Reference
Healthcare technology glossary
Glossary of commonly used terms in digital healthcare, health technology, healthcare IT and healthcare investment.
- API (Application Programming Interface)
- A standardized interface that allows software systems to exchange data with each other. In healthcare, APIs enable an EHR, laboratory system and scheduling software to work together seamlessly without manual data entry. See also: data integration.
- ARR (Annual Recurring Revenue)
- The annual recurring revenue of a SaaS company, calculated as 12 × MRR. ARR is the most important growth metric for healthtech investors and provides a predictable view of the revenue stream. A declining churn rate directly contributes to ARR growth.
- Buy-and-build
- An investment strategy where a platform company is acquired and then expanded through targeted acquisitions. PCD employs an ecosystem variant: instead of full consolidation, each healthtech company retains its specialization, connected through shared infrastructure and interoperability. See also: platform economy.
- CareHub
- The digital healthcare technology ecosystem of PCD CareHub. The CareHub connects complementary healthtech companies through open standards, providing healthcare organizations with an integrated platform for client records, scheduling, communication and data analytics.
- Churn rate
- The percentage of customers who cancel their subscription within a given period. In SaaS healthtech, a low churn rate is essential: it indicates high customer satisfaction and product-market fit. Churn directly impacts ARR and MRR.
- Cloud computing
- Delivering IT services (servers, storage, databases, software) over the internet instead of local hardware. In healthcare, cloud computing enables scalable, secure and cost-effective solutions. Most modern SaaS healthtech runs in the cloud, with NEN 7510 certification of the cloud provider required.
- Cybersecurity
- The protection of information systems, networks and data against digital attacks. In healthcare, cybersecurity is critical due to the sensitivity of patient data. Standards such as NEN 7510 and legislation like GDPR set specific requirements for digital security in healthcare.
- Data integration
- Combining data from different sources into a coherent whole. In healthcare, data integration is essential for merging information from EHRs, laboratory systems and other sources. Standards such as FHIR and APIs form the technical foundation for data integration.
- Digital health
- An umbrella term for using digital technologies to improve health and healthcare. Encompasses mHealth, telehealth, remote patient monitoring, AI applications, wearables and electronic health records. Digital health is broader than healthtech because it also includes wellness and prevention.
- Due diligence
- The thorough investigation an investor conducts before an acquisition or investment. Includes financial analysis (EBITDA, ARR), legal review, technical assessment and market validation. In healthtech, due diligence also includes compliance checks on GDPR and NEN 7510.
- EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization)
- A financial metric reflecting a company’s operational profitability, excluding financing costs, taxes and depreciation. EBITDA is widely used in due diligence and company valuations in the healthtech sector.
- EHDS (European Health Data Space)
- A European legislative framework enabling the exchange of health data between EU member states. The EHDS gives citizens control over their health data and facilitates secondary use of anonymized data for research and policy development. Implementation requires interoperability based on FHIR.
- EHR (Electronic Health Record)
- The digital equivalent of a paper medical record. In the Netherlands, the terms EPD (Elektronisch Patiëntendossier, used in hospitals) and ECD (Elektronisch Cliëntendossier, used in long-term care and mental health) are used. An EHR contains medical history, diagnoses, medications, lab results and correspondence between healthcare providers. See also: GP information system, hospital information system.
- FHIR (Fast Healthcare Interoperability Resources)
- An international standard by HL7 for the electronic exchange of health data. FHIR uses modern web technology (REST APIs, JSON) and is the de facto standard for interoperability in healthcare. The Netherlands is a frontrunner in FHIR adoption. See also: Koppeltaal, MedMij.
- GDPR (General Data Protection Regulation)
- European privacy legislation (known as AVG in the Netherlands) that regulates the processing of personal data. In healthcare, the GDPR sets strict requirements for collecting, storing and sharing patient data. Every healthtech solution must be GDPR-compliant. See also: privacy-by-design, NEN 7510.
- GP information system (HIS)
- The information system used by general practitioners to register patient data, prescribe medications and make referrals. In the Netherlands this is called a HIS (Huisartsinformatiesysteem). It communicates with other healthcare providers via the LSP and forms an essential part of the primary care chain. See also: EHR.
- Healthtech (Healthcare Technology)
- An umbrella term for technological solutions deployed to improve the quality, efficiency and accessibility of healthcare. This includes EHR systems, scheduling software, telehealth, AI applications, wearables and data analytics platforms. See also: digital health.
- HL7 (Health Level 7)
- An international organization that develops standards for the exchange of clinical and administrative data in healthcare. HL7 v2 is the most widely used messaging standard in hospitals; FHIR is the latest generation HL7 standard.
- Hospital information system (ZIS)
- The central information system of a hospital supporting administrative, logistical and financial processes: patient registration, appointments, billing and bed management. In the Netherlands this is called a ZIS (Ziekenhuisinformatiesysteem). It works alongside the EHR and communicates via HL7 messages with laboratory and imaging systems.
- Interoperability
- The ability of different information systems to exchange and use data. In healthcare, interoperability means that an EHR, laboratory system and scheduling software seamlessly share data without duplicate entry or information loss. See also: The future of interoperability in Dutch healthcare.
- IoT (Internet of Things)
- A network of physical devices that collect and exchange data via the internet. In healthcare, IoT includes wearables, smart medication dispensers, fall detection sensors and remote monitoring equipment. IoT continuously generates patient data that can be linked to the EHR via data integration.
- IZA (Integraal Zorgakkoord)
- The Dutch national healthcare agreement (2023–2026) between the government, healthcare providers, insurers and patient organizations to make healthcare future-proof. The IZA strongly emphasizes digitalization, interoperability and shifting care to the home environment through digital health.
- Koppeltaal
- A Dutch FHIR-based standard that links e-health modules to treatment processes, particularly in mental healthcare. Koppeltaal 2.0 enables practitioners, clients and e-health applications to securely exchange data within a single treatment context.
- LSP (Landelijk Schakelpunt)
- The Dutch national infrastructure for secure exchange of medical data between healthcare providers. Through the LSP, a pharmacy or out-of-hours GP service can retrieve a patient’s medication record or professional summary from the GP information system or EHR, provided the patient has given consent.
- Machine learning (AI in healthcare)
- A branch of artificial intelligence where algorithms learn to recognize patterns in data without being explicitly programmed. In healthcare, machine learning is applied for image recognition (radiology), predictive models (readmission risk), client matchmaking and smart triage. Requires large datasets and careful handling of GDPR-sensitive patient data.
- MedMij
- The Dutch framework agreement that governs how citizens can securely view and manage their health data through a PHR. MedMij-certified applications communicate via FHIR standards with healthcare providers, ensuring patients maintain control over their own health data.
- Mental health IT (GGZ)
- Information technology for the mental healthcare sector (GGZ in the Netherlands), covering prevention, diagnostics and treatment of mental health conditions. Mental health organizations use specialized EHR systems and increasingly adopt digital interventions. Koppeltaal is the standard for integrating e-health applications in mental healthcare.
- mHealth (Mobile Health)
- The use of mobile devices (smartphones, tablets, wearables) for healthcare. mHealth applications include health apps, remote monitoring, medication reminders and telehealth consultations. mHealth makes healthcare more accessible and supports self-management of chronic conditions.
- MRR (Monthly Recurring Revenue)
- The monthly recurring revenue of a SaaS company. MRR is the basis for calculating ARR and is broken down into new MRR (new customers), expansion MRR (upgrades) and churn MRR (cancellations). Healthy MRR growth gives investors confidence in the business model.
- NEN 7510
- The Dutch standard for information security in healthcare. NEN 7510 describes the organizational and technical measures that healthcare institutions and their suppliers must implement to ensure the confidentiality, integrity and availability of health data. See also: cybersecurity, GDPR.
- Open standards
- Technical specifications that are freely available and implementable without license fees or restrictions. In healthcare, FHIR, HL7 and API standards are examples of open standards that prevent vendor lock-in and promote interoperability. See also: Open standards vs. vendor lock-in.
- PHR (Personal Health Record)
- A digital environment where citizens can view and manage their health data from various sources (EHR, GP system, laboratory) in one place. In the Netherlands, PHRs are called PGO (Persoonlijke Gezondheidsomgeving) and are certified through MedMij.
- Platform economy
- An economic model where a central platform connects various providers and consumers. In healthtech, the platform economy creates network effects: the more parties connected, the more valuable the platform. The CareHub is an example of a platform model that prevents vendor lock-in through open standards.
- Privacy-by-design
- A design principle where privacy protection is built into systems and processes from the outset, rather than added afterward. In healthtech, this means data minimization, pseudonymization and access control are standard components of the architecture. Required by GDPR.
- Remote patient monitoring
- Monitoring patients remotely via digital equipment such as IoT sensors, wearables and home measurements (blood pressure, glucose, oxygen saturation). Remote monitoring enables early intervention, reduces hospital admissions and supports the shift of care to the home. See also: telehealth, mHealth.
- SaaS (Software as a Service)
- A software delivery model where applications are offered via the internet on a subscription basis. In healthcare, SaaS offers advantages such as scalability, automatic updates and lower initial costs. Most modern healthtech solutions are SaaS-based, with ARR as the primary revenue metric.
- Telehealth
- Delivering healthcare remotely via digital communication tools such as video consultations, chat and remote monitoring. Telehealth reduces travel time for patients, increases accessibility of specialist care in rural areas and is a core element of the IZA. See also: mHealth, digital health.
- Vendor lock-in
- A situation where an organization becomes dependent on a single vendor and cannot easily switch to an alternative. In healthcare, vendor lock-in often arises from proprietary data formats and closed systems. Open standards and FHIR-based integrations are the answer. See also: Open standards vs. vendor lock-in.
- Wegiz (Dutch Electronic Health Data Exchange Act)
- Dutch legislation that mandates healthcare institutions to exchange health data electronically via standardized protocols. The Wegiz has been in effect since 2023 and is being implemented in phases, starting with medication transfer and referrals between GPs and specialists. Promotes interoperability via FHIR.
- Wlz (Wet langdurige zorg / Long-term Care Act)
- The Dutch law governing care for people who require long-term intensive care, such as elderly people with dementia or people with severe disabilities. Wlz institutions record care data in an EHR and benefit from digitalization for more efficient care delivery and reporting.
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