NeoNest Global
University of Michigan, Ross School of Business
Industry: Medical Devices
Founding Student Name(s): Dhiya Krupashankar and Erin Donnelly
Brief Description of Solution: NeoNest is 501(c)(3) nonprofit developing an accessible, non-electric incubator to combat neonatal hypothermia in low-resource settings.
Funding Dollars: $75,000
What led you to launch this venture? Erin and I began our journey by collaborating on a global health project at the University of Michigan, partnering with hospitals in Ghana to develop an incubator for preterm infants unable to regulate their body temperature. Through our work with community partners across Sub-Saharan Africa, we gained a deeper understanding of how neonatal hypothermia significantly contributes to neonatal mortality—an issue predominantly affecting developing countries. Motivated by this insight, we designed a simple, accessible, and affordable device tailored to the needs of under-resourced hospitals, aiming to reduce global infant mortality rates.
What has been your biggest accomplishment so far with venture? This past year, NeoNest was selected as a finalist in the Global Health Track of the 2024 Johns Hopkins Healthcare Design Competition, standing out among 286 proposals from 123 universities across 33 countries. Co-sponsored by the Johns Hopkins University Center for Bioengineering Innovation and Design and J&J Medtech, the competition was judged by 46 industry experts, including biomedical engineers and clinicians. Finalists were chosen based on the strength of their problem definition, design rationale, proof-of-concept, and pathway to implementation.
How has your business-related major helped you further this startup venture? The University of Michigan and the Ross School of Business have played a pivotal role in the development of NeoNest. Through my coursework, I have had the chance to participate in numerous relevant classes, such as Building Healthcare Ventures, Marketing for Developing Countries, and Corporate Strategy. The deep expertise and mentorship of the business school’s professors have enabled me to translate classroom insights into actionable results. Furthermore, Ross has provided multiple opportunities to pitch NeoNest, gain funding and receive feedback from experienced entrepreneurs through initiatives like the Zell Entrepreneurs Program and the Michigan Business Challenge. The ability to join a network of skilled entrepreneurs through the business school continues to be a driving force behind NeoNest and each of our milestones.
Which business class has been most valuable in building your startup and what was the biggest lesson you gained from it? The most influential business class in building NeoNest has been ES620: Understanding Needs and Creating Ventures in Healthcare, taught by Professor Mike Johnson. This course takes us through the process of identifying an unmet need in the healthcare industry, devising hypotheses for value creation, and ultimately pitching a startup idea. Given the complexity of healthcare and the number of stakeholders involved, this course has given me a toolkit of ways to understand value creation as it relates to NeoNest. Additionally, we have had the opportunity to engage with healthcare entrepreneurs and investors, gaining unique insights into what it takes to build a business from the ground up and how investors assess business opportunities. Coupled with the professor’s background as a physician, entrepreneur and investor, my biggest takeaway from this class has been aligning the business model of the company with incentive structures in the healthcare industry, to maximize value for all parties.
What business professor made a significant contribution to your plans and why? The professor who has had the most impact on NeoNest is Professor Ravi Anupindi. Last semester, I had the opportunity to complete an independent research project under his guidance, during which we developed NeoNest’s go-to-market strategy and systematically identified our initial point of entry in Sub-Saharan Africa. His expertise in healthcare delivery in low- and middle-income countries was invaluable in navigating the regulatory approval process, conducting a macro analysis of the key factors influencing neonatal mortality, and understanding the criteria for adoption at both the hospital and Ministry of Health levels. His previous experience working in Sub-Saharan Africa provided a unique perspective on evaluating NeoNest’s value proposition and encouraged us to think critically about demonstrating value at the national procurement level rather than solely at the hospital level, to aid in product adoption.
What founder or entrepreneur inspired you to start your own entrepreneurial journey? How did he or she prove motivational to you? The founder who has inspired me throughout my journey is Grace Hsia Haberl, the CEO of Warmilu and a Lecturer at the Center for Entrepreneurship at the University of Michigan. As a fellow Wolverine, Grace has spent the past 15 years building Warmilu, an FDA-approved chemical warming blanket designed for use in low-resource settings. Since learning about NeoNest, she has been open and generous with her guidance, providing us with a roadmap for navigating business creation, connecting us with hospitals and procurement officers across Sub-Saharan Africa, and offering tactical feedback on our prototypes and areas for improvement. Above all, I am inspired by Grace’s mission-driven approach and her ability to adapt and evolve the company in ways that always prioritize the patient. I hope to embody the same values within NeoNest and make decisions that bring us one step closer to reducing neonatal mortality.
What is your long-term goal with your startup? Our long-term goal is to develop a range of affordable, user-friendly devices to support infant thermoregulation, including neonatal incubators, electric warming blankets, and kangaroo carriers. Each product will be designed with low-resource hospitals in mind, ensuring that they are accessible to everyone who needs them, regardless of their ability to pay.
How has your local startup ecosystem contributed to your venture’s development and success? The University of Michigan has provided NeoNest with invaluable resources at every stage of the venture creation process. Academically, I have completed two capstone projects sponsored by NeoNest, one focused on prototype iteration and the second focused on identifying market opportunities. To secure funding, we have participated in numerous grant opportunities through the Zell Lurie Institute for Entrepreneurial Studies, the Center for Entrepreneurship, and optiMize. We are also clients of the Zell Legal Clinic, where we have received support in drafting our bylaws, assessing patent potential, and preparing our 501(c)(3) application.
Additionally, my involvement in the Zell Entrepreneurs Program has provided me with firsthand access to local entrepreneurs, opportunities to travel and meet founders, and personalized feedback from Ross entrepreneurs-in-residence. Beyond the University of Michigan and Ann Arbor, we have participated in the iCorps program, the VentureWell E-Team Accelerator, and the Johns Hopkins Global Design
Competition. Finally, we have received mentorship from Grace Hsia Haberl and the Warmilu team, along with the opportunity to travel to Ghana, Kenya and Honduras to pitch our prototype.
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