Digital Medical

Digital Medical
Bringing 21st century solutions to operating rooms and sterile processing departments.
Los Angeles, California, United States United States
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Company description

Hospitals and ambulatory centers lose an average of $330 million per month in revenue, due to lost surgical equipment. There is also an average of 9 million surgical procedures cancelled each year due to scheduling errors, costing $225 billlion in revenue. The scary part is that the majority of these facilities still utilize archaic methods, such as pen and paper, to track their valuable equipment. 

We realized that the problems in these facilities could be solved using modern technology. Therefore we developed a platform that streamlines the process, allowing facilities to alert vendors of upcoming surgical cases, reduce scheduling errors and missed case deliveries, track equipment throughout the  delivery, sterilization, and surgical process, and reduce lost equipment penalties and accountability errors.









Business model

When hospitals and ambulatory centers enroll in the Loaner Tray Management (LTM) & Surgical Scheduler Portal (SSP) platform, they carry an average of 30 vendor representatives per facility. 

The hospital & ambulatory Centers pay a subscription fee of $18,000 / annual or $2,250 / monthly.

The vendor representatives pay a subscription fee of $600 / annual or $60 / monthly.

Hospitals and ambulatory centers are charged an initiation fee of $1,500, plus a $1,500 monthly subscription for our third product, Timeout OR (TOR).



Competitive advantage

Q: How many hospitals / centers have you signed up? 

 Digital Medical is currently being utilized at 6 hospitals. We recently signed contracts with the MedStar Health system who operate 11 hospitals in the Washington DC area. Five of their facilities are currently being implemented, and the rest will move forward later in the year.


Q: How many are paying? 

 During our pilot program at the University of Maryland, the hospital and vendor representatives were charged an annual fees for their subscriptions. We offered MedStar Health the first year for free in order to sign up multiple facilities at once. However, vendors were charged for the first year of service. 


Q: What’s a typical use case at one of your clients? 

 Without Digital Medical

 When a surgical case is booked without our system, the scheduler emails or faxes the surgical posting to the hospital. From there, the hospital may inform the vendor involved about the case via email or text. The facility scheduler either calls or emails the representative a few days prior to the case to confirm the tray delivery. 


Upon delivery at the facility, vendors normally fill out a paper form and alert staff that the tray has arrived on a dry erase board. The sterile processing department receives the trays and the vendor is on his way. If there is a time change or cancellation, hopefully the hospital reaches out before hand, however 90% of the time they do not. Therefore, the vendor is forced to constantly  call to confirm case times. This process is antiquated and time consuming, and leaves all parties with zero accountability.  


With Digital Medical

 With our system everything is done through the web based portal, from start to finish.  When the facility scheduler books a case, the information is sent to the Surgical Scheduler Portal. Vendors and facilities are both notified of the upcoming case, through the portal and email. If the case time is changed or cancelled, the vendor is notified in real time.

 Vendor trays are preloaded into the system, with pictures and documentation to ensure tray contents and accountability. When cases are complete, vendors and facility staff, are able to verify that the trays are complete.

 Hospital incur missing equipment charges everyday, due to a lack of IFU documents, count sheets, or pictures from received trays. Our system solves that problem by providing documentation, and creating digital labels that are printed for each case so that trays are distributed correctly, and are not lost. 

 Once the case is complete, all parties are notified of the trays location, and that the trays are ready for pickup, through the portal and by email.  


Q: What’s the sales process of getting them on board?  

 The sales process for getting a facility on board is fairly easy. Once a facility realizes that their loaner tray process can be simplified by using Digital Medical, the sterile processing manager will request a live demonstration to be shared with the preoperative staff. Once completed, the appropriate manager will have to approve the service and sign off on the subscription.


 Q: What's the timeframe to get their hospital all set up? And who are the people within the hospital that set this up? 

 As our system is web based, nothing needs to be loaded, just access to a web browser. The system can be setup in a matter of an hour. All facilities need, is a computer and printer in the decontamination area where they accept loaner trays.


Q: Who are the folks within these places that can sign off on this purchase?  

 The people responsible for the approval of the system, are the sterile processing manager and/or the operating room manager.


Q: What are the alternatives and why is yours better? 

 Our biggest competitor is Censis. They are in the majority of facilities across the country, providing sterilization equipment and instrument tracking. The problem with Censis is that their equipment is so expensive and difficult to use, that facility staff have abandoned them to use methods such as pen and paper.