Morning Headlines 1/4/22

Jury finds Theranos founder Elizabeth Holmes guilty on multiple charges in criminal fraud trial

Theranos founder Elizabeth Holmes has been found guilty on four of 11 charges in her criminal fraud trial.

DispatchHealth Acquires Dynamic Mobile Imaging Becoming One of the Nation’s Largest Mobile Imaging Providers

On-demand house call company DispatchHealth acquires mobile medical imaging vendor Dynamic Mobile Imaging for an undisclosed sum.

Huron Closes Acquisition of Perception Health

Global consulting firm Huron will incorporate newly-acquired predictive analytics vendor Perception Health into its healthcare operations segment.

Kiira Health raises $4M to transform healthcare for young women.

Virtual women’s health clinic Kiira Health raises $4 million in seed funding.

Curbside Consult with Dr. Jayne 1/3/22

Most of my regular readers know I’m a fan of pastry therapy, but I decided to start the year out with something a little different. My food-related knot-tying skills are apparently far less developed than those used for everyday applications (or even wilderness survival), but the taste made up for the lack of aesthetics. The warm oven made the kitchen a little more habitable with the cold snap we’re experiencing, and what better way to reflect on a new year than sitting around watching dough rise?

The last two years have made most of my friends and colleagues reflective, and I’m no different. After slogging through the worst year and a half of clinical practice I’ve ever had, I decided to hang up my stethoscope for a while. Although I’m still practicing telehealth, it’s been a transition, and I’ve spent a lot of time explaining to friends and relatives what exactly it is that I do. Unless they’ve had a telehealth visit themselves, they usually don’t quite understand how we can provide care without the ritual laying on of hands that occurs in the doctor’s office.

I’ve done some medical volunteering to keep my skills sharp, as well as some in-town locum tenens work. I’ve learned more about epidemiology and infectious diseases than I ever thought I would know, as I work to advise local schools and youth-serving organizations on how to navigate the ever-changing new normal. I’ve piloted new paradigms in specialty board certification for two different disciplines; experienced the good, the bad, and the ugly of remote continuing education; and have finally transitioned to reading all but one medical journal electronically.

I watched my consulting business ride the rollercoaster of the pandemic, alternating between not having enough work and being crushed by requests my team can’t fulfill. I picked up three clients, watched one get acquired, saw one flounder, and supported a couple more as they continue to onboard new clients and expand their offerings. I’ve become adept at canceling travel more than I book and finally let my Alaska Airlines credits that I couldn’t use in April 2020 lapse into oblivion. Victoria BC, I would have loved to have seen you, and to have embraced the floatplane adventure we had planned, but it just wasn’t meant to be.

After some medical misadventures, I started to embrace the idea of a bucket list – doing things while I’m young and healthy rather than waiting for the other shoe to drop. I’ve also vowed to take advantage of unique opportunities when they present themselves instead of overthinking them.

I spent a week in the Florida Keys, snorkeled through jellyfish, went nearly 60 miles per hour on a zip line, and did things in a climbing harness that I didn’t think I’d ever do. I’ve now officially soaked in a chandelier-lit hot tub in the French Quarter after a long day of work and shoe shopping, and am glad to have found some new travel companions for when things are a little closer to the “normal” we all remember. I had a multi-week adventure following an 80-year-old steam engine and enabled some quality teenaged school-skipping along the way. My only open bucket list item is exchanging my motorcycle permit for an actual license so I can do a road trip with my dad, but we’ll have to wait for the wind chill to disappear before I work on that one.

I’m looking forward to 2022, because frankly it can’t get any worse than what some of us have been through the last two years. Lives interrupted, loved ones lost, fires, floods, tornadoes, dreams denied, and life generally feeling upside-down are things we’ve all had to deal with as we figure out how to keep putting one foot in front of the other. I’ve met some amazing new colleagues who I’ll continue working with in the new year, and hopefully we’ll be able to deliver some cool new things that will help patients and providers alike. I’m excited to be entering my twelfth year writing for HIStalk and can’t wait to get back to the exhibit hall madness that is HIMSS and catch up in person with my healthcare IT besties.

What are you looking forward to in 2022? Leave a comment or email me.

Email Dr. Jayne.

Morning Headlines 12/31/21

Rhode Island attorney general reviewing RIPTA’s response to cyberattack

Rhode Island Public Transit Authority reports that thousands of medical records that were exposed in a breach were of people with no connection to RIPTA, which it blames on an insurer that sent someone else’s files.

Cybersecurity incident on Dec. 17

The president of Capital Region Medical Center (MO) warns of long ED wait times and overloaded phone lines as it recovers from a December 17 cybersecurity incident.

How telemedicine ruined a physician’s career

An anonymous physician who has done independent telehealth contracting work for 10 years says than the actions of an unnamed telehealth vendor have forced him to think about leaving medicine.

News 12/31/21

Top News

Rhode Island’s attorney general is investigating a breach of the state’s Public Transport Authority after thousands of people who have never worked for RIPTA were told that their health information had been compromised in the incident.

RIPTA says a previous insurer had sent it files that contained the information of people who had no connection to RIPTA. It did not name the insurer or explain why the information was not deleted.

RIPTA’s HHS breach filing says that 5,000 people were affected, but the letters it sent said that the information of 17,000 people was involved.

Webinars

None scheduled soon. Previous webinars are on our YouTube channel. Contact Lorre to present your own.

People

Juli Stover (Envision Healthcare) joins EVisit as chief strategy officer.

Industry long-timer Miriam Paramore retires as president and chief strategy officer of OptimizeRx.

Hannah Luetke-Stahlman, MPA (Cerner) joins WellSky as VP of its personal care solutions business.

Dan Ferris, MBA (Hillrom) joins Iris Telehealth as chief marketing officer.

Announcements and Implementations

HealthStream CEO Robert A. Frist, Jr. donates $2.25 million worth of his personally held company shares that will be distributed to 1,000 employees who don’t receive executive-level equity grants.

Privacy and Security

The president of Capital Region Medical Center (MO) warns of long ED wait times and overloaded phone lines as the health system recovers from a December 17 cybersecurity incident.

A surgeon in Spain is sentenced to a year in jail for illegally accessing the medical records of his housekeeper of 23 years to verify that she was sick enough to justify missing work.

Other

Computerworld interviews Mark Eimer, SVP, associate CIO, and CTO of 17-hospital Hackensack Meridian Health (NJ), about his department’s IT accomplishments in 2021:

• Rolled out 3,000 Chromebooks to employees who were being shifted to remote work, increasing its Chromebook count to 5,000 with Citrix Workspace providing access to Epic.
• Replaced Office 365 with Google Workspace for 40,000 employees who now use Docs, Meet, Chat, and Spaces. He observes that Office 365 applications don’t work well together, while Google offers a seamless experience in providing 80% of Office’s functionality. He also notes that Microsoft’s pricing was “exorbitant” in an environment where hospital payments are being reduced.
• Moved ahead with a goal “to move off as many Microsoft platforms as we can” because  Windows is always targeted by ransomware attacks.
• The health system is expanding its use of Google Cloud and is talking with Google executives about developing Workspace apps that support healthcare-specific workflows.

A NEJM Catalyst commentary piece says that telemedicine’s value can be maximized through sustaining innovation (improving what is already being done) and disruptive innovation (providing simpler solutions for simpler needs or for patients whose needs are not being met). It says that both in-person and virtual physician visits give patients “more than what they need and less of what they want,” with an example being people who use virtual solutions for hair loss, obesity, and contraception who haven’t seen a doctor for years. The authors tout the potential value of remote patient monitoring and coaching for chronic conditions. The graphic above shows the complexity of patient needs (and eventual profitability of the solution) at the top of the pyramid that is occupied by Firefly Health, which has expanded its virtual primary care platform by starting a health plan (the company’s executive chair is former Athenahealth CEO Jonathan Bush).

An anonymous physician describes how their telehealth work ruined their career:

• Their work as an independent telehealth contractor turned into an “antibiotic dispensary service.” Physicians had to keep patients happy at all costs since they were being graded on customer service scores.
• They were placed on a performance plan for using templated notes, with the alternative being that the telehealth company would report them to the National Practitioner Data Bank.
• The terms of the performance plan limited them to 10 consults per day for one month, after which the company told them they failed the plan because they  didn’t work 30 consecutive days. The company reported the physician to the NPDB.
• NPDB allows any health entity to report a physician. The reported physician cannot challenge the claim.
• The physician says their professional reputation was damaged, they lost income, and they are having a hard time finding work, leading them to question whether they should leave medicine.

Physicians at Durham, NC-based private, for-profit Private Diagnostic Clinic — whose doctors work at Duke University and its health system – sue Duke for requiring 400 of PDC’s 1,850 physicians to take jobs instead with the recently formed Duke Faculty Practice to be able to continue their research. The lawsuit claims that Duke’s previous attempts to acquire PDC fell through because of its estimated value of $1 billion, so Duke is trying to take it over for free.

A virtual meeting of the Beverly, MA board of health is taken over by masking opponents who used the meeting software to hand off speaking to those with similar beliefs, including one who urged someone to burn down the house of Boston Mayor Michelle Wu. A participant declared that a proposed mask mandate would violate her HIPAA rights.

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EPtalk by Dr. Jayne 12/30/21

Monday’s clinical adventures were full of patients who had been exposed to COVID-19 over the Christmas holiday. A good number of them tested positive on home tests and wanted to speak to a physician to request a laboratory order for a PCR test, because they didn’t believe the home test was accurate.

There’s a bunch of epidemiology calculations that can be done to explain this using pre-test probability, sensitivity, specificity, etc. but they all roll up to this. If you have symptoms and any test is positive, whether it’s a home test or not, you need to take it as fact and isolate yourself. The healthcare system is being crushed in my state and there aren’t enough tests for people to double test.

A couple of local physician offices turned off the phones Monday because so many staff members were out that they simply could not handle the volume and opted to triage everyone to their patient portal. I’m having some guilt about not seeing patients in person while my colleagues are being pummeled, but will do what I can to help from a telehealth standpoint.

Also on the telehealth front, both Ohio and New Jersey have new telehealth bills that were recently signed into law. Common themes include expanded access, preventing insurers from denying coverage, and granting payment parity between in-person and virtual care. The Ohio bill’s expansion provisions include allowing additional provider types to deliver virtual services including optometrists, pharmacists, physician assistants, and school psychologists. It also broadens the list of entities that can bill Medicaid for telehealth services.

Proponents don’t believe that the expansion and payment provisions will raise healthcare costs, as was argued in other states such as New Jersey earlier in the year. An initial telehealth bill was rejected there due to concerns about increased costs to taxpayers, but now the bill has been signed with the condition that the state department of health will study telehealth use and patient outcomes.

Telehealth advocacy group as well as patient advocacy groups are calling for reinstitution of so-called COVID-waivers for telehealth services, which were a key part of the initial pandemic response. On an individual basis, many states allowed any licensed provider to see patients regardless of whether they had a license in those specific states.

Even health systems that normally provide telehealth urgent care services are struggling, partly due to patients who have traveled for the holidays and now can’t get remote care from their “home” health system because they’re outside their normal state of residence. This is a great example of why the telehealth laws need to evolve. I’m confident that my personal physician can care for me virtually whether my body is in my house or sitting on the beach hundreds of miles away, even if my state doesn’t think so.

Also in telehealth news, the Department of Health and Human Services announced $35 million in American Rescue Plan funding to expand telehealth infrastructure and capacity for Title X family planning providers. Many of the Title X providers are part of the so-called health care safety net that provides care for low-income populations and other groups who might not otherwise receive care. The funds will be distributed as 60 one-time grants that will be given to active Title X program participants. Applications are open on Grants.gov through February 3.

I enjoyed a recent article on terms that make hospital executives cringe. I’d like to add my personal list of language elements I wish would go away: frictionless, the use of “solution” as a verb, ecosystem, the cloud, enablement, holistic, the Internet of Things, and anything prefixed with “smart.” They’re old and tired (and in the case of “working to solution something” just plain weird) and if we have all these brilliant minds in tech, certainly we can come up with something better.

I missed this story when Jenn sent it my way earlier in the month, but was happy to see it. It details the work of the Refugee Artisan Initiative, where newcomers to the US can receive skill training and experience with micro-businesses. The organization received a community investment grant from Swedish to cover creation of medical scrubs for its staff. The Initiative is making 500 sets of scrubs which will be custom sized for employees. My new clinical gig won’t allow me to wear scrubs, so after nearly two years of wearing them exclusively, I’m having to figure out what looks good under a white coat but won’t be bulky or aggravating.

Speaking of aggravating in the context of health tech, the team at the Consumer Electronics Show has spoken and has declined to approve my request for media credentials. The email simply said that my submitted credentials were inadequate and didn’t specify which of the two were problematic. I’m baffled because I submitted items that complied with their requirements and were of the same substance as last year (just more current, in keeping with their requirements). Lots of tech companies are backing out of the in-person show and switching to the digital edition, so we’ll have to see what the engagement level is for those who still plan to attend.

I’m still on the hunt for interesting health tech that can help engage patients and enjoyed reading about the Prevention circul+ Wellness Ring. The name is quite a mouthful and is partly due to the manufacturer’s co-branding with Prevention Magazine. The ring is bulkier than I’d like, but includes technology to measure blood oxygen levels, which is intriguing to any of us who are trying to manage COVID-positive patients in their homes. The team worked with clinicians at the VA and Kaiser to trial the technology and refine the design. It can now also record blood pressure and a single-lead electrocardiogram, with data captured in its associated app. FDA approval as a diagnostic medical device is still pending, but it’s something I’ll keep my eye on.

What kind of new devices would get your attention or hold your interest? Leave a comment or email me.

Email Dr. Jayne.

Morning Headlines 12/30/21

Billing software error leaks info of 1,600 Advocate Aurora patients

The health system says that a billing software error sent the billing statements of 1,600 patients to a single patient’s address, but the mail did not arrive at its destination.

Healthcare IT vet Paramore retiring from OptimizeRx

Miriam Paramore, who has been in health IT for 37 years, retires as president and chief strategy officer of OptimizeRx.

Information on the current situation — Update December 29, 2021 02:30pm CET

CompuGroup Medical says the “vast majority” of its customer systems are up and running as the company implemented its backup infrastructure.

Health IT Turnover Survey Results

This is a recap of the responses received over the past couple of weeks.

Vendor executive

• Significant turnover expected. Have lost 25% of staff, with marketing and sales most affected.
• Considering leaving because of an impending merger.
• Service levels have decreased at times.

Consulting contractor assigned to a single client for several years

• Significant turnover due to retirement, vaccine mandates, and junior staff who leave for better pay and less work.
• No special employer consideration except bonuses for clinical staff referrals.
• Long waits for implementation and some projects have been cancelled.

Software vendor

• Technical turnover, maybe 1%.
• Considering retiring in 2022.

Independent family practice office

• Saw 40% turnover in 2021, mostly MAs and front office. Were able to stabilize and hope turnover will decline in 2022.
• Salaries are up for existing and new employees.
• Patients haven’t been affected since staff pulled together.

Software vendor

• Turnover of 15-20%, heavier in developer roles.
• Have raised wages to closer match inflation, added monthly and annual incentive, boosted health insurance and 401K contributions.
• No impact on customers, but global sniping of roles creates musical chairs with insane pay jumps.

Academic medical center physician

• Lost 15% of faculty and added only 1-2 full-time replacements. Had to close some beds for months due to loss of nursing staff. One person left due to vaccination requirements, but the others left because they were disrespected by administrators, given inadequate protection against COVID, and were being subjected to an increased amount of physical violence and injury from patients. The IT people who left did so to retire – most could have kept working, but their pension had vested and they didn’t want to return to in-person work.
• I will probably stay where I am or retire.
• The hospital claims they are trying to enhance salaries and recruit nurses internationally. We’ve never been good at recruiting in my specialty, which has a shortage, so we’re just begging our residents to stay on July without real success. The bleak recruitment picture is fueling more departures from being forced to cover more patients.
• We aren’t able to see as many patients. Outpatient appointment waits can be 4-6 months. Inpatients get less attentive care even though we try our best.

Clinically integrated network plus insurance plan plus ACO

• Large loss of analytics headcount, not turnover, due to outsourcing. Outsourced staff left the new companies. Turnover among retained employees because of the mess.
• Would consider leaving due to leadership and management instability, lack of strategy, growing workload, and lack of morale. Seeking happy workers, remote option, sense of purpose, peer-to-peer support, professional development, and interesting not-rote work where I can think and be more than a cog in the machine.
• Employer is paying big dollars for some clinical positions such as CRNA. Bonuses in others, such as RN. Some retention bonuses around outsourcing, but not life-changing.
• Analytics and IT are seeing a loss of institutional knowledge and the good people are leaving. Service levels and response time are getting worse. We struggle to deliver analytics as other teams we rely on suffer.

Vendor executive

• We saw very high turnover in entry-level positions in Q3 2021, but this seems to have leveled out. These were mostly onsite support IT technician roles.
• Divisions have been given flexibility to offer work from home for suitable positions. HR and exec teams formed a committee that meets bi-weekly to analyze turnover data, most of which is collected in exit interviews, to develop strategy. I budgeted above-normal salary increases for 2022, anticipating that employees facing inflation will need more than the typical 3% increase to remain satisfied.
• No customer impact so far.

Consulting firm

• Turnover was 25-40%.
• Would consider leaving because of leadership response to COVID, pay discrepancies, and company culture. Will look for a more honest culture with a mission that more closely aligns with my personality. Executives with honor.
• Customers have seen slow work delivery, decrease work quality, lack of integrity.

Clinical analyst in a multi-state health system

• Heavy analyst and desktop support turnover. Long-term employees have been rebadged to contractors over the last 18 months and all of desktop are contractors now. Contracted analysts are offshore, are trained by a rebadged employee, and then the rebadged person disappears.
• I dislike physician training and that is being dumped on me, so I will look aroundfor a challenging and diverse role in a company that values loyal employees who work hard.
• The health system offers free lunch once a week, mostly for clinical and hospital staff retention, but I am remote, so nothing. We strongly feel that leaving or staying makes no difference to upper management.
• We have work not being done. One program broke and none of the replacements knows about it, so doctors just don’t get that information any more and no one cares. Tickets sit around for months because nobody knows what the product is or who handles it. Poor customer service from the help desk, especially Level 1.

Vendor technology director

• Engineering was the most affected turnover area, but it leveled off recently. I expect normal attrition next year, maybe 10-15%.
• Changed jobs for work-life balance, an opportunity to work for a more technically sound team and manager, a deeper focus on more complex clinical integrations, mission around the product, and a 65% pay raise for an equivalent role.
• We are using external recruiters and more focused sourcing. We do quarterly surveys for retention adjustments. We will start reviewing market level salaries quarterly and make adjustments.
• No impact on customers. We have grown, even with periods of significant turnover this summer. Our company is small but has strong processes and good release and monitoring capabilities, so new folks can ramp up quickly.

Health system VP/CIO

• Nursing has seen large turnover as staff leave to make more money as traveling nurses. It’s an unprecedented number. I’ve had a 20% resignation rate in IS versus a decade averaging 3%. COVID is encouraging people to reconsider their careers and either get out of IS or work remotely for more money.
• Sign-on bonuses have been critical for nursing. For IS, we are regrading all of our positions and evaluating salaries to make sure we are competitive.
• The hospitals have been full and cost is up due to the need to hire travelers and contractors. We are maintaining patient care, but not always able to staff beds, and have had to go on diversion at times. IS customers are seeing long lead times in service delivery and I have a long line of people contacting me with complaints.

Consulting firm

• My firm was acquired and we’ve seen a reduction in “material benefits,” such as FMLA at 60% after four weeks instead of full pay. I expected to see a lot of folks leave after 2021 bonuses are paid and this will likely hit us most at at the senior level.
• We are having to backfill from a contractor pool, which is fraught and limited.

Medical device vendor

• Turnover at all job categories and levels.
• Are offering referral bonuses, signing bonuses, and hiring less experienced staff so they have runway to grow.
• Customers are seeing slow delivery of new value and innovation and slower response times for services.

IT in FQHC of ambulatory clinics

• High turnover in MAs, nurses, and providers.
• Would look at offers with good compensation.
• Employer is offering more prizes in the Christmas raffle, better 401k matching, and one-time bonuses.
• No patient impact except a longer wait for appointments.

Software vendor

• I left my old job due to lack of advancement opportunities.
• Company offers flexible schedules and extensive work-from-home options.
• Customers have seen project timeline delays.

Vendor executive

• Turnover is highest in customer support, then developers.
• I would be looking for an employer with remote work and no vaccine mandates.
• The company updated the employee experience intranet, implement 360 reviews of leadership, increased referral bonus amounts, and made salary market adjustments.
• Customers have seen that we increased hiring, improved automation, upgraded our self-help knowledge base and portal, and adding chat bots for commonly asked questions.

Vendor executive

• We have seen a 15-20% turnover in sales and developers.
• I changed jobs to join a great team that offered better compensation, now hoping to stay put.
• The company pays well and treats people with respect and appreciation.
• I have seen no customer impact.

Vendor sales executive

• We have seen 35% turnover in trainers and customer support.
• My company’s new model is not sustainable and the future looks grim. I would like to work for a larger employer whose products and serves are geared for future technology.
• When we were going in to the office, the company stocked our kitchen with snacks and food for employees and offered five half-day summer Fridays on top of PTO. Now that we are remote, nothing.
• Customer support is suffering as we have lost experienced workers.

Vendor executive

• Turnover is at 15-20% and is in all areas – sales, technology, operations, legal.
• I have uncertainty about the long-term viability of the company and money.
• The company is increasing salaries, offering retention bonuses, and making a concerted effort around culture.
• Things are taking longer to get done and that cascades to our customers.

Vendor analyst

• Turnover is at 35% and I don’t expect those numbers to go down. Mid-level leadership, senior development, senior implementation, and a few VPs.
• I changed jobs because of leadership failings and layoffs that put too many good people out for no good reason. The pandemic layoff and pay cuts were particularly hard. I moved to a company that wanted to grow, needed my skill, and offered a 30% raise.
• If I leave, and I’m only thinking about it, it would be to hang out my own shingle and consult internationally.
• The company just eliminated PTO with the “take whatever you need” concept.
• Customers are struggling not only on the clinical side due to the pandemic, they don’t have the people to keep up with upgrades, new releases, and support. They need to align with a lot of new initiatives that will be available only in future releases.

Software and benchmarking vendor VP

• I anticipate very high turnover in software development, product management, high-aptitude analysts, data science and BI/data visualization, and any high performer who wants to make the jump to management.
• I plan to stay in 2022 as long as they’ll have me. I’m satisfied with my personal comp and the company mission still resonates with me.
• Employer is increasing pay bands, starting salaries, and annual merit raise percentages. However, it is also stressing a return to office and downplaying virtual work, which is hurting both recruiting and retention.
• Customers have seen no impact, but recruiting for 2022 remains a major risk point. We have plenty of revenue to invest in software development and business development, but recruiting challenges mean it’s difficult to execute with those dollars. Resignations haven’t hit us badly, but annual bonuses for 2021 are paid in Q1 2022 and we anticipate a wave of resignations.

Health insurer

• Turnover is higher than normal. We always have high turnover in our bilingual call center and it will probably get worse. Until we converted a number of jobs to full-time remote, we expected high turnover in IT.
• Full-time remote and hybrid jobs is the company’s biggest innovation in recruitment and retention. My employer was old-school about telecommuting despite being in downtown Los Angeles, where almost everyone has a lousy commute. Now that we’ve been getting the work done successfully for 18 months, they have generally accepted that it can work. We lost some staff to a competitor that advertised full-time remote jobs sooner than we did.
• Turnover has slowed a number of enterprise programs to roll out new services many of which are enabled by technology. We are a highly regulated entity and we’ve been struggling to meet all regulatory deadlines, in part because of a lack of people to do the work and make important decisions in these programs.

Health system

• 10-15% turnover in nursing and IT.
• Would consider leaving for flexibility and career advancement opportunities.
• The company is adjusting salaries.

Software vendor sales

• 10% turnover. Lots of engineering folks with a shift to cloud, on-prem resources will go. Lots of GTM changes due to poor company culture.
• Left due to company culture.

Software vendor sales

• Voluntary turnover has been low, but seems like it is ticking up. R&D has seen record turnover and I expect that to continue along with our implementation team.
• I’m concerned about the company direction. New product announcements talk about functionality we should have had years ago. I don’t see full digitization happening in the next 10 years, but shouldn’t we be working towards that assumption? We aren’t able to quickly produce new code and updates. Pay isn’t so great and there’s no indication it will improve.
• The company has had some sort of HR listening session with some teams, but it seems to have focused on soft things like culture rather than pay and product focus.
• Our customers are certainly impacted by loss of experience in the implementation team, which is directly visible to them. The R&D team is not visible to them.

Multi-hospital health system IT senior solutions architect

• We lost some folks earlier due to work-from-home policies, which have since been loosened up.
• Work-from-home is 100% and work in multiple states.

Morning Headlines 12/29/21

Idea of national patient IDs revives privacy fight

Politico reports that even though the Senate has removed its HHS funding ban of a national patient identifier, political roadblocks remain and an ONC report that summaries its risks and benefits is overdue.

CES 2022: Amid COVID surge, AMD and OnePlus drop out, joining Microsoft, Google, Intel

The Las Vegas consumer electronics show faces big-exhibitor pullout, news sites cancelling onsite coverage, and the likelihood of far smaller attendance than the previous 2020 show that drew 170,000.

All 695 hospitals, clinics of railways connected through software

All Indian Railways facilities have been connected to Hospital Management Information System.

News 12/29/21

Top News

Politico notes that even though the Senate has, for the first time, removed the prohibition of spending HHS money on a national patient identifier for 2022, nothing is guaranteed because of the way HHS appropriations work.

Sen. Rand Paul (R-KY) and Rep. Chip Roy (R-TX) have filed bills that oppose the development national patient identifiers.

ONC was supposed to create a report describing how such identification would work and the benefits and risk of implementing it. That report is is overdue and is holding up the process.

Reader Comments

From IANAL: “Re: Cerner. I suspect the voice assistant statement in Oracles press release was aimed at buyers or holders of Oracle stock. Many see Oracle’s main competitor as Microsoft, which acquired Nuance/Dragon. The press releases of big, boring companies are often aimed at shareholders since shareholders are interested enough to read company press releases and usually need calming after big company decisions. I wouldn’t take it as an indication of Oracle’s actual intentions for Cerner.” Excellent point. Companies often say things in acquisition press releases that don’t match their actual intentions, instead using the limelight opportunity to improve their image with investors. The claim that Oracle will make its little-known voice assistant the primary clinician interface for Millennium may well have been smoke-blowing to make Microsoft’s acquisition of Nuance seem less significant. It seems obvious that the biggest benefit to Oracle is buying a company that in essence resells a lot of its high-margin products (like the Oracle database) and to stave off the company’s move to AWS and force customers onto Oracle’s less-competitive offering. I doubt that the worksheet analysis used by Oracle’s acquisition team contained a lot of columns that predict the acquisition’s positive impact on patients and clinicians, healthcare costs, and outcomes.

HIStalk Announcements and Requests

Few poll respondents expect Oracle’s acquisition of Cerner to improve healthcare. Mike thinks a new focus on infrastructure will slow down the rollout of more-important product features, turning Cerner into another McKesson Horizon that will be sold for parts. Multiple commenters say that both companies are focused on sales rather than products, which is tough in healthcare where sales cycles are long and complicated. Khyber Pass makes an eloquent comparison of US healthcare to Afghanistan, where outside powers waltzed unknowingly into the “Graveyard of Empires” and were undone by fractiousness, complexity, and problems that the locals couldn’t solve. IANAL makes several interesting predictions:

• Meditech, once Neil Pappalardo is no longer involved, will sell to Oracle or private equity, will be acquired by a consortium of customers led by HCA, or will become irrelevant due to customer attrition.
• Oracle will wait for Northwell to leave Allscripts and will then buy the Allscripts hospital division on the cheap.
• Epic seems to be growing concerned about anti-trust issues as evidenced by its no longer using slogans involving world domination or market share. Oracle is tighter with the federal government, is a preferred bidder for government work, and is willing to outsource to India. Epic will move its focus outside of hospitals once it has run out of health systems to convert and the profits no longer outweigh the anti-trust risk.
• Hospital software improvement and innovation will stop unless US healthcare undergoes major paradigm changes.

New poll to your right or here: Which COVID activities will you practice to a greater degree in the first several months of 2022 compared to mid-2021? I’m trying not to fall victim to the “I’ll get it no matter what I do, so I might as well just live my life” symptom of COVID fatigue, but I’ll at least switch from cloth to KN95 masks in some or all situations. Omicron has changed the dynamic to where all of us probably know someone personally who has had it recently. Post-holiday case numbers will be crazy, although only a small percentage of those will likely result in hospitalization (but a small percentage of a huge number is still a big number of occupied beds that will be unavailable for medical needs of all kinds).

Webinars

None scheduled soon. Previous webinars are on our YouTube channel. Contact Lorre to present your own.

Announcements and Implementations

In India, Indian Railways – the government-owned railway system that is the world’s eighth-largest employer with 1.3 million employees —  goes live on the Hospital Management Information System at its 695 hospitals and healthcare units, linked to the patient identifier of employees, family members, and employees. 

Mid-Columbia Medical Center (OR) and OHSU Health end most aspects of their longstanding collaboration agreement, which will require MCMC to move away from OHSU’s Epic system.

Other

Dr. Jayne is annoyed that the CES show denied her request for a media pass with a curt “insufficient credentials” response, but the January 5-8 conference might wish they had let her come given high-profile pullouts of dozens of companies from the in-person conference due to COVID-19 concerns – Lenovo, Microsoft, Google, Amazon, Intel, Meta (Facebook), and Omron Healthcare. Several tech reporting sites have decided not to send reporters to Las Vegas for live coverage of the conference, which drew 180,000 attendees the last time it was held in person in January 2020. CES declares that it won’t cancel the in-person show, saying that while 10% of exhibit hall space will now feature chairs and potted plants in being repurposed into impromptu lounges, smaller companies rely on the conference to do business. Some people still expect CES to either give up and cancel the show or try to put good spin (a la HIMSS and RSNA) on drawing 75% fewer attendees, many of whom had already decided to participate virtually or not at all even before emergence of the Omicron variant. According to one tech publisher, “You know something’s different on the Central Hall floor when you see the US Postal Service has really great booth position.”

A researcher says that nursing shortages, accelerated by pandemic-related retirements and reduced nursing school enrollment, will shift health system budgets away from expansion and acquisition of new technology. One travel nurse says the hospital she works at is so short staffed that she is paid more than surgeons, but many travel nurses say the money is only a short-term reason to continue practicing in a high-stress setting where hospitals don’t seem to value their mental health.

The coroner of an 80,000-resident county in Missouri – who, like many of his national peers, had no medical training or experience before he was elected to the low-paying job — tells a reporter that his office “doesn’t do COVID deaths,” having recorded COVID-19 as a cause of death zero times in 2021. Wavis Jordan, who is also a lay preacher, says families would need to provide proof of a positive test to have it included on the death certificate, which goes against CDC’s recommendation of taking symptoms and medical history into account. Many death certificates feature “garbage codes” such as “heart failure, unspecified” that are inappropriate as an underlying cause of death. A county coroner in Mississippi, where deaths labeled as “heart attacks” doubled in 2020, says family members often refuse to allow COVID-19 on death certificates until they learn that the federal government pays for the funerals of people who die of COVID-19.

HuffPost covers private equity’s heavy acquisition of hospice chains, with the number of PE-owned hospices tripling from 2012 to 2019 in a quest to cash in on dying baby boomers in a lightly regulated industry for which Medicare pays generously. Their formula involves slashing costs and staffing and pushing marketing teams to sign up people who might not actually need hospice services. One hospice company that says it is one of the fastest-growing companies in the US declines to name its owner, even after its private equity owner paid $200 million to buy a British Formula One racing team (racing reporters believe the owner is a low-key Hong Kong billionaire). Profits are high because Medicare pays the same per-day rate regardless of complexity, so an aide who feeds a patient lunch is billed at the same rate as a nurse who runs an IV. The acquired hospice market heavily to assisted living facilities since servicing patients who live under one roof increases efficiency.

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Mr. H, Lorre, Jenn, Dr. Jayne.
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Curbside Consult with Dr. Jayne 12/27/21

I’ve been working on a project with a new client for the last couple of months, and it’s been interesting to say the least. It’s been a great example for why you need to make sure that you have the right people at the table while you’re proposing the project, while you’re designing the technology, and especially while you’re executing it.

I was brought in initially to be a purely clinical resource, working with an existing clinical team to develop some evidence-based content that would feed an organization’s rules engine. It seemed straightforward until I really got into it.

The existing clinical folks were purely clinical and didn’t have an understanding of what happens when you try to put clinical information into a rules engine and how to think about documenting what needs to happen. They also had an extensive inpatient background, but minimal experience in the outpatient world, which is where the new content was to be used. They were also heavily academic and didn’t have a good understanding of how a busy ambulatory practice runs or how “just in time” the content needed to be in order to make sure the users weren’t overwhelmed. They were willing to learn, though, and once we brought them up to speed with a mini clinical informatics course, they were able to hit the ground running.

We were given some parameters around how we needed to document the content specifications, but since the front-end of the rules engine hadn’t been built yet, we were somewhat at the mercy of the designers to understand how the users would interact with our content. Wireframes were available, but don’t always tell the full story of how a workflow is going to feel or function. As we started presenting our finalized content, it became clear that we had built it to a different level of specificity than the rules engine could support. We had to do some rework to eliminate some of the granularity while maintaining the intent of the clinical rules. Although it was workable, I wasn’t entirely happy with it, but I understand that there often has to be some give and take as software is built.

After several months of development, it was time to do some user acceptance testing and we had our first look at the user interface in action. The physicians really liked the look and feel of how the rules engine connected to the workflow. It was almost seamless, until you got to the point where it was actually running. There were some definite lags in the performance as the application was trying to serve up the content we had built. At this point, the development team asked a question about how it was supposed to work and whether the users were supposed to be documenting by exception or documenting certain elements of the workflow. Since the physicians had been specifically told to build the content to support documentation by exception, this was surprising.

The mismatch in how we expected the content to perform compared to how the developers thought it was going to perform turned out to be the cause of some of the performance issues. This could have been avoided by having more cross-functional discussions earlier in the project, where everyone reviewed the specifications documents together and were able to ask questions directly. I understand the motivation in not bringing everyone together initially, since there were concerns about coordinating schedules, making sure that expensive resources were only used when needed, and that there was an understanding that the project managers were coordinating everything. Ultimately, though, it led to rework, so I’m not sure how much that decision actually supported efficiency or cost savings.

Working together, we found a few things that needed to be adjusted in the content, and they began working on changes to the rules engine. To the team’s credit, they did a quick turn-around, and at our next testing session, the workflows were performing much better. We were all very excited to get it in front of users from one of the organization’s practices and held a very small testing session where everything passed with flying colors. The next step was to release it to a single practice that had agreed to serve as our beta client.

The team had planned to hold a combined testing/training session to accomplish a couple of goals. First, making sure the rules engine performed under stress, then also making sure that the training materials and training strategy met the users’ expectations. We identified a couple of places where the materials could be tweaked for clarity, and the performance lags we had seen in the initial testing environment seemed to be gone. Everything was ready for the move to production a couple of weeks later, but unfortunately the biggest challenge was still yet to come.

The organization likes to roll out new features on a Wednesday since it’s typically calmer for an outpatient practice than a Monday. It also allows users to get used to the content for a couple of days and then have the weekend to recover if the new feature creates a stressful level of change in the workflows. They had asked the physician content creators to be available in case there were questions about the clinical aspects of the rules, so we had all blocked our schedules and were ready for the big day. It’s always exciting to see something become reality after it’s been largely theoretical for so many months.

Unfortunately, on Monday, the execution phase of the project started falling apart. Apparently, the operational leaders that the project manager had been talking to hadn’t mentioned that two of the practice’s busiest physicians had planned to take the week off to attend a conference and wouldn’t be present for the go-live. The team was happy to support whoever was available to go live, but we knew that there would likely be budgetary concerns about having the entire support team, including the physician content team, available for a secondary go-live with the remaining members of the practice. We couldn’t just push the go-live back a week because there were concerns about the physicians being busier than normal coming back from being gone for the conference.

Pushing two weeks into the future would put us in the middle of Thanksgiving week when key staff would be out of office, and then the next week would be a post-holiday week with a potential volume surge due to having been closed. Following that, the schedule was peppered with absences due to pre-holiday vacations, followed by the Christmas holiday, and more planned vacations. Having that failure of operational communications has now caused the go-live to be pushed from early November into late January, which isn’t what anyone expected, and in the mean time the lead developer announced that he had accepted a position elsewhere.

It remains to be seen how the rollout will go if we ever get to it. Failure to have the right people at the table cost us initially with the development process and then on the operational side. Looking at the root causes of the communications failures, I’m not sure the project ever had the right level of executive sponsorship to keep it on track or to ensure people were giving it the focus it deserved. As we all know, there’s no test like production, so everyone is eager to get things moving so it can be rolled to the rest of the organization. I’ve already started another engagement with a different client, but I still want to see this one through, so hopefully the January 2022 date will hold.

How does your organization handle shifting timelines? Leave a comment or email me.

Email Dr. Jayne.

Morning Headlines 12/24/21

EU clears Microsoft-Nuance without conditions

The EU’s competition regulator says it has no anti-competitive concerns with the deal.

Digital Health Technologies for Remote Data Acquisition in Clinical Investigations

FDA publishes draft guidance on using digital health technology to acquire data remotely from clinical investigation participants.

FDA’s Policy Changes for COVID-19 At-Home Diagnostics—Implications for Addressing Other Infectious Diseases and Future Pandemics

Former FDA Commissioner Scott Gottlieb, MD says in a JAMA Forum article that at-home diagnostic tests may be the most enduring technological innovation of the pandemic, so it will be critical to connect those tests with telemedicine to reduce office visits and increase access to care.

News 12/24/21

Top News

Medical software vendor CompuGroup Medical was hit by a ransomware attack on Saturday that has affected its network and telephone support systems. The company is setting up emergency telephone numbers and email addresses for customers.

Reader Comments

From Historian: “Re: Oracle acquiring Cerner. Acquisitions like this don’t usually work out well for health IT customers.” Very true, especially if the acquirer is new to healthcare and states upfront that its primary motivation of the acquisition is to increase growth. Extra negative points since Oracle seems to think that what Cerner needs to finisher higher than #2 in a three-horse race is bolted-on, market-lagging technologies such as its voice assistant. Oracle also may underestimate the challenges that lurk underneath its glib statement that it will magically increase non-US sales of Cerner products. The clinking of milkshake toasts must be echoing throughout the Verona cornfields, with the only other delighted parties being Cerner shareholders and the heirs of Neal Patterson, who are stacking their cash with fingers stuck in ears to avoid hearing him rolling over in his grave.

Webinars

None schedule soon. Previous webinars are on our YouTube channel. Contact Lorre to present your own.

Acquisitions, Funding, Business, and Stock

The EU’s regulator approves Microsoft’s acquisition of Nuance, which it says raises no anti-competitive concerns.

Sales

• MUSC Health will implement Sectra’s enterprise imaging solution in a subscription model that covers its main campus, several satellite locations, and all affiliated regional hospitals in South Carolina.

Announcements and Implementations

Vyne Dental announces enhancements to its Trellis revenue cycle and communications platform.

Government and Politics

FDA issues draft guidance on using digital health technologies for remote data acquisition in clinical studies.

Other

The co-founder of the COVID Tracking Project says in The Atlantic that the US is about go temporarily blind in the Omicron variant fight because the folks who collect and report testing results take holiday periods off. Cases will appear to be dropping sharply over the next several days due to underreporting, then will skyrocket in the first several weeks of 2022 as the data backlog is cleared (or as infection rages, or both – it won’t be possible to tell). The only data that is likely to be accurate is HHS’s hospitalization figures, which are more of a record of interventions gone wrong than an early warning system. I think hospital admissions and deaths will become the only relevant numbers since case counts and positivity mean little when nearly everybody is going to become infected and the tools that can blunt the infection’s damage become more important.

An interesting aspect of the ransomware downtime of Ultimate Kronos Group’s cloud-based payroll system. Health systems that can’t access hourly pay records are being forced to issue employee paychecks in the same amount as a weeks-ago pay period. That means that not only will they have to claw back any overpayment right after Christmas (assuming the system is restored soon); they have to deal with newly hired employees, people who received bonuses or overtime in the pay period that is used; and W-2s will potentially be affected by paycheck adjustments.

The New York Times says Pediatrix and its parent company Mednax are earning millions of dollars each year by showing up at the bedside of a newborn’s mother and offering to administer expensive hearing tests, which the mother assumes is covered by the hospital stay. Pediatrix – which also offers pediatric intensive care, pediatric surgery, and obstetric services – is administering the hearing tests to nearly 1 million babies per year. Aetna sued the companies three years ago for inflating charges by more than $50 million but eventually settled, although Mednax admitted in court that it destroyed emails in which it pestered its doctors to upcode procedures. Pediatrix sponsored a successful campaign to pass state laws requiring hearing tests for newborns, then started doing a test that costs several hundred dollars instead of the previous $50. Patients have complained about the surprise bills, with at least one hospital warning expectant parents that the company may not be an approved provider under their insurance and that the company balance-bills patients for what insurance doesn’t cover.

Contacts

Mr. H, Lorre, Jenn, Dr. Jayne.
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EPtalk by Dr. Jayne 12/23/21

I haven’t been anywhere near the physician water cooler this week, but around the healthcare IT water cooler, the hot news (as expected) is the Oracle acquisition of Cerner.

I haven’t heard any optimism around it. Most of the comments are of the “lots of organizations have tried to succeed in healthcare and they all fail” variety. Many see it simply as a way for Oracle to increase its customer base as well as it being a win for Epic since customers who might have debated between it and Cerner choose the path that isn’t about to undergo changes to leadership and strategy.

I’ve been involved in a couple of EHR replacement evaluations where Cerner was a contender, but failed to win the deal despite being less costly than the alternative. Primary care physicians tend to find it underwhelming for high-volume ambulatory practices. It will be interesting to see if Oracle does any better at winning those hearts and minds with their promises of voice recognition-based workflows and automation of care delivery.

As far as the virtual hospital hallways are concerned, I’ve been in contact with several friends who are nurses, one of whom is currently infected with COVID-19. They’re irate at suggestions that infected healthcare workers should be subject to shorter isolation periods to avoid straining the US healthcare system. Especially with many healthcare organizations continuing to fail at providing adequate personal protective equipment, including N95 masks, asking those who have shouldered the burden of care to put themselves at additional risk working alongside COVID-positive colleagues is something we never imagined would be suggested at this stage of the game.

My COVID-positive friend, who happens to be an ICU nurse, commented on how beneficial it has been for her to actually sleep for as long as her body needs. She has found her isolation to be somewhat restorative even though she is having mild coronavirus-related symptoms. Asking for additional sacrifice from those workers to care for what truly has become a pandemic of the unvaccinated just rubs salt on existing wounds and will not bolster the morale of healthcare workers. I would propose that if anything, it makes them feel that people think they are expendable.

Another hot topic among healthcare policy friends is the jump in US health spending. The number topped $4.1 trillion for 2020 as we attempted to fight COVID-19 in our dysfunctional and misaligned way. Case in point: COVID testing. My county testing with no direct cost to patients through multiple drive-through clinics. Results are generally delivered same day via email. Appointments are readily available on its website, with dozens of unclaimed appointments each day. Despite this, I see dozens of posts every week in various community-focused Facebook groups and other forums where patients are looking for open slots at CVS, Walgreens, and other pharmacies because they are booked solid.

My former clinical employer is running four testing sites that do several hundred visits each day, but with a twist – they require each patient to be seen by a licensed provider (MD, DO, NP, PA), which results in a full visit billed to the insurance company. Since patients don’t incur that cost up front, they don’t understand that what could have been a relatively cost-effective testing visit has been inflated by a factor of 10. Even if they don’t pay the cost out of pocket, they’re going to pay it down the road through increased insurance premiums and shifts to cost sharing.

These processes are why spending has jumped nearly 10%, double its usual rate, with no corresponding improvement in outcomes. I don’t think people realize that $1 of every $5 in the economy is going to healthcare. Even if people did, I’m not sure it would have much meaning to them.

Other interesting tidbits in the report, since it’s hiding behind a paywall:

• Health spending works out to approximately $12,500 per person.
• The count of uninsured individuals held steady, although there was a shift in those covered from workplace-based policies to Medicaid and Affordable Care Act marketplaces.
• Medicare beneficiary counts grew more slowly due to significant numbers of deaths in those aged 65 and older.
• Individual out-of-pocket spending decreased due to deferred care, such as postponed surgeries and screening procedures.

The latter two are certainly negatives in my book. Where senior citizens accounted for roughly 15% of all COVID-19 cases, they represented 80% of the deaths. The loss of so many family members and loved ones is tragic. I’m fortunate that the elders in our family are extremely healthy and their living situations allowed them to be protected thus far, but plenty of my friends and colleagues have lost an entire generation to the virus.

I’m hearing a lot more this year about people planning to test prior to family gatherings. Hopefully that will help prevent at least a small amount of transmission and reduce the strain on our overwhelmed healthcare workers. I’ve been generally pre-quarantining just to be on the safe side, but not everyone has the luxury of working from home.

I enjoyed attending the Consumer Electronics Show last year, even though it was virtual. There were plenty of products to check out and many of the companies did a great job trying to engage the virtual audience. Obtaining a media registration last year was easy, but they made things trickier this year for me since a photo is required even for digital attendees. My credentials are still pending approval, so there’s no guarantee I’ll be on prowl in the virtual exhibit hall this year. I’ve lived a full year without the $16,000 bathtub I was eyeing last year, so I guess if I can’t attend, I will survive. One of my colleagues is attending in person and I’m a bit jealous, but I’ll be holding down the fort while he’s gone and will have to rely on him for the in-person buzz.

What conferences are you looking forward to attending this year, or do you think COVID-19 will keep us all close to home again? Leave a comment or email me.

Email Dr. Jayne.

Morning Headlines 12/23/21

Technical failure — Update December 22, 2021 08:30pm CET

CompuGroup Medical reports that it was been hit by “a so-called ransomware attack” on Tuesday morning whose effects have continued.

HFRI Changes Name to ParaRev; Move Reflects Expanded Revenue Cycle Capabilities

Healthcare accounts receivable recovery and resolution management company Healthcare Financial Resources changes its name to ParaRev.

Transition Plan for Medical Devices Issued Emergency Use Authorizations (EUAs) During the Coronavirus Disease 2019 (COVID-19) Public Health Emergency

FDA issues draft guidance for medical device manufacturers that are selling products approved under EUAs on how to transition to normal approvals once EUAs are discontinued.

Morning Headlines 12/22/21

Oracle’s Cerner Purchase Prompts a Trio of Debt-Downgrade Warnings

Several investment firms and bond ratings organizations downgrade Oracle’s shares and debt due to the cash requirements and possible lack of strategic value in acquiring Cerner for $28 billion in cash.

Oracle’s $30 billion Cerner deal is about more than health care records. It’s about AI.

A privacy advocate worries how Oracle, which runs the world’s largest third-party data marketplace, will use Cerner’s EHR data after the acquisition.

AccessOne Acquires CueSquared

Patient financial solutions vendor AccessOne acquires patient payments platform vendor CueSquared.

News 12/22/21

Top News

Several investment firms and bond raters downgraded Oracle’s shares and debt Tuesday following its announced intention to acquire Cerner. They worry that the cash payout is large and Cerner’s offerings aren’t strategic to those areas where Oracle should focus.

Oracle has $23 billion in cash and will likely need financing to complete the Cerner acquisition for its offer of $28 billion in cash.

ORCL shares dropped 5% on the announcement Monday and were flat Tuesday.

Oracle’s biggest previous acquisition was PeopleSoft, which it acquired for $10 billion in 2004.

Reader Comments

From Change of Control: “Re: Cerner. Could CEO David Feinberg really have been key to the Oracle acquisition given that he’s been on the job for less than three months?” That was my immediate question as some seemed to give him credit for the deal. Either way, he’s even more fabulously wealthy than when he started on October 1 – shares in his $35 million compensation package have jumped in price. He is also protected by a change-of-control employment clause if Oracle fires him within 12 months of closing the deal (two years of base salary, 24 months of benefits, immediate vesting of shares, and his initial $1.35 million cash bonus). It seems from the cheap seats that Oracle would have pursued its long-rumored acquisition regardless of who was sitting in the CEO chair, and the fact that it was the new guy Feinberg is very good for him. I doubt Oracle based its plans on his ongoing involvement or found Cerner to be a more attractive target because the CEO spent less than three years working for Google. It may well be that 77-year-old Larry Ellison’s testosterone kicked in (a common tech punch line: “God doesn’t think he’s Larry Ellison”) at the chance to steal an AWS client and to match Microsoft’s acquisition of Nuance by rather wildly claiming that Oracle will make its voice assistant the primary clinician interface to Millennium.

From On-Demand: “Re: Cerner. Oracle is buying into healthcare, not buying into a sexy acquisition.” I agree. CERN revenue and shares haven’t budged much in years, the company lost a lot of its executive talent (to the benefit of other health IT vendors) while Brent Shafer kept the CEO chair warm for his short and generally forgettable three years, and Cerner is #2 and losing ground in its primary business. Oracle’s history involves milking database customers hard while missing trends such as cloud, AI, and voice assistants, but revenue from the former lets them belatedly buy their way in. Tech analysts raised interesting questions: are more Oracle acquisitions imminent since the company historically plays aggressive catch-up, and will Salesforce be pushed into broadening its modest healthcare presence?

From Bob Loblaw Law Blog: “Re: Cerner. Oracle triggers more customer complaints than any software vendor I’ve seen.” A class action suit that was filed in early 2020 claims that Oracle’s shares were tanking because it failed to predict cloud-based competitive threats, so the company boosted its numbers by forcing customers to buy its flawed cloud offerings by using a strategy called “Audit, Bargain, and Close.” The lawsuit claims that Oracle intentionally installed on-premises software that boosted the customer’s license usage without their knowledge, then threatened to impose large license agreement penalties unless the customer accepted a cloud subscription that they didn’t want and wouldn’t use. The lawsuit quotes a company executive who said that up to 95% of the company’s cloud sales involved these “financially engineered deals” that were designed to mislead investors into thinking that Oracle’s cloud strategy was working.

HIStalk Announcements and Requests

I’m curious about what you think about Oracle’s planned acquisition of Cerner. Let me know. I’m thinking of these themes:

• How does Oracle perform as a health system vendor (database, HR, ERP, EMPI, etc.)
• How well does Oracle’s Voice Digital Assistant work? Could it really be suitable as Millennium’s primary user interface for clinicians?
• What is the customer impact of Cerner moving from AWS, which is already complete for some systems and in process for others, to do an about-face move to Oracle’s Gen2 cloud services?
• How will Cerner’s VA and DoD business be affected?
• How many on-the-fence Cerner customers and prospects will be spooked by uncertainty and will instead make a quick Epic decision?
• What will Oracle’s strategy be given that much of healthcare, including Epic, uses InterSystems Cache’ rather than relational databases like Oracle’s?

Speaking of the acquisition, let’s give credit to some HIStalk readers who called it early (July 25, 2021). Eddie T. Head stated confidently that Oracle will be the top general technology firm in healthcare “after they buy Cerner,” which he expected because Cerner is a heavy Oracle user (databases and Java), Oracle is desperately late to the cloud, and Cerner seemed primed for sale. IANAL added that Oracle has acquired other sector-specific application vendors such as NetSuite and predicted accurately that it would be a $30 billion acquisition.

I’m always happy to see December 21 even though it’s the first day of winter (and another COVID one at that) because at least daylight hours start increasing.

An Anonymous Health System CIO’s Initial Thoughts About Oracle Acquiring Cerner

We’ve been a Cerner customer on the acute EHR side for quite a while and have further implemented both ambulatory and rev cycle. On the acute side, we’ve been generally pleased with the product, services, and support. However, we saw Cerner challenges with the ambulatory and rev cycle implementations. From my viewpoint, Cerner’s biggest problems today are:

• Revenue cycle functionality. Millennium still has challenges to get it to work well. I’m hoping the RevElate strategy pans out.
• Ambulatory functionality. We’re seeing improvements made, but they lack the product maturity other vendors have. Generally, we are able to make it work.
• People and process. This is actually their biggest problem. Cerner has struggled to maintain competent staff that understand healthcare and individual customer workflows. Throughout our implementations, we had major challenges with project management, availability of experienced staff, and the ability to help us make informed decisions.

Here are my thoughts on Oracle acquiring them:

• If Oracle is going to help reduce the cost of healthcare, they also need to help find savings for their customers.
• One of the things mentioned in their announcement was the use of Oracle’s voice assistant product. Our Physicians use Dragon and are very pleased with it. I don’t believe Oracle understands how difficult it is going to be to get physicians to give up something they like and benefit from.
• Oracle should be able to bring more technical resources to bear to help with Cerner’s products. However, I hope Oracle isn’t going to distract Cerner to move from their AWS strategy to an Oracle cloud strategy immediately. While this would be favorable to Oracle, I fail to find any immediate value to customers.
• Oracle is not going to be able to help bring additional healthcare resources initially.
• I hope Oracle can help improve Cerner’s service delivery through more mature processes. However, not knowing the healthcare space or Cerner products, I’m not sure what they can do initially to bring value for customers.

Webinars

None schedule soon. Previous webinars are on our YouTube channel. Contact Lorre to present your own.

Acquisitions, Funding, Business, and Stock

Bloomberg reports that activist investor Elliott Investment Management and Vista Equity Partners are considering making a joint bid for Citrix Systems, whose shares are down 36% this year and the company has been exploring its options.

Huron will acquire healthcare analytics vendor Perception Health.

Patient financial solutions vendor AccessOne acquires CueSquared, which offers a mobile payment platform for patient self-pay balances.

The executive director of the World Privacy Forum is concerned that the acquisition of Cerner will give Oracle – which runs the world’s largest third-party data marketplace – access to Cerner-stored patient data. She says that business associate rules might allow Oracle to use Cerner’s EHR patient data to train AI systems.

People

ZeOmega hires Andy Arends, MBA, MSc (NTT Data) as chief growth officer.

Other

KHN finds that small-town pharmacists are opening independent drugstores to replace big-box chains that pull out and leave those areas without pharmacy services. The article notes that the number of pharmacists employed by big-box stores peaked at 31,800 in 2012, but online and mail-order sales dropped that number to 18,000 by 2019. Experts say that people do less “roaming shopping” now, meaning that running a loss-leading pharmacy in the back of a retail or grocery store is not necessarily the most profitable use of the square footage. Rite Aid announced Tuesday that it will close another 63 stories, which follows CVS Health’s announcement that it will close 900 stores in the next three years.

The BMJ complains to Facebook that its peer-reviewed COVID-19 articles are being flagged as “false information” by Facebook’s fact-checking contractor Lead Stories. Lead Stories responds by saying that BMJ’s article “COVID-19: Researcher blows the whistle on data integrity issues in Pfizer’s vaccine trial” and its “scare headline” were adopted by anti-vaxxers to prove that the clinical trial was fraudulent. Lead Stories says the allegation actually involves just three of 153 research sites, the whistleblower Brook Jackson is an EHR auditor rather than a scientist and had worked in the lab for just two weeks, and her Twitter account shows her support for misinformation spreader Robert F. Kennedy, Jr. It also notes that it flagged the article only as being potentially misleading without additional context. Jackson filed an FDA complaint about the clinical trial and was fired by her research contractor employer the same day.

HIMSS announces featured HIMSS22 speakers, none of whom I’ve heard of other than former Olympic swimmer Michael Phelps — the CEO of a children’s education organization, the guy who ran Disney’s ABC Television group for a short time, a couple of former Air Force pilots turned consultants (they sound pretty interesting), an audit firm’s economist, the CEO of the Society for Human Resource Management, and a “60 Minutes” correspondent (those last three are co-presenting a single session on workforce). Exhibitor count is at 550 and Oracle isn’t among them.

Oracle says it will expand non-US sales of Cerner software. The above from KLAS’s “Global (Non-US) EMR Market Share 2021” report shows where Cerner stands.

Weird News Andy, this is my holiday gift for you. In England, the bomb squad is called to a hospital ED when a patient presents with “munition in his rectum.” The patient showed little originality in claiming that he fell on the World War II-era armor-piercing projectile.

Contacts

Mr. H, Lorre, Jenn, Dr. Jayne.
Get HIStalk updates.
Send news or rumors.
Contact us.

Morning Headlines 12/21/21

Oracle Buys Cerner

Oracle will acquire Cerner for $28 billion in an all-cash deal, describing the company as a “revenue growth engine” whose business it will expand globally.

GAO Makes Appointments to the Health Information Technology Advisory Committee

GAO appoints seven new members to HITAC, established by the Cures Act to provide recommendations to ONC.

AliveCor Lists its Industry-leading KardiaMobile 6L in Epic’s App Orchard Marketplace

AliveCor integrates its six-lead personal ECG device with Epic.