Caterpillar's Health Care Claim

1. Caterpillar, Concerned about its growing health care claims and its reliance on the skills of one individual, sought the help of BU’s Health Policy Institute. The HPI team consisted of research scientists who, over the course of their study, decided that an automated system should replace the skills of the individual who review Caterpillars health care claims and decided that they should form a private, for profit company to do so. Marcia joined the HPR team, and soon became president. When she walked through the door, negotiations between HPR and Caterpillar had been going on forever as there were no business professionals and a lack of legal expertise to expedite the negotiation process. Marcia took it upon herself to manage the process herself by
Now developing code review, HPR planned to develop a PC prototype, and a version for mainframe computers. programmers could produce the PC version quickly as this was the version that Caterpillar would use, however the mainframe version that she would draw upon the knowlege of more than “50 experienced physicians, surgeons, and subspecialists and include tens of thousands of clinical-decision rules in CodeReview. It would update this knowledge base annually, as procedures and their payment schedules changed.” This would take much more time to produce, but the company was running out of money, so they had to decide whether or not to sell the PC version so that they would not go bankrupt, but this goes against rule 101 in software development which is to never sell the prototype. They opted to do so anyway, but still weren't making sales. They are quickly running out of money, and need to decide whether or not they will take out a loan to keep the company from going