Current Status of Healthcare Analytics

John Ward, Alain Feussi, James YoungBIS 656

6/18/2014

This paper defines and summarizes the huge challenge ahead of North American healthcare providers by illuminating current and future trends of medical business intelligence (BI), ramifications of EMR, the pros and cons of BI and analytics, the myriad ethical and privacy issues of big data’s role, and lastly provide an industry overview of BI and analytics solutions specific to healthcare.

Overview

Electronic Medical Records (EMR) Mandate Present Day Healthcare BI Need for Healthcare “Big Data” Healthcare Analytics Pros & Cons Healthcare BI Solutions: Industry Overview Vendor Analysis – Key Terms SaaS Advantages On-Premise Solution Big Four Vendors Key Niche Vendors Conclusion

Content

Current Status of EMR MandateHealthcare providers and the American Recovery

and Reinvestment Act of 2009

Deploy an EMR solution or face penalties starting in

2015

Must prove “meaningful use”

Using a certified EMR

Improved health quality and safety

Improved health delivery efficacy

Reduced disparities in healthcare

Improved interaction with patients and families

Advancement in the coordination of care

Current Status of EMR MandateHealthcare providers and the American

Recovery and Reinvestment Act of 2009

(continued)

Compliance

49% of small healthcare systems (< 2 FTE physicians)

compliant

83% of large healthcare systems (> 5 FTE physicians)

compliant

Cost to deploy EMR significant to small providers

Present Day Healthcare BI80% of medical data is unstructured and clinically

relevant

Healthcare lags other industries in adoption of BI

Some healthcare organizations with BI making

decisions on comprehensive information

Improves patient and financial outcomes

Healthcare providers looking at ERP systems with

BI

Healthcare ERP/BI solution are becoming more

robust

Present Day Healthcare BIHealthcare providers Wish List

Enterprise Healthcare Business

Intelligence

Predictive Analytics

Accountable Care Predictive Analytics

Healthcare Data Integration

Data Warehousing Population

Being Able to Visualize Data

Need for Healthcare “Big Data”Larger scale benefits

Advances in predicting influenza outbreaks and

strain

Clinical responses based on “Big Data”

National BI on latest treatments and results

Healthcare cost reduction on National level

Current information on clinical trials and results

Healthcare BI has moved from a “nice to have” to a “must have”!

Healthcare Analytics & Big DataPros & Cons

Ethical Considerations

Life Extension & Quality of Life

Potential Misuse

Personal Privacy vs. Societal

Benefit

Healthcare Analytics & Big DataPros & Cons

Analytics ROI

Reduction of Fraud & Claim Abuse

Better Treatments=Fewer Malpractice

Claims

Threat of Loss of Insurance Coverage?

Healthcare Analytics & Big DataPros & Cons

Analytics – The Dark Side

Potential Withholding of

Treatments

Demographic Profiling

Is Anything Truly Private?

Healthcare Analytics & Big DataPros & Cons

Ethical Conclusions

Opportunity for Misuse, But Not Realized

Cost Savings – For Patients or Doctors?

Ethical & Legal Issues Unresolved

Healthcare BI Solutions: Industry Overview

Criteria to consider when selecting a BI solution

Technology model

TCO

Ease of use/learning

Market Share /Key client

Complexity/capabilities

Cost Reduction

Health Improvement through proactive Care

Company Size

Definition of Keys Terms for Understanding the Vendor Table

SaaS: Software As A Service: a model of software

deployment where an application is hosted as a service

provided to customers over the Internet

SaaS reduces the customer’s need for software

maintenance, operation, and support

The traditional model still accounts for most of the software

acquisition, but the SaaS is changing the dynamic very

rapidly.

SaaS Advantages

No software licensing costs

No new infrastructure

requirements

Low Cost of services

Vendors take care of the data

security

On-Premise Solution

Brick-and-mortar method

Company has all the technology

deployed on its premises

All hardware and software on

premise

On-Premise AdvantagesControl over all systems and data,

Corporate data is stored and handled internally

Dedicated IT staff for maintenance/support

Initial investment is high but pays off over time

Note: Both technology models have disadvantages , for example

data security and confidentiality for SaaS and Cost for On-

premise solution

The Big Four Vendors SAP Oracle IBM Microsoft

Name of the product SAP BusinessObjects Edge BI for Healthcare Industries

Oracle Business Intelligence Publisher

IBM Cognos and SPSS

MicroSoft HealthVault

Technology model SaaS, On-Premise

Saas, On-premise

Saas, On-premise

Saas , On-premise

TCO Limited to monthly fees if SaaS chosen

Depend on the technology model, but SaaS is cheaper

Depend on the technology model, but SaaS is cheaper

Depend on the technology model, but SaaS is cheaper

Ease of use/learning Initial Setup is complex, but Users training is simple

Training and ease of use is relatively equal to SAP

Easy to use and great material for training

Easy to use and great material for training

Market Share /Key client

Welch Allyn(US),

Kindred Healthcare (US)

Novation Inc. (US)

Trillium Health Centre, Martin’s Point, VITAS, The Neighborhood Health Plan of Rhode Island

Bancroft, Helse Vest, Texas Children’s Hospital

Complexity/capabilities Great capabilities in Trend Analysis

Leader in terms of implementation time, Get quicker configuration diagnostics, Oracle BI pillar partner and recognized leader in the implementation

Implementation is simple and IBM has reliable training materials.

Cognosis is helping 1000s of healthcare organizations

create a more patient-centric, value-based,

Optimize your EMR with an infrastructure that is reliable, cost-effective, and flexible today and the future

The Big Four Vendors (Cont.)Cost Reduction Cost effective

according to customer testimonials on Sap.com

Similar benefit with SAP

Tangible benefits as well as intangibles benefits as described above

Tangible benefits as well as intangibles benefits as described above

Health Improvement through proactive Care

EMR feature integrated to allow such proactive targeting

EMR feature integrated to allow such proactive targeting

EMR feature integrated to allow such proactive targeting

EMR feature integrated to allow such proactive targeting

Company Size Perfect for Midsize Companies

Medium and Large companies

HealthCare Organization of all sizes

Medium and Large companies

1-ARCPLAN

Sample Customers: HCA, OTTOBUCK, SCRIPPS…

2-TARGIT

Sample Customers: Animus, Mediterraneo, Hospital

Corporation of America, Children's Hospital

3-ACTUATE

Sample Customers: Alta Med, Accordant, HCA, Children’s

Hospital

4-JASPERSOFT

Relay Health, HealthPort, Dynamic Healthcare, MediGroup.

Ltd.

Niche Players

ConclusionSmall Healthcare providers stretched to

meet ARRA EMR deadline

Many ethical and privacy issues are unresolved

Industry is still developing and maturing

Healthcare BI will be a ‘must have’ for healthcare providers to stay competitive and current

Significant medical benefits exist outside the individual healthcare provider