About ARC Innovation

ACCELERATING INNOVATION IN HEALTHCARE

ARC (Accelerate, Redesign, Collaborate) Innovation, a pioneering initiative launched by Sheba Medical Center, Israel’s largest hospital and a top 10 global healthcare institution, is set to transform the healthcare sector.

Since its inception in 2019, ARC has evolved into a global ecosystem of leading healthcare systems worldwide,
strategic industry partners, and cutting-edge startup companies, all focusing on attaining two goals:
driving large-scale transformation efforts and ensuring that innovation leads to economic growth.

The ~160 members collaborate on co-innovation or co-development projects to tackle critical challenges in healthcare, such as financial sustainability, workforce shortages and burnout, system inefficiencies, and policies and/or regulatory obstacles. This collaborative approach keeps ARC at the cutting edge of healthcare transformation.

Since 2019, ARC Innovation has pioneered a successful approach to driving innovation that is reshaping the healthcare industry. Leveraging uniquely effective organic and open innovation models, ARC-Sheba has forged strategic partnerships with startups, healthcare providers, and investors.

The results speak for themselves: over 100 startup companies thrive within the ARC ecosystem. These startups collectively contribute to ARC’s impressive valuation of $4.2 billion, fueled by $1 billion+ in funding. Notably, ARC-Sheba achieves 2-3 exits annually, including two substantial exits in 2024 totaling $800 million.

Central to ARC’s transformative innovations is its unwavering commitment to fostering a culture of entrepreneurship. The Global School of Entrepreneurship (SPARC) plays a pivotal role in this endeavor, demonstrating ARC-Sheba’s dedication. SPARC is not just a program, but a platform for personal growth and development, empowering clinicians by equipping them with the skills needed to translate innovative ideas, technologies, and solutions into viable commercial products and services.

By bridging the gap between research and practical application, SPARC contributes to improved patient care and better outcomes and offers clinicians the opportunity to be at the forefront of healthcare transformation.
Additionally, advancing the entrepreneurship and innovation culture and streamlining commercialization processes has enabled ARC-Sheba to increase the number of startup spinoffs from 2 to 20 per year (within seven years).

EXPANDING ARC GLOBALLY

The ARC Innovation model has already made a significant global impact, with six ARC centers established in cities like Chicago, Ottawa, London, Nantes, and Melbourne (in progress).
To further amplify these efforts worldwide, ARC Innovation and Deloitte have forged a strategic alliance with a mission to extend ARC’s successful innovation model to other healthcare organizations across the globe.
Through this partnership, ARC is further enhancing its international collaborations to improve care standards and operational efficiencies on a global scale.
Health systems keen on joining the ARC Global Ecosystem undergo a structured process:

• Preliminary Assessment: Organizations begin with an assessment to identify their strengths, opportunities, gaps, and innovation-focused areas. This evaluation lays the groundwork for transformation.
• Designing the Future-State ARC: A tailored vision for ARC’s future is crafted based on the assessment, aligning with the organization’s ambitions and capabilities.
• Roadmap for Execution: This concrete roadmap outlines the steps needed to implement ARC locally. Leveraging the potential of the ARC Global Ecosystem, it drives innovation, transformation, and economic growth.

The number of new ARC centers being established through the ARC-Deloitte Alliance continues to expand, with key projects underway in Cedars-Sinai in the US, McGill University Health Centre in Canada, AZ Maria Middelares in Belgium, Charité in Germany, UCL Partners in London, and Health New Zealand, establishing for the first time an ARC program on a national scale.

To support startups emerging from all global sites, ARC is currently setting up an accelerator program in Boston, as a soft landing pad for the wider US market.