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Morning Headlines 11/16/12

November 15, 2012 Headlines Comments Off on Morning Headlines 11/16/12

A Survey Of Primary Care Doctors In Ten Countries Shows Progress In Use Of Health Information Technology, Less In Other Areas

A study of 10 high-income countries finds that America is rising in adoption of EHRs, with 69 percent of US primary care physicians reporting that they are using an EHR.

Vt. GE Healthcare outpost lays off 10 percent

GE Healthcare announces layoffs for approximately 50 employees at its Burlington, VT offices.

Department of Defense and Department of Veterans Affairs Award EHR Integration Subcontract to DSS, Inc. for Fully Integrated Data

DSS is awarded the iEHR project, migrating VistA and legacy DoD systems onto a single integrated platform.

Cerner to Standardize Health Care for NBA Players

Cerner will implement a single EHR across all 30 NBA teams to securely manage the health of the athletes.

CACI Announces Intent to Acquire Emergint Technologies, Inc.

CACI, a government information systems provider specializing in Intelligence and Defense, acquires Emergint technology to expand its Healthcare IT position and broaden its portfolio.

Comments Off on Morning Headlines 11/16/12

News 11/16/12

November 15, 2012 News 10 Comments

Top News

11-15-2012 5-46-14 PM

Sixty-nine percent of US primary care physicians report using EHRs, up from 46 percent in 2009, while about a third of doctors say their patients have the ability to e-mail the practice and have online tools to request appointments, referrals, and prescription refills. The study of 10 “high-income” countries also finds that despite health reform initiatives, a high percentage of physicians in all countries complain of untimely access to information from hospitals and specialists.


Reader Comments

11-15-2012 7-06-04 PM

From Mango Mel: “Re: UNC. As you mentioned, they are going Epic.” I heard that rumor again today from an excellent source. If it’s true, that gives Epic all of the big hospitals in the Triangle area of North Carolina, which is almost all of the beds there now that they’ve recently added Duke and the just-announced WakeMed. Other NC users of Epic are New Hanover, Vidant, and Novant.

From The SFTreat: “Re: GE Healthcare layoffs. True – a number of staff from the Seattle office are gone.” We’ve run several rumors suggesting that the layoffs were going to happen Wednesday. A Boston article says the company confirmed that 10 percent of its Vermont workforce has been let go, but the company declined to give specifics. Our GE contact said that fewer than 50 employees were impacted and no office closures or product retirements were involved. According to the official response:

“In fact, GE HCIT is maintaining its focus on the needs of integrated care delivery, and in conjunction with our strategy, we are making choices to redeploy some portions of our resources and capital into new areas of product and service innovation. While these types of decisions are never easy in the near term, we are confident that they are necessary to meet the current and future needs of our customers.”

From Candace: “Re: research and think tank institutions for healthcare technology. What do you think of IDC Health Insights? Can you recommend other research centers? I’m a recent college graduate doing a research project.” I don’t have any experience with any of them, so I’ll open the floor to readers willing to help. Don’t they sound like swell places to work, though, just sprawling back at your desk thinking in a swanky office park?

From DeanInsider: ”Re: rumor of doctor resignations. Not the case. Dean is pleased to have become an Accountable Care Organization and has always put patients first.” I assumed that was the case, but several hospitals have announced layoffs they’re blaming on PPACA. The latest: Wake Forest Baptist Medical Center, which will eliminate 950 positions. A local professor there says hospitals must plan for at least one year of lower payments, reductions in federal grants, and the high cost of EHRs.


HIStalk Announcements and Requests

HIStalk Practice highlights from the last week include: MGMA members give Medicare the highest marks among seven top payers. The country will be short 52,000 family physicians by 2025. An 87-year-old doctor who charges $5 an office visit says he didn’t select his profession for the money. Physicians must participate in PQRS in 2013 to avoid 2015 penalties. A list of the worst passwords for 2012. Rob Drewniak of Hayes Management Consulting discusses the need to educate board members on the ACA and its implications for their organization. Dr. Mostashari, by the way, gave Rob’s post a thumbs up. If Dr. Mostashari is reading HIStalk Practice and you aren’t, maybe it’s time to consider what you’re missing. Thanks for reading.

We ran a link to the draft Meaningful Use Stage 3 rules earlier this week, but just to be clear, this is a draft document not yet available for public comment even though its title is “HITPC Stage 3 Request for Comment.” You’re seeing it as it came from the Policy Committee.

Inga’s been a good girl this year, so here’s her Christmas list for your consideration: (a) sign up for spam-free e-mail updates to HIStalk, HIStalk Practice, and HIStalk Mobile; (b) friend, like, and connect with us on all the social not-working sites; (c) send us news and rumors; (d) review and impulsively click some of the much-appreciated sponsor ads to your left, search and navigate to their details in the Resource Center, and send your consulting RFI viral with the RFI Blaster; (e) tell other folks you read our sites because when it comes to our marketing channels, you’re all we have; and (f) give yourself one of those wrapping-your-arms-around-yourself hugs and pretend it’s Inga since it will take her awhile to get to each reader personally. I’m just happy reading down the list of 2,850 impressive folks who have signed up for Dann’s HIStalk Fan Club and thinking how cool that is. That’s the first place I look when considering somebody’s request for an HIStalk-related favor.

On the Jobs Board: Workflow Automation Project Manager, Technical Trainer, Product Analyst, User Interface Engineer.

The most common grammatical crutches I have to edit out of the interview transcripts I run, sometimes in truly startling numbers: (a) “really”; (b) “sort of”; and (c) starting sentences with “so” like someone telling a bar stool yarn. I was at a doctor’s presentation today and counted the number of times she said “sort of” and was up to 79 in the first 30 minutes before I tired of the exercise. I’m not annoyed, just sorry that the power of what she was saying was needlessly diluted by subconscious speech tics.


Acquisitions, Funding, Business, and Stock

11-15-2012 9-38-00 AM

CACI will acquire Emergint Technologies, a provider of HIT services and analytics solutions.

WellStar Health System pays $20,000 for the trade name, trademark, and other assets of the bankrupt Center for Health Transformation, the for-profit healthcare think tank founded by Newt Gingrich. WellStar intends to convert it to an independent, nonprofit collaborative of 20 non-competing health systems in the Southeast, focusing on sharing ways to improve quality and reduce costs. 

Salt Lake City-based Remedy Informatics gets a $6 million investment from Merck. The registry and research informatics company is headed by Gary Kennedy, so I assume it’s related to the former RemedyMD. I interviewed him in early 2007 and was pretty impressed, although the hospital-type database products seem to have been de-emphasized in favor of the life sciences ones.


Sales

11-15-2012 7-10-33 PM

WakeMed Health & Hospitals (NC) will invest $100 million over five years to implement Epic.

The DoD and VA award Document Storage Systems an EHR integration subcontract.

Oakwood Healthcare (MI) renews its multi-year IT outsourcing contract with CareTech Solutions for $120 million.


People

11-15-2012 11-08-18 AM

Harry Jacobson, MD, former vice chancellor for health affairs at Vanderbilt and CEO of Vanderbilt University Medical Center, joins digiChart as chairman, replacing G. William Bates, MD, who was recently named chairman emeritus.

11-15-2012 11-26-46 AM

Net Health systems, a provider of IT systems for wound care, hires Kelley J. Schudy (Allscripts) as VP of sales.


Announcements and Implementations

11-15-2012 5-35-45 PM

The National Basketball Association will use Cerner’s HealtheAthlete health management platform for all of its teams.

11-15-2012 1-12-48 PM

The LSU Interim Hospital and 11 clinics are live on the Greater New Orleans HIE, which will connect to the state-wide Louisiana HIE by the end of the year.

11-15-2012 1-13-42 PM

The Pennsylvania eHealth Collaborative signs up 3,449 providers for DIRECT messaging, exceeding the federal government’s goal of 1,000.

Lakeland Regional Medical Center (FL) goes live on Cerner clinical applications with implementation assistance from Healthcare Clinical Informatics.

Elsevier announces the launch of Health Care: The Journal of Delivery Science and Innovation. It will focus on applied healthcare IT and health reform. Founders and co-editors are Amol Navathe, MD, PhD (Brigham and Women’s, Harvard Medical School, Wharton School) and Sachin Jain, MD, MBA (Boston VA, Harvard Medical School, and Merck).

North Mississippi Health Services (MS) wins a Baldrige Award. 


Innovation and Research

11-15-2012 6-23-40 PM

Got a flair for design and patient-friendly medical information? ONC and VA are running a Health Design Challenge for creative types who can make CCD/Blue Button information easier for patients to understand. Three prizes are offered in each of four categories (Best Overall Design, Best Medical/Problem History Section, Best Medication Section, and Best Lab Summaries) ranging from $1,000 to $16,000. The deadline is November 30.


Other

11-15-2012 7-03-28 PM

A CapSite study finds that almost one-third of hospitals plan to invest in patient flow solutions within the next two years. Leading vendors include TeleTracking, McKesson, Epic, and Meditech, while the vendors most often being considered are listed in the graphic above.

Speaking of CapSite, a HIMSS webinar this Friday afternoon will cover “The CapSite Acquisition and What It Means to You.”

Bill Hersh provides an update on the clinical informatics subspecialty for physicians. Details are being worked out about the grandfathering and initial exam process, but Bill says the first candidates will sit for their test in October 2013.

Allscripts responded to our reader’s question about whether MyWay users will be released from their contracts if they decline the company’s offer of a free upgrade to Professional.

“Allscripts is providing a free upgrade, and the contract does not allow for cancellation of current leases. Allscripts is dedicated to working with our clients to help them succeed, and we believe the upgrade provides the right benefit for the long term.”

11-15-2012 6-41-32 PM

Weird News Andy says this never happens to him while listening to NPR. A former Doctor of the Year ED doc faces a long list of charges after hitting several cars in a parking lot while allegedly under the influence of drugs and alcohol with NPR cranked up loud in her Outback. She says her accelerator got stuck on her way to Whole Foods to buy a Thanksgiving turkey, but police found pills and prescriptions she had written for herself.

WNA labels this story “Hello Terry Schiavo.” Scientists performing a functional MRI on a man who has been in a vegetative state for 10 years find brain wave patterns that suggest he is answering the questions they’re ask him. The scientists believe the patient is aware of who and where he is.


Sponsor Updates

11-15-2012 8-17-00 PM

  • Leslie Kelly Hall, SVP for policy at Healthwise, joins a panel discussion on patient engagement framework at next week’s National eHealth Collaborative Webinar.
  • Visage Imaging will demo its Visage 7 processing technology, including work-in-process capabilities, at this month’s RSNA meeting.
  • Merge Healthcare will unveil its mobile and Internet platform for patients during RSNA.
  • Greater Baltimore Medical Center (MD) reports a reduction in paper output and waste since deploying Access Intelligent Forms Suite and Wacom STU-500 signature tablets.
  • TeraRecon previews a pay-as-you-go option for use of its iNtuition advanced visualization tools by physicians who perform aortic repair procedures.
  • Kareo offers tips for increasing practice revenue in its November newsletter.
  • The Canadian Health Informatics Association awards TELUS Health Solutions its Corporate Citizenship Award for achievements in health and technology to improve patient outcomes.
  • McKesson will combine its Episode Management software with the Prometheus Payment model to support large-scale bundled payment programs.
  • DrFirst will embed Halfpenny Technologies’ Integrated Technology Framework for CPOE and results delivery within its Rcopia e-prescribing platform.
  • White Plume Technologies’ Laura DeBusk and MED3OOO’s Cindy Cain will discuss the impact of ICD-10 on operations, compliance programs, and cash flow in a November 29 Webinar.
  • Aprima will integrate Alpha II claim scrubbing technology into its EHR and PM solutions.
  • HIStalk sponsors earning a spot on the 2012 Inc. 5000 List of America’s Fastest Growing Companies include Beacon Partners, Culbert Healthcare, Cumberland Consulting, Digital Prospectors, eClinicalWorks, Enovate IT, Etransmedia Technology, Greenway, GetWellNetwork, Hayes Management Consulting, Kareo, Iatric Systems, Impact Advisors, Ingenious Med, iSirona, maxIT Healthcare, MED3OOO, MEDSEEK, Passport Health, Virtelligence, and Vocera.
  • HIStalk sponsors included on Deloitte’s 2012 Technology Fast 500 ranking include Etransmedia Technology, Greenway Medical, MModal, MedAssets, NexJ Systems, and Vocera.
  • Sandlot Solutions unveils the final results of eHealth Initiative’s 2012 Annual Survey of HIE Initiatives.

EPtalk by Dr. Jayne

The American Academy of Family Physicians releases a summary of the 2013 Medicare Physician Fee Schedule. Increases will only occur if Congress takes its annual action to block the reduction that is scheduled for January 1.

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AAFP also publishes (subscription only) its 2012 EHR User Satisfaction Survey. Of 3,088 viable responses (as in previous years, several hundred responses were excluded because respondents said they did not use EHR or didn’t identify their systems) 31 vendors account for 92 percent of the systems. The highest counts (over 200 responses) were reported with Allscripts, Centricity, eClinicalWorks, Epic, and NextGen. As someone who has been documenting with EHRs for more than a decade, I find some of their survey questions suspect. For example, “This EHR helps me see more patients per day (or go home earlier) than I could with paper charts.” They certainly didn’t control for the dramatic increase in federal, regulatory, and payer scut work that has added to the bottom line of my work hours. Even if I was on paper, I’d be seeing fewer patients and going home later just for that reason.

The authors recognize that “practice size is independently related to satisfaction,” noting that except for a few systems, the majority of “large practice” vendors fall towards the bottom and “small practice” vendors hit near the top of satisfaction scores. The cutoff for vendor inclusion was 13 responses, so there is question on whether they are statistically significant. Some of the highest ranking systems are relatively untenable in enterprise environments, so I feel for administrators whose physicians will be marching into the office with the article in hand, demanding that Cerner be de-installed in favor of Praxis, SOAPware, or my favorite: Point and Click EHR.

Another doomsday prediction finds that we’ll need 52,000 more family physicians by the year 2025. I can almost guarantee that if you figure out how to pay them what a cardiologist makes, you’ll get them.

A good friend sent me a link to the “Jane and the Doctor” YouTube video. It’s an oldie but a goodie if you haven’t seen it. For those of you in the implementation trenches, know that you are not alone and there are many others of us who hear the same tired complaining from physicians all day long.

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Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

More news: HIStalk Practice, HIStalk Mobile.

HIStalk Interviews Seth Henry, Founder and CEO, Arcadia Solutions

November 15, 2012 Interviews 1 Comment

Seth Henry is founder and CEO of Arcadia Solutions of Burlington, MA. The company announced Wednesday that it has been acquired by private equity firm Ferrer Freeman & Company and Arcadia’s senior management team.

11-14-2012 7-24-34 PM

Describe what Arcadia does and why it was time to bring in a new investor.

Arcadia is built on the premise that healthcare must do three things: bend the cost curve, change the incentives and payments to focus on outcomes, and connect and integrate disparate systems with IT.

To that end, Arcadia is focused on being the leader in helping the ambulatory market successfully adopt, integrate, and make decisions with IT. We believe this part of the market — where 46 percent of the care is delivered — has not been addressed by the IT vendor community while the main focus has been on “wiring” hospitals.  

The changes in the overall system are driving health system executives to address the IT needs in the physician and ambulatory marketplace. To help with this initiative, Arcadia provides comprehensive services implementing, optimizing, and providing strategic decision support to this market, focusing on larger systems and aggregators.

Arcadia has established a proven track record and loyal customer base in the northeast US. However, we have reached a point where it would be helpful to work with a growth partner with deep experience in healthcare and health IT who could help drive an aggressive national expansion plan combined with a continued investment in forward-looking offerings for customers. FFC is that partner.

We’re also excited to have their senior management team join our board of managers, which includes Carlos Ferrer, David Freeman, and Ted Lundberg of FFC as well as Jim Crook, a healthcare IT industry veteran who was CEO of IDX Systems when it was sold to GE Healthcare for $1.2 billion, who will help us drive this strategy.

 

Ferrer Freeman & Company has been an investor in several healthcare IT related companies that were acquired by large entities, including PHNS (now Anthelio), Vitalize Consulting Solutions, and Webmedx. What do they bring to the table to enable the next level of Arcadia’s growth?

In addition to growth capital, FFC provides a deep understanding and strategic focus on the business of healthcare, having invested in more than 35 companies exclusively in this market. They have a broad network of senior executives in Arcadia Solutions’ target marketplace who have been very engaged in the direction of the business. They also have a  committed partnership with management that is passionate and involved in the direction and growth of the company.

 

How has the company’s business changed over the years since HITECH went into effect and how do you see it changing in the next few years?

We do not see HITECH as the primary driver of the business. Our firm’s direction of focusing on measurable adoption and aligning IT with cost and quality was well established before HITECH was conceived and our rapid growth preceded HITECH.  

While we think HITECH is directionally correct and consistent, it is not a primary reason our customers buy from us. Our customers in general have a broader purview and mission with respect to transforming healthcare with IT and this is reflected in our consistency of offerings and performance pre- and post-HITECH.

 

Arcadia has been involved with 2,500 EMR implementations in physician practices. What are the most important trends you’ve observed that you have incorporated into the company’s strategy?

We believe the industry in general has focused too much on the technology aspects and not nearly enough on the people. As a result, the definition of “done” is when the systems are live. Our definition of “done” is when the data in the system has reached a certain level of quality.  

We also believe very strongly — and our data confirms — that the technology chosen can have very little to do with the ultimate results in terms of better performance, more efficiency, and happier physicians.

 

Scarcity of specifically trained resources and tight timelines driven by HITECH have created a healthcare IT consulting boom, which has in turn led to several high-dollar acquisitions. How do you see the healthcare IT consulting market playing out over the next 5-10 years?

As with all markets, there will be highs and lows, winners and losers. Our strategy is to stay laser focused on providing services with proven and measured value and results while building a great company in the process. The rest will take care of itself.

We are very confident that the healthcare market faces a very long road in getting completely wired and connected with IT and adapting and optimizing the business and delivery model in parallel. I have not met anyone close to this problem that thinks that HIT is not a growth market for 10 more years. 

Morning Headlines 11/15/2012

November 14, 2012 Headlines 2 Comments

Rep. Ellmers pushes HHS on safety of health technology

HHS receives a second letter from Rep. Renee Ellmers after failing to respond to an initial letter citing an IOM study that questioned the safety of electronic health records.

MU helps drive interoperability, standards could also help

Farzad Mostashari of the ONC, along with HIMSS Chair Willa Fields, Charles Romine of NIST, and several private sector industry experts testify in congress today defending the results of Meaningful Use thus far among accusations that there should be a higher level of interoperability.

Arcadia Solutions Acquired by Ferrer Freeman & Company and Senior Management

Arcadia Solutions announces its acquisition by Ferrer Freeman and addition of Jim Crook, former CEO of IDX Systems, to the Board of Managers.

Surescripts and NextGen Healthcare Take Important Step to Improve Quality of Care Collaboration and Coordination Across the U.S. Healthcare System

NextGen announces that it will connect its 75,000 users to the Surescripts network enabling e-prescribing and access to a clinical messaging platform.

WakeMed to spend up to $100M on medical records project

WakeMed Health & Hospital System, an 840-bed Raleigh, NC-based health network, announces plans to implement Epic over the next 18 months.

Readers Write 11/14/12

November 14, 2012 Readers Write 2 Comments

Submit your article of up to 500 words in length, subject to editing for clarity and brevity (please note: I run only original articles that have not appeared on any Web site or in any publication and I can’t use anything that looks like a commercial pitch). I’ll use a phony name for you unless you tell me otherwise. Thanks for sharing!

Note: the views and opinions expressed are those of the authors personally and are not necessarily representative of their current or former employers.


Formal HIT Education
By Deborah Kohn

11-14-2012 6-59-16 PM

I read with interest HIStalk’s news regarding Georgia Tech’s free online health informatics class in the cloud and Mr.HIStalk’s comment, "This looks really good, especially for folks who don’t have a lot of formal healthcare IT education on their resume."

This led me to research four-year baccalaureate degree programs in health information technology (HIT), where I expected students in such programs to earn a BS degree, a Health Information Technologist title, and, perhaps be ready to sit for a rigorous certification exam.

No such programs exist in US colleges and universities – online, on-campus, or combination – as far as I know, except perhaps one at Miami (Ohio) University’s regional campuses. (note: I am not referring to four-year baccalaureate degree programs in health information management or HIM, which are complementary to but different from four-year baccalaureate degree programs in HIT.)

Largely due to 2009 ARRA/HITECH dollars (workforce training), many two-year, community college-based HIT programs exist (before the dollars run out), where students earn an AA degree (or similar), a Health Information Technician title, and are ready to sit for the Department of Health and Human Resources’ HITPro exam. (A certification is not conferred upon successfully passing the HITPro exam.) Unfortunately, contrary to expectations and because of lack of experience, most of these students cannot find jobs.

Many excellent one-to-two-year, post-baccalaureate degree programs exist in health informatics (e.g., Georgia Tech), whereby graduate students (typically clinical) earn either a MS degree or similar or a certificate, allowing the student to officially wear the Health Informaticist title (Nurse Informaticist, MD Informaticist, etc.).

As a college undergrad, I earned a BS degree in medical record science (today, health information management). My program in medical record administration was part of the university’s Allied Health Professionals Division. General Arts and Sciences Division requirements (English composition, sociology, chemistry, biology, etc.) plus anatomy and physiology consumed our freshman and sophomore years. Many of our junior and senior year courses were shared with the Allied Health Professionals Division’s undergrad nurses, pharmacists, lab technologists, dieticians, etc. The remaining courses were specific to HIM (ICD coding, records management, etc.). All Allied Health Professionals Division students experienced a minimum of four months practice in a hospital in the nursing, lab, pharmacy, dietary, and medical records departments.  

I graduated the university with a Medical Record Administrator title and was prepared to sit for a rigorous exam that, upon passing, allowed me to be certified as a Registered Record Administrator (today, Registered Health Information Administrator – RHIA). Similarly, my fellow student nurses, pharmacists, lab technologists, dieticians,etc., became RNs, RPhs, RDs, etc.  In general, we went directly into good-paying jobs as entry-level — but at least semi-experienced — healthcare professionals.

As a graduate student, I had few options except to pursue a masters degree in Health Services and Hospital Administration (or similar), which I do not regret. However, today, those with BS degrees in the healthcare professions can pursue advanced degrees in health informatics, highlighting advanced skills, knowledge, and experience in healthcare and in IT. 

Consequently, I am proposing that four-year colleges and universities, working with or without existing two-year college HIT programs promoting Health Information Technicians, consider offering sorely-needed, workforce HIT programs promoting Health Information Technologists (like lab technologists). Subsequently, graduating students could sit for certification exams and become registered. (This is a subject for another article that would address those associations that would be able and willing to manage the testing.)  

These healthcare information technologist programs would allow the BS-degreed, graduating Health Information Technologist (registered or not) to gain required experience in the HIT industry and, if interested, to choose an HIT advancement and graduate path in health informatics.

In addition, I propose that these four-year, baccalaureate degree programs be incorporated into universities’ existing four-year, Allied Health Professional Divisions. Unfortunately, I learned from one public university with such a division that it is difficult to get the right parties to agree to offer new degree programs at the undergraduate level. I learned from one private university with such a division that undergraduate programs do not generate enough revenue to justify adding new programs, and only post-graduate programs do. Perhaps an accredited online university that is willing to keep the cost reasonable and can quickly establish a program also should be proposed, although program quality might be a concern.

Who or what entity is willing to take me up on my proposal? 

Deborah Kohn is the principal of Dak Systems Consulting of San Mateo, CA.


Value of Meaningful Use Funds Debated at IHT2 Conference
By James Harris

11-14-2012 6-53-38 PM

“History will not look positively on how the meaningful use funds were spent,” said Dale Sanders, senior vice president, Healthcare Quality Catalyst, at a November 7 IHT2 Conference in Los Angeles.

The panel was discussing the current status of healthcare analytics. Several panelists, including Sanders, said the $30 billion federal program had erred by not including more incentives for providers to use analytics.

Sanders said a “substantial” proportion of the EHR Meaningful Use fund had gone to large hospitals which had already purchased or planned to purchase an EHR system. “The program has served to further entrench Epic and Cerner” as the dominant systems in the hospital industry, Sanders said. This is unfortunate because neither company has shown a willingness to “opening their API” to outside vendors with analytic programs.

All of the panelists agreed that analytic programs held significant potential to reduce both clinical and administrative costs in hospitals.

According to Steve Margolis, MD, MBA, chief medical informatics officer of Adventist Health Systems, the newest types of analytic programs will offer “visual discovery tools,” which he described as being like Amazon’s system of suggesting additional purchase items based upon the consumer’s buying habits.

Margolis said in the future analytic programs will give “each individual provider, whether she’s in the ER, kitchen, or NICU, will get her own individual ‘dashboard.’” This dashboard would contain specific KPIs for the individual position to help in decision making.

Sanders noted that the most significant barrier to widespread adoption of analytics was the current economic model in healthcare. “Until we move to paying for quality, not quantity,” there is little incentive for hospitals to use analytics.

He added that the “I” in CIO should stand for “analytics.” Margolis countered that many CIOs felt the “I” stood for “insecure.”

In the conference’s opening keynote speech, Brent James MD, chief quality officer and executive director of  Institute for Health Care Delivery Research of Intermountain Healthcare, noted the vast amount of waste in the US healthcare system.

James said $2.83 trillion was spent on healthcare in one recent year and about 50 percent, or some $1.5 trillion, was “wasted.”

He said studies showed that 32 percent of all clinical care was “inappropriate,” meaning unnecessary or without proven clinical benefit.

James said “nobody in healthcare believes we will not be seeing major payments cuts” in the future. He urged healthcare executives to study the principles of W. Edward Deming, the famed engineer and management theoretician.

James said the old advice to American manufacturers, “Do Deming or Die,” takes on new meaning in US healthcare. He said the retail and auto industries have shown that “quality drives down costs.”

James Harris is president of Westside Public Relations.


It Takes One Bad Apple…
By Fernando Martinez, PhD, FHIMSS

11-14-2012 6-40-38 PM

I recently hosted an information assurance webinar that focused on security and audit and control functions that are frequently overlooked by healthcare organizations. In order to establish the appropriate context for the discussion, I began by reviewing notable trends and statistics regarding experiences around data security in the industry.

For example, in recent years, almost 21 million patient records have been implicated in reported breaches of electronic protected health information (ePHI). The statistics included a brief review of civil and criminal penalties for HIPAA-related violations which apply to covered entities and business associates alike.

Although the primary industry and regulatory focus has been on covered entities such as providers and healthcare organizations, compliance expectations have also matured and expanded to now include business associates. While business associate agreements are by design typically an affirmation that the business associate agrees to comply with some degree of security and related controls, not until recently have audits been directed specifically to business associates. The expectation is that the business associate has the same level of accountability as the covered entity when it comes to safeguarding ePHI.

Although it seems that some of the impetus for the heightened focus on business associates is related to consumer complaints about HIPAA violations or perceived violations, it is safe to conclude that regulators recognize the need to audit business associates simply because a relationship exists with one or more covered entities. Business associates are expected to conform to the same level of HIPAA compliance as covered entities where applicable, which in turn suggests that a properly designed, executed, and monitored management program must be in place by the business associate.

At the annual NIST/OCR conference held in June 2012, several presentations reinforced the point that a dedicated focus is going to be directed toward business associates. Evidence of this heightened focus is demonstrated in a Wall Street Journal article which appeared late July 2012. A complaint was initiated by the Attorney General of Minnesota directed at a service provider that was implicated in a security breach associated with patients from two local hospitals. The article reported that without admitting to any of the allegations, the service provider agreed to settle out of court. The terms of the settlement speak to the significant risk of not adequately managing compliance with security and privacy standards.

The settlement included the following terms:

  1. The provider will pay $2.5 million to the state of Minnesota as part of a restitution fund to compensate patients
  2. The provider must cease operations within Minnesota for a two-year period (the company voluntarily decided to cease operations in the state)
  3. If the provider wants to do business within Minnesota after the two-year exclusion period, it must first obtain the consent of the state’s Attorney General

The fallout from the incident also resulted in the resignations of several of the provider’s executives, the loss of an estimated $20-$25 million in projected annual revenue, and a 56 percent drop in the stock price of the company.

Fernando Martinez, PhD, FHIMSS is national practice director, enterprise information assurance at Beacon Partners of Weymouth, MA.


The Seven Most Important Soft Skills for Healthcare IT Consultants
By Frank Myeroff

11-14-2012 6-47-34 PM

Google “soft skills” and you’ll find that they are defined as the cluster of personality traits, social graces, communication, language, personal habits, friendliness, and optimism that characterize relationships with other people.

While soft skills are a fairly new emphasis in healthcare IT, today’s job candidates and project consultants are either landing or losing positions based on them. Healthcare IT hiring managers regularly ask me about our consultants’ soft skills and consider them as important as their occupational and technological skills.

Therefore, in the event you are interviewing people or even currently seeking a new healthcare IT position yourself, you will need to understand or even demonstrate that there are a number of the soft skills required to be successful on the job. So my best advice to you — get in touch with your soft side and hone these skills quickly!

With that in mind, here are seven top soft skills considered vital for healthcare IT consultants:

  1. Excellent communication skills. Emphasis is being placed on IT professionals who are not only articulate, but who are also active listeners and can communicate with any audience. Good communicators are able to build bridges with colleagues, customers, and vendors.
  2. Strong work ethic. Organizations benefit greatly when their people are reliable, have initiative, work hard, and are diligent. Workers exhibiting a good work ethic are usually selected for more responsibility and promotions.
  3. Positive work attitude. Wanting to do a good job and willing to work extra hours is highly valued. In general, a person having a positive work attitude is more productive and is always thinking how to make things easier and more enjoyable. Plus a positive attitude is catchy.
  4. Problem-solving skills. Today’s businesses want IT professionals who can adapt to new situations and demonstrate that they can creatively solve problems when they arise. To be considered for a management or leadership role, problem-solving skills are a must.
  5. Acting as a team player. Clearly a worker who knows how to cooperate with others is an asset. They understand the importance of everyone being on the same page in order to achieve organizational goals.
  6. Dealing with difficult personalities. Businesses want people who are capable of handling all types of difficult people and situations. Healthcare IT workers who succeed in this area are in great demand.
  7. Flexibility and adaptability. The business and IT climates change quickly. Job descriptions are becoming more fluid. Therefore, professionals who are able to adapt to changing environments and take on new duties are becoming more valued in the workplace. Those who rely on technical skills alone limit how much they can contribute.

The importance of soft skills in a healthcare IT environment cannot be stressed enough. Healthcare organizations link them to job performance and career success. Having the right soft skills mean the difference between people who can do the job and those who can actually get the job done.

Frank Myeroff is managing partner of Direct Consulting Associates of Solon, OH.


My View from the Other Side
By Vendor Nurse

I have worked in and around the vendor world for about 13 years now. But last month was my first experience as a patient in a practice just going live on an EMR (Greenway). In one day, I experienced two doctor visits. Both had recently adopted an EHR.

The first was a dermatologist using Greenway. My appointment was at 1:00 p.m. I arrived a bit early, was asked to fill out several pages of forms, including patient registration forms, PMH, ROS, etc. I was called back to the front desk window four times to answer questions about race and ethnicity, insurance, and I forget what else.

My nurse (MA, really) finally took me back to the exam room at 1:35 p.m. and started to ask me all the questions I had just filled out. When I said, "It’s all on the forms," she said, "I know, but I have to ask you anyway." As she typed into the laptop, she sat at a diagonal but did not face me or make much eye contact and seemed more interested in entering the documentation than me. Of course, I get that, but geez it didn’t feel good.

The second appointment was with my PCP for URI symptoms. They are a major academic healthcare center and are going live on Epic (who isn’t?)…their third EMR! This doc was a little more fluent with an EMR, but sat with her back to me the whole time. She handed me a patient care summary and e-prescribed my medications, but forgot to print the referral for a mammogram.

Somewhere during that visit I was given information about the patient portal, which I had been waiting for a long time. As it happened, I had a couple of questions come up within the week and absolutely loved being able to send a message and get a response within an hour or two. This rocks! No more automated phone messages that go on so long I can’t even remember why or who I called.

Anyway, just thought I’d share my personal experience with EHRs. I have to say it will help me as I work with other physicians going live on their EHR.

CIO Unplugged 11/14/12

November 14, 2012 Ed Marx 16 Comments

The views and opinions expressed in this blog are mine personally and are not necessarily representative of current or former employers.

Reach

I arrived early to the bar. A bit after five, I was sipping merlot as my first guest arrived. We’d never met.

In fact, I’d never met any of my guests. I had found their contact information a few weeks prior and fired off an e-mail invite. I had no idea who, if anyone, would show. We had little in common, so what should I expect from them?

Our connection? Their CEOs sat on the board of my healthcare system.

I was totally rookie my first year as CIO. My first leadership endeavor was the selection and deployment of an electronic health record. What did I get myself into? I had to guide us through the biggest transformational challenge in the 140-year history of our organization. No pressure!

The guests I had invited all showed. We moved to our private dining room. I was now sitting with seven Fortune 250 CIOs.

I asked them for advice. Although they couldn’t relate specifically to the challenge of the EHR, they had significant experience in other transformative enterprise projects such as ERP. I wanted and needed to learn from their experiences.

Yes, experience is a decent teacher, but other people’s evaluated experience is even better. I had no margin, time, or grace to learn on the job. Unbeknownst to them, they were my lifeline.

The modest dinner cost delivered significant returns. I gleaned more that evening than I ever could have from a library or from endless webinars. I applied their golden nuggets of wisdom and avoided common pitfalls inherent to enterprise projects. Their willingness to share below the surface launched my organization and team down the track of success.

Moreover, these relationships are as important today as they were 10 years ago. Yes, I have maintained these connections. I recently met my friend Tom Lucas (Sherwin-Williams) for breakfast at the Society of Information Management national meeting. Just as I had back in Cleveland, I peppered him with questions, listened, and learned. I needed to talk with someone outside of healthcare, and Tom was there for me.

What I’ve learned: the more I reach out, the more goals I achieve.

I want my direct reports to have similar interactions with their non-healthcare peers. In a post two years ago, I shared how my team routinely collaborates with non-healthcare companies. This summer, we met with the IT leadership team of Kimberly-Clark. The meeting was pretty amazing, at least for us. We shared strategies, challenges, ideas, and opportunities. We commiserated and consoled.

In complete learning mode, I asked questions and took notes throughout the day. I was absolutely humbled. As a result of this interaction, we adopted many of their leading practices, including the following:

  • Launching an internal mentoring program
  • Deepening our mobile strategy and consumer-centric apps
  • Developing a more robust communications capability
  • Optimizing our business intelligence

I was schooled and happy. But I have to admit my remorse over the fact we received more than we gave.

Secondary benefits continue: relationships. We have now expanded our network to three non-healthcare companies. My direct reports are genuinely acquainted with their peers in these organizations. They have friends they can call on to give them fresh perspective and to help elevate their capabilities and performance.

Healthcare IT lags behind other industries such as financial services, entertainment, logistics, and retail. This is one way we are closing the gaps.

What I’ve learned: reaching out turns weakness into strength.

What are your approaches to identifying and closing your technology gaps? Find a company you admire and reach.

Post a response and I’ll send you the generic agenda we use for these peer-to-peer meetings.

Ed Marx is a CIO currently working for a large integrated health system. Ed encourages your interaction through this blog. Add a comment by clicking the link at the bottom of this post. You can also connect with him directly through his profile pages on social networking sites LinkedIn and Facebook and you can follow him via Twitter — user name marxists.

HIStalk Interviews Seth Henry, Founder and CEO, Arcadia Solutions

November 14, 2012 Interviews Comments Off on HIStalk Interviews Seth Henry, Founder and CEO, Arcadia Solutions

Seth Henry is founder and CEO of Arcadia Solutions of Burlington, MA. The company announced Wednesday that it has been acquired by private equity firm Ferrer Freeman & Company and Arcadia’s senior management team.

11-14-2012 7-24-34 PM

Describe what Arcadia does and why it was time to bring in a new investor.

Arcadia is built on the premise that healthcare must do three things: bend the cost curve, change the incentives and payments to focus on outcomes, and connect and integrate disparate systems with IT.

To that end, Arcadia is focused on being the leader in helping the ambulatory market successfully adopt, integrate, and make decisions with IT. We believe this part of the market — where 46 percent of the care is delivered — has not been addressed by the IT vendor community while the main focus has been on “wiring” hospitals.

The changes in the overall system are driving health system executives to address the IT needs in the physician and ambulatory marketplace. To help with this initiative, Arcadia provides comprehensive services implementing, optimizing, and providing strategic decision support to this market, focusing on larger systems and aggregators.

Arcadia has established a proven track record and loyal customer base in the northeast US. However, we have reached a point where it would be helpful to work with a growth partner with deep experience in healthcare and health IT who could help drive an aggressive national expansion plan combined with a continued investment in forward-looking offerings for customers. FFC is that partner.

We’re also excited to have their senior management team join our board of managers, which includes Carlos Ferrer, David Freeman, and Ted Lundberg of FFC as well as Jim Crook, a healthcare IT industry veteran who was CEO of IDX Systems when it was sold to GE Healthcare for $1.2 billion, who will help us drive this strategy.

Ferrer Freeman & Company has been an investor in several healthcare IT related companies that were acquired by large entities, including PHNS (now Anthelio), Vitalize Consulting Solutions, and Webmedx. What do they bring to the table to enable the next level of Arcadia’s growth?

In addition to growth capital, FFC provides a deep understanding and strategic focus on the business of healthcare, having invested in more than 35 companies exclusively in this market. They have a broad network of senior executives in Arcadia Solutions’ target marketplace who have been very engaged in the direction of the business. They also have a committed partnership with management that is passionate and involved in the direction and growth of the company.

How has the company’s business changed over the years since HITECH went into effect and how do you see it changing in the next few years?

We do not see HITECH as the primary driver of the business. Our firm’s direction of focusing on measurable adoption and aligning IT with cost and quality was well established before HITECH was conceived and our rapid growth preceded HITECH.

While we think HITECH is directionally correct and consistent, it is not a primary reason our customers buy from us. Our customers in general have a broader purview and mission with respect to transforming healthcare with IT and this is reflected in our consistency of offerings and performance pre- and post-HITECH.

Arcadia has been involved with 2,500 EMR implementations in physician practices. What are the most important trends you’ve observed that you have incorporated into the company’s strategy?

We believe the industry in general has focused too much on the technology aspects and not nearly enough on the people. As a result, the definition of “done” is when the systems are live. Our definition of “done” is when the data in the system has reached a certain level of quality.

We also believe very strongly — and our data confirms — that the technology chosen can have very little to do with the ultimate results in terms of better performance, more efficiency, and happier physicians.

Scarcity of specifically trained resources and tight timelines driven by HITECH have created a healthcare IT consulting boom, which has in turn led to several high-dollar acquisitions. How do you see the healthcare IT consulting market playing out over the next 5-10 years?

As with all markets, there will be highs and lows, winners and losers. Our strategy is to stay laser focused on providing services with proven and measured value and results while building a great company in the process. The rest will take care of itself.

We are very confident that the healthcare market faces a very long road in getting completely wired and connected with IT and adapting and optimizing the business and delivery model in parallel. I have not met anyone close to this problem that thinks that HIT is not a growth market for 10 more years.

Comments Off on HIStalk Interviews Seth Henry, Founder and CEO, Arcadia Solutions

Morning Headlines 11/14/12

November 13, 2012 Headlines Comments Off on Morning Headlines 11/14/12

HITPC Stage 3 Request for Comment

ONC issues a request for public comment on Stage 3 Meaningful Use rules.

Carlyle, Blackstone, TPG bid for Allscripts

Three private equity firms have submitted second-round offers but there is no guarantee of a deal as Allscripts asks for a significant premium over its current trading price.  

Cerner Receives FDA Clearance for Mobile Fetal Monitoring Solution

Cerner receives FDA 510(k) pre-market clearance for its Cerner FetaLink+ mobile fetal monitoring solution.

Texas Hospitals Select Healthland Centriq for Complete Electronic Health Record Solution

Medina Regional Hospital (TX), Red River Regional Hospital (TX), Ward Memorial Hospital (TX), and First Street Hospital (TX) choose Healthland Centriq, adding to the company’s total of more than 70 rural Texas hospital customers.

HHS announces first external class of the HHS Innovation Fellows Program

Six fellows will spend the next 12 months working with HHS on national projects including: accelerating clinical quality measures for ACA, building a more resilient health technology infrastructure to withstand natural disasters, and a national organ transplant tracking system.

Comments Off on Morning Headlines 11/14/12

News 11/14/12

November 13, 2012 News 7 Comments

Top News

11-13-2012 5-20-42 PM

ONC releases the draft of the proposed Stage 3 Meaningful Use rule.


Reader Comments

11-13-2012 12-52-14 PM

From Minnie Mouse: “Re: NextGen User Group meeting. Over 4,400 attendees have descended on five Disney resorts in Orlando.” The NextGen folks sent over a few pics and we are running a Twitter feed box with meeting updates. The company honored the winners of its innovation awards Monday evening, which included the Flemington, NJ-based Hunterdon Healthcare Partners (above) as Grand Champion. Attendees tweeted positive comments about the food, the presenters, and the enhancements being previewed.

From SideWays: “MyWay contract. Will Allscripts let MyWay users out of their contract if they choose not to migrate to Allscripts Professional?" We’ve asked Allscripts for clarification.

From Peter Potamus: “Re: Allscripts. John Gomez has been consulted by some PE companies asking for guidance and insight into MDRX, and possibly the idea of his returning as CEO. He is getting tremendous pressure to step up, take the helm, and reinvent the company as he did during his early tenure at Eclipsys. I wish he would take it on, but so far he has been resistant. In the Sunrise XA days, he galvanized the client base, rallied the employees, and delivered all he said he would, inventing the App Store, Helios, Objects Plus, and much more.” I’m going to keep my response guarded since Allscripts is publicly traded. I have reason to believe that one or more of the PE companies with an interest in bidding for Allscripts may have approached John for advice that may or may not have included discussion of a possible role if the acquisition moves forward. That’s hardly surprising – if I were a PE guy, l would be calling up departed executives such as John, Jay Deady, Phil Pead, Bill Davis, and maybe even John McConnell for an arm’s length opinion about what they think needs to change to make the company successful. They could also read the advice of the HIStalk Advisory Panel. Or yours, if you’d care to leave a comment – I have a lot of readers who are VCs, equities analysts, etc. so make me proud by showing them how insightful you are.

11-13-2012 6-13-43 PM

From Stock Doctor: “Re: cartoon. Thought this was amusing.” I like it.

11-13-2012 7-51-34 PM

From Country Lane: “Re: Geisinger. I’ve heard rumors that they will release a commercial product aimed at the ACO market.” Geisinger Consulting Group offers software-related services, but I don’t know if the health system is selling software directly. It doesn’t seem like their core competency, but that doesn’t mean they aren’t doing it.

From G.E. Smith and the SNL Band: “Re: GE Healthcare IT. Layoffs coming, the third large one this year. The Centricity Business line is rumored to be heavily impacted again. Software development for various imaging product lines will likely also be cut. Tragic for employees, unfortunate for customers. In any competitive industry, failure to innovate=death. In this case, GE Healthcare has chosen assisted suicide at the hands of Epic and other more agile competitors.” Unverified.

From Fly on a Wall: “Re: GE Healthcare IT. Rumor has it they’re dumping people (layoffs Wednesday) and capital to prepare for a potential acquisition of a large healthcare IT company that McKesson was rumored to be acquiring last week.” Unverified. The subjects of the McKesson rumor that appeared here were athenahealth and Greenway. Monday’s stock market action gave no hints that ATHN is in play (shares were down in a down market), but GWAY shares rose 2 percent on no news other than a management overview. That’s interesting, but probably means nothing.

11-13-2012 6-12-31 PM

From HITEsq: “Re: American Hospital Association. They’re very litigious, with dueling complaints filed in federal court with SSI Group. SSI Group seeks declaratory judgment that the UB-04 codes are not valid copyrights or that any protection ‘is extremely thin.’ AHA filed suit against SSI Group for copyright infringement.”

From Karl Marx Brothers: “Re: ONC. It would seem like a good time to look at the return on investment of ONC. In 2009, this office had a budget of $67 million. I am told that in FY 2012 the budget was over $2 billion. While I understand some increase was needed, this seems excessive in a time where a balanced budget is becoming increasingly important. Do we really need masses of beltway bandit consultants working on HIE interoperability issues, such as communicating lab results, that were solved 10 or more years ago?” According to FY2013 budget documents from February 2012 (the only documents I found), ONC requested 191 FTEs and $66.3 million for 2013, up $5 million from 2012.

From EpicBuzz: “Re: HCA. One HCA hospital went live on Epic earlier this year and now Epic is quietly assembling an implementation team to begin rolling out more facilities. Can they be successful with this huge win? As a former Epic employee, they already seemed stretched to meet customer needs – I was working 70+ hour weeks when I left. This large of a commitment will be a test of their strength for sure.” HCA hasn’t confirmed plans for further Epic rollouts beyond the pilot, or at least the several HCA people I asked said they didn’t know anything about it. Epic is the only vendor that has demonstrated an ability to rapidly ramp up without apparently loss of quality, but HCA has a couple of hundred hospitals and that would indeed provide the ultimate test of turning thousands of brand new liberal arts grads into healthcare IT experts via a short company training program. I don’t think the already-stretched Epic-certified talent bank can even begin to handle a multi-year HCA rollout if it happens, so that probably means a salary war to lure people over. That might throw some disarray into Epic’s carefully managed centralized contractual control over people seeking new opportunities without a waiting period. I don’t have enough fingers to count the percentage of US patient volume that Epic will have if indeed it does land the HCA whale. 

11-13-2012 7-54-51 PM
Photo: Michael Henninger/Post-Gazette

From Grizzled Veteran: “Re: UPMC. How is this possible?” UPMC reports Q1 revenue of $2.5 billion, up $39 million, but the real eye-opener is its $300 million net revenue swing from –$120 million a year ago to $180 million. Kaiser Permanente also turned in good quarterly numbers, with $12.7 billion in revenue vs. $11.9 billion and operating income of $561 million vs. $320 million. KP’s net non-operating income got a huge pop from investments, swinging from a $365 million loss last year to a positive $242 million in Q3.

From MadisonHIT: “Re: Dean in Madison. I’ve heard indirectly that they are laying people off and blaming Obamacare because 100 doctors are leaving because ACA doesn’t let them place patients first. Supposedly this is a nationwide occurrence since the election. Anyone hearing anything similar?” I haven’t heard that, but I’m all ears.


HIStalk Announcements and Requests

I’m running “Morning Headlines” early each weekday on HIStalk, a quick summary of the handful of most important news items you should know about. You won’t get an e-mail blast – just go right to the site. If you’re in a hurry or need a quick smartphone HIT news check while eating breakfast at your hotel, this is the place.


Acquisitions, Funding, Business, and Stock

11-13-2012 7-47-56 PM

A Reuters report quotes unnamed sources who say that three private equity companies placed bids last Friday to acquire Allscripts: Carlyle Group, Blackstone Group, and TPG Capital. The sources said that Allscripts is asking for a premium to the current share price and a deal isn’t guaranteed for that reason. It also said that Bain Capital declined to bid because of unreasonable price expectations and company management turmoil. Shares closed Tuesday at $12.32.

11-13-2012 3-55-50 PM

EarlySense Ltd., a maker of patient monitoring sensors, completes a $15 million Series E financing round.

11-13-2012 5-06-35 PM

Emdeon reports Q3 loss of $15.2 million, which represents a 341 percent decline over a year ago. Revenue was up 5.3 percent to $297 million. Emdeon attributes the loss to increased interest expenses and costs associated with the company’s acquisition by Blackstone a year ago.

InterSystems opens an office in Riyadh, Saudi Arabia to support its TrakCare EMR system.

QualComm Life announces availability of its cloud-based health device connectivity solution in Europe.


Sales

11-13-2012 3-57-14 PM

Lake Health (OH) selects Accelarad’s SeeMyRadiology.com imaging management and storage solution.

11-13-2012 3-58-22 PM

Orlando Health contracts with Phytel for its Atmosphere population management suite, including the Outreach, Insight, Coordinate, and Transition products.

11-13-2012 3-59-31 PM

Erie County Medical Center (NY) selects Merge Healthcare’s iConnect Enterprise Archive and iConnect Access for real-time access to images and information from Meditech.

Medina Regional Hospital (TX), Red River Regional Hospital (TX), Ward Memorial Hospital (TX), and First Street Hospital (TX) choose Healthland Centriq, adding to the company’s total of more than 70 rural Texas hospital customers.

Central Washington Hospital (WA) selects patient privacy monitoring tools from FairWarning.


People

11-13-2012 1-14-58 PM  11-13-2012 1-13-39 PM

Zynx Health announces that President and CEO Scott Weingarten, MD (left) has resigned to return to Cedars-Sinai Health System. He will be replaced by First Databank President Greg Dorn, MD (right), who will run both of the Hearst organizations.

11-13-2012 5-08-45 PM

Awarepoint names Vanguard Health Systems Vice Chairman Keith B. Pitts to its board of directors.

11-13-2012 3-50-41 PM

Apprio names H. Allen Dobbs, MD (HHS) CMIO.


Announcements and Implementations

McKesson renames Horizon Surgical Manager to McKesson Surgical Manager to convey that the product is not specifically tied to the Horizon product line.

FDA issues Cerner 510(k) pre-market clearance for its Cerner FetaLink+ mobile fetal monitoring solution for the iPad and iPhone.

Piedmont Healthcare and WellStar Health System (GA) create the Georgia Health Collaborative, a partnership which includes 10 hospitals and over 700 physicians. The organizations will remain independent, but will partner to share best practices and create innovations and cost reductions through economies of scale.

Intelerad will offer Nuance’s PowerScribe 360 voice-enabled reporting radiology system to customers of its imaging solutions.

Galaxy Health Network will offer its 400,000-member physician network iMedicor’s SocialHIE, a NHIN Direct-powered secure messaging service that the company calls “the social network for healthcare professionals.”

Steward Health Care System (MA) expands its use of Craneware’s Chargemaster Corporate Toolkit and InSight Audit across 10 hospitals.

Over 1,000 physicians across 422 practices have joined Michigan Health Connect and are using Medicity’s iNexx Referrals app.

The Upper Peninsula HIE goes live on ICA’s CareAlign CareExchange interoperability platform.

An article in the Sarasota newspaper profiles Voalte, including its $6 million in recent funding, the planned tripling of its headcount and physical space, and hints of major new sales in 2013. It says the smartphone hospital communications system vendor is doing $10 million in business annually. Sarasota Memorial Hospital nurses are sending 600,000 text messages and 6,000 telephone calls through the system each month.

11-13-2012 6-21-49 PM

Visage Imaging’s mobile viewing app has been enhanced to support the iPhone 5/iOS 6. It’s available in the Apple App Store.


Government and Politics

HHS announces the first class of the HHS External Innovation Fellows, who will spend the next six to 12 months building systems and infrastructure to solve such issues as the acceleration of clinical quality measures for the Affordable Care Act, building technology to withstand natural disasters, and devising electronic tracking and transport systems for the national transplant system. 


Innovation and Research

11-13-2012 8-20-34 PM

A Detroit TV station covers research commercialization at University of Michigan, including a profile of real-time patient monitoring software vendor AlertWatch. AlertWatch, used by UM Hospitals and awaiting FDA marketing approval, was developed by a UM doctor who also invented the pulse oximeter.


Other

The president of New York’s public hospital system says it will cost more than $300 million to repair damages from Hurricane Sandy. Full restoration of the hard-hit Coney Island and Bellevue Hospitals will take two to three months.

Here’s a time lapse video of the audience filing in for Monday’s opening session at NextGen UGM 2012 in Orlando.

11-13-2012 9-04-34 PM

London-based Future Lab Group launches the FlipPad, a medical grade, ruggedized case for the iPad that’s being piloted in several NHS hospitals.

11-13-2012 8-15-46 PM

Bart Harmon MD, chief medical officer for Harris Healthcare Solutions and former Military Health System CMIO, writes a Forbes Veterans Day editorial on the use of healthcare IT to deliver care “both in the field and when they return home.”

In Greece, several hospitals lose their connection to the outside world when protesting students break into the data center and disable servers.

Employees and patients of Cincinnati Children’s Hospital create a video dubbed to Flo Rida’s “Good Feeling.”

Steve Sinofsky, the president of Microsoft’s Windows division and one-time CEO heir apparent, is leaving the company just a few weeks after the launch of Windows 8.

11-13-2012 8-44-49 PM

Guaranteed doctor blood pressure raiser: Lawsuit Settlement Funding Company hires a marketing company to help it find medical malpractice victims. The company offers malpractice plaintiffs quick-approve loans of up to $250,000 as an advance against their potential court winnings.

The son of a woman who died after knee surgery at a Massachusetts hospital files a HIPAA complaint, saying that rounding students visited her room without the family’s permission. He also tries to file homicide charges against the hospital and doctors, but police said it’s a civil matter. The son’s song tribute to Fenway Park is played before Red Sox home games, while his mother starred in the song’s video along with William Shatner just before she died.

11-13-2012 8-49-34 PM

One Medical expands to Boston, offering concierge medicine for $199 per year whose consumer-friendly experience includes online appointments and e-mail contact with physicians. Unlike most organizations of that type, they accept insurance.

11-13-2012 3-17-10 PM

inga_small A Chinese man sues his former wife after she gives birth to an “incredibly ugly baby.” He initially accused the mother of having an affair since the baby did not resemble either of them, but later found that his wife’s beauty was due to the $100,000 in plastic surgery she had prior to their marriage. The judge ordered the woman to pay her ex $120,000 for tricking him into marrying her. I hope she hits up the plastic surgeon for a loan in exchange for all the free publicity.


Sponsor Updates

11-13-2012 6-06-25 PM

  • Transplant solutions vendor OTTR Chronic Care Solutions exhibited at last week’s National Marrow Donor Program conference in Minneapolis. That’s Joy Nock above.
  • Five care management solutions providers featured in a recent market report use consumer health education tools from Healthwise.
  • Versus offers a Webinar  that highlights the use of Versus RTLS by Northwest Michigan Surgery Center.
  • MedHOK enhances its care management, quality, and compliance system by incorporating HTML5.
  • Informatica introduces Cloud Winter 2013, which includes enhancements in master data management and end-user integration.
  • Prognosis Health Information Systems will integrate Health Language’s provider-friendly terminology and Language Engine into its EHR suite.
  • Frost & Sullivan recognizes Humedica for its innovative approach to clinical data analytics and the value it provides to clients.
  • Emdeon exhibits its Edge payment solution suite and offers educational sessions during this week’s National Health Care Anti-Fraud Association conference in Anaheim, CA.
  • T-System’s VP of Revenue Cycle Management Compliance Greer Contreras discusses the value of relevant clinical documentation to ensure proper reimbursement in a guest article. 
  • UK HealthCare (KY) licenses Vendor Selection, Systems Implementation, and Program Management Methodologies from Fulcrum Methods.
  • Merge Healthcare updates its Merge Eye Care PACS to support video and the DICOM OPT standard.
  • The Nashville Chamber of Commerce and Entrepreneur Center recognizes Cumberland Consulting and Emdeon with 2012 NEXT awards for their significant growth in revenue and employees.
  • BridgeHead Software’s file archiving data and storage management systems for PACS is successfully tested by Fujifilm.
  • The Huntzinger Management Group streamlines its services offering to include RCM offerings from both its Advisory Services and Managed Services segments.
  • CareTech Solutions introduces CareWorks, an out-of-the-box content management system for smaller hospitals.
  • Brad Levin and Malte Westerhoff, PhD of Visage Imaging were featured in an Imaging Biz article called “The High-performance, High Speed Enterprise Viewer.”
  • Worcester Business Journal awards eClinicalWorks top honors for its employee rewards and recognition.

Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

More news: HIStalk Practice, HIStalk Mobile.

Morning Headlines 11/13/12

November 13, 2012 Headlines Comments Off on Morning Headlines 11/13/12

Zynx Health President/CEO Scott Weingarten resigns 

Zynx Health announces that President and CEO Scott Weingarten has resigned and will be replaced by First Databank CEO Greg Dorn, who will run both of the Hearst organizations.

Less Than a Month After Launch, Windows 8 Head Steve Sinofsky Departs 

Steve Sinofsky, president of Microsoft’s Windows division and rumored favorite to eventually replace Steve Ballmer as CEO, departs unexpectedly amid rumors of a deteriorating relationship with the executive level.

VA head envisions big improvements in backlog 

VA Secretary Eric Shinseki reports that problems integrating the Department of Defense and VA electronic health records systems, which caused a massive backlog of health benefits claims, have been resolved.

Healthcare provider attitudes towards the problem list in an electronic health record: a mixed-methods qualitative study

Harvard study recommends defined policy on using problem lists, finding that their use is incomplete because physicians don’t necessarily agree on what they should contain for specific cases and who should be responsible for maintaining them.

 

Comments Off on Morning Headlines 11/13/12

Curbside Consult with Dr. Jayne 11/12/12

November 12, 2012 Dr. Jayne Comments Off on Curbside Consult with Dr. Jayne 11/12/12

clip_image001

Bianca Biller and I recently traveled to a continuing education seminar out of town. Although the trip started out as a lot of fun (the flight attendant actually asked me for ID before allowing me to have an adult beverage), it quickly turned dark as we began discussing the challenges faced by ambulatory physicians.

Once again, there is a looming Medicare pay cut. Although Congress has overruled this annually since 2003, it’s nerve wracking to face the medical practice equivalent of the Fiscal Cliff. Based on our recent election cycle, I don’t have a lot of hope for a permanent fix any time in the near future.

Providers who haven’t yet gotten with the program are starting to see their e-prescribing penalties become reality. Although this shouldn’t be a surprise, physicians are still grumbling and generally behaving badly.

Bianca is seeing an increase in prepay audits for high level visit codes – claims are processed and denied (who doesn’t love a zero payment?) with a reason code that requests records. For physicians who don’t have savvy billing staff paying close attention to the reason codes, this could be a problem. Payers have different time limits for receiving the supporting documentation – the clock is ticking, so it’s key to be aware of the different requirements.

This is almost certainly fallout from the transition to HER. At least in our organization, providers are actually billing for the work they do and document instead of under-coding as they have been for more than a decade. It’s sad that this is perceived as potential fraud instead of a move to capture more accurate billing.

Although we’ve started to see some recovery in office visit numbers (which have been nationwide the last several years) the holiday season is upon us, which usually results in a downturn in productivity. Although patients have met their deductibles they’re busier and have less time to be seen for non-emergent issues. This is also the time when physicians and staff tend to take vacation, which can lead to increased charge lag. It’s important to make sure documentation is done and charges are billed to keep cash flowing into the New Year.

The “usual suspects” of ACO, PCMH, and ICD-10 continue to be wolves at the door. Hopefully your house is made of bricks rather than straw and you have your plans shored up to be compliant with the different nuances of each program.

There is one ray of sunshine on the horizon. Medicaid rule CMS-2370-F increases Medicaid reimbursement rates to equal Medicare for key specialties: primary care, general internal medicine, family medicine, and pediatrics. Although positive, it’s both a slap and a kiss in some markets where Medicare payments lag far below commercial.

Ultimately the trip was good, the weather was sunny, and we actually learned quite a bit at the conference. We also had time to discuss our projects and goals for the next year, which we never get to do at the office despite being in countless meetings together. Here’s to good friends, strong teams, and another year in healthcare.

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E-mail Dr. Jayne.

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HIStalk Interviews Janet Dillione, EVP/GM, Nuance

November 12, 2012 Interviews Comments Off on HIStalk Interviews Janet Dillione, EVP/GM, Nuance

Janet Dillione is executive vice president and general manager of the healthcare division of Nuance Communications.

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How do Nuance’s recent acquisitions of Quantim and J.A. Thomas and Associates tie in with the company’s long-term plans?

For long-term plans specific to the Healthcare Division, we are quite interested in having a positive impact on clinical documentation, especially bridging the world between the clinicians and what you could call the administrative processes of healthcare. That crosswalk, if you will, from clinical documentation to CDI to reimbursement.

I think we are fortunate we have quite distinctive technology to help here. Along with speech, we have our clinical language understanding technologies. We think we are in a unique position to help. As I always like to say, we are morally compelled to leave it better than we found it, so let’s get in here and take a look at these processes and the software and the support and then let’s try to have a positive impact here and help the customers.

 

Earlier this year, Nuance partnered with 3M for computer-assisted coding. How is the J.A. Thomas acquisition going to impact the relationship with 3M?

3M and Nuance will remain partners. This is not unusual for Nuance. We’ve done this across other lines with businesses like radiology, where we’re both probably called a full-stack workflow provider as well as a technology provider. We are quite comfortable doing that. We’ve done it before and we’ll continue to do that. Right now, there will be no changes.

 

In addition of Quantim and J.A. Thomas, earlier this year Nuance acquired Transcend, which had purchased Salar. What overlaps, if any, do you see with these products?

Transcend for us is very much about an expansion and an extension into the mid-market. We have a channel strategy that’s really a customer-based expansion, a mid-market expansion with our traditional transcription line of business, great KLAS scores, great customer reputation, great customer relationships. It is really about that. 

The Quantim and the J.A. Thomas acquisitions are about filling out that clinical documentation support, which we can then take into that broader Nuance customer base. Transcend was absolutely about getting a great brand and a great customer base and that has had success. These latest two were really about clinical documentation expansion with the CDI.

 

I understand that there is quite a bit of development work that is still being done on the Quantim CAC offering. What is the timetable for completing that product?

A good amount of work has already been done. There is development and different types of work and some building up of content and knowledge. The other part is really doing some of the underlying plumbing, sort to speak.

The Quantim team had done quite a bit on the knowledge and the content side of it, so we have a very aggressive plan to be in market. We have product in the market now with Quantim and we’ll continue that and will have further releases the end of the year and early next year. We adapted some of the changes with what we believe is an uplift in technology. The developers are working together on this and have been working on this already for quite a bit. We have a very good idea of exactly what has to happen. We’re very positive about what we need with this one.

 

Do you anticipate that any of the other Quantim products will be retired or changed substantially now that they’re under your wing?

With Quantim, we’re looking at what they have available for coding and CAC and compliance and reporting modules. We think all of those are well suited. There is some integration work we’ll do, especially in some of the reporting, but we actually feel that in most areas there’s no overlap. It’s not part of the integration plan and it wasn’t part of the due diligence.

We don’t see overlap. We see net new. We actually said this throughout the acquisition plan. This is all about going forward and there’s not a lot of the reverse energy, so to speak.

 

We understand that MModal may have had some type of relationship with Quantim for CAC. Any plans to maintain that agreement?

I would hate to speak for MModal for any prior agreements, but the CAC solution in the market will be with Nuance technology.

 

Nuance has been continually diversifying its offerings. Do you see any plans to move into the HIS or RCM world?

[Laughs] Right now we are very focused on providing a unique value-added solution into this very complex world of CDI and clinical documentation and CAC. We’ve made quite an investment here and throughout the market. We’re going to be very focused for quite a while making sure we get these solutions out to the customers.

 

Any additional comments?

I have been here two years. It’s been great. We are blessed. We have fantastic customers, a phenomenal customer list. Great loyalty with our customers, great trust, which is fantastic. We take it very seriously.  

We didn’t make these extensions, these decisions, lightly. We have a brand that we are very conscious of. We think that this is a space where we can add value. We are excited about it.

I was at AHIMA for three days. I was quite frankly really pleased with the market reaction. Customers coming up and saying, “Great, I get it.” It’s so great when we do something that’s significant and have customers say, “I get it. Wow! I get it. That makes perfect sense.”

That was very validating. These are smart people who have been in this space for years, so it’s helpful when you get that kind of a market reaction. That validates the long hours working into the night.

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HIStalk Advisory Panel: Recent Vendor Experiences 11/12/12

November 12, 2012 Advisory Panel 5 Comments

The HIStalk Advisory Panel is a group of hospital CIOs, hospital CMIOs, practicing physicians, and a few vendor executives who have volunteered to provide their thoughts on topical industry issues. I’ll seek their input every month or so on an important news developments and also ask the non-vendor members about their recent experience with vendors. E-mail me to suggest an issue for their consideration.

If you work for a hospital or practice, you are welcome to join the panel. I am grateful to the HIStalk Advisory Panel members for their help in making HIStalk better.

This month’s question: Have you had notably good or bad experiences with a vendor lately or worked successfully with a small or little-known vendor that deserves exposure?


Allscripts

11-10-2012 5-48-44 PM

Notably bad experience:  we do pay considerable software and maintenance fees to Allscripts. Typically, software and maintenance fees include either "free upgrades" or minimal costs. We’ve just been told by Allscripts that to move from their MU product (11.2) to MU stage 2/ICD10 functionality (11.4), the cost for the upgrade will be six figures! Not sure if any other vendor in the ambulatory space is priced like this, but it seems pretty steep!


Aspen Advisors

11-10-2012 6-27-19 PM

Aspen Advisors is not a household name in HIT consulting and has also done great work for us. Outstanding practice leadership, strategic advice, senior PMs and analysts, and high integrity. Not a body shop.


The Breakaway Group

11-10-2012 5-55-04 PM

The Breakaway Group.  They have come in and provided a very measurable training methodology that focuses on end user adoption.


Cerner

11-10-2012 6-22-34 PM

Cerner deserves enormous credit for working creatively with me to reduce our Cerner TCO, as well as modifying their products to meet some very unique aspects of care in our environment. In the eight years that I’ve worked with Cerner across two different organizations, Cerner has dramatically improved their culture of customer support and commitment. At one time, I thought my Epic customer service would never be surpassed, but in the last three years, Cerner met it and blew right past it, especially in terms of willingness to help optimize our current products and co-develop new functionality that was critical to my environment.

I’ve been working with Cerner for a few years now, and it’s looking like the competition from Judy has forced them to up their game quite a bit. They are headed in the right direction, albeit slowly and expensively.

My primary experience lately has been with our hospital’s EHR vendor, which is Cerner. On the software side, the product is still poorly designed and clunky with some clear flaws that impact safety and clinical decision making. But those things have been fairly constant for years so not really notable. However, I assume that "notably good or bad experiences" refers to the relationship to the vendor’s personnel and not to the experience with the product per se. The vendor sales group, mid-level and high-level liaisons have been very attentive recently. Our high-level administrators (as well as the entire clinical staff) was quite distressed with the vendor a few months ago when the remote hosting service had several lengthy unanticipated downtimes. Also, the vendor has been working with our administration on developing a rather significant ($$$) new contract. Based on past experience, I suspect that the level of attention will revert to baseline as the ink dries on the contract and the memory of the downtime disaster becomes distant.


Computers Unlimited

11-10-2012 6-20-42 PM

Had a nice experience on disputed after hours extra charges with the small vendor Computers Unlimited, related to their CPR+ product in the home medical, durable medical equipment space. We are starting to look more and more at vendors that want to charge extra to do support or maintenance work ‘after hours’, since in the healthcare systems, this should be the norm and not the exception for change management windows.


Craneware

11-10-2012 6-24-30 PM

The folks at Craneware produce an awesome suite of revenue cycle management products for a very reasonable price, backed by a great culture. They are quietly one of the best software vendors I’ve ever worked with and will become an increasingly important product line on the CIO’s radar screen as the industry transitions into P4P and value based purchasing.


DFB Consulting

11-10-2012 5-53-19 PM

We recently contracted with a firm called DFB Consulting to convert clinical data out of Allscripts Enterprise into Epic. They have quite a cottage industry in this area with so many customers switching. They did an outstanding job of something I thought was going to be a nightmare. 


Elekta

11-10-2012 5-34-50 PM

We have had a very difficult time with our medical oncology vendor Elekta recently. As a niche vendor in this space, there was hope that they would provide a strong clinician-focused product. However, they show a lack of change control that results in upgrades being very painful with many session crashes and system response time problems.


Emdat

11-10-2012 5-32-52 PM

Emdat, who I noticed recently became a sponsor. I’d give them a thumbs up even though we didn’t go with them. We decided it was too disruptive of a change for the physicians with everything else we’ve thrown at them recently.


Epic

11-10-2012 6-25-56 PM

We went live recently with Epic. They delivered what they promised and more, which I found refreshing and unique when compared to past experiences with Cerner, Allscripts, and Meditech.


Explorys

11-10-2012 5-26-20 PM

Explorys. We are in the implementation phase, but so far, wow. Best vendor experience I have ever had during an implementation.


Hielix

11-10-2012 5-27-28 PM

One vendor that I worked with and I have grown to love and respect as they have never stirred me wrong is Hielix. They have a plethora of experience under their belt and they like to think  of themselves as " the healthcare aggregator!" They deserve your attention and maybe even an interview.


iSirona

11-10-2012 5-39-47 PM

MModal and iSirona are two companies we’ve been working with lately. Both have been very positive experiences.


Make Solutions, Inc.

11-10-2012 5-58-09 PM

Make Solutions Inc. They supply tools and services geared to improve the transitions that end users go through with each new implementation. The tools assist with process-based testing and role-based curricula development.


MModal

11-10-2012 5-36-26 PM

MModal and iSirona are two companies we’ve been working with lately. Both have been very positive experiences.


Phreesia

11-10-2012 5-46-57 PM

I have used Phreesia as a consumer/patient in my MD’s office. They put Phreesia on the front end in the waiting room on top of their Allscripts system. They hand you an iPad and a stylus and you zip through updating any new
info, demographic, insurance info, medical changes, etc. As I walked up to the front desk to hand the front desk clerk my iPad, the door opened to the back and the nurse called me. I literally sat in the chair only for the time it took me to tap away on the iPad, probably 5 minutes, and then I was in the back getting my physical. Very easy to use, quick, and great integration to the EMR.


SAIC/Vitalize

11-10-2012 6-28-58 PM

Vitalize (now SAIC) supplied 20 Epic-experienced physicians mostly from Allina for at-the-elbow support for two weeks round the clock at our hospitals’ big bang. Wasn’t inexpensive, but the white glove treatment was well worth the investment.


Sayers

11-10-2012 6-17-38 PM

We’ve had some pretty positive interactions over the past few years with the company Sayers which would likely qualify as a "little known vendor." We have utilized their services to assist in our tech refresh for end user devices and a few other areas. They seem to provide a high value (low cost vs. services rendered) and their management has always been extremely responsive with rapid and satisfactory resolution to even the smallest of issues brought to their attention. I have particularly had positive experiences with John Kasser, Chris Martinez, and Joe Martinez at the management level in their organization.


Siemens

11-10-2012 6-36-51 PM

Siemens has shown great flexibility and willingness to work together, nice surprise


Siemens MobileMD

11-10-2012 6-33-02 PM

We are extremely impressed with MobileMD. First rate and affordable private HIE. They are highly ranked in KLAS and now that they have Siemens behind them the future looks even better.


TheraDoc

11-10-2012 5-42-32 PM

TheraDoc has continued to deliver for our infection control staff. Our organization has continued to exceed goals in the reduction of healthcare-acquired conditions. At some point we see this potentially moving to our overall EMR vendor suite, but TheraDoc continues to work very well and is a very mature solution compared to the enterprise vendor in this particular area.


Virtual Procurement Services

11-10-2012 5-50-52 PM

The only small and little known vendor that I’ve been so impressed with is the one I mentioned above who helps me with our maintenance and other purchasing negotiations, Virtual Procurement Services.



Vitera

11-10-2012 5-30-23 PM 

We are in the process of evaluating ambulatory EHR vendors for primary care clinics owned and operated by our organization. Vitera has been slow to respond throughout the entire process. I’ve expressed my disappointment in their lack of response but haven’t seen much change. They have a number of existing implementations in this area and the customers I’ve spoken with have expressed a decrease in service levels over the last year. They are obviously experiencing management issues, either from the surge
of sales due to MU payments or integration issues from their string of acquisitions (or a combination I guess).  Either way, I’m concerned about their ability to keep up with the rest of the pack. 


Zynx Health

11-10-2012 6-31-26 PM

After a somewhat rocky initial relationship, Zynx has really stepped up to the plate. They’ve taken a hand-on approach to getting our order set maintenance process back on track, committing a lot of consulting hours gratis to help compensate for our own lack of resources. We’ve been impressed with their willingness to go the extra mile on our behalf as they become more of a business partner rather than just a purveyor of content.


Morning Headlines 11/12/12

November 12, 2012 Headlines Comments Off on Morning Headlines 11/12/12

UnitedHealth deal draws concern

Sen. Orin Hatch raises concerns with HHS Secretary Kathleen Sebelius about the acquisition of an IT company that will help build the federal insurance exchange citing potential conflicts of interest.

Guilford business brings telemedicine to the workplace

Online diabetic consultations with physicians from Tufts University were provided to remotely located employees working for a Maine based wood products company.

Dalcon changes name to Amplion, adopts new hospital alert mission

Dalcom Communications Systems raises $3.75 million, changes its name to Amplion Clinical Communications and reinvents business mission to target clinical communications market.

Digital Health Entrepreneur Survey

A survey of health entrepreneurs identifies reimbursement, government, and Epic/Cerner as being the top three barriers to health innovation.

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Monday Morning Update 11/12/12

November 10, 2012 News 22 Comments

11-10-2012 8-48-39 AM

From Winston Zeddemore: “Re: EHR incentive program. Purely from the perspective of economic stimulus, by any measure, the EHR incentive program is a complete failure. After nearly four years since the bill was signed, they’ve paid out only a third ($8.36B) of the $25B set aside for EHR adoption.” Thanks to our recalcitrant and justifiably skeptical doctors for finally forcing government to stop making it rain like a defensive back in a strip club. Economically, we now know that EMRs are even a tougher sell than we thought – thousands of dollars in bribes still isn’t enough to convince doctors to spend more of the one resource they have (time) to benefit everybody but themselves. However, it’s fairly early in HITECH and the money is flowing freely now, so eventual success aside, your argument holds true – HITECH as a quick-jolt stimulus program hasn’t worked out, but for a positive reason — its intended recipients were held to high standards before the taxpayer-written checks were mailed out. That’s another good thing  – the biggest concern about a stimulus-funded EHR program was that it would move too fast, causing doctor headaches and possibly harming patients along the way because of shoddy implementations of historically poor-selling products as everybody elbowed their way to the feed trough. As distasteful as HITECH is to many (me included), it’s working better than many other ARRA-funded boondoggles.

From Geek Chic: “Re: open source code for integration. Have any of your readers used an open source engine for HL7?” Leave a comment if you can help our inquisitor. Readers have mentioned using the Mirth engine in the past.

From The PACS Designer: “Re: RIS-teria. TPD has coined a new name for problems surrounding radiology information systems. While a RIS does a reasonable job of scheduling patients for studies, it is less efficient in dealing with the subsequent information flow. With the increased demand for better information to improve efficiencies, the RIS is lagging behind other systems due to the lack of adequate application programming interfaces (APIs). RIS-teria results from department managements quarreling on where to place new API’s, and who is going to provide the necessary funding. One solution is to do an upgrade to a RIS/PACS from the same vendor who can provide the necessary API software to communicate with other systems.” 

From RIP_IDX: “Re: GE Healthcare. Significant layoffs coming to GE Healthcare in Burlington this week (probably Wednesday). Not sure if it is going to be limited to just the BTV office or across GE-HCIT. Rumor is Centricity Business will be hit hard. Haven’t heard if imaging (also based in Burlington) will be impacted. In a completely coincidental move, employees have been reminded of the corporate policy prohibiting them from talking to the media.” Unverified and hopefully untrue. We’re getting close to that Thanksgiving to New Year’s period where companies show their hand as desperate, cold, and clueless by sending employees packing during the holidays.

From MaxIT Numbers: “Re: MaxIT. Bought by SAIC for $473 million. Last quarter’s revenues were $52 million, or $208 million analyzed. That’s a buyout multiple of 2.3 times yearly revenue. How many consulting firms saw this number and are considering selling? Does this multiple seem off to anyone besides me? They must be generating huge margins at the expense of their customers.”

11-9-2012 7-24-43 PM

Two-thirds of respondents believe that patient empowerment and mobile apps can will change the healthcare system. New poll to your right, requested by a reader: what’s your general opinion of the College of Healthcare Information Management Executives (CHIME)?

Here’s my latest Spotify playlist in case you’re interested exploring new music (although some of the “new” music is actually old but little appreciated). Examples of what’s on it: Metric, Chevelle, Hammers of Misfortune, Fitz and the Tantrums, The Czars, Curved Air, Marmalade, Hole, and After Forever. It spans more than 40 years and several genres, connected only by the thin thread of my common appreciation.

11-10-2012 8-58-34 AM

Some nuggets from the Allscripts earnings call Thursday:

  • Glen Tullman said drastically reduced earnings were caused by prospects delaying decisions because of the rumors that Allscripts was trying to sell itself, and also because of clients were waiting for new product releases. Ambulatory sales were hurt by the acquisition rumors and MyWay announcement. Professional services revenue slipped due to fewer sales and upgrades, but maintenance revenue increased. He repeatedly referred to the sales-impacting issues as “noise.”
  • The company had one new Sunrise sale in the quarter. The buyer was a three-hospital, 214-bed system.
  • Reaction to the MyWay announcement was “pretty positive.” Glen declined to give the MyWay customer count, but said it’s in the thousands.
  • Glen: “You’ve got some old systems out there that are harder to connect and harder to upgrade, and you’ve got a slew of new technologies starting to hit the market. That’s when whole sectors change. I think that’s our opportunity.”
  • Allscripts hasn’t seen lengthening sales cycles in ambulatory as other companies have said they’re experiencing.
  • The company expects “the vast majority” of MyWay users to move to Professional by the October 13, 2013 signup deadline.
  • Glen: “I think this is a big focus for us whether it be analytics, whether it be care coordination, whether it be interoperability, connectivity, and mobility. All of those will absorb a higher and higher percentage of our R&D budget, which continues to grow. And we think that we will have significant advantage. Some of our competitors are locked into architectures that don’t allow for the kind of innovation that we can bring. And with our open ecosystem that we’re creating, with all the third parties starting to develop on that platform, we think we can extend significant competitive advantage as those folks developed for us.”

11-9-2012 8-51-22 PM

A survey of “digital health entrepreneurs” by venture capital firm InterWest finds that the top three barriers to healthcare innovation are reimbursement (27 percent), government (19 percent), and Epic and Cerner (14 percent). The heel-nippers may pout that well-established and successful vendors won’t voluntarily move out of their way, but they’re also envious: companies they wish they had founded include AirStrip, Castlight, ZocDoc, Epic, and Google. The graphic above is their prediction of which of their brethren will be the next to go public.

11-10-2012 7-45-23 AM

A wood products company becomes the first business in Maine to use telemedicine in the workplace, offering its diabetic employees video consultations with the co-director of the diabetes center at Tufts Medical Center. The program gives employees access to specialists who aren’t available in the company’s rural location and eliminates the high co-pays that most employees couldn’t afford.

11-10-2012 7-58-14 AM

Massachusetts-based hospital drug supplier Ameridose, a sister company to the compounding pharmacy whose products have been linked to a national outbreak of fungal meningitis, lays off its 800 employees as the FDA reviews the company’s sterility practices. The director of the Massachusetts Board of Pharmacy has been fired for failing to investigate a sterility complaint against the compounding pharmacy. It’s an interesting juxtaposition of headlines on Ameridose’s site (above).

11-10-2012 8-03-30 AM

Nashville-based Dalcom Communications Systems, which sells a wireless patient communication and nurse alarm system, renames itself to Amplion Clinical Communications after raising $3.75 million in financing to expand sales.

Sen. Orrin Hatch (R-UT) raises concerns with HHS Secretary Kathleen Sebelius that Quality Software Services, Inc., which was awarded a contract worth up to $145 million to create an eligibility system for the federal health insurance exchange, has since been acquired by Optum, part of UnitedHealth Group. QSSI’s annual sales were $13 million before the deal. The federal official overseeing implementation of the health insurance exchanges resigned in June to take an Optum EVP job.

11-10-2012 8-11-08 AM

Release of information vendor HealthPort merges with competitor Discovery Health Records Solutions. The Atlanta-area companies will operate under the HealthPort name. HealthPort sold its IT-related businesses, which included the former Noteworthy Medical Systems, to Germany’s CompuGROUP for $24 million in November 2010.


Sponsor Updates

11-9-2012 8-41-27 PM 11-9-2012 8-42-07 PM

  • A four-part series by Karen Baker, MHS of the nonprofit Healthwise celebrates National Health Literacy Month with a discussion about how to engage patients in healthcare decisions. The organization took a team of 18 of its content producers to a scriptwriting camp led by an advertising copywriter, an actor, and a filmmaker to encourage them to break the rules in developing material that not only supports evidence-based medicine and behavioral change theory, but in a way that gets patients involved using plain language and taking the patient’s point of view. According to Healthwise Founder and CEO Don Kemper, “Medical gobbledygook robs people of their autonomy. Without understanding, they have no real say in their care. Plain language gives them back their say.”
  • Besler Consulting will exhibit at HFMA’s Region 9 conference in New Orleans this week, demonstrating its cloud-based BVerified solutions for transfer DRG, IME, excluded provider screening, and revenue integrity auditing.
  • CSI Healthcare IT revamps its job portal, which lists its several dozen open positions (direct hire, consultant, and contract to hire) for candidates with expertise in Cerner, Epic, McKesson, and Meditech.
  • An interesting blog post by Henry Sabia of Software Testing Solutions on the changing no-man’s land between the EHR and laboratory information system: “It seemed to me the consensus was that ‘LIS’ won’t be about one system doing everything. Thought leadership sees it as a spectrum of systems working together. Ironically, GenLab and Microbiology functions may leave the typical LIS applications to become part of the general EMR, but Blood Bank and Anatomic Path will most likely fall under the ‘specialty’ category and will require standalone systems. Seems to me that we will always have separate systems, but a game of Red Rover is happening with some of our functionality. The EMR/CPOE has called GenLab and Micro over. Will be interesting to see if/how they make it to the other side. Regardless of where GenLab and Micro may live, the need for functional and volume testing will be more demanding than ever. EHRs, EMRs, interfaces, and data integration are here to stay. Add new acronyms like LOINC and HIE, and the picture only increases in complexity.”
  • Velocity Data Centers President Steve Jacobs offers four concerns about healthcare IT moving to the cloud: data security, service levels, performance, and energy efficiency.

Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

More news: HIStalk Practice, HIStalk Mobile.

HIStalk Interviews Richard Atkin, President and CEO, Sunquest

November 9, 2012 Interviews 1 Comment

Richard Atkin is president of Sunquest Information Systems of Tucson, AZ.

11-9-2012 7-00-28 PM

Tell me about yourself and the company.

Sunquest is the largest laboratory software company in the world. We provide solutions that enable the full automation of the hospital laboratory and also solutions that extend across the continuum of care to all areas of healthcare where lab tests are ordered, samples are collected, or results are needed to make effective clinical decisions.

They are mission critical because the decisions are made 24/7, so the solutions have to operate 24/7. Around 70% of all clinical decisions are based on lab data.

I’m the president of Sunquest. I’ve held that position for nearly seven years now. Together with the leadership team, we’ve taken Sunquest through a series of transformations and changes of ownership, but always with a focus on creating solutions that add value and result in client delight.

 

Tell me how the acquisition by Roper took place and what changes have been made as a result.

Roper had been looking at Sunquest and the progress that we’d been making in the marketplace for quite a little bit of time. They had approached the shareholders and entered into a conversation with the shareholders about acquiring the business. I think they’d been looking at software companies in general.

They’ve got a very large software presence across a number of industry verticals. They really liked what they saw in Sunquest with our customer base, market share, and transformation we made in the product portfolio. It was a conversation through the investors and the match that Sunquest in its profile had with Roper’s view of where they wanted to invest and how they could grow their business. It became a win-win for both the existing shareholders and for Roper that the acquisition closed.

 

What is most different about being owned by a private equity firm versus being a publicly traded company?

We’re only about two months into the Roper ownership, but I’ve enjoyed each of those phases of the business. When I first joined Sunquest, it was part of the Misys organization, which from the healthcare perspective, became Allscripts. It was part of Misys and then it was a private equity and now it’s with Roper.

Each owner has really helped us in the business focus on how you add value and what you need to grow the business. The questions are essentially the same. How do the shareholders help add value and how do you grow the business?

There’s a view that private equity is short-term focused. That was not my experience. They really focused on growing value in the business. That requires a strategic perspective, not just a short-term one. You don’t grow value because of your short-term focus.

It’s the same so far with Roper. They are publicly traded and there’s a view that publicly traded companies only think quarter to quarter, but all the conversations I’ve had with Roper are about how we are going to grow the business further and how we add value in the marketplace. They are really taking a longer-term view.

I think one of the main differences is, though, that Roper has a track record of owning businesses forever. Their message to employees was that this a permanent home for Sunquest. That’s really how they thought about it. When they did their due diligence, it was on the basis that they were going to own Sunquest forever. That thought about what’s the next step or who’s going to be the next owner for Sunquest has been removed — it is Roper. They’re a permanent home and we’re focused long-term on growth.

 

Will they be a hands-off owner who is happy with the operation as it stands or do you see them wanting change the strategic direction?

They’re what’s traditionally been called a holding company. Their businesses are all autonomous. They have around 33 businesses and Sunquest will operate autonomously within the Roper family. I continue to be responsible and the leadership team continues to be responsible for direction and running the business.

They clearly as owners — and they have invested a lot of money here — have a view as to how they have helped their existing businesses grow, their track records for growth. A lot of that is being focused on globally — international growth — and also focused in on ensuring that the channels to market are effective, not just the products. A lot of technology companies are focused on product, but that the channel to market — the sales channel and the delivery channel — are also effective. 

The questions that we’re getting are, “What else do we need to do to drive international growth? Are there any more things that we need to do to be effective in the marketplace with the sales channel and delivery channel?” But otherwise, the leadership team’s all in place, the messages are that everybody is being retained — there were no synergies from the acquisition that were planned. Everybody has a role and everybody’s being kept in place.

 

Do you think people were surprised that the transaction was for $1.4 billion? That’s a pretty big deal in healthcare IT.

There may been some surprise externally. Internally within the company and with the shareholders, less so. We knew how much value was being created and how much the business is growing. 

I think one of the things that perhaps we’ve failed to do is get our message out as clearly as we could have about how much success we have generated within Sunquest. Order intake is growing consistently in the mid to high teens year over year. That has driven obviously revenue growth. It’s driven the profitability of the business. Sunquest today is a very different organization than it was five years ago when it was acquired by private equity.

We’ve also transformed product development. We’re writing three times the lines of code per year and releasing four times the number of product releases per year that we were five years ago. The products have changed, the organization has changed, and we’ve been growing consistently every year. That represents value.

But I don’t know that we got that message out well enough for all of your readers to say, “That’s understandable, because Sunquest is on the move.” When you  look at the performance of the business, it’s been on move for five years.

 

The company has stayed focused on lab systems even though you have offerings in radiology and in other areas. Would you still characterize Sunquest as a laboratory information systems vendor and do you see that changing?

Yes, that’s how I’d characterize it at our core. We have other products, but largely what we’ve done is looked at the workflows in and around the laboratory. We think about the lab business as being inside the four walls of the lab and having a comprehensive set of solutions that operate within the four walls. But then looking at the workflows outside of the lab but within the hospital, we’ve got a comprehensive set of solutions that extend those workflows — to the point of care, to surgery, emergency department, etc. — and then take those workflows outside to the doctor’s office.

When we looked at that, we saw a huge opportunity for growth. We went about developing those solutions and acquiring some to enable us to fully automate all those workflows associated with the laboratory and laboratory testing, but right across the continuum of care.

Then when you think about anatomic pathology and the opportunities to fully automate anatomic pathology and then move toward digital pathology and the image aspects of digital pathology, we still see this huge amount of opportunity for future growth without having to step outside of this core, very deep focus that we have in and around the lab.

 

What do you think is on the radar for genetic testing being used by hospitals and practices, and how might Sunquest fit?

We’re spending a lot of our time and focus and investment in and around not just genetic testing, but the things that can enable the opportunity to move from healthcare being focused on the treatment of acute illness and diagnosis to move towards prognosis and then potential for prevention. Diagnosis, prognosis, to prevention. 

Our view is that genomics and genetic testing is going to be one of the enablers to be able to move in that continuum. That to my mind is going to enable the fundamental transformation of healthcare. I know there’s different views as to either when that could occur or the impact it will have, but I do think that that transition will occur and that in the future, we’ll have a very different view of what healthcare really means — that it’s not just about the treatment of illness.

 

I’m hearing that Epic’s Beaker LIS product is coming along fairly strongly, especially in the anatomic pathology areas, and of course Cerner and Meditech and other vendors offer a full line of products that include a laboratory information system. What do you think is the future for best-of-breed LIS products?

I think it’s very strong, as evidenced by the growth that we’ve already exhibited in the last five years. During the time when there was a lot of focus on the enterprise and Meaningful Use, etc. we’ve been growing very substantially.

The way I view this is there is so much complexity in and around the lab and there’s so much opportunity still to fully automate that area. That really does require a deep understanding of the workflows and a deep understanding of the needs in that area. I do not personally see the compromise that comes from an enterprise or a “one size fits all” approach in and around the lab.

One thing that’s very high on my agenda is the focus on quality in healthcare and quality in terms also of software solutions. Whether software solutions such as the ones Sunquest and our competitors provide are already medical devices. There seems to be a lot of discussion about that.

I am firm believer and an advocate of the fact that the types of solutions that we provide and the software solutions that are used in the enterprise are medical devices. If they’re not, I don’t know what other definition you could apply. These are clearly products that are used to help improve the effectiveness of healthcare, to help provide information that enables physicians and others to make clinical decisions. 

I’m a strong believer that these are medical devices. I really don’t understand the position that others seem to take that they’re not medical devices, and therefore they should not be subject to things like FDA review. I take a contrary view to most of my colleagues on that.

 

Supposedly the vendors convinced the FDA years ago that it would police itself without FDA involvement. FDA seems to be signaling at least some level of interest, which might be a positive development for companies like Sunquest that already have experience in working under FDA’s guidelines. Do you see FDA’s view changing?

I don’t whether the view will change. I agree with you — there seems to be some dialogue occurring, but perhaps going a little softly on that is to whether they would really get into this area. I know there’s a lot of discussion, but I don’t know whether they will change their view.

I do think it would good for Sunquest. We have blood bank products that are classified as medical devices. We’ve chosen to register virtually every product we’ve got as a medical device. We are subject to FDA audits, and we see that as a positive as opposed to a negative. 

On our last FDA audit, we had zero observations. That’s a pretty high standard that we set. We also had zero observations from our ISO audit. We see a robust quality system, repeatable and demonstrable process documentation, and adherence as a core of delivering high-quality solutions that operate as advertised. We see the benefit to the business. We would see it as a benefit, of course, if others were asked to perform to the same high standard.

 

A lot of healthcare IT software companies operate more like they’re selling general business software. They don’t have the ISO certification and they don’t want any part of FDA oversight. In your mind, would patients be safer if both of those were standards for companies that sell software that impacts patient care?

Well, I don’t know if I would go there because I’m not sure. I can’t really talk to any other companies in how they validate that their products are high quality. I just know that in our case, we use the quality system and the compliance to the ISO standards and validation requirements — we’ve got a number of ISO certifications — and the FDA audit.

We use those as a guide post to having a quality system, which is a core business system within the company. I feel a lot more comfortable and I can sleep a lot more soundly knowing that we have a very, very robust quality system — that third parties audit and concur that its is a very solid system — and that we are operating very effectively to that system. Then we can demonstrate that the quality of the solution is to a very high standard as well.

 

You mentioned Meaningful Use. What parts of it do you think are most relevant to laboratory information systems?

There are several areas. In Stage 1, they were in the optional list. Stage 2 is moving them into core. If and when Stage 3 gets finalized, they’ll all be core. 

There’s a number of different things like reportable results, which sounds pretty straightforward, but we’ve been interfacing out to the CDC and others to provide reportable results for years. Even some of our competitors with lab solutions find that difficult. To do that out of an enterprise solution is extremely difficult. The lab has the very granular information that we can utilize to move the right results to the right place. 

There are a number of different things, but I think reportable results is one of them. With Stage 2, it’s going to get increasingly important.

Then we have LOINC, which is to enable information to be shared. Again, there’s a lot of detail around LOINC and lab-to-lab and enterprise-to-enterprise communications. I believe the best-of-breed lab solutions provider is best positioned to meet that need and to be able to provide those solutions.

 

I’m curious – do you have any idea what percentage of hospitals are using best-of-breed laboratory information systems?

I can only guess. My guess is over 50 percent.

 

Where did your past growth come from and where do you see it coming from in the future?

It’s probably several areas. As we’ve invested and expanded our portfolio, there’s growth around what the laboratory calls outreach. It is really connectivity to the physician office and enabling physicians in the community to have meaningful interactions with the lab — easy ordering, rapid results, effective management of the samples into the lab. We have an outreach suite, which enables the lab to manage those relationships on an effective business professional level. That’s been an area of growth.

Within the hospital, automating the workflows back from the point of care — when lab tests are ordered, samples collected, and results come back. We’ve got solutions that have been demonstrated by our customers to eliminate error in those processes. That’s been a significant area of growth.

The other is we have a large footprint. As networks standardize, they standardize on Sunquest for their lab within the footprint. We have a lot of additional hospitals that convert to Sunquest within our base, but it’s the new hospitals that have converted to Sunquest that’s been part of our growth.

Then these applications in anatomic pathology — automation of anatomic pathology, sample management in anatomic pathology. 

There’s a fairly broad swath of solutions that have represented that growth.

 

A fair amount of the interest in the interoperability side is either preventing ordering of duplicate tests or doing alerting on abnormal results. Do you see a lot going on, or do you hand off to other systems for that?

No, we have those solutions. We do that. We’re constantly enhancing the solutions with new releases and new versions. Those things you mentioned we’ve considered as core capabilities for a best-of-breed lab solution for many years.

 

Are you expecting or experiencing international growth?

Yes. We’re expecting and experiencing international growth — both of the above.

We’ve made an acquisition in the UK. We’ve got a great solution over there which does a lot of what you’ve just asked about – alerting about orders and resulting. It’s in use by 65 percent of the national health hospitals in the UK and nearly 50 percent of the doctors’ offices use that particular solution. 

We have around 300,000 users in the UK, but we’re also expanding internationally, putting more resources in. We recently added new customers in Australia and we’re looking for further expansion in the international marketplace.

 

Any concluding thoughts?

We’ve been very successful. We’re growing and we’ve also created a lot of value, but I think that value is really reflected in the solutions and in the quality of the solutions that we provide. I feel very fortunate to be in the position I’m in and to have had the opportunity to take some steps forward in this way.

Time Capsule: Some Hospitals Make System Decisions Based on What the CIO’s Buddy Thinks, So Aim Marketing Accordingly

November 9, 2012 Time Capsule Comments Off on Time Capsule: Some Hospitals Make System Decisions Based on What the CIO’s Buddy Thinks, So Aim Marketing Accordingly

I wrote weekly editorials for a boutique industry newsletter for several years, anxious for both audience and income. I learned a lot about coming up with ideas for the weekly grind, trying to be simultaneously opinionated and entertaining in a few hundred words, and not sleeping much because I was working all the time. They’re fun to read as a look back at what was important then (and often still important now).

I wrote this piece in January 2008.

Some Hospitals Make System Decisions Based on What the CIO’s Buddy Thinks, So Aim Marketing Accordingly
By Mr. HIStalk

mrhmedium

HIMSS and marketing agency O’Keeffe & Company, Inc. just released the results of their “Healthcare IT Marketing Sanity Check Study.” The announcement says their report reveals “significant disconnects” between vendor marketing strategies and provider decision makers.

Here’s where I start making stuff up since I’m not $995 worth of interested.

The report’s teaser says that peers are the strongest influence on provider IT executives. That’s obvious, don’t you think? Hospitals are highly local and generally non-competitive with each other (like schools and government agencies), so there’s no reason not to call up a peer to get a first-hand report.

(That’s a nice way of saying that hospitals aren’t good at methodically evaluating their needs vs. system capabilities. Some CIOs would rather base multi-million dollar systems decisions on gut reaction to the off-the-cuff comments of a complete stranger at a similar-sounding hospital, overlooking the fact that it’s often not lack of product knowledge that causes bad outcomes, it’s a lack of knowledge about their own organization. Also, that those helpful peers are sometimes paid or threatened by their vendors to be positive even when there’s little reason to be).

Another conclusion is that advertising is ineffective. That’s also obvious. Few decision-makers read the free rags that go straight from inbox to trash can. Fewer still read the ads and even fewer remember them when making selections. Would we forget that Cerner, GE, and McKesson are out there plugging away if they stopped running multi-page glossy ads tomorrow?

MBA marketing class starts with this underappreciated fact: marketing and advertising aren’t the same. Advertising is a tiny part of marketing, especially for anything other than low-priced consumer products. Marketing is choosing the right product, place, price, and promotion (years after the class, I’m still proudly reciting the 4Ps of marketing like an obnoxious child who can and will spell “Mississippi” at the slightest provocation).

The best hospital marketing is relationship based. I’m not happy to admit that because it brings up mental pictures of glad-handing sales schmoozers sucking up to ego-driven CIOs who are easy marks for shallow flattery (the “ashamed” part is because I’ve seen that work in places whose people should have known better, with the unimpressive results that you might expect).

I’m betting that your $995 would tell you to establish a peer relationship with hospital decision-makers. Help them with their need to be educated, to solve problems, and to look smart back home. Work through your existing customers, not around them. Provide opportunities for CIO and user collaboration, offer video tours of hospitals using your solutions, integrate process change education into demonstrations, and don’t ignore blogs, newsletters, and independent consultants in your marketing strategy.

(All of this presumes that your product really works. If not, you’re in big trouble anyway, so spend your money on product improvement or maybe bribing decision-makers to pick you.)

There is nothing inherently dishonorable about marketing. It’s true that dishonorable companies often use it in a scam-like fashion, but even honorable ones need to carefully craft and deliver their messages. The nearly universal availability of information, however, will change the methods that will accomplish that. In healthcare, it’s about relationships and the total package, not glossy ads or sprawling HIMSS booths.

Comments Off on Time Capsule: Some Hospitals Make System Decisions Based on What the CIO’s Buddy Thinks, So Aim Marketing Accordingly

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