The global AI healthcare market is soaring. It’s reportedly going to surpass $180 billion Value by 2030.
Is it easier for the doctor to be the first point of contact for patients or to quickly integrate into Medical research and diagnosisAI has transformative potential in the healthcare field. according to American Medical Associationtwo out of every three doctors are using AI, an increase of 78% over 2023.
CVS HealthNo. 5 Fortune 500is a major player in the healthcare industry and owns the country’s largest pharmacy chain. The company also provides clinical services through its subsidiaries CVS Caremark and MinuteClinic.
For Tilak Mandadi, Executive Vice President and Chief Experience and Technology Officer at CVS Health, innovation is already underway to disrupt the healthcare industry. Prior to joining CVS Health in 2022, Mandadi took on an executive role in experience, technology and strategy, including AT MGM International Resort,,,,, Disney The park, then American Express.
Talk to it wealthMandadi discusses his most pressing agenda items and his forecast for the healthcare industry in the era of AI.
This interview has been edited for length and clarity.
What sparked your interest in leveraging AI in health care?
The healthcare industry is not a passion for technology or early adopter. There was a time when the healthcare industry lagged behind finance and other industries in adopting technology. This is clearly reflected in the type of experience provided to consumers.
My view is very similar to what is happening in developing countries, and when adopting wire telecommunications, they lag behind developed countries. Then, when the honeycombs appear in the picture, they actually cross the contact information of the developed countries.
In my opinion, AI is a leap-through technology that transcends healthcare. We were ready for this, the use cases were very clear, and the technology was there. I think this is a real opportunity for healthcare to leap.
You mentioned that the use case is clear. Can you provide an example?
We have nursing management, and our nurse practitioners call people who are experiencing stress, being treated like cancer. These nurse practitioners call them and help them navigate health care and try to ease their lives. 40% of their time has been spent preparing for the phone. AI reduces it to 5%. So, what happens 35% of the other time? They can actually spend more time with their clients.
Another example is that we have someone calling patients and members, and the phone itself usually takes x Minutes. Then, it will take twice as much time to summarize the call. Now we have AI that actually records the phone and summarizes it for them.
I hate to say that, but I’ve been using it all the time, so I’ll say: AI allows us to remove stupid jobs and allows us to do real value-added work.
What is your first agenda as Chief Experience and Technical Officer at CVS Health?
The first one is, how do we change our healthcare experience? Good experience can lead to better engagement in their health. People who engage in their own health can lead to trust in health care and doctors. Trust leads to behavioral changes in how people view their lives, and this behavioral change ultimately proves to lead to better health outcomes and longevity.
I know it’s a long chain, but all of this starts with better healthcare experience, which is our main focus right now. How do we completely change the experience?
So, how does AI play a role in changing experience and behavioral changes?
Behavior changes come from all kinds of things. For example, it comes from drug compliance and therefore is actually disciplined for taking drugs every day. If AI helps us identify people who won’t discipline them based on their past behavior, we can actively interact with them and provide them with the necessary tools to better adhere to the medication.
We are sure that what they are going to do next in their health journey is right. We want them to control their health journey, and AI does this by simplifying healthcare. The reason people can’t control their health is not because they don’t want to do it, but because it’s so complicated. This is overwhelming.
There is too much discussion about the role AI already plays in health. There are also concerns about how to democratize access and ensure that technology will protect people’s data. How do you solve this problem?
From the days I worked at Disney, there is a saying. This comes from a science fiction writer who said, “The best technology is something people don’t even know.” The technology on your face is not particularly productive. The technology to eliminate human touch is not something we are interested in on CVS. We are known for our human style. Wherever we use technology, it is necessary to enhance human touch, not replace it in any way.
We were one of the first signatories in the last administration to be responsible for AI. We continue to think that when we consider the AI of the person in charge. The principles we follow are really simple. There will be no bias in our AI model. The way our AI works will not be hallucinated. Our use cases with AI are clear, defined and enumerated. Is it not surprising that you are using AI here? We know exactly what the model is doing.
Our most important philosophy about AI is that AI will never make decisions. period. Therefore, AI will help us collect information. AI will help us take away stupid work, administrative work we don’t want to do, but decisions that affect health outcomes are always made by qualified humans.
What about the data slice?
If we provide ownership of healthcare data to patients, members, consumers to consumers, then no one else should control it. I can agree to use the data to others, but I should be able to access it.
I mean, think about it. Do you have a place to go to health records? Too crazy. We want to help people have their health records and health data. Then, I want to create a complete interoperability among stakeholders between PBM, provider, health system and health programs. Data should flow without barriers, and interoperability will make the experience better.
How would you define what it might be like on CVS under your leadership, especially when we consider the implementation of AI?
I believe AI and technology can greatly change health care in six dimensions.
One is, how do we improve access to health care? Why can’t our pharmacists provide more and more health care? How do I use technology to enable consumers to have better access to healthcare?
Second, how do we reduce health care costs? Technology will play an incredible role.
The benefit you should be real-time when you are with your doctor is crystal. Healthcare is probably the only industry I can think of where you go to buy things without knowing what it will cost. So you’re going to have the surgery, but it’s not clear what my total cost is. I hope technology and artificial intelligence eliminate this confusion. Before we proceed, we will tell you exactly how much your expenses will be.
You want to live longer and want to live a quality life. I think technology will change dramatically.
What timetable are we talking about here to see this?
I think in five years, health care will not be recognized. In 10 years, it will be completely different.
You should be able to click the button using the CVS application and actually have a preliminary consultation with the AI agent. The AI agent will then connect you seamlessly with the human doctor in real time. The biggest problem people have with health care is that they are forced to do all their operations and all their navigation on an extremely complex ecosystem. What customers want is others doing all their homework and offering a one-stop shop.
What types of roles or skills will emerge in the healthcare system through this major technological transformation?
The absolute worst thing a company can do is create a major AI official role. This is the worst thing a company can do. When cell phones are everywhere, have we created a chief mobile phone officer for the company? That’s a tool that mistakenly assumes a solution. I think the company should create chief experience officers.
I think the existing role will actually get new responsibilities. I think AI will be an integral part of the daily life of medical staff, service representatives and customer support staff. Everyone uses AI in their daily life to do their jobs better.
