Characteristics and business applications of 3D immersive environments/virtual worlds, with examples from health care. Including one pilot created for Cigna, in Second Life. created by Claus Nehmzow

1. Virtual Worlds and Games -
serious business benefits?
Claus Nehmzow, Alcus International Ltd. /
Serious Games Institute
The 10th Asia Pacific Knowledge Management Conference
“Managing Knowledge for Sustainable Growth - Searching for
Business Models for the Future”
4 December 2008, Hong Kong Science Park
Sunday, 7 December 2008 1

2. Can we use 3D virtual worlds and games
to achieve business benefits?
What are the unique characteristics of virtual worlds?
How can they be applied to business?
What are real examples of applications?
What can we learn from health care case studies?
© Alcus International Ltd. 2008
Sunday, 7 December 2008 2

3. A virtual world has unique characteristics
© Alcus International Ltd. 2008
Sunday, 7 December 2008 3

4. A virtual world has unique characteristics
asynchronous real time
Paper Email Web Blog IM/Chat Phone Face to Face
Virtual World
© Alcus International Ltd. 2008
Sunday, 7 December 2008 3

5. A virtual world has unique characteristics
asynchronous real time
Paper Email Web Blog IM/Chat Phone Face to Face
Virtual World
© Alcus International Ltd. 2008
Sunday, 7 December 2008 3

6. A virtual world has unique characteristics
asynchronous real time
Paper Email Web Blog IM/Chat Phone Face to Face
Virtual World
isolated shared
Web Phone Email Blog IM/Chat Webcast Face to Face
Virtual World
© Alcus International Ltd. 2008
Sunday, 7 December 2008 3

7. A virtual world has unique characteristics
asynchronous real time
Paper Email Web Blog IM/Chat Phone Face to Face
Virtual World
isolated shared
Web Phone Email Blog IM/Chat Webcast Face to Face
Virtual World
© Alcus International Ltd. 2008
Sunday, 7 December 2008 3

8. A virtual world has unique characteristics
asynchronous real time
Paper Email Web Blog IM/Chat Phone Face to Face
Virtual World
isolated shared
Web Phone Email Blog IM/Chat Webcast Face to Face
Virtual World
anonymous identified
IM/Chat Blog Webcast Email Phone Face to Face
Virtual World
© Alcus International Ltd. 2008
Sunday, 7 December 2008 3

9. A virtual world has unique characteristics
asynchronous real time
Paper Email Web Blog IM/Chat Phone Face to Face
Virtual World
isolated shared
Web Phone Email Blog IM/Chat Webcast Face to Face
Virtual World
anonymous identified
IM/Chat Blog Webcast Email Phone Face to Face
Virtual World
© Alcus International Ltd. 2008
Sunday, 7 December 2008 3

10. A virtual world has unique characteristics
asynchronous real time
Paper Email Web Blog IM/Chat Phone Face to Face
Virtual World
isolated shared
Web Phone Email Blog IM/Chat Webcast Face to Face
Virtual World
anonymous identified
IM/Chat Blog Webcast Email Phone Face to Face
Virtual World
simple media rich multi-media
Phone Email IM/Chat Webcast Blogs Web Face to Face
Virtual World
© Alcus International Ltd. 2008
Sunday, 7 December 2008 3

11. A virtual world has unique characteristics
asynchronous real time
Paper Email Web Blog IM/Chat Phone Face to Face
Virtual World
isolated shared
Web Phone Email Blog IM/Chat Webcast Face to Face
Virtual World
anonymous identified
IM/Chat Blog Webcast Email Phone Face to Face
Virtual World
simple media rich multi-media
Phone Email IM/Chat Webcast Blogs Web Face to Face
Virtual World
© Alcus International Ltd. 2008
Sunday, 7 December 2008 3

12. There is a wide range of business
applications of virtual environments
DON’T
• High volume, low margin
product marketing
• Very personal information
• Too simple, time critical
• Use in isolation
• Do something just
because you can
Sunday, 7 December 2008 4

13. There is a wide range of business
applications of virtual environments
DON’T
• High volume, low margin
product marketing
• Very personal information
• Too simple, time critical
• Use in isolation
• Do something just
because you can
Sunday, 7 December 2008 4

14. There is a wide range of business
applications of virtual environments
DON’T DO
• Benefitting from dialogue
• High volume, low margin and explanation
product marketing
• Enriched by human
• Very personal information interaction
• Too simple, time critical • Characterized by
• Use in isolation simulation, role-play
• Do something just • Integrate, “user-centric”
because you can across channels
• Do something because
you can when it adds
value
• Use anonymity
Sunday, 7 December 2008 4

15. There is a wide range of business
applications of virtual environments
DON’T DO Examples
• Benefitting from dialogue • Seminars,
• High volume, low margin and explanation conferences
product marketing
• Enriched by human • Training
• Very personal information interaction
• Recruiting,
• Too simple, time critical • Characterized by onboarding
• Use in isolation simulation, role-play
• HR, counseling
• Do something just • Integrate, “user-centric”
• B2B marketing
because you can across channels
• Healthcare
• Do something because
you can when it adds
value
• Use anonymity
Sunday, 7 December 2008 4

16. Imperial College London:
Visualization and Training
Sunday, 7 December 2008 5

17. International Virtual Association of
Surgeons holds regular conferences
47 Delegates
8 Professors, 5 countries
Surgeons have held conferences in Second Life
Leong et al. BMJ.2008; 337: a683
Source: Imperial College London: Department of Biosurgery and Surgical Technology
© Alcus International Ltd. 2008
Sunday, 7 December 2008 6

18. From real simulated patient in a real
simulated operating theatre...
Source: Imperial College London: Department of Biosurgery and Surgical Technology
© Alcus International Ltd. 2008
Sunday, 7 December 2008 7

19. to virtual patients in a virtual operating
theatre, improving effectiveness at lower cost
Source: Imperial College London: Department of Biosurgery and Surgical Technology
© Alcus International Ltd. 2008
Sunday, 7 December 2008 8

20. Cigna: Virtual Health Seminars
Sunday, 7 December 2008 9

21. Healthcare cost continues to rise
US spend
$2.3 trillion
16% to 18% of GDP
UK Spend in 2006
£120 billion
7% to 9.4% of GDP
Aging population: Greater proportion utilising healthcare
resources with fewer contributing to the costs
Sources: Office of Health Economics Compendium
Organisation for Economic Co-operation and Development. OECD Health Data 2006
© Alcus International Ltd. 2008
Sunday, 7 December 2008 10

22. The Old Way of Thinking - Heal the sick
Healthcare Cost “Churn”
24%
Other Other
85%
76%
59%
Sick Sick
15%
Individuals Costs
of ill health Individuals
Source: Mercer HR Consulting. March 2005
© Alcus International Ltd. 2008
Sunday, 7 December 2008 11

23. The New Way of Thinking - prevent the
healthy from getting sick
• Pre-emptive health care
• Prevent long-term chronic diseases
Other
85%
• Examples: weight management, smoking
cessation, stress/sleep management
Sick
15%
Individual
© Alcus International Ltd. 2008
Sunday, 7 December 2008 12

24. Behaviour: the biggest health determinant
50%
20% 20%
10%
Access to Genetics Environment Behaviour
Sources: FTF, Center for Disease Control and Prevention
© Alcus International Ltd. 2008
Sunday, 7 December 2008 13

25. Consistent branding starts on the web
• Custom brand experience starts with
branded registration website
• Registration easy and simple
• Consistent branding, visual language,
graphic design
• Circular, extensible design
© Alcus International Ltd. 2008
Sunday, 7 December 2008 14

26. and extends to social community, interactivity,
and games
© Alcus International Ltd. 2008
Sunday, 7 December 2008 15

27. What questions do you have?
Sunday, 7 December 2008 16