The Science Behind Falls Management HD Nursing Innovating in Healthcare: Idea Formation to Revenue Generation and Everything in Between Amy L. Hester PhD, RN, BC

Overview: HD Nursing Clinical Decision Support System to predict and prevent falls and injuries across the continuum of care. Improve patient outcomes Reduce hospital costs Reduce hospital re-admissions and institutionalized care Automate work flow for care providers

Proven leaders in Falls Management with demonstrated results Who We Are Proven leaders in Falls Management with demonstrated results Gary Platzman: President & CEO Transformed 63 year old company into the market leader in Falls Management products Tripled company’s revenue over 10 years Amy Hester, PhD, RN, BC: Chief Scientific Officer Nationally recognized and published falls subject matter expert Director of Nursing Research and Innovation - University of Arkansas for Medical Services (UAMS) Patricia Quigley, PhD, MPH, ARNP, FAAN, FAANP Advisor & Chairperson of HD Clinical Advisory Committee Erin Bush, MA, BSN, RNC-MNN Director of Clinical Operations Experienced clinician, educator, and change agent devoted to implementation success and sustainability in every facility

The Pain Point… Total cost to the healthcare system resulting from falls and falls related injuries: $34B in 2013, estimated at $47B in 2020 1 The average 200 bed hospital spends $1,000,000+ per year on falls related costs5 CMS (Medicare) no longer reimburses providers for added costs for falls sustained while in the hospital (“hospital acquired condition”)2 The move to “value based purchasing” means hospitals face financial penalties for readmissions (up to 3%) and patient safety metrics2 Falls related injuries account for up to 15% of readmissions in first 30 days4 For our elders, falls account for 25% of all hospital admissions from nursing homes, and 40% of all nursing home admissions; 40% of those admitted do not return to independent living; 25% die within a year

The HD Nursing Solution With a comprehensive, individualized falls management program, providers will have the tools needed to improve patient safety outcomes and address the growing costs associated with falls. Predict: Hester Davis Fall Risk Assessment Scale© Prevent: HD Falls Care Plan© Sustain: HD Falls Tool Kit©

Results: UAMS Case Study One year after implementing (2011) the HD Falls Program™ at UAMS: Experienced a 60% reduction in injurious falls Improved from 98th to 11th percentile in falls injury ranking on NDNQI Saved $1.27 million on falls related costs the 1st year 1 Saved an additional $330k by eliminating “patient sitters” – an ineffective and costly intervention Saw an overall savings of $1.6M per year All occurring during a time when the hospital was significantly reducing staff. 2013/2016 Top Performer in Falls and Injury Prevention (University Healthsystem Consortium) 2014 Top Hospital Saving Money in Innovative Ways (Becker’s Healthcare) In 2013 & 2016, UAMS achieved the lowest falls and falls injury rates in it’s history and is a recognized national leader. 6

Additional Success

Our Clients

Integration With Key Industry Providers Epic is the $3B market leader in electronic medical records (EMR) (25-30% share and fastest growing) In 2014 release, HDS integrated in Epic EMR system Agreement provides for up-sell of HD Care Plan™ directly to Epic customers for full functionality of program Non-exclusive for HD Nursing 9

Partnership With Key Industry Providers Universal Hospital Services (UHS) $550M market leader in sales/rental of patient handling/falls management equipment for acute care facilities Co- Marketing Agreement Non-exclusive for HD Nursing Posey Company Market leading manufacturer of falls management products Co- Marketing Agreement Non-exclusive for HD Additional strategic partners in discussion 10

Go To Market Strategy Non-Hospital (Ambulatory) Lifecycle (over age 65) Hospital (Acute Care) Lifecycle 13.6M (over age 65) Patient Discharges Falls and injury assessment and care plan in connection with continued medical care or evaluation of fall prevention equipment/technology Seamless falls and injury prediction & prevention for hospital patients At Home In Office/Clinic HD Outpatient Solutions In-Patient Discharge In Office/Clinic @ Home @ Home or @ Retail HD Outpatient Solutions Healthcare Professionals 298M Visits Services Providers 44.7M People 11

Pricing & Revenue Model Hospital Pricing Model Price License Fee Acute: $9,000-28,800/yr Ambulatory: $4,500-15,000/yr Implementation, Customization & Training $2,000-10,000 (one-time) On going Support $2,000-10,000/yr Hospital Acute: per hospital pricing; tiered by bed size Ambulatory: per hospital pricing; tiered by visit volume Non-Hospital Ambulatory: tiered by patient volume/revenue share Community: patient volume/revenue share 12

Managing Conflicts of Interest

Managing Conflicts of Commitment

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