Sino-American relations

China and the US are in the grip of major structural changes that both dread will end the Halcyon era when China produced low-cost goods and the US bought them. In particular, many fear that if these changes lead to direct competition between the two countries, only one side can win.

That fear is understandable, but the premise is mistaken. Both sides can and should gain from forging a new relationship that reflects evolving structural realities: China’s growth and size relative to the US; rapid technological change, which automates processes and displaces jobs; and the evolution of global supply chains, driven by developing countries’ rising incomes. But first they must acknowledge that the old pattern of mutually beneficial interdependence really has run its course, and that a new model is needed.

The old model served both sides well for three decades. China’s growth was driven by labour-intensive exports made more competitive by transfers of technology and knowledge from the US and other western countries. This, coupled with massive Chinese public and private investment (enabled by high – and recently excessive – savings), underpinned rising incomes for millions of Chinese.

The US consumer, meanwhile, benefited greatly from declining relative prices of manufactured goods in the tradable side of the economy. Accordingly, US employment shifted to higher-value-added activities, in turn supporting higher incomes in America, too.

Multinational companies operated increasingly efficient and complex global supply chains, which could be reconfigured as the shifting pattern of comparative advantage dictated. Global supply chains ran largely from east to west, reflecting the composition and location of demand in the tradable part of the global economy.

But all of this is starting to change. The benefits are now shifting from cost to growth. Supply chains are now running in both directions, and are being combined in novel ways. Chinese demand is not only growing, but, as incomes start to rise, its composition is shifting to more sophisticated goods and services.

Shifting sands
Thus, China’s role is changing: once the west’s low-cost supplier, it is now becoming a major customer for western products. This represents a major opportunity for advanced economies to rebalance their growth and employment, provided that they are positioned to compete for the appropriate parts of evolving supply chains.

Rising Chinese incomes also imply a structural change for China, as continued growth presupposes a shift to higher-value activities. Technology and knowledge will still be hugely important, but China must begin generating new technologies, in addition to absorbing established western tools and skills.

In order to meet the challenges of structural change, the goal for US policy should be to expand the scope of its tradable sector, with a focus on employment. Reorienting US policy toward external demand across a broader array of sectors, in turn, requires attention to two critical areas: education and investment.

High-quality education and more effective skills development are crucial to generating new employment opportunities for the middle class, while investment can rectify America’s disconnection – particularly that of its medium-size businesses – from global supply chains. The trading companies and infrastructure that smaller, more open economies have created in order to connect to global markets are underdeveloped in the US.

To be sure, success in these areas will not come overnight. But nor is the status quo a permanent condition; it can be improved with investment and supportive policy.

Moreover, the US would benefit in the short term from relatively simple measures, such as removing barriers to inward foreign direct investment, particularly from China.

On the Chinese side, policy prescriptions are not the issue. The importance of evolving a different growth pattern is already understood, and has been enshrined in China’s 12th Five-Year Plan. Its successful implementation will require strengthening incentives to innovate, deepening the exisiting technology base, investing more in human capital, developing the financial sector, and applying competition policy equally to domestic, foreign, and state-owned enterprises.

Given the requirements on both sides, how to ensure a productive and mutually beneficial relationship between the US and China is a relatively straightforward matter. China still needs access to advanced-country markets and technology, but the emphasis is shifting to homegrown knowledge, skills, and innovation. The US, still an innovation powerhouse, can help, but requires access to the growing Chinese market and a level playing field once there. The same is true of financial-sector development.

In the US, a determined effort to restore fiscal balance and establish a sustainable growth pattern – that is, one not based on excessive domestic consumption – is crucial to long-term economic health. Such rebalancing implies sustained reduction of the current-account deficit by expanding exports, rather than merely curtailing imports. Chinese demand will help, all the more so as its economy grows in size and sophistication. So expanding linkages with China now is an investment in the future with a rising return, rather than a quick fix.

A lower US current-account deficit will also benefit China, whose $3.2trn in foreign-exchange reserves – held mostly in dollar-denominated assets – is becoming a large and risky investment. Progress towards external balance in the US would allow a slow reduction in China’s reserves, alleviating its asset-management headache.

A deeper understanding of each other’s shifting structural challenges would facilitate both sides’ ability to identify areas of mutually beneficial cooperation. But the core of the relationship is simple: China needs US innovation to grow, and the US needs Chinese markets to grow. If both countries are to benefit from such symbiosis, there is no alternative to collaboration, substantial investment, and reforms on both sides of the Pacific.

Michael Spence is a Nobel laureate in economics and currently chairman of the Commission on Growth and Development. He is also Professor of Economics at NYU’s Stern School of Business

(c) Project Syndicate 1996-2012

Magical markets

Americans are great believers in the value of entrepreneurs and small business. That faith underlies the JOBS (Jumpstart Our Business Startups) Act, a new law that will make it easier for small companies to raise money and bypass the regulatory “friction” that firms encounter when they go public. The law assumes that people who can’t find jobs may be able to find investors instead, and that small companies will be able to get the financing they need to grow bigger and hire more people. Angel investors, friends, and family will boldly go where banks may fear to tread.

The JOBS Act is an extreme example of Americans’ belief in people’s essential goodness, and everyone’s right to self-fulfilment. Every entrepreneur should be entitled to raise funding from willing investors. It is a uniquely American approach, and capitalistic in the best sense of the word, for it encourages (and democratises) investment, rather than fuelling consumption.

Small (under $1bn) companies can raise money directly from small investors in a formalisation of the “crowdfunding” approach, whereby a project’s principals post their plans on a web site and ask for money, essentially opening up the initial public offering (IPO) market. The theory underlying the law is that a new set of accredited third-party marketplaces, rather than the overburdened Securities and Exchange Commission (which missed Bernie Madoff’s monster ponzi scheme), will ensure that entrepreneurs tell the truth, and that investors know what they are buying. (Of course, that begs the question of how thoroughly vetted and reliable those third-party marketplaces and their vetting systems will be.)

While this initiative was born in the US, many countries are wondering how to jumpstart their own entrepreneurial sectors, and may be tempted to follow America’s lead. So why do I hope that they resist that temptation? Unfortunately, the JOBS Act is as likely to be successful as the US government’s earlier attempts to ensure that American families could buy their own homes. Low down payments, deferred interest, and other enticements made it attractive for people to buy their own homes (or to speculate with second homes) whether they could afford to or not.

Mortgage brokers were happy to get in on the act. Some were driven by an honest mission to expand property ownership; others were driven by greed. Some knew that the people to whom they were selling houses could not afford it; others simply did not want to know. Some played by the rules; others forged documents. The banks that originated mortgage loans sold their portfolios to investors who didn’t really understand what they were buying.

In the same way, the JOBS Act will ease life for some deserving people – and most likely attract many more who are less deserving. The new system will attract scam artists and promoters who will encourage unsuitable companies to seek investment and oversell the companies to individuals who can’t afford to lose the money that they invest.

Safety nets
I wish I had more faith in the system, but the problem is not a lack of good people, good investors, or good entrepreneurs. The problem is that, without regulation, bad people take advantage of the good ones. While regulation and restrictions may hamper small business, not all regulation and restrictions are useless.

Yes, there are some wonderful, honest companies that deserve investment and can’t get it, but they are not that common. I see a lot of startups. Many are appealling and have good ideas, yet most of them fail. Now the quality of even the honest startups is likely to decline as more of them are established, and they will spend more of other people’s money before failing.

For example, with more startups, it will be even harder for each of them to find management, talent, and the right employees. Indeed, many people whom an entrepreneur might have hired will probably become CEOs of competing startups. Meanwhile, all of them will be competing for a finite number of customers, and those companies that make progress will then have to compete for even scarcer scale-up capital from investors.

Many investors in these startups are likely to lose their money. Even under the current system, many angel investors lose money. The best route to success in angel investing is to invest in, say, ten or more separate companies, so that you have the chance of at least one big winner. But, again, a broader investor pool is likely to reduce the average number of investments per investor, with inadequate diversification leading to many more losers than winners.

The faith that drives the JOBS Act is the same magical thinking that drives many internet phenomena: people are good and everyone means well. But the internet’s easy accessibility and low-entry barriers have led to spam and malware and bad behaviour; each new service starts out “clean,” but then ends up requiring its own regulations.

Just ask eBay, Google, or Facebook how much they spend on security, fraud detection, and the like. They don’t want to tell you, which says a lot. As on the internet, so in real life: sometimes friction has a purpose.

Esther Dyson is CEO of EDventure Holdings and an active investor in a variety of startups around the world. Her business interests include IT, healthcare and space travel

(c) Project Syndicate 1996-2012

Healthcare Awards 2012

Best Medical Research & Development Company, Europe
ImmuPharma

Best Medical Research & Development Company, Americas
Alexion Pharmaceuticals

Best Medical Research & Development Company, Asia
Takeda

Best Medical Research & Development Company, Africa & Middle East
Adcock Ingram

Best Medical Research & Development Company, Australasia
GlaxoSmithKline Australia

 

 

Best Healthcare Provider, Europe
Helios Healthcare

Best Healthcare Provider, Americas
WellPoint

Best Healthcare Provider, Asia
Hong Kong Sanatorium and Hospital

Best Healthcare Provider, Africa & Middle East
Health Matrix

Best Healthcare Provider, Australasia
Healthcare Australia

 

 

Best Pharmaceutical Firm, Europe
Abbott Deutschland

Best Pharmaceutical Firm, Americas
CFR Pharmaceuticals

Best Pharmaceutical Firm, Asia
Takeda

Best Pharmaceutical Firm, Africa & Middle East
Novartis

Best Pharmaceutical Firm, Australasia
Johnson & Johnson

 

 

Best Healthcare IT Company, Europe
m.e.d. eHealthcy

Best Healthcare IT Company, Americas
NextGen

Best Healthcare IT Company, Asia
Accenture

Best Healthcare IT Company, Africa & Middle East
Siemens Medical Solutions

Best Healthcare IT Company, Australasia
Australian Health Care Technology Ltd

 

 

Best Medical Tourism Provider, Europe
AIMIS

Best Medical Tourism Provider, Americas
Blossom Bariatrics

Best Medical Tourism Provider, Asia
Fortis Healthcare

Best Medical Tourism Provider, Africa & Middle East
Andalusia Group of Medical Services

Best Medical Tourism Provider, Australasia
Global Health Travel

“Socialites” get hacked off with lack of prosecution

The world is full of hackers, or so it seems. Barely a day goes by without news of a fresh security breach. With so much personal information being uploaded to social databases like Facebook, Twitter, and Google +, a hacking on a personal page is almost, if not akin to a burglary. Except the threat is not a physical one, it’s some enigmatic malevolent marauder who has trespassed in someone’s personal cyber-space, rather than a living room.

In early June, social networking website LinkedIn said some of its members’ accounts were “compromised” after reports that more than six million passwords had been leaked. Hackers posted a file containing users encrypted passwords onto a Russian web forum, making them invalid, forcing people to change their details. The news came as LinkedIn was further forced to update its mobile app after a privacy flaw was uncovered by security researchers.

Facebook continues to remain a main target for hacking and phishing, but even its own engineers are getting involved in the act. When the social media giant went public on NASDAQ and CEO Mark Zuckerberg rang the opening bell, his Facebook page automatically posted a status update: “Mark Zuckerburg listed a company on NASDAQ.” The engineers had used Facebook’s Open Graph API to essentially turn the bell into an integrated application. While the hack was a bit of a publicity stunt, it indicates that it’s very possible to create physical pieces of hardware that trigger Facebook updates, which is slightly unsettling.

With all of today’s technology and complicated code, coupled with all the so-called ‘experts’ who are meant to prevent hackers from getting in, why does it keep happening? Since social media is a fairly new concept, there are going to be weaknesses in the software and infuriatingly, hackers will always try to exploit these. In the past, a hacker would have spent many hours guessing username and password combinations, but now they have access to software, thanks to the clever programmers who built these tools for them. Once they latch onto a server that does not kick them off after five incorrect guesses, the software can guess billions of username and password combinations, and they don’t even need a list of passwords.

As the sophistication of computer hackers developed, they began to come onto the radar of law enforcement. During the 1980s and 1990s, the US and UK passed computer misuse legislation, giving them the means to prosecute. A series of clampdowns followed, culminating in 1990 with Operation Sundevil – a series of raids on hackers with bombastic names like the Legion of Doom, the Masters of Deception and Neon Knights. However, hackers remain undeterred: a current favoured practice is to infiltrate social media accounts by sending out messages filled with spam, containing viruses within links.

The sudden growth in the number of hackers is not necessarily down to schools improving their computing classes or an increased diligence and much flexing of programming prowess on the part of young, IT enthusiasts – more often than not, it is the result of Attack Tool Kits (ATKs) – widely available software designed to exploit website security holes.

Keeping the front door, back door and windows locked by maintaining convoluted passwords and changing them regularly, installing a beefy firewall, and running regular virus checks to ensure nothing unsavoury has been uploaded are normally the most efficient ways to deter hackers. Yet, if they are determined to, they will find a way to get in.

The new map of Silicon Valley

Not many people were paying much attention to Instagram a year ago. The photo-sharing app was something teenagers used to take vintage-looking pictures of themselves and share via social media. But when Facebook bought the startup for a $1bn, no one was thinking of trendy teens any more. And the deal has reignited interest in numerous internet-based startups.

Two years ago a couple of San Francisco software designers managed to raise $500,000 in seed money and launched the program on Apple’s App Store. The simple software applies vintage photographic filters to pictures captured by the smartphone’s own camera, and allows users to share them on multiple social networking sites, including their own. The product came out in October 2010, without a marketing budget at all. By December the app had a million users.

The meteoric rise of Instagram is a lesson to internet-based startups everywhere. And it has whetted investors’ appetites for these companies. But as well as being potentially very profitable, many of these companies are looking for more then just cash. They are looking to revolutionise the way we interact on the internet, like Facebook and Twitter before them.

Silicon Valley is buzzing once again like the good old days of tech startups and exciting opportunities. The industry is flooded with internet-based companies competing for the attention of investors. Despite Facebook’s lacklustre debut on the trading floor, interest in these businesses has not waned and investors are sniffing around for the next big thing. But in the Valley’s startup scene it can be hard to tell which companies are worth looking into, and which are just passing fads.

Dropbox
Nowadays it is not many startups that will take on the mighty Google on in a fight, but Dropbox have done just that. On the day the Google launched its new Drive service that allows users to store their files online and synchronise them across platforms, Dropbox’s CEO tweeted: “In other news, @Dropbox is launching a search engine. :)”.

The reason for the rather derisory remark was that Dropbox provided the same services Drive was launching, but for over fours years with monumental success. Drew Houston has a reason to be cocky. In 2009 Steve Jobs made a bid for Dropbox, but failed to secure a deal. Apple went on to produce the iCloud and Google was left behind, until the late introduction of Drive.

But Dropbox is not threatened by these Goliaths. Its file sharing services solved a problem that everyone had: how to access files, photos, and music across countless personal devices. Dropbox replaced the unreliable method of storing files in inboxes, by providing a digital clutter box. Simple, useful and extremely successful. Last year, shortly after its third birthday, Dropbox had 50m users, three times as many as the year before.

The company is still growing. As long as people continue to produce files that need sharing, Dropbox will remain useful. It is particularly appealing for people that have competing software in each of their gadgets. And if users are interested, investors are interested. Last October, interested parties rallied around Dropbox and raised $250m in a fresh wave of investment. Today the company is valued close to $4bn.

Quora
As far as internet starups go, Quora is of noble birth. Founded by two Facebook alumni in 2010, things are looking good for the company right now as it prepares to raise more capital in a second investment round. At face value it might look like a simple question-and-answer forum, but it is much more than that. The website counts former US Treasury Secretary Larry Summers, Ashton Kutcher and even Mark Zuckerberg as some of the 50m users who are asking and answering questions on Quora.

It is simple to use and questions vary from the inane: “How do I boil meat?”, to the rather more sophisticated: “What did Neitzsche think of Kant’s metaphysics?”. Users are identified by name and profession or qualification, and answers are ranked by readers. It is not hard to lose a few hours getting answers to some of life’s most fundamental questions like: “What came first, the chicken or the egg?” But perhaps Quora’s biggest feat is that it has not become a stomping ground of spam answers and internet trolls, like Yahoo Answers, another popular Q&A site.

Because Quora has managed to maintain an extremely high level of discussion, it is a prime platform for ads with target questions (“What is the best French cheese?”), and that could offer a great business opportunity for the firm. However, there are still challenges ahead for Quora. Founders Adam D’Angelo and Charlie Cheever will have to be quick on their feet if they want the company to » continue  to grow without sacrificing its simplicity and cleverness. But investors are confident; Benchmark Capital, a Silicon Valley regular, invested $11m in 2010 and Quora was valued at $86m. It is now said to be gearing up to raise more cash at a $400m valuation.

Square
Unusually, this Silicon Valley startup produces an actual piece of equipment, rather than online buzz. The little square plastic box allows merchants to accept debit and credit card payments from their smartphones or tablets.

The little gadget is no more then a card reader that connects to the phones and tablets through a headphone jack. Square then process the payments with a flat rate of 2.75 percent of the sale, and deposits the money in your account the next day. It has allowed small enterprises of all sorts to expand their business by accepting card payments.

The man behind Square is Jack Dorsey, of Twitter fame, who recruited Keith Rabois, formerly of PayPal. The men claim that Square is the fastest growing startup ever. In less than two years the company has attracted over one million small businesses who use Square to process their card payments in the US. What makes it even more remarkable is that Square achieved this with no business-development team or sales force; it was all word-of-mouth.

In the US the service is popular with everyone from market-stall holders, to therapists and babysitters. The little device has also been making the rounds at political campaigns, as volunteers canvass the streets for votes and donations, processed swiftly on their iPads. Square is on track to process over $5bn in payments this year.

Right now the system is only available in the US, but the potential for global growth is enormous. This year the company is expanding to Latin American, then Europe and Asia. International investors have been flocking in, most notably British entrepreneur Richard Branson. After raising an initial $100m in financing less then a year ago, the company is thought to be raising an additional $250m. All in, Square could be worth well over $4bn right now.

Pinterest
Pinterest may have gotten off to a rocky start; four months after its launch, the social networking site was languishing with a mere 200 users, all from Utah and Iowa. No-one in California was talking about it; no-one wanted to invest in it. But the signs of a surge were there; the number of users was growing between 40 and 50 percent every month, “it’s just that the number started so low that it took a while to get going,” says founder Ben Silbermann. There is the assumption in Silicon Valley that if a company is not successful immediately, it’s a dud. But Silbermann refused to admit defeat. Today, Pinterest  has 10m registered users.

The company is a virtual pin board where users can share images they like from around the web. Users can visit each other’s ‘pin boards’ and can click on images they like. They share recipes, decoration ideas, holidays pictures and so on. More then a social networking site, Pinterest is a site that allows people to converge around shared interests rather then social connections, so the site has become a hit with e-commerce and target advertisers.

The other interesting thing about it is that 85 percent of its users are women, and they are big online shoppers. Research from SteelHouse reported that Pinterest users were 79 percent more likely to purchase something they saw on the site than Facebook users. Pinterest also made sure it was integrated with Facebook from the very start. When a user ‘pins’ something on their board it shows up on their Facebook feed, and all their friends can see what they are interested in.

Like no other social networking site, Pinterest interacts with the world outside the internet. The idea is to get inspired by images and things posted online, then to go out and experience them, with the help of some of the site’s advertisers. Silbermann is not shy about it, “I think we knew from the beginning that we were building a very different kind of product.” It might have taken a while, but it seems that investors are finally paying attention. In May this year, Pinterest raised $100m in financing and is now valued at $1.5bn.

Airbnb
When Airbnb was launched in 2007, most Silicon Valley investors passed on it. It seemed like a pointless idea; an app that allowed people to rent out their spare rooms to travellers. Investors could not see why anyone would want to open their house to strangers. But apparently they do. Today, Airbnb has about 1,000 new homes listed on its site every day.

In the meantime, the site has developed into a community marketplace; listings can be anything between a $4000 a night luxury yacht in Cannes to a seven dollar-a-night bunk bed in Chicago. Reviews and social networking site profiles work to build up trust between users. Over five million reservations have been made through their site to date, according to Airbnb.

A minor PR scandal involving a ransacked home rented through the site made Airbnb rethink its strategy and customer service in 2010. They invested in a $1m Host Guarantee insurance policy and have never looked back. That year, despite the setback, Airbnb grew 800 percent. Investors were quick to see the error of their ways, and flocked to the startup.

Founder Brian Chesky led a round of investments last year that culminated with Airbnb raising over $100m, pushing the company’s value up to $1.3bn.  Airbnb have no plans to slow down despite already being present in over 186 countries. In March, they announced the acquisition of UK rival startup Crashpadder, and cornered the market for short-term rentals for the London 2012 Olympics. “We knew that London was going to be a major focus for us in 2012 with the Olympics on the horizon,” Chesky said in a statement. “Now, with the addition of the Crashpadder community we are making huge strides to ensure that thousands of Olympic visitors will have a unique and local experience as Londoners open their door to the world during the games and beyond.”

Personalised medicine: A window into the future

A series of robotic arms move in tandem collecting minute samples of fluid from a set of multicoloured test-tubes. The fluid is deposited in another set of glass vials that automatically start to vibrate, creating whirlpools inside the small jars. Scientists wearing blue rubber gloves and oversized plastic goggles observe the process, their eyes fixed on a large plasma screen showing rows and rows of coloured spots. In every corner of the lab sophisticated machines buzz and whir, each occupied with an infinitely precise task that cannot be trusted to the human hand: mixing, measuring, extracting and decoding. In the far corner another machine engraves aluminium plates with rows and rows of little circles, each one nanometre in diameter, each containing a minute portion of the human genome, ready to be read by a super computer. Just one of those little metal plates costs thousands of dollars, and could just hold the key to the future of medicine.

However, this room is not a set in a science fiction film, it is one of many such laboratories all over the world that decodes an individual’s DNA and maps out their genetic material. This is the first step toward what experts are calling ‘personalised medicine’, “a medical philosophy that uses a person’s individual clinical, genetic, genomic, and environmental information to tailor a treatment plan that will maximise efficacy and safety for that individual,” according to Paul Wolpe, Professor of Bioethics at Emory University.

Today scientists are able to genotype not only human DNA but also the DNA of specific diseases

Personalised medicine is being hailed as the future of medicine. The idea is that if we know in detail each patient’s individual traits, we can treat them efficiently, safely and cost-effectively. It is based on two developing technologies: genetic-testing and targeted pharmaceuticals. By testing a person’s genetic material, it will be possible to identify particular genetic profiles and genotypes that will influence the likelihood of an individual developing certain diseases, what course these diseases will proceed through, and other factors such as the individual’s metabolic rates, which affect how drugs are absorbed and processed in the body. By analysing a patient’s genetic profile it will be possible to determine how they might react to certain medication, and drug treatment will be far more adequate to each patient’s needs.

Just ten years ago, getting your genome mapped for personalised medicine would have cost over $75,000 in one of a handful of private labs in the US and would have scarcely been available elsewhere in the world. But the industry has moved in leaps and bounds since then. Today for a mere $300 it is possible to get a basic genetic screen that will reveal predisposition to the most common forms of cancer, other genetic diseases like Parkinson’s, Type-2 Diabetes and even chronic joint pain, as well as metabolic rates for drug absorption and genetic traits such as muscle performance. There is no need to go to a lab or visit a geneticist. Collection kits are mailed to and from the lab and a small spittle in a little plastic test tube provides more then enough genetic material for testing. Within two to three weeks the results are made available online, complete with a range of easy-to-read graphs and detailed reports on specific findings. . The most complete testing currently costs around $5,000 and produces an intricately detailed analysis of genetic material and reveals complexities about the body, and how it is likely to change and deteriorate over time. This more expensive genetic service investigates each individual’s drug responses and gene mutations.

The process has been used for a number of years to identify causes of diseases of difficult diagnosis, and was previously too expensive to be commercially viable. Companies that offer this type of genetic mapping are often research facilities as well, working in tandem with pharmaceutical companies, providing the bioinformatics and genetics needed for whole genome studies of human disease or drug response.

The gene game
Genetic testing has been used for a number of years, especially to assist in the diagnosis of genetic conditions such as Huntington’s disease. It has also been available for people who have a family history of certain types of cancer, who can choose to know if they are likely or not to develop the disease. Doctors believe that prediction can lead to an early diagnosis by increasing the frequency of screening for people who are more likely to develop these conditions. Early diagnosis drastically reduces the cost of treatment and improves survival rates. But this type of predisposition testing can also open the door to more drastic responses. Some women have opted to remove their breasts or ovaries when a genetic screening shows they are likely to develop cancer. However, it is unquestionable that personalised medicine will bring countless advances to the medical field. “Despite many advances in the drug therapy for many diseases, treatment remains suboptimal for a significant proportion of individuals because of unpredictable side-effects of medication or lack of response from the patient,” says Wolpe. Anti-depressants for instance, are notorious for their wildly discrepant reactions in different patients; a simple genetic profile would, in theory, be able to determine what types of patients are more suited to what types of medication, and the doses required.

With all this research, pharmaceutical companies now have a better idea of how their drugs work, and why they occasionally fail

The field of genetics has developed at a staggering pace in the past twenty years. Today scientists are able to genotype not only human DNA but also the DNA of specific diseases. Each cancer has its own genetic information; complete with the gene mutations that cause the abnormal growths. By genotyping the disease – in a case-by-case fashion – for the first time ever researchers are getting a glimpse at what is causing its development and how to tackle those faulty mutations without harming other, healthy cells. This process is still in its infancy, but researchers are confident that soon the disease can be conquered. Drugs can now be developed to target specific metabolising agents in the body, treating diseases at their root cause. This type of drug testing is known as pharmacogenetics. Having access to large pools of genetic profiles will almost certainly help streamline drug research and clinical testing. In the long run, personalised medicine will save hospitals, insurance companies and patients lots of money through targeted therapies which will help avoid less successful treatments. Collective genetic profile statistics will also enable national health providers such as the NHS to choose the best overall drug treatments for the population.

With all this new research, pharmaceutical companies now have a much better idea of how their drugs work, and why they occasionally fail. In an attempt to perfect their products, some pharmaceutical companies are partnering up with private labs to develop simple genetic tests to accompany their drugs. The tests determine if the patient is likely to respond well to the medication, and what dose should be administered. That is the case for Warfarin, a blood thinner notoriously difficult to dose. In 2008 the American Food and Drug Administration started recommending patients prescribed the drug to undergo a genetic test in order to determine the appropriate dosage and thus avoid complications and even in some very rare occassions, death. The genetic tests are expensive but “avoiding one hospitalisation could underwrite the cost of the test for 100 patients,” according to Dr Robert S Epstein, chief medical officer at Medco Health Solutions, the pharmaceutical company behind Warfarin.

However, pharmacogenetics is an expensive process. Right now, large pharmaceutical corporations test irrespective of DNA, and so the pool of research is developed somewhat randomly. Standard practice does not involve testing developing drugs on groups with specific genetic profiles. As a result, drug tests are carried out in genetically random cross sections of a population. If there are too many adverse reactions, the drug is scrapped.

This way companies can cast the medication’s net as widely as possible; a ‘blockbuster drug’ that will corner the market for treatment of a specific type of illness and help a vast number of patients. With any luck, the new product will sell well, generate billions of dollars in profit, and pay for its research many times over, enabling pharmaceutical companies to invest in new research for new drugs.

Personalised medicine providers are planning on selling their services to employers, expressly in the US, where healthcare is part of employment packages

But with the arrival of genetic mapping technology, pharmaceutical companies are reassessing their approach to research. Because it is now possible to determine what types of genetic profiles are likely to respond well to any particular treatment, and why sometimes drugs have adverse or no effects at all, medication is becoming increasingly bespoke. The possibility of blockbuster drugs is dwindling. Pharmaceutical companies are being forced to embrace the potential benefits of niche market drugs with high success rates. The trouble is research and development costs are » too high for drugs that will only ever have the potential to be sold to a fraction of the population. The gamble is that increased safety and high success rates will encourage the use of the treatments and make up for the smaller markets for each drug. Pharmacogenetics will also help to salvage drugs that have previously been deemed failures. Sometimes drug development is aborted when too many patients have adverse reactions. Through genetic testing, it will be possible to identify what caused the bad side effects, and who is likely to suffer from them. If the drug is still successful in a portion of the population, it might still be commercially viable, albeit on a smaller scale. Genetic testing will minimise the number of drugs that get completely abandoned, thus helping to make research budgets much more efficient.

From blockbusters to flops
Cystic fibrosis is a chronic disease that affects one in every 2,000 new-borns. Because of a genetic mutation, the lungs of people with the condition are unable to clear away mucous, causing chronic infections and permanent damage to the organs. In later stages lung transplants often become necessary. The disease is nearly always fatal, and most sufferers do not make it past the age of 30. Through genetic testing, a private lab in the US has managed to identify the genetic mutation that leads to the faulty protein. There are over 1,800 variations that cause the disease, but through extensive research the lab managed to produce two drugs that will work on the majority of mutations. The treatment makes cystic fibrosis a manageable disease, not a life sentence. But it comes with a hefty price-tag; just one year of treatment costs $294,000.

There are also the millions of dollars the lab spent on over 10 years of research. That value is slightly offset by less frequent hospital visits and overnight stays for emergency treatment. When put in treatment from a young age, it is less likely that sufferers will require lung transplants, relieving a massive burden on the system. With so many variables, it is still difficult to determine if the drugs will be economically viable, both for the patients and the labs producing them.

When pharmacogenetics are prevalent it is likely pharmaceutical companies will try to develop new drugs for the most common genotypes or genetic profiles that best respond to treatment. It will be more economically viable for companies to develop drugs that effectively treat the greatest variety of genetic profiles and the most dominant.

But by actively favouring the most prevalent genotypes pharmaceutical companies might risk making whole sections of the population ‘therapeutic orphans’; large groups of people with genotypes that will be deemed too difficult to treat, and thus less likely to receive adequate medical care. This is an issue that has started to be addressed though legislation.

The US and EU have both already began extensive grant programmes for research and development on ‘orphan medications’.

Genetic mapping will make available information that is inherently private. Even if names are removed in databases, DNA is unique and always traceable to the source

Personalised medicine is so far only widely available in North America and parts of Europe. However, in the US it has already started to generate a minor avalanche of insurance reimbursement problems. Wolpe describes instances of unequal treatment of two individuals with the same disease diagnosis: “Two persons may have slightly different mutations of the same gene, both predisposing them to a genetic disorder. One’s common genotype requires $500 worth of pharmacogenetic medication per year, the other’s rare genotype requires $100,000. How will the insurance system handle this disparity?”

In many states in the US the law already allows for long-term care, disability and life insurers to discriminate based on genetics. Someone making more expensive claims will always be charged higher premiums, but health and life insurers might start denying coverage for people with predispositions to incurable diseases, or difficult to treat genotypes. In this case, personalised medicine might also become an intolerable financial burden around the neck of everyday citizens.

But in some ways, personalised medicine is opening new avenues of business within the medical industry. Personalised medicine providers are planning on selling their services to employers, particularly in the US, where healthcare is part of the employment package. Companies have so far been receptive, eager to pay higher healthcare fees for improved treatment outcomes and, crucially, lower prescription costs.

Mapping the future
Scientists are already envisioning a future where a genetic map of any type of disease or cancer will point the way to treatment. With accessible genetic testing for a patient seeking treatment, doctors will know exactly what dose of the exact drug someone will require.

Deadly diseases will become more manageable and predispositions for chronic conditions will be offset. But there is still a lack of understanding; the more researchers look into genomes, more and more new complexities arise. Not all conditions relate to a single gene like cystic fibrosis; Type-2 diabetes for instance relates to at least 18 different genes. For research to progress successfully and start to tackle big diseases like diabetes and cancer, scientists are going to have to start studying larger and larger pools of genetic profiles. Any widespread use of personal medicine will undoubtedly rely on a more systematic application of genetic testing.

The fetishisation of genetics is something that needs to be handled very carefully. If too much emphasis is put on genetic profiles as diagnosis tools, we run the risk of downplaying environmental factors. Even a person with a small genetic propensity to heart conditions might develop one if they are excessively overweight and don’t exercise.

And if, sometime in the future, humanity is entirely genotyped, then the door could be left wide open to genetic discrimination, or some form of eugenics. For all the potential benefits of personalised medicine, the field of genetics could also be seen as an ethical minefield which needs to be universally regulated. In countries such as Britain, where health services are nationalised, the strain that personalised medicine will put on the system are incalculable. Without appropriate consideration and regulation, personal medicine might not ever achieve its full potential as a life-saving approach to medicine.

The future of personalised medicine will rely on costly widespread genetic mapping which has the risk of overburdening an already fragile healthcare system. There is also the chance that healthy individuals might not want to have their genomes mapped. There are real issues of privacy involved in this matter. Genetic mapping will make available information that is inherently private. Even if names are removed in databases, DNA is unique to every individual and is always traceable back to its source. Even in the name of science, it isn’t surprising that people might be reluctant to have personal information made public.

James Watson, the legendary scientist who discovered the DNA double helix, was one of the very first people to have his DNA mapped several years ago. Watson, then already an old man, is reported to have agreed to the process with the condition that no one look at the genes associated with Alzheimer’s disease. He said he simply did not want to know.

And it is easy to see why; Alzheimer’s is a brutal degenerative condition, and it is incurable. Like the scientist, not many people would like to receive this type of information. Some scientists would like to see widespread testing of all newborns at birth, but we must ask how this would affect the lives of these children. Born healthy, but with a higher-then-average chance of maybe one day developing a degenerative disease, it would be like a death sentence at birth, and it could be argued as a clear violation of these children’s privacy.

Right now the main obstacle to the development of personalised medicine as a viable and lucrative business model is the high cost of investment. Before we can seriously consider the widespread use of genetic mapping to treat diseases on an individual basis we must first consider how much we do not know, and how much technology still has to be developed before we can fill these gaps.

“Even if you spend a lot of money and get your genome sequenced, you might think you are going to understand a lot but in reality you probably won’t. We only know the genetic basis for 200 or so genes that you can actually do anything about, or even understand. Most of those are incredibly rare. But there is not enough information to know how to interpret our genome information. That might not be true forever, but it is true right now,” says Dr Michael Snyder, Professor of genetics at Stanford University in California. The human genome has billions of genes with an infinite variety of combinations, it will still be years before we understand it all and all its complexities.

There is very little data on how genetic and non-genetic factors interact, and how these interactions might affect treatment. Researchers are not even sure if individuals respond consistently to a drug treatment over a long time. And there is always the chance that the genetic testing required for pharmacogenetics will turn up far more diseases than cures.

The cooperative alternative to commerce

In an era in which conventional models of finance, corporate governance, and corporate responsibility are increasingly debated, if not called into question, it may be time to revisit the alternative approach taken by economic cooperatives. The foundational values of cooperatives embody not only a humane vision, but also a pragmatic approach to production that has enabled the successful incorporators to thrive – and to spur economic growth in countries that desperately need it.

Not only greater economic inclusion, higher agricultural productivity, strengthened food security, and financial stability, but also lessons on responsible and sustainable business practices

Cooperative movements took shape in the Americas, Europe, Australia, and Japan in the 1800s. Many grew from the simple proposition that ordinary people could overcome adversity in the marketplace by banding together to buy and sell goods at reasonable prices, and quickly realised the added benefits of sharing knowledge among members, promoting inclusion, and building social capital.

Today, cooperatives cover a range of activities and come in a variety of shapes and sizes, from small-scale agricultural and consumer organisations in Africa to some of the leading agricultural brands and largest financial-service providers in North America and Europe.
According to the International Cooperative Alliance, a cooperative is a “jointly owned and democratically controlled enterprise.” But, beneath this definition lie rich notions of voluntary association, accountability for strategic decisions, and concern for the communities that cooperatives serve.

A new alternative
Cooperatives have helped to bring information and services to far-flung rural communities, empower workers, and expand financial services, healthcare, education, and housing. In doing so, they have transformed the economic and social landscape in countless communities. The International Cooperative Alliance reports that more than 800m people are members of cooperatives worldwide.

Moreover, cooperatives account for a significant share of GDP in many countries, and an especially high share of the agricultural and consumer sectors. Cooperatives are also one of the largest providers of financial intermediation to the poor, serving an estimated 78m people globally who live on less than $2 per day.

Of course, cooperatives have sometimes struggled to live up to the ideal. In the most egregious cases, some have fallen victim to bad politics, weak governance, or mismanagement. Others are exposed to risks stemming from concentration in a single business sector, commodity, and/or geographic area.

Cooperatives have also wrestled with questions of members’ entry and exit, financial disclosure, and relationships with the non-cooperative sector. Governments have often faced vexing questions with regard to financial regulation and taxation of cooperatives, including treatment of profits and consideration of exemptions.

And now, in a more mobile and urban world, one might ask: can cooperatives maintain their essential character, based on inclusion and knowledge sharing within a community? In a world in which geography is a diminishing barrier to business, can cooperatives sufficiently distinguish themselves as a viable alternative model? Or will they evolve to serve virtual communities, organised around new sets of challenges and opportunities?

Getting it together
The UN has declared 2012 the “Year of Cooperatives.” This provides a good opportunity to examine the extraordinary history of cooperatives, assess their strengths and weaknesses, and rekindle a discussion about a development model that promises higher levels of inclusion, ownership, self-determination, and concern for community.

The World Bank is active in the development of producer and credit cooperatives around the world. Some of the most notable programs include the Indian Dairy Cooperative, which has created an estimated 250,000 jobs, mostly in rural areas. Similarly, Mexico’s National Savings and Financial Services Bank has helped to strengthen savings and credit institutions that serve millions of rural residents who would otherwise have been relegated to the margins of the formal financial sector. The Bank’s policy work has re-affirmed the notion that rural producer organisations are fundamental building blocks of agricultural development. And it has helped governments to supervise and regulate cooperative financial institutions.

As we search for innovative solutions to today’s development challenges, we should consider what the cooperative movement could offer. That means not only greater economic inclusion, higher agricultural productivity, strengthened food security, and financial stability, but also lessons concerning responsible and sustainable business practices, corporate governance, and community relations. We should also consider how to facilitate the spread of cooperatives’ best practices while avoiding common pitfalls.

The cooperative movement can prompt us to think in new, inspired ways. Capitalising on cooperatives’ successes and learning from their mistakes can help us to expand the menu of options as we search for more inclusive and sustainable models of development, and new ways of building and sharing knowledge.

Mahmoud Mohieldin is managing director at the World Bank Group, and was formerly Egypt’s minister for investment.

(c) Project Syndicate 1996-2012

“Years spent studying proton therapy systems”

The motto of the hospital is: “Quality in Service, Excellence in Care”. Can you explain how you put your philosophy into practice?
We pride ourselves on our uncompromising adherence to the ‘Total Patient Experience’ concept, caring not only for the clinical but also the psychological aspects of every patient with superb amenities, a soothing environment, warm hospitality and meticulous care.

The hospital constantly strives to find better ways to treat diseases and new services to meet patients’ needs. As an extremely advanced hospital, HKSH continues to expand its number of specialty clinics in the last decade from a few to now over 30. Recently, the Li Shu Pui ENT Head & Neck Surgery Centre, Nephrology Centre and Allergy Centre welcomed Dr. William Wei, Dr Lai Kar Neng, and Professor Tak Lee from King’s College, London as the centre directors, who are all world-renowned experts and researchers in the above fields.

Besides expanding in service scope, HKSH also increased the depth of service for its long-established departments, such as the Department of Ophthalmology and Department of Women’s Health and Obstetrics. Established in 1981, the Department of Ophthalmology has grown from one doctor to a team of 10 doctors, who are all experts in different sub-specialities. Furthermore, there are also specialty centres such as the Eye Surgery Centre and Guy Hugh Chan Refractive Surgery Centre in the Department, where the latter has become one of the most advanced LASIK centres in Hong Kong, with LASIK procedures performed on over 80,000 eyes since 1996.

HKSH also aims to strengthen primary healthcare, which is beneficial to the community as well as channelling patients to use the hospital service. Currently we are running two satellite clinics, and there are plans to set up more across the city within the next 10 years.

The hospital continually reviews its services and practices to ensure both quality and integrity being up to clients’ expectations. We provide individual patient care through a well-trained frontline. Senior nurses act as ‘patient ambassadors’, easily identifiable for any immediate enquiries from patients and their families. A ‘named nurse system’ is also in place, ensuring that each nurse is designated and personally responsible for a number of patients on wards. We are the first and only private hospital to incorporate a “Hospitality Service Training” programme offered and adapted by Grand Hyatt, an internationally renowned hotel brand, in the on-the-job-training of all frontline staff.

The hospital is firmly committed to ensuring that the quality of service is up to internationally accepted standards. Since 2000, the hospital has been subjected to very close scrutiny by the British Trent Accreditation Board every two years. As a result, the hospital was awarded “Full Accreditation” for a period of two years in 2008 for the fifth time in a row. We also received commendations for the high standard of patient care and our commitment to delivering excellent health service. In 2010, the hospital was awarded the “EQuIP Accreditation” certificate by the ACHS. We were honoured to be the first hospital in Hong Kong to receive this international recognition, which is a major milestone of our continued pursuit of safe and high-quality healthcare services.

Tell us about the in-house specialist services initiative you are currently setting up. What are the goals for staff and patients alike? Where has the funding come from?
Part of the evolutionary process of HKSH in the past decade has been the development of clinical departments. Now with a team of over 100 in-house specialists encompassing all major medical services, HKSH has evolved from a facility provider to a fully fledged comprehensive hospital attending to all healthcare needs of the community from primary to tertiary care.

With the clinical departments in place, HKSH can expand its spectrum of expertise, extend service coverage and undertake clinical audits for quality assurance. Fee-transparency and price packages become more feasible as there is an array of specialists to deal with establishing guidelines for all doctors. Training and professional development are now organised in a systematic manner with the in-house specialists forming a league of trainers for other healthcare professionals in the HKSH community.

HKSH’s operation is fully supported on its own, without government funding or financial support from any external body. The major stakeholder of HKSH – in possession of over 90 percent of shares – is the Li Shu Fan Medical Foundation, a not-for-profit organisation. All the revenue generated from the hospital’s services is poured back to the development of the hospital. The Foundation is also devoted to charities and development of local medical education by supporting research projects, providing scholarships as well as grants.

In 2011, the hospital installed Asia’s first TomoHD treatment system, and now with three systems in operation, HKSH is the largest TomoHD Centre in the world. What kind of treatment do you provide at your oncology centre? What research is currently ongoing?
HKSH is one of the world’s largest cancer treatment centres equipped with three TomoHD systems and a full range of treatment options, with the ability to provide quality treatment for more patients.

In 2005, HKSH pioneered the first-in-Asia TomoTherapy treatment system, which combines image-guided radiation therapy and intensity-modulated radiation therapy. Dr. Walton Li, medical superintendent of HKSH stated that: “HKSH is always committed to putting patients first, » endeavouring to introduce the latest medical technology to the city with the aim to improve the survival rate and the quality of life (QOL) of our patients.”

HKSH’s Comprehensive Oncology Centre (COC) offers holistic management for cancer patients. Patients at COC will  be seen by a team of specialists in surgery, medical oncology, radiation oncology and haematology. A particular initiative was HKSH’s weekly tumour board meetings, which gathered dozens of specialists to evaluate the treatment plans and discuss the best possible options for individual patients.

HKSH attaches great importance to research projects that are seen to drive medical advances and improvement in treatment outcomes, which will eventually benefit our patients. HKSH has been very active in supporting research and presenting findings at international conferences.

Cancer genetics is also a significant research area at HKSH. In collaboration with Stanford University and the University of Hong Kong, HKSH participated in the first high-risk breast cancer screening project in Hong Kong in 2007, offering familial breast cancer screening services at the Cancer Genetics Centre. HKSH has actively participated in molecular pathological studies with the publication of around 20 academic papers so far.

The Molecular Pathology Laboratory of HKSH is on a par with a university research laboratory in terms of scale. The Next Generation Sequencing (NGS) introduced in November 2011 marked a major step towards the ultimate goal of ‘Personal Medical Genomic Profiling Services’, extending our genomic capacity to the provision of tailored treatments, precise diagnosis and accurate disease risk stratification to our patients.

HKSH completed its fourth “Walk for Vision” in March. What are some of the other ways to show its care within the community?
HKSH has been an active supporter of a wide-range of charity activities. Recently, the hospital has been encouraging its staff members to take part in voluntary services after work. “Village Volunteers” was established in April 2009 with an aim to support and serve disadvantaged citizens in the community.

“HKSH is committed to the betterment of social wellbeing. That is why we focus on supporting medicine-related charities and non-profit organisations. We hope that we can give our very best to the public in our professional capacity,” says Dr. Joseph Chan, deputy medical superintendent of HKSH and Chairman of ‘Village Volunteers’ programme.

‘Village Volunteers’ has taken part in various community activities, such as visiting homes of the elderly and institutions for the mentally handicapped and the physically disabled, and other fund-raising activities such as the annual walkathon, “Walk for Vision”.

Subsequently, HKSH was awarded the ‘Caring Company Logo’ in March 2011 for the first time.

A social prestige in itself, the ‘Caring Company Logo’ serves as recognition for the hospital’s contribution to community services. Advocated by the Hong Kong Council of Social Service, the ‘Caring Company Scheme’ is committed to building a cohesive society by promoting strategic partnerships among businesses and social service partners, while inspiring corporate social responsibility through caring of the community, employees and the environment. Just like its resolute commitment to quality medical services, HKSH’s enthusiasm for community wellbeing will always light the way for the hospital in future.

What are some of the opportunities HKSH offers with its teaching programmes?
For nursing education, HKSH offers thorough training from enrolled nurses and registered nurses to post-graduate levels. HKSH has had its own School of Nursing since 1927, having trained over 2,000 nurses at its own expenses through the years. From 2005-2011, HKSH collaborated with the Open University of Hong Kong to organise a Bachelor in Nursing programme, and since 2008, HKSH collaborated with The Hong Kong Polytechnic University to offer a Master of Nursing programme for non-nursing degree holders.

Together with the enrolled nurse training programmes offered by the School of Nursing, HKSH helps provide around 100 new nurses every year, not only for the hospital itself but also for other healthcare institutions in Hong Kong. For continuous nursing education at the hospital, HKSH offers scholarships to enrolled nurses to study conversion courses to become registered nurses. In 2011, HKSH also pledged a multi-million, five-year professional training scheme by University of California, Los Angeles School of Nursing, for its senior nursing staff.

For its medical education, since 1998 HKSH has been in collaboration with the University of Hong Kong (HKU) with a “Medical Student Teaching Programme”, in which all medical students are required to spend one week in HKSH as part of their curriculum, and since 2010 an additional week is also required as part of the Orthopaedics training programme.
HKSH also offers “Postgraduate Training for Doctors” in family medicine, surgery, ophthalmology and orthopaedics. HKSH is the only private hospital with an accredited family medicine training centre to offer a six-year speciality training programme since 2001, where 10 fellows were trained. For the speciality training programmes in surgery, ophthalmology and orthopaedics, each doctor spends three months in HKSH as part of their higher training with sponsorships paid for by HKSH.

HKSH has made generous donations in support of medical education. In 2007, 2010, 2011 and 2012, HKSH donated HK$4om to establish four Endowed Professorships to the University of Hong Kong. Since 2010, an annual donation of HK$15m to HKU’s Faculty of Medicine has been made in support of training of doctors and research. A UCLA Fellowship is also installed to sponsor HKU doctors for training at the UCLA.

Looking towards your centenary, what are the particular achievements the hospital has achieved over the years, and how will you be celebrating the landmark?
From a humble nursing home with 28 beds, today the hospital has over 400 beds and numerous speciality centres, committed to meeting and exceeding patients’ and doctors’ expectations. As embodied in its motto “Quality in Service, Excellence in Care”, it has always been, and will continue to be, the hospital’s mission to strive for the best medical treatment and hospital care for our patients with state-of-the-art equipment, a pleasant environment, whole-person care and most importantly, highly trained staff.

To celebrate its 90th anniversary, HKSH has kicked off a yearlong celebration campaign for its 2,000 members of staff, patients and families, partner organisations, media and the public about the hospital’s vision for the region. Specific events include:
– A fundraising ‘Walk for Vision’ in March to showcase our corporate social responsibility
Dr. Li Shu Fan Oration in May to raise public awareness about quality healthcare and the long-time contribution of HKSH to the community
– Li Shu Pui Symposium in June to provide a platform for academic exchange among healthcare professionals to continue HKSH’s contribution in the advancement in community health and future medical advances
– Finally, a grand celebration in September will be a finale of the anniversary year as well as a starting point of the exciting centenary period.

What measures are you looking to put in place for the hospital to become the medical centre of excellence in Hong Kong? Are there any future projects in the pipeline?
HKSH will continue to uphold its motto “Quality in Service, Excellence in Care” which embodies our core belief in the provision of healthcare services. The hospital plans to realise this motto with the concepts of 3Ts: ‘Teaching’, ‘Teamwork’ and ‘Trust’. HKSH aspires to become a centre of excellence in services, training and research towards the centenary.

Major initiatives in the next couple of years include the redevelopment and expansion of the hospital’s service capacity. Private hospitals can make a bigger contribution if they have sufficient hospital beds available. As a result, we are planning to move from multi-bed wards to single-bed rooms to optimise patient safety, infection control and environmental conditions for promoting recovery. Another key project would be the introduction of Proton Therapy, the latest technology in the fight against cancer. “We have spent several years studying the introduction of the proton therapy system. HKSH will be the first to launch Proton Therapy System into Hong Kong to further augment our armamentarium for cancer treatment”, said Mr Wyman Li, HKSH’s administration manager.

The hospital’s long-term vision is to be an internationally recognised healthcare provider offering the most advanced medical technology; highly skilled and knowledgeable professionals and a patient-focused culture. To ensure this, HKSH will continue to attract, retain and develop the best people by providing professional education, training and research in the healthcare service sector.

Optical lens expert explores microscopy

Major advances and progress in medicine and life sciences have always been spurred on by the latest developments in technology and the dedicated work of scientists. Like no other invention, the microscope has helped unveil the secrets of nature. With them, whole new worlds have become available, leading to numerous discoveries, without which we would be left with a limited understanding of everything around us.

The first scientific discovery based on microscopy dealt with the circulatory system and subsequently changed our view of the human body. Scientists have gone on to discover and explore life’s own building blocks, and recognised different types of bacteria and endeavoured against the spread of diseases such as cancer.

Once merely an ornament in the homes of the rich, the development of the conventional microscope at the end of the sixteenth century would lead to a great step forward for science, particularly in biology, and also in the development of materials and their usage; cast-iron and steel, minerals and polymers to name but a few. Largely considered to be the oldest existing optics manufacturer in the world, with lenses thought to be at the forefront of technological excellence; optical and precision mechanics specialist Carl Zeiss founded his optical workshop in the city of Jena in Germany in 1846. Carl Zeiss initially produced simple microscopes intended for dissecting work, and later, compound microscopes.

Before then, building a microscope was usually seen as a trial-and-error process, however his workshop was later to be considered an important hotbed for breakthrough concepts in optics and the collaboration between science and handcrafted technology.

Laying the foundations  
In 1866, Zeiss met a young physicist called Ernst Abbe, and it was this partnership that led to the research of the theoretical principles of optical imaging in 1871, and the discovery of the Abbe-sine condition, which ultimately helped improve how well modern lenses could be made. A type of glass effective enough to fully test the theory didn’t exist at the time but a third collaboration with 30 year-old glass chemist Otto Schott produced a new type of glass, which could fully use the Abbe sine condition. This breakthrough – together with subsequent innovations of glass – enabled an entirely new class of microscope, the apochromatic lens, and enabled the large-scale production of high-powered specialist microscopes that allowed reliable, crisp imagery.

Helium ion microscopy allows researchers to drill holes in special substrates with extraordinarily small diameters for fast DNA sequencing

Today, Carl Zeiss Microscopy GmbH offers a uniquely broad portfolio: Innovative optic lenses and lighttrains in microscopes, high-performance confocal systems, and leading-edge fluorescence imaging instruments tailored to capture almost every photon emitted by a probe. Over seven different technologies exist which can optically slice living samples, even over long time periods. The resulting 3D images and movies enable reserachers to understand the basic dynamic principles of the metabolism of cells and a whole organism.The same holds true for the development of electron microscopy, right from the early steps in the late 1930s and after WWII, when the company started the development of Transmission Electron Microscopes (TEM) and later Scanning Electron Microscopes (SEM). There have been numerous research programmes into the treatments of tuberculosis, genome decoding, and the root cause analysis of cervical cancer, overseen by well-respected scientists, among whom a dozen are Nobel laureates who achieved their accolades with research done using the company’s microscopes.

At the heart of science
Last year, the optics powerhouse joined its light microscopy and electron microscopy units to form a single 2,500-strong business group. The combined division, Carl Zeiss Microscopy, is set to embark upon a new chapter in the history of microscopy – and aims to drive an industry trend which is seeing customers in both the research and industry fields regularly using both optical and electron microscopy systems, thus positioning the company as the only supplier of correlative microscopy systems.

Innovation at Carl Zeiss Microscopy was and is always driven alongside customers. Focusing to further develop strong partnerships with key researchers and scientists, Carl Zeiss Microscopy today employs a number of embedded scientists at high-profile facilities. These teams are currently working on projects of huge scientific significance, including several groups undertaking brain mapping, with the aim to build a connectome of the brain. Newly developed ZEISS scanning electron microscopes with built-in sample slicing capabilities are a main driver behind these research activities. With the extensive raft of knowledge acquired out of this cooperation, a highly-skilled service and support team can support Carl Zeiss customers to get their research jobs done efficiently. A global network of demonstration facilities and the ZEISS` Microscopy Lab in Munich supports the selection process of the best-suited technology by offering proof of concept support and the ability to collect images and data for grant applications.

Latest developments
In 2011, Carl Zeiss Microscopy won a coveted “Life Science Industry Award” which recognises best-in-class science suppliers. The company also won the 2011 “Best cell Biology Instruments (microscope-based) Award”, beating six other nominees in the category, and truly cementing its status as a cutting-edge research and production facility. Over the years the prestigious “R&D 100” award as well as the “Red Dot Design” award was awarded to microscopes and microscope systems from Carl Zeiss several times.
But there are already efforts under way to further advance microscopy. There are still vast areas in science, where knowledge is still limited and major efforts are needed to develop cures and new technological solutions. Most degenerative diseases such as Alzheimers cannot be treated; in material sciences the storage of electricity in batteries is still not sufficient performant to enable electro mobility.

To better understand processes on a subcellular level in cancer research, super-resolution micrsocopy is a major step forward. With over 50 research facilities now using the ZEISS ELYRA system, specific markers of the illness can now be better localised and observed in living cells. Bridging this functional perspective with structural results of electron microscopes opens a totally new world. For the first time the overlay created by the shuttle and find tool enables reconstruction of the neuronal network in the brain.

In geosciences, scientists are analysing shale-rock permeability by using high-end focused ion beams and scanning electron microscopes made by the company. The aim is to find natural gas and oil reservoirs and to decide whether it’s possible to extract oil and/or gas in a cost-effective, economical manner.

The latest projects underway include the unique ORION heliumion microscope – a technology that enables ground-breaking research in imaging, nanomodification and nanoengineering applications. For example, helium ion microscopy allows researchers to drill holes in special substrates with extraordinarily small diameters for fast DNA sequencing. This will in the future dramatically cut down the costs for individual sequencing, enabling personalised cures aiming at specific tumors or other diseases. With an unrivalled number of results and insights into the properties and characteristics of their research, it seems Carl Zeiss Microscopy will remain a global leader in driving science for years to come.

A focus on the scientific camera market

What is PCO’s place in the high-performance and scientific camera market?
PCO is one of the leading manufacturers of high-performance camera systems. For 25 years the company has been making and developing cameras for scientific imaging, metrology and quality-control. We are usually competing with different companies, who range from low-light, low-noise, sensitive applications up to high-speed and high-dynamic imaging. With our proven knowledge and familiar contact with worldwide researchers, we are able to offer the most advanced technology to our customers. We also aim to combine this with an excellent service, ensuring that every customer goes home satisfied.

How does the development and manufacture of high-performance scientific cameras differ from mass digital camera production?
Since the requirements for each product’s performance are very different, it takes far more effort to offer high-linearity, excellent image quality, and the low-noise performance that our customers expect and need. For the correction and calibration of our cameras it takes extremely sophisticated algorithms in the cameras and test set-ups for the quality control of the camera’s system. In mass production, the manufacturing price is the most important optimisation topic. For us it is the image quality, and this sometimes this is not particularly easy to achieve.

CMOS technology is changing the digital photography industry. What is PCO’s involvement in the process?
A couple of years ago I was convinced that it takes a good CCD image sensor to create a good scientific camera, except maybe for high-speed applications (leading to high-frame rates) which are not usually possible with the serial readout architecture of CCD image sensors. Since the introduction of scientific CMOS, which we helped to co-develop, this has changed very much, because it offers performance data that we can reach with CCD image sensors. Firstly we took part in the CMOS image sensor application, and nowadays we contribute in trying to reach new levels of performance with CMOS technology. However, the company doesn’t do CMOS image sensor design itself, but only collaborates with some outstanding companies in this field.

Many digital imaging companies are struggling to stay afloat, and some are even facing bankruptcy. How has PCO fared in this crisis?
We have also seen many firms struggle in the high-speed camera business. I guess our advantage lies in the diversity of our niche market areas. If one area is weak, we can improve and profit from the others. We saw some sales drop during the recent economical crisis, sometimes with a delay, as research money tends to decrease over a period of around two years. However, the drop was never more than 10 percent and since last year it is steadily growing again. We believe that this growth is a more sustained and lasting development. Whatever the economic climate, with our technological expertise and new ideas, we are always able to offer products of high quality.

What are PCO’s plans for the future?
The company is always looking into new technologies, while trying to improve the performance of our existing  camera systems. We always strive to satisfy all our customers, from those who want to use the camera as a measuring device, to the customer who is looking for the best possible image quality to capture stunning images. To achieve this we are always pushing the latest and most advanced technology in electronics to its limits.

“Every person benefits from professional coaching”

The 2012 ICF Global Coaching Study concluded that professional coaching appears to be growing, generating close to $2bn in revenue annually worldwide. Why are businesses turning to coaching so enthusiastically?
The business sector is tougher than ever, and therefore the demand for higher productivity and effectiveness from every individual leader and the teams they lead is critical to sustain success. Professional coaching explicitly targets maximising potential and doing so unlocks latent sources of productivity and effectiveness. At the heart of coaching is a creative and thought-provoking process that supports individuals to confidently pursue new ideas and alternative solutions with greater resilience in the face of growing complexity and uncertainty. Positive results generate enthusiasm and professional coaching inside organisations is helping to maximise potential and unleash creativity.

The ICF strives to promote professional coaching as a leadership strategy. How do businesses stand to gain from coaching?
Humans are generally creatures of habit. Coaches will help to unlock clients’ inner potential and inspire them to learn new ways of thinking. A skilful management team is a crucial component to a company’s success. Studies suggest that among the four drivers in employment, staff rank their relationship with their bosses as the most important factor.

This indicates how important it is that company leaders act as role models. Most managers that move to senior positions do so because they possess high emotional intelligence (EQ) and can relate effectively with their employees and inspire them in a way that enhances their productivity and creativity. Coaching can help to develop business leaders’ levels of EQ and subsequently improve their relationship with their staff.

Is coaching effective on all levels of a business, or is it primarily a tool for senior leaders?
Professional coaching primarily focuses on maximising potential and thereby builds a dynamic capacity to originate, to produce, and to learn from results. Every person benefits from coaching and there are specific practices for creating coaching programmes and a coaching culture that addresses each level of an organisation so that consistency and congruence are achieved.

Coaching isn’t just for senior leaders. Coaches can help to unlock clients’ inner potential.  Investing in a professional coach will signal a commitment to support individuals in an organisation in order to help them continue driving positive results and take the measured risks to implement new creative solutions.

Some of the case studies presented by the ICF point to a monumental return of investment from coaching, not just in increased revenue but in productivity and quality of work. How does coaching achieve that?
In the face of uncertainty caused by workforce reductions and other factors, expectations of a workforce which remains in a suffering company are very high. Leaders expect the workforce to adapt and be creative, tapping into unused potential both as individuals and as teams throughout the company. Restoring self-confidence and trust to face any upcoming challenge is critical to meet organisational demands. Professional coaches focus on all of these needs through thought-provoking exchanges, which heighten personal and professional potential.

There has been a call for coaching to be regulated by professional bodies such as the ICF. How would that affect the industry and clients?
The ICF Global Coaching Study 2012 indicates that among those who believe coaching should be regulated; nearly 78 percent feel that professional coaching bodies are best suited to facilitate the profession’s governance. To that end, the ICF stands strongly for professionalism and self-governance within coaching. The standards and structures built by the ICF over the past decade – which support the emergence of coaching as a valued profession – also provide a solid-foundation for the self-governance of the profession. In addition, rigorous adherence from professionals to these standards and practices provides the necessary assurance that consumers of coaching are protected from any harm. The ICF works very closely with allied association colleagues and governmental entities around the world to ensure that the self-regulation of coaching is meeting the demands of professional coaching practitioners and clients alike.

Anecdotal evidence suggests that coaching is an effective tool for a variety of different industries. How does a coach prepare a strategy for a client? What are a coach’s goals?
Every coaching engagement is customised by definition because the relationship is a co-created partnership. The individual client and the sponsoring organisational leader are involved in the creation of coaching goals, documenting measurable outcomes and declaring observable evidence for new behaviours that match the job and role competencies required for the business to succeed.

Some of the more common examples include; executive assimilation, high-potential leaders being prepared for an expanded range of control or greater strategic authority, strengthening executive presence, improving team consistency for delivering on-time, on-budget solutions by addressing interpersonal communications and preparing for organisational change. Organisations define their key goals. The specific client, working in partnership with the coach, identifies the mindset and skillset targeted for development and growth that will facilitate that individual or team in achieving the relevant goals.

Accountability for achieving the goals rests in the hands of the client. And as clients become more aware of the personal impact the coaching is having, they may choose other ways of relating that engage colleagues and team members.

What are the key characteristics that make for a good coach? What should businesses look for in a coach? What should clients avoid?
Effective professional coaching occurs when the practitioner is well trained and experienced while allowing a respectful relationship between themselves and their client. Interview different coaches to determine the length of training and whether the school that provided the training is recognised by a professional coaching organisation. Furthermore, ask if the coach has been awarded a credential by that organisation.

An ICF-certified coach would have received 60 to 200 hours of training, (the number of hours depending on the credential level) and within that successfully demonstrated knowledge of ethical practices and peer-reviewed applications of the coach competence with clients. Additionally, 40 hours of continuing coach education are required every three years in order to retain an ICF Credential. There are three levels of ICF Credentials: Associate Certified Coach (ACC), Professional Certified Coach (PCC) and Master Certified Coach (MCC).

The process of selecting a coach operating within the ICF can seem overwhelming. To aid the procedure, all ICF-credentialled coaches are searchable through an online directory, the ICF Coach Referral Service (CRS) – a free public resource that allows clients to tailor their search for a qualified coach based on specific criteria. When in the process of selecting a coach, clients will usually interview three different coaches to find a match.

Ultimately, the candidate has to find confidence in a coach, while also the chemistry between all parties has to be right. The personality between client and coach doesn’t have to match – sometimes opposite personality types will bring the best results.

E-health modernises medical services

In recent years, new forms of healthcare have crept up on the agenda of many south-eastern European countries, within both private and public sectors. While key signifiers of health such as life expectancy and rates of infant mortality in the region have steadily improved, there is further progress still to be made.

The recent political stability of the late 1990s has brought about new investment in healthcare technology, and a flourishing digital economy has granted access to new networks and knowledge. The south-eastern European e-Health Network (SEEeHN), established in 2001, has demonstrated a significant commitment to this new field.

Consequently, as healthcare and medical industries have evolved, the south-eastern region of Europe has witnessed a growing demand for IT systems in these fields. Businesses ranging from hospitals and medical laboratories, to the pharmaceutical industry have all witnessed the improvements e-health networks can bring about, namely efficiency and integration of services.

E-health technology is a hugely important facet of the restructuring and modernisation of twenty-first-century healthcare

In this dynamic and expanding field, eHealthCy based in Nicosia, Cyprus, is pioneering in its innovation and development. The aim of eHealthCy is to streamline national healthcare services through improved IT services. These services include among others; healthcare information systems (HIS,CIS,LIS) health-data analysis, health-data mapping, and management of healthcare organisations. The success stemming from the provision of these services is apparent from the company’s continued success. Founded in 2008, it is already expanding far beyond the reach of its Cypriot roots. Furthermore, the work undertaken by eHealthCy is crucial to the evolution of an effective healthcare infrastructure in the region and further afield. In an area with a growing and more mobile population, adequate healthcare services are of vital importance in order to keep pace with developments in western Europe.

People first
The motivation behind eHealthCy’s work is clear: prioritising and addressing the healthcare needs of citizens. This mentality of ‘people first’ underlies all of the company’s work, aiming to safeguard the wellbeing of the individuals for whom they care for. In order to achieve this, their vision is to develop a transnational network of electronic healthcare services allowing the free transfer of data to all parties involved. This means that, with relevant permission, data will be shared easily by affiliated care units, leading to a more efficient care network.

The health network pioneered by eHealthCy is extensive, with care units including private clinics, diagnostic laboratories, public services, and nonprofit audit bodies such as the Ministry of Health and Welfare, Centre for Disease Control and the National Organisation for Medicines. The benefits of this style of e-health strategy are many, as not only does the integration of data services improve the quality of care, it simultaneously reduces the cost of healthcare services. Subsequently, this technology benefits both service-users, and governmental organisations which have sub-contracted companies such as eHealthCy.

The strategic model the firm has created is intertwined with healthcare innovation in the region, in Europe and globally. The implementation of new IT can be seen across the board throughout the continent and its benefits are evident. E-health technology is a hugely important facet of the restructuring and modernisation of twenty-first-century healthcare. As a result, a growing number of governments and institutions are planning to adopt these new strategies in the near future.

New horizons
At the core of the e-health project is the principle that today’s healthcare services no longer operate in isolation but are most effective when united. The medical industry thus becomes a completely national – or even transnational – network. This idea is exemplified by eHealthCy’s ‘Integrated Hospital Information System’ a programme that brings together a range of services (medical and imaging laboratories, blood and transplant resources, nursing and outpatient services and administration) in order to improve the quality of care and the efficiency of their services. With its proven efficacy, eHealthCy is expanding its work further afield in Europe, developing new care-providing and managerial networks. The firm is aiming to create a broader network in which all organisations involved in healthcare can participate in the e-health project, with a view to extend across the entire south-east region of Europe. This project will require the involvement of governments, citizens, healthcare NGOs and educational institutions. It is without a doubt ambitious; however, the company’s founders are confident that they have the ability to bring this about through the strategic recruitment of likeminded individuals.

A voice for patients
eHealthCy identifies with humanitarian causes and regularly engages with NGOs to provide consulting and software services on a pro bono basis. The company is committed to working with NGOs such as the Association of Congenital Heart Patients Adolescents and Adults of Cyprus (ACHDAC) and the Central Information System of Congenital Heart Patients of Cyprus. These initiatives demonstrate how e-health technology can benefit all areas of the healthcare community, whether it is profit or non-profit motivated. Not only does eHealthCy provide services free-of-charge, but any profit made from charity-linked work for the government is invested directly back into the NGOs. This involvement within charities has vastly improved the standard of both patient care and medical research, especially within the field of cardiology.

The big picture
In an area of the world which has previously had limited access to healthcare resources, south-east Europe is rapidly emerging in the e-health industry. With a proven ability to streamline the data services needed to deliver excellent standards of medicine, interest in this area is growing. Innovators such as eHealthCy provide a unique and empowering link, directly connecting patients to local care resources, medical institutions and healthcare policy makers.

However, eHealthCy are not working alone. Instead they have developed a further, secondary network which consists of a range of strategic partners. These include: The Hellenic Technical Enterprise, Logos Net Services, Healthcare International Consulting and Oracle. This secondary network is a much larger structure, which incorporates many important services other than those provided by eHealthCy. The aim is to expand this network of health informatics further still, extending to new regions in order to create a transnational and an international e-health network. This network will enable accurate, timely and efficient sharing of data, something that would benefit patients and healthcare professionals alike.