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| The Health Record Review by Patty Enrado |
Denver Health reaps ROI from health IT
Posted on Tue, Dec 01, 2009 - 05:09 amIn response to the two Harvard studies declaring that electronic health records do not save hospitals money, I'm going to highlight healthcare systems that are indeed saving money through the use of EHRs or EMRs.
Denver Health and Hospital Authority may be a safety-net facility, but the
This year, the Healthcare Information and Management Systems Society (HIMSS) awarded the 2009 Public Health Davies Award of Excellence to Denver Public Health, a division within Denver Health and Hospital Authority. The award validated the healthcare system's use of health IT, particularly its EHR.
Gregg Veltri, Denver Health and Hospital Authority's CIO, summed it up nicely and succinctly: "Healthcare delivery is all about technology - we're gathering every bit of information that we can, about everything that we do in the clinical perspective, and it is all going in a data warehouse, because if you can measure it, you can improve it or fix it." You can't measure how well you're doing with paper records, or at the very least you can't measure how well you're doing without a lot of man power. Denver Health and Hospital Authority gets it: Use data innovatively to "eliminate waste and manual processes and become more streamlined and cost effective." That about says it all, in my opinion.
Without naming names, I will say it appears that Denver Health and Hospital Authority chose an IT consulting firm that successfully shepherded it through the years-long, several hundred applications implementation. This partner helped the healthcare system assess where it needed automation across its facilities. So there's another vote for choosing your IT partners, be they infrastructure or services, wisely, and to carefully map out a strategy.
Hopefully more healthcare systems will step forward and share their success stories.
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Comments
I've been doing a lot of volunteer work at narconon lately and think handling records is pretty easy
To determine the true ROI, you need to add the following..
1)consultant costs
2)hardware costs..one time and long term
3)software costs..one time and long term
4)interface costs
5)staffing to support application
6)people compliance costs to secure privacy
7)legal costs to support potential risks
8)quality control costs..data integrity staff
Infrastructure one time and long term costs need to be part of the equation when comparing to some comparable revenue stream(?)..
I think this is what the harvard study was presenting..
I totally agree that when you figure in all of the upfront and maintenance costs the odds are against EMRs and EHRs producing any savings. The landscape is changing, however. No doubt the systems the study was looking at are the big legacy systems that push healthcare systems to spend tens of millions of dollars. The expanding market, which includes small physician groups and rural healthcare systems, among others, won't be going to those legacy IT systems. The health IT community understands that and has responded with more flexible, cost-effective solutions. I think this is where we'll see the legacy IT vendors come up with their own flexible solutions and a lot of those costs you listed will likely evaporate or shrink dramatically. All for the good of the healthcare industry. I'd like to see another study done with healthcare systems using the software as a service solutions and see what the total cost of ownership is and the benefit to quality of care.