As you may have seen recently, Frog has invested in Oxford Medical Simulation (OMS). The team have built world class VR medical simulation scenarios, training thousands of healthcare professionals in a safe, controlled environment.
They are another example of a British born business who are enjoying great success in the US. Earlier in the year I was very privileged to be the first person from Frog on the ground post investment, attending the IMSH exhibition in San Diego, California as part of their US expansion, their biggest show of the year. As a Frog Operating Partner, it’s my role to work alongside portfolio management to help them strategise, plan and execute their GTM goals. Things have got off to a good start – I took this photo at the end of the conference when almost everyone else had long since started their long journey home.
The OMS team though, sat together methodically reviewing the previous 3 days trying to understand what went well and what they could do better in 12 months time. This kind of commitment and diligence only comes with strong purpose, proper leadership and a culture of continuous improvement. It’s something that I have no effect over and makes my work helping them navigate their scaling journey so much easier. It’s fantastic to see such dedication.
What do OMS do?
OMS helps healthcare systems and academic institutions deliver quality clinical simulation at scale, using VR, AI and customer led content creation. Although OMS is a UK founded business, they’re currently enjoying great success in the US in their target markets.
Training scenarios in healthcare settings are commonly delivered in person using mannequins, and whilst this remains a key part of the process, VR has changed the game. Learners can now engage with immersive simulations via headsets, promoting accelerated professional development and setting higher standards for patient care.
OMS currently provides over 240 evidence-based scenarios, from fundamentals and examination techniques to complex cases requiring layered skill sets. These can be configured to meet any learning experience. Plus, through their Create platform, customers now have the freedom and flexibility to create clinical simulations for any learner level. Unique scenarios can be constructed to fit any learning objective, without any previous coding experience required. They can change vital signs, labs, medications or add protocols specific to their facility; adjusting feedback and scoring to meet any need.
How did the business start?
The business was set up in 2017 by co-Founders Dr Jack Pottle and Michael Wallace, now occupying the Chief Medical Officer and CEO roles respectively. The business was formed to meet a gathering storm in healthcare, specifically the workforce crisis on both sides of the Atlantic. 85,000 additional physicians are needed in the in US by 2025. A staggering 450,000 new nurses are needed in the US by 2025! This means there is a clear need to recruit, train and retain healthcare professionals at scale. However, there simply aren’t enough educators. 91% of new nurses entering the profession are not competent enough to practice – 20% of new nurses leave patient care after their first year. The Founders realised that the legacy training methods are no longer fit for purpose; being labour intensive and lacking the flexibility meet goring complexities in modern care and impossible to scale.
The OMS solution is a comprehensive training and analytics platform that can meet these requirements. As it runs in VR (and on-screen), there is no need for faculty involvement, meaning it can be delivered at infinite scale a quality level unmatched by alternatives. This has been demonstrated by the business doubling its ARR growth every year.
Ready to scale
The UK and US TAM for their key segments in the UK and US is valued at £1.6bn in a fast growing (CAGR of 8.7%) global healthcare education market of £70bn. With the capital provided by Frog and other exiting investors (including some customers!), the business can now invest in key areas like product development, customer success and GTM, particularly in the US.
A compelling reason for the OMS Founders to select Frog as their lead investor in this round though, was the Operating Partner programme meaning that experienced advisors can now work alongside management, in the business, helping to effect the change required to build a really sustainable business.
