

getting older and will use aged care<br />

services differently to previous<br />

generations.<br />

“They [the boomers] will expect more<br />

consumer choice; they are comfortable<br />

outsourcing and they want to age in<br />

place (at home) and maintain a good<br />

quality of life,” says Careseekers<br />

co-founder Lauren Sandler. “These<br />

factors will lead to disruption and<br />

innovation in the aged care industry as<br />

they are not the values that have<br />

underpinned the delivery of aged care<br />

services in the past.<br />

“Baby boomer families have fewer<br />

children and are often dispersed<br />

interstate and overseas, which means<br />

loved ones are not able to help their<br />

ageing parents and innovative<br />

solutions need to be found.”<br />

Sandler believes that the biggest<br />

disruption to the industry over the next<br />

3-5 years will be a move towards<br />

consumer directed care and the<br />

privatisation of government services<br />

(as we have already seen with<br />

Australian Unity and Home Care).<br />

Careseekers aims to offer quality<br />

carers at affordable prices, with a<br />

range of online profiles and reviews<br />

that help consumers find the right<br />

helpers for their loved ones.


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

09<br />

Similarly, Aged Care Reviews is a<br />

consumer review website for the aged<br />

care industry, pushing transparency<br />

and educating the industry of the<br />

importance of moving towards a<br />

consumer focused model.<br />

Kenneth Ray is the co-founder and<br />

chief executive officer of Aged Care<br />

Reviews and believes that there is no<br />

other industry that involves such stress<br />

and family strain as aged care. At the<br />

same time, there is often very little<br />

time and comparison material from<br />

which to make an informed decision<br />

about the right provider for your loved<br />

one.<br />

“Aged care operators have existed with<br />

long waiting lists for a long time. Their<br />

main focus hasn’t been the consumer,<br />

but has been regulatory – making sure<br />

they meet government accreditation<br />

standards. This has bred a philosophy<br />

more concerned with paperwork than<br />

customer service.<br />

“In this backdrop the ordinary<br />

consumer is being asked to sell their<br />

family home to enter a nursing home.<br />

We calculate the average Residential<br />

Accommodation Deposit (bond) is<br />

approaching $500,000 in Victoria. Most<br />

aged care entry decisions are made in<br />

weeks, off the back of a medical event<br />

that renders a family member unable<br />

to move back home,” says Ray.<br />

Both business leaders firmly believe<br />

that the pace of change in aged care<br />

will only increase as the industry<br />

becomes more ‘market based’.<br />

“It will be an amazing time for<br />

innovation and digital disruption,” says<br />

Ray.“As more senior managers come<br />

into the industry from outside<br />

traditional care sectors, we think many<br />

more of them will bring strategies and<br />

philosophies that will only enhance the<br />

consumer experience.”


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

10<br />

Conclusion<br />

Digital technology is now widely accessible. If we ignore its benefits and fail to<br />

exploit assistive devices we will only disadvantage our aged care system and the<br />

people within it.<br />

Despite its benefits, there remains a low level of adoption for smart devices and<br />

assistive technology. Some chalk this down to a widespread perception that<br />

smart home projects have rarely moved into sustainable mainstream use,<br />

while others feel that is a more systemic failure.<br />

There’s no reason that technology shouldn’t play a big role in improving the<br />

ageing process, just as it has done in almost all other areas where it offers<br />

consumer convenience, greater transparency and control, improved productivity<br />

and efficiency.<br />

There’s no reason that technology shouldn’t play a big role in improving the<br />

ageing process, just as it has done in almost all other areas where it offers<br />

consumer convenience, greater transparency and control, improved productivity<br />

and efficiency.


<strong>DISRUPTIVE</strong> <strong>TRENDS</strong> <strong>IN</strong> <strong>AGED</strong> <strong>CARE</strong><br />

11<br />

Appendices<br />

Assistive Health Technologies for Independent Living report prepared by the<br />

Australian Academy of Technological Sciences<br />

Living Longer, Living Better report prepared by the Australian Government<br />

Talk by Professor Marcus Wigan at the Graduate House Monthly Luncheon -<br />

https://www.youtube.com/watch?v=mzMQivxvaxY<br />

Constructing Age and Technology as Augmentation, not Degradation report<br />

prepared by Marcus Wigan.<br />

Websites :<br />

www.lifetec.org.au<br />

http://www.aarp.org<br />

http://www.lifehack.org/316105/3-newtechnologies-care-for-aging-parent<br />

http://www.careseekers.com.au/<br />

http://agedcarereviews.com.au/<br />

http://integratedliving.org.au/<br />

http://www.australianageingagenda.co<br />

m.au/2015/02/06/debate-arent-ahead-a<br />

ssistive-technology/

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