ict in healthcare delivery a multi dimensional business model er swamil patni,dr. arpita
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ICT in Healthcare delivery a multi dimensional Business Model Analysis
Er. Swamil Patni
Health Information Technology
Institute of Healthcare Management
Research
Delhi, India
Dr. Arpita
Hospital Management
Institute of Healthcare Management
Research
Delhi, India
AbstractAs we all know that in of-late world
prevalence of various diseases is mushrooming
due to various reasons. Also people are getting on
heels in their day to day activities as they dont
have enough time to be in pink of their health.
Therefore, a need arises of the trained physicians
throughout the society, which has become
paucity. In order to find solution to such problems
we have tried to design a business model using
ICT as a support system to assist patients and help
physicians to treat them in best possible way and
save time too. In this model we have used m-
health as well as e-health basics along with
telemedicine to provide quality care to the patients
while keeping in mind their concerns like properand timely care, personal information security etc.
This is a multidimensional model in which there
is use of applications like Health Information
System, Cloud computing, Computerized Patient
Record etc. Also it can be expanded or
compressed according to organization
requirements and can also be used in accordance
with the already existing methods of care via ICT
that the organizations are currently using. We can
also workout on the financial matters according to
the financial condition of the organization.
Keywords- m-health, e-health, telemedicine,
Health Information System, Cloud Computing,
Computerized Patient Record
I. INTRODUCTIONAs we all know that Transforming Healthcare
via ICT needs involvement of multiple
stakeholders (Figure-1) that enables or oversees
the business and legal issues involved in the
maintenance, exchange and use of health
information, in a secure manner, for the purpose of
promoting the improvement of healthcare delivery
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which helps to maintain better health quality,
safety and efficiency.
Over the past few years many initiatives have
cropped up attracting large number of public and
private funding, but unfortunately ,there is no such
sustainable model seen or designed which can be
universally applied to entire Healthcare Industry as
yet. Recently, the healthcare industry has shown a
paradigm shift and hence there is further evolution
of e-health business model (Figure-2).
The health care industrys ability to enable tele-
health and tele-medicine via health information
systems interconnectivity and interoperability that
telecommunication offers, the potential to
transform the health care market place through
increased communication and collaboration,
improved care quality, will provide timely care
and reduced medical errors, operational
inefficiencies and duplicate services.
Figure-1:- Health Industry main stake holders
Figure-2:- Evolution of e-Health Business Model
We have tried to design such a model
which could be universally applied in the entire
healthcare system and this model has been
analysed on the basis of Health Information
Exchange (HIE) Business Models as produced by
the Deloitte Centre for Health Solutions. We all
are aware of the fact that Information and
Communication Technology (ICT) is making a
deep impact in our healthcare delivery system, few
examples where ICT is working successfully are
Electronic Health Record, Telemedicine, e-
prescribing, push services, radiology images etc;.
It is expected that each community will explore
the different types of health ICT business models
and pick the one(s) that offers them maximum
benefit, returns and easy sustainability.
Figure-3:Health-ICT business model
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The following four general categories of emerging
Health-ICT business model demand attention are:-
Non-Profit The non-profit Health
organizations are driven by their charter to help
the community and the patients. They will be
benefited by standardizing their healthcare
services via ICT. This model can facilitate them
in achieving their objective.
Public Utility This Health-ICT model can
prove very handy as a public utility kit too, it
will help government and other such public
organizations to create and maintain universal
health records and provide basic healthcare
facilities at the doorsteps even in remote
locations. This will help them to achieve their
motive of providing basic healthcare at cheaper
rates and at door steps.
Physician and Payer Collaborative This
Health-ICT model is created for/by allphysicians and payers, so that they can
provide/access healthcare records and services
irrespective of their location. These collaborative
can be either for-profit or not-for-profit purposes
or as Public Private Partnership (PPP); however,
the key to this collaboration between
participating payers and physicians is their
mutual benefits.
For-Profit This Health ICT model is created
in such a manner that even those organizations
whose objective is to make profit can invest in it
and they will have good Return on their
investments (ROI). These organizations look to
reap financial benefits from their transactions
and have solid start-up funding.
Fig-4:-Health-ICT governance and characteristics
explanation
Evaluating Health-ICT Business Models
Understanding the governance and
operational characteristics that drive creation of
Health-ICT is an important first step to identifying
a sustainable business model. These characteristics
can be grouped into four categories: Value of Services A Health-ICT model is
motivated by the perceived value of the services
that it anticipates to provide to its consumers. All
benefits may not be tangible; however, it will
provide value.
Governance A Health-ICT models
organizational and hierarchical composition sets
governance and defines policies and processes.
Architectural A Health-ICT model is
structured around the business and technical
architecture that facilitates Healthcare operations
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via ICT, as well as provide basic healthcare
facilities that healthcare service seekers need.
FinancialA Health-ICT model is driven by the
financial agreements that generate its revenue
stream and capital. This is crucial, as it can
indicate the Health-ICTs potential sustainability.
Using these characteristics for assessing a
successful Health-ICT model, the next step is to
evaluate the characteristics against the most
prevalent Health-ICT model categories. Figure 4
details characteristics that can be blended to create
a Health-ICT model that matches the needs of its
community.
Characteristics of a successful Health-IT
Model
The Using the information in Figure 3 for
guidance, the following analysis of this Health-
ICT model points to characteristics that typify
successful business models:
Value of Services
High-performing Health-ICT application can
bring together multiple stakeholders , interact and
exchange data in a collaborative manner that
improves quality of care, reduces errors, and
provides better patient outcomes and value-added
services. Successful Health-ICT models have
created solutions that meet the needs of various
stakeholders. For example, Telemedicine, CPRS,
m-health, e-health are some good examples via
which hospitals, clinics, and physicians can
exchange health information to improve care for
patients. They all are there in our model, this type
of ICT applications helps create standard treatment
protocols and improved patient health outcomes.
While financing and ROI issues often receive
a disproportionate share of stakeholder attention,
successful Health-ICT models keep their purpose
and mission at the forefront. This, in turn, helps
the Health-ICT better meet operational milestones
by keeping their target in sight. For example, the
Hospital Information System (HIS) turned out to
be such an important part of most of the hospitals,
HIS has not only reduced their operational cost but
it has also benefited them by smoothening and
standardizing their workflow. With this business
model we can cover patients even from distant
locations; also the ROI will be better since we can
use the already established infrastructure initially
by various tie-ups hence our initial investment cost
will be low.
Successful Health-ICT models implement
their vision and plan in several smaller phases,
rather than all at once. This approach reduces risk
and provides flexibility to address ambiguous
constraints, and also enables better planning. As
the HIS which we see in most of the hospitals
today is simply a combination of various modules
of different departments and not only this it is also
be modified according to the needs of the
organization. Similarly this Health-ICT model can
be divided into several modules and can be
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implemented step by step. Its three important parts
e-health, m-health and tele-health can be used in
collaboration as well as independently as per
situation. This can be used by an organization
individually and can work in tie-ups.
Effective Health-ICT applications utilize
physicians, payers and other stakeholders to bring
best practices together to achieve a wired health
care model. In this Health-ICT model, physicians
can have access to patients even in distant places
being at their workplace, while Payers and other
stakeholders are happy with the related benefits
that this model offers, which include easy set-up,
quality care and quantifiable financial gains.
Top Health-ICT models strive to understand and
provide incentives for all their stakeholders. These
Health-ICT models facilitate improved quality of
care by providing physicians and other clinical
staff with patients most accurate health
information at the point of care. This Health-IT
model has all such qualities incorporated in it,
hence it will prove beneficial to all those who will
be linked to this Health-ICT model.
Governance
The governance of various Health-ICT models
mainly depends on the motive for which it is
structured to accomplish. Various motives might
be to earn profit, provide better services and serve
community etc. This model can be proved
beneficial in accomplishing most of the objectives
of the governing body.
Effective Health-ICT models tries to link
public health organizations, the health care
community, physicians and payers that bring
together respective strengths and best practices to
achieve shared benefits. A large number of
companies have come up and are trying to develop
various tools that can help to provide better
healthcare facilities depending on the mode of
governance. This model being multidimensional
can facilitate all types of governing bodies to
fulfill their motive. This model also extends their
reach and impact by collaborating with its multiple
stakeholders. This provides more resources to
create and operate an end-to-end solution.
Architectural
Effective Health-ICT model clearly define data
standards for stakeholders and across industries. A
huge amount of patient data will be accessed
through this model, and hence standards must be
in place. Although there have been various Health-
ICT applications in market but there are no
specified standards for Health-IT applications yet,
each Health-ICT application may have a unique
set of standards, the industry as a whole must
conform to uniform set of rules for all Health-ICT
applications in order to make it uniform..
Best-practice Health-ICT applications use EHRs
and, to a lesser extent, PHRs, to build a solid
foundation for sharing data, to increase outreach
and adoption rates, and to obtain tangible ROI in a
short amount of time. In this model maximum
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standards that we have used are generally applied,
so that they can be applicable universally.
While long-time health care industry players
have leveraged existing relationships to promote
the development of various types of Health-ICT
applications, several new market entrants are
developing strategies to apply best practices and
lessons learned from other industries to health
care. This model is having the combination of both
so as to make impact for changing market
dynamics.
High-performing Health-ICT applications
leverage best-in-class technologies and
customized, scalable, comprehensive solutions that
meet stakeholders needs while effectively
managing its costs. This model will allow all
stakeholders with different systems of all sizes and
maturity levels to participate in the network.
Philosophically, ICT involving e-health, m-health,
telemedicine etc. are the building blocks of this
Health-ICT model. Therefore, it can also be
successfully merged with all those previously
existing Health-ICT applications in the market.
Successful Health-ICT applications can help
us achieve consistent and standard operational,
data and technical workflows with a single,
interoperable system. This model links different
methods of Healthcare delivery system which can
have a shared framework and will help us to
achieve economies of scale for technology-related
costs and assist in defining common rules,
platform and workflows.
Financial
Successful Health-ICT applications should havea clear plan for sustainability, even if their initial
funding source will eventually become depleted.
This model can be broken down into different
phases and can be brought to action one after the
other. Its initial cost is comparatively less,
operational cost is even lesser and also it can be
combined and used with existing Health-ICT
applications.
High-performing Health-ICT applications that
have been implemented gradually, starting with
easier projects that deliver quick hit results.
These smaller, successful milestones also help
build a stronger case to secure additional funding.
Just as we see the most common HIS application
is simply a combination of various individual
modules. Similarly, this Health-ICT model can be
initiated with a part of it first to provide quick-hit
solutions and then implement system
enhancements. Also we can initiate it in a specific
geographical area, see its impact and then consider
its expansion.
A common operational model for many Health-
ICT application combines earned and contributed
income. The earned income can be further
invested in ongoing value-creation initiatives.
Additionally, this Health-ICT model will seek
contributed income from various stakeholders to
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support its financial needs and grow its
capabilities.
At best-practice in most Health-ICT
applications, a strong initial investor is secured to
provide funds for the first few years without
expecting or requiring a monetary ROI. Setting
realistic expectations is important. Most of the
returns at least in the short-term will be
intangible ones around improving health care
quality and processes. Government is often good
initial investor, as they are advocates of patient
safety, quality, and community health.
Additionally, payers can be a good investment
source.
Challenges and Suggested Strategies
As various Health-ICT applications evolve and
expand, their responsibilities, roles and influence
within the health care industry will evolve.
Following are a list of current and potential
challenges, as well as suggested strategies for
success:
Align Incentives
To increase stakeholder participation, this
Health-IT model needs to align incentives to the
stakeholders and stand up-to their ROI
expectations. Each stakeholder has different
reasons and expectations for joining/ aligning with
Health-ICT and they need to be taken into
consideration.
Consider establishing a governance structure in
which this model is steered by classes of
stakeholders possibly with differentiated voting
rights designated by their level of involvement
and/or investment.
Secure FundingWhile a few Health-ICT applications have been
in use by various organizations but they are
implemented on small scale, while we want to
carry out this model on a large scale which require
adequate amount of funding also the concept is
still maturing and the current business models
have yet to stand the test of time. To survive, this
model must secure both start-up funding and a
sustainable plan for meeting ongoing operating
costs.
Initially this model can be funded by
government and other organizations but once it
comes into process it is capable of generating
enough revenue to manage its day to day processes
via the registration fees and other processing
charges that its users will have to pay.
For most Health-ICT applications, the
membership/subscription model, enhanced by
transaction fees, appears to be the most effective
means to achieve sustainability. Other innovative
sources of income can be tapped by various
initiatives; examples include fees for online record
maintenance, m-Health, telemetric medicine,
training programs etc.
Boost Adoption Rates
Current Health-ICT adoption rates are low
especially in backward areas. To prosper, our user
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numbers and geographic reach must grow. This
model can encourage and support the growth by
facilitating patient at their door step and providing
them their medical information 24/7, such as
providing an EHR, m-Health facilities to any
location a patient may travel.
The way Health-ICT is booming it clearly
demonstrates the benefits of participating in this
model. In this there is higher potential for ROI
(both tangible and intangible) for everyone.
Define Data Standards
As there are numerous Health-ICT applications
in the market, the data being transferred varies.
There should be a clear definition or
understanding of data standards among all
stakeholders. Government and other stakeholders
can assist in establishing national standards and
driving interoperability requirements. Recently
government has laid down some norms pertaining
to it.
Conclusion
Health Information Technology offers
tremendous potential to improve the quality of our
health care delivery system. Patients, providers,
and payers will be benefitted from standard and
timely care. Communication and patient data
exchange becomes simple. This will result in
meeting an overarching goalimproved quality of
care, reduced medical errors, and better outcomes
for patients. Certainly, Health-ICT evolution faces
technical, financial and operational challenges;
however, public and private support for the
movement will assist in Health-ICT development
and adoption.
Sustainability is the major challenge for
Health-ICT and there are some best practices
around this concept. However, Health-ICT needs
to continuously work at self-improvement and
should provide services to its stake holder as well
as meet the data needs of its customers and could
serve as a model for the health care industry.
Health-ICT stakeholders need to develop
and operate under a business model that enables
long-term financial self-sufficiency. Another
major challenge for Health-ICT applications is
data security, which is necessary to keep in mind
while carrying out any process. Currently, a lot of
thought is going on about making data universally
accessible without compromising with data
security. Government must adopt a common set of
standards to link the Health-ICT applications with
a common goal, and establish a regulatory
environment in which the Health-ICT can flourish.
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