Healthcare Business Services (HCBS)

As the volume of healthcare demand is increasing and both severity and utilization will only increase; the market opportunity for healthcare business services in enormous.

Healthcare Business Services Problems to Solve

1. Technology: Interoperability
2. Labor Supply Demand Imbalance: Nurse, Doctors, and Technicians
3. Cost Distribution/Redistribution: Cost efficiency
4. Integration of Services:
5. Government Intervention & Regulation
6. Pay for Performance: Transparency: Outcomes Management
7. Aggregation/Disintermediation of Information
8. Prevention
9. Retail Medicine
10. Mobility Technology

Public Safety Market Trends

• Evolving buying criteria (looking beyond local jurisdiction)
• Interoperability—multi agency, multi jurisdiction
• Movement from premise to SaaS solutions
• Platform vs. component RFP's (looking beyond local jurisdiction)
• Data management and integrity
• Grant program mechanics
• New vendor / technology certification & deployment
• Public/Private sector information exchange
• Fractured supplier market to state & local government
• Mobility solutions

Healthcare Business Services Landscape

Physician's revenues are down while volumes are up

Physician’s revenues are down while volumes are up; moreover physicians have to content with the following issues:

• 47m uninsured: underinsured population
• Regulations
• Rising costs and pricing conundrum (not unit of one pricing)
• Scalability
• Retail based competition from hi volume lower value add.
• Technology adoption

While many physicians have one or more EHR components in either the planning or implementation phase, over 90 percent of all physicians in the United States still lack a complete electronic health records (EHR) system. And now, with some $21 billion earmarked for healthcare IT spending through The American Recovery and Reinvestment Act of 2009, the magnitude of opportunity has multiplied.

Hospital Consolidation

Hospital Consolidation is driven by:

• Interoperability of technology and tools, integration costs
• Lack of consistent management
• Stickiness of patient (Patient Tourism)

Patient Trends

• Consumer Convenience: Patient preferences and Healthcare Consumerism
• No continuity of care consistent – one patient record
• Total costs increasing for the individual
• Access to clinical management
• Eligibility Issues

Macro Trends Driving Healthcare Business Services (HCBS)

#1: Technology Requirement for Efficiency.

• Clunky, no interoperability, client-server, no connection or communication, costs of old technology
• ICD10 (Diagnosis Code) – US last company to adopt – Y2k for coding. Adoption enables folks to bridge data gap with other countries.
• For Consumerism
• Paper and DMS (Document Management System)

#2: Costs Efficiency (Distribution, Management, etc.)

• Near-Term: Reimbursements
• Long-Term Cost Curve (Administration and Efficiency)

#3: Labor Skill Shortage

• Physicians
• Nurses

#4: Integration Platform

• From Hospital Perspective
• Integration of clinical and financial

#5: Government Intervention & Regulations

#6: Pay-for-Performance

• Moving to outpatient/ retail model.
• Physicians being paid by hospitals

#7: Aggregation and Disintermediation.

#8: Preventative medicine.

• Treat people not patience.
• Genetic testing and mapping.

#9: Cost/Quality Conflict

#10: Volume and Utilization of Services.