DFA is presented as an example of a Not For Profit with both a technology breakthrough to save lives and improve health in the developing world and a disruptive business model to enable that. This is part of the workshop on Game Changing Business Models - itself part of the series on Startup Secrets, by Michael J Skok on how to get competitive advantage as a startup. Michael's slides are the framework for the workshop, and are NOT self contained. For fuller coverage of the slides, visit Michael's website http://mjskok.com/

1. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
Hi
Hi Harvard innovation lab
#innovationlab @mjskok #startupsecrets www.mjskok.com
START UP
Case Example: Not For Profit
SECRETS
An insider’s guide to unfair competitive advantage
Diagnostics For All (DFA)
Disruptive Business Models to build Value
MICHAEL J SKOK
North Bridge Venture Partners
twitter: @mjskok mjskok.com
1

2. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
Hi www.mjskok.com
#innovationlab @mjskok #startupsecrets
For context and more information:
and as part of the overall Business Model session
http://www.mjskok.com/resources/business-model
2

3. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
Hi www.mjskok.com
#innovationlab @mjskok #startupsecrets
Diagnostics For All (DFA)
“Diagnostics For All’s mission is to save lives and improve health in
the developing world through pioneering technological
innovation.”
www.dfa.org
• DFA develops simple, low-cost diagnostics for
the 60% of the third-world without access to
hospitals, medical infrastructure
• Founded by Prof. George Whitesides
(Harvard), Carmichael Roberts (North Bridge) as
a non-profit entity
• Technology is based on paper and was originally
developed in Whitesides’ Lab
3

4. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
Hi www.mjskok.com
#innovationlab @mjskok #startupsecrets
Business Model
• Diagnostics for All (DfA)
– Mix for-profit and non-profit
• Sell diagnostics to 1st world
• Use proceeds to help 3rd world
– Disruptive business model
• Conventional diagnostics
firms
– High cost, high volume
markets
– Occasionally donate
funds/resources to those in
need 4

5. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
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#innovationlab @mjskok #startupsecrets
Examples:
The conventional model:
$$$
Customer Company $
product Charity
product
Diagnostics For All: $$ 1st world
customer
product
3rd world
product, customer
training
5

6. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
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#innovationlab @mjskok #startupsecrets
CORE Value Low-cost, paper-based diagnostics
Initial targets:
• Liver function
• At-risk pregnancy
• Small farmer support
• Child nutrition
CORE • Nucleic acid detection
• Telemedicine
Benefits:
• Multiplexing (parallel tests)
• Scalable (printing)
• Low-cost (paper)
• Minimal training required
www.dfa.org 6

7. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
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Multipliers & Levers
Food, farm diagnostics Telemedicine
Multiplier: new products, revenue Lever: reduce costs, time, and training
Measure toxins in wheat Tests are colorimetric
Bovine pregnancy tests Doctors diagnose remotely
multipliers levers
CORE
7

8. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
Hi www.mjskok.com
#innovationlab @mjskok #startupsecrets
Partnerships, Distribution
New opportunities to partner with
established
companies, NGOs, government
agencies
Example: DFA, drug manufacturer
• Use diagnostic to test
efficacy of treatment
package • Piggy-back on the
together distribution network of the
drug manufacturer
8

9. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
Hi www.mjskok.com
#innovationlab @mjskok #startupsecrets
Summary: DFA
CORE value:
Aspects that create extraordinary value
Elegant diagnostics platform based on paper:
low-cost, easy-to-use, no electricity.
Multipliers Levers
Increase revenue, reach, coverage Reduce time, costs, resources
• Co-distribution partnerships • Telemedicine
– Large pharmaceuticals – Colorimetric readout
– Institutions with existing distribution/sales – Remote diagnosis by medical expert
channel – Reduced costs for diagnosis
– Expanded reach to third world markets
9

10. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
Hi www.mjskok.com
#innovationlab @mjskok #startupsecrets
For context and more information:
and as part of the overall Business Model session
http://www.mjskok.com/resources/business-model
10

11. Harvard innovation lab : Michael J Skok : Startup Secrets : Go To Market
Hi
Hi Harvard innovation lab
#innovationlab @mjskok #startupsecrets www.mjskok.com
START UP
Case Example: Not For Profit
SECRETS
An insider’s guide to unfair competitive advantage
Diagnostics For All (DFA)
Disruptive Business Models to build Value
MICHAEL J SKOK
North Bridge Venture Partners
twitter: @mjskok mjskok.com
11