Will Your Skills Pave The Road to Your Future?
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1 Healthcare Information Technology and You: Will Your Skills Pave The Road to Your Future? January 27, 2014 Chicago, Illinois
2 Table of Contents Healthcare Information Technology and You: Will Your Skills Pave The Road to Your Future? Introduction Current Industry Trends Strategies for an HIT Professional Bibliography Contact Reproduction of this presentation in part or in its entirety is prohibited without express written consent from The Kiran Consortium Group, LLC. Copyright All rights reserved. 2
3 Introduction 3
4 Introduction Healthcare Information Technology and You: Will Your Skills Pave The Road to Your Future? Change is ever present for Healthcare Information Technology professionals! Mergers and acquisitions of Healthcare Organizations continue Financial pressures on employers are significant High unemployment creates a major pool of IT and HIT professionals available to employers Employees constitute one of the largest expenses for any employer 4
5 Introduction Healthcare Information Technology and You: Will Your Skills Pave The Road to Your Future? While you may be a life-long Healthcare Information Technology (HIT) professional or whether you have transitioned to the Healthcare Information Technology, it is important to Track broader Healthcare industry changes and trends, Watch for organizational changes at your employer, Monitor trends in HIT, Survey your skills with some frequency and determine their on-going, industry relevance, Maintain and grow a professional network, and Continue to learn and grow professionally. 5
6 Introduction Healthcare Information Technology and You: Will Your Skills Pave The Road to Your Future? Presentation Goals: What is not included in this presentation: 1) There is no commercial endorsement of a third party entity that may either recruit or contract with HIT professionals. 2) Any example does not constitute in a specific endorsement but rather a guide for options that the audience might investigate. Understand the current industry trends that may potentially impact your career Identify variety of opportunities available for Healthcare Information Technology (HIT) professionals Be proactive as you plan for your future 6
7 Current Trends 2013 The Kiran Consortium Group, LLC 7
8 Current Industry Trends Industry trends may impact, influence, support, advance and/or mold your career path and job choices. The section focuses on current, select industry trends that are found in today s professional landscape. Much like the seasons, skills and career goals may ebb and flow. External impacts may challenge the best professional preparation and/or career goals. 8
9 Current Industry Trends Healthcare Industry: Chief Executive Officer Perspective 2013 Survey Conducted by American College of Healthcare Executives (Survey Repondants: 388 community hospital CEOs) (1, 2) 1. Financial Challenges 2. Healthcare Reform Implementation 3. Governmental Mandates 4. Patient Safety and Quality 5. Care for the Uninsured 6. Patient Satisfaction 7. Physician-Hospital Relations 8. Population Health Management 9. Technology 10. Personnel Shortages 11. Creating an Accountable Care Organization For 10 years, Financial Challenges have remained in the #1 survey spot 2012: Government Mandates took the #4 survey spot 2012: Patient Safety and Quality took the #3 survey spot 9
10 Current Industry Trends Healthcare Industry: Chief Executive Officer Perspective 2013 Survey Conducted by American College of Healthcare Executives (Survey Repondants: 388 community hospital CEOs) (2) # 1 Financial Challenges 1. Government funding cuts 2. Medicaid reimbursement (including adequacy and timeliness) 3. Medicare reimbursement (including adequacy and timeliness) 4. Bad debt 5. Decreasing inpatient volume Note: Information in Red: Potential impacts to all Healthcare professionals. # 2 Healthcare Reform Implementation 1. Reduce operating costs 2. Alignment of provider and payer incentives 3. Shift to value-based purchasing 4. Align with physicians more closely 5. Regulatory/legislative uncertainty affecting strategic planning # 3 Governmental Mandates 1. CMS audits (RAC, MAC, CERT) 2. ICD-10 implementation 3. CMS regulations 4. State regulations 5. Increased government scrutiny 10
11 Current Industry Trends Healthcare Industry: Hospital Executives Survey by Premier, Inc.: (3) o Paying particular attention to population health management... Per Cent Per Cent Hospitals Participating in an Accountable Care Organization (ACO) o ACOs face a variety of technology challenges (i.e. electronic health record (EHR) adoption, clinical systems interoperability and patient engagement but data analytics is the arguably the biggest obstacle of all. 11
12 Current Industry Trends Healthcare Industry: Chief Information Officers, Health Systems Key Challenges (4a) o Cost and Resources o Governance o People Increased talent and IT capacity requirements to structure and manage data, synthesize it as useful information, and support decision-making at every level of the organization (4b) o Providers and Consolidation o Technology New Normal for HIT Professionals: (4c) Teams with actuaries, health economists, clinicians, allied health professionals, web designers, social network specialists, and informaticists as clinical and administrative data is amassed, structured, stored, and used internally across the organization s care continuum and externally with key stakeholders consumers, patients, health insurers, employers, supply chain partners, employers, regulators, and public health agencies. 12
13 Current Industry Trends Healthcare Industry: Health Technology Trends September 29-October 2, 2013 (5) o Data Mobility (i.e. apps, devices and networks) o Trackers and Sensors (i.e. connected scales, blood pressure monitors, sleep trackers, fitness watches etc.) o Usability and Design (i.e. electronic medical records) 13
14 Current Industry Trends Healthcare Industry: Self-Care, Medical Devices (6) o Report: Transparency Market Research Expected Growth - $16.8 billion by 2019 Current, key market vendors: 3M Healthcare, Abbott Laboratories, GE Healthcare, Medtronic, Inc., Johnson and Johnson, and Philips Healthcare. North America market = 40 % (largest share of the self-care medical devices market ) Why? Resulting from rising incidence of cardiovascular and respiratory devices o Report: Consumer Electronics Association Prediction: more than 142 % increase in Personal Health and Wellness product sales, software and services over next 5 years, reaching $8 billion in revenue by
15 Current Industry Trends Healthcare Industry: Health Insurers 2014 Trends (7) 1. Restructuring of Plans 2. Medicaid Expansion 3. New Member Analysis 4. Mobile Apps / Technology Aetna Examples: Mobile Apps / Technology (7) improve healthcare quality and control costs through high-tech products like mobile apps..tech tools to create more than $1.5 billion in revenues this year. Cigna and Kaiser Permanente use technology to engage consumers by offering mobile apps for Android and iphones, online payment estimators and multiple social network accounts. With the influx of new members insurers stand to enroll through exchanges, mobile apps and other tech offerings stand to help insurers lower their costs while keeping the industry fresh and competitive. 15
16 Current Industry Trends Healthcare Industry: Global Health Information Technology Trends (8) o Healthcare Analytics: market value $4.43 B in 2013; to increase to $21.3 B by 2020 o mhealth: market value $6.6 B; to increase to $20.7 B by 2018 o Healthcare IT Outsourcing: growth to $50.4 B by 2018 (as of 2013, $35 B) o Hospital-based Electronic Medical Records: growth at a compound annual growth rate of 7.46 percent through 2016 o Telemedicine: growth at a CAGR of 18.9 % through 2016, resulting from increased use of remote patient monitoring technologies o Medical Device Connectivity: growth expected to reach $33.5 B by 2017; growth at a CAGR of 37.8 % o U.S. Health IT Market: growth expected to hit $22.6 B by
17 Current Industry Trends Healthcare Industry: Global Healthcare Analytics (9) Current Market Value = $4.4B By 2020, Global Healthcare Analytics Market Will Approach $20B Drivers for Growth: o Federal Mandates o Technological Advances o Increased Healthcare IT Adoption o Venture Capital Investments Challenges to Projected Growth: Data Security Issues Cultural Barriers to IT Adoption Lack of Skilled Workers in the Analytics Field 17
18 Current Industry Trends Healthcare Industry: Healthcare Industry at Large What might we see in 2014? (Select Sampling of Healthcare Industry Areas Projected to Be Impacted) (10) Providers will continue to confront cost containment and consolidation, new information technology challenges and the need to constantly redesign care processes to improve quality. Information Technology: Meaningful Use 2 and ICD-10 Not-for-Profit Providers: enter 2014 with continued pressure on revenue growth and operating margins. Not all will get through the year without a hit to their finances or the need for a partner Public Hospitals: they struggle to survive amid declining reimbursements [i.e. Medicaid] and the financial penalties attached to the quality-improvement initiatives in the healthcare reform law 18
19 Current Industry Trends Healthcare Industry: National Jobs Report - Healthcare Job Market for U.S. Healthcare (not specific to HIT) (11) o Current trends impacting healthcare hiring: Tighter margins, industry consolidation, and uncertainty surrounding healthcare reform o "Everyone is afraid of what will happen and is too scared to hire," says one healthcare economist. o Conflicting perspectives about healthcare job growth. o 10 Year Historic View: excellent job growth market, especially for candidates with advanced degrees and specialties o Bureau of Labor Statistics: healthcare sector providing robust job growth $2.8 T healthcare sector created more than 2.7 million jobs (most jobs in ambulatory services) 19
20 Strategies for an HIT Professional 20
21 Strategies for an HIT Professional There is no single, guaranteed path for HIT professionals to advance their careers. What do we know today? o Change and complexity in the industry will continue for some period of time o Hard skills as well as Soft skills matter o Clinics, Physician Practices, Hospitals, and Health Systems are not the only healthcare organizations that can benefit from your skills and experience 21
22 Strategies for an HIT Professional What are the options for HIT positions across the industry? 22
23 Strategies for an HIT Professional Where are the HIT positions across the industry? The previous graphic illustrates that there are varied and interesting paths that an HIT professional might pursue. Assess your ability to assume informed risks when pursuing a new opportunity Find a professional that can share their professional insights Your geography may directly impact the availability and type of opportunities that may be available The market will continue to change and require new skills watch for trends since change presents itself more quickly than ever! 23
24 Strategies for an HIT Professional Career growth and advancement may result from two types of paths: The Classic Ladder The Matrix Career 24
25 Strategies for an HIT Professional Strategies to Guide and Plan Your Career Assess Career Approach (e.g. linear, matrix, industry sector, etc.) Identify Professional Education Requirements (e.g. Certifications, degrees, advanced degrees, etc.) Nurture a Professional Networking Keep Learning and Growing Your Knowledge and Skills Develop Soft Skills to Enhance Hard Skills Monitor Various Industry Trends Regional and/or National Employment Opportunities Healthcare IT Market Healthcare Market (Industry View) Note: This list represents our perspective based on research and industry experience. 25
26 Strategies for an HIT Professional There is no time like the present to assess your career and plan a path that best suits your goals. Be resilient since the HIT industry will continue to evolve. Find a mentor and learn. Be open to opportunities that may not be typical. Continue to refine your knowledge and skills. 26
27 Bibliography 2013 The Kiran Consortium Group, LLC 27
28 Bibliography Healthcare Information Technology and You: Will Your Skills Pave The Road to Your Future? Introduction No References Current Industry Trends Page 9: (1) Commins, John. Financial Challenges Top Healthcare CEO Concerns, HealthLeaders Media, January 14, (2) Gamble, Molly. 11 Most Concerning Issues for Hospital CEOs, Becker s Hospital Review, January 13, Page 10: (2) Gamble, Molly. 11 Most Concerning Issues for Hospital CEOs, Becker s Hospital Review, January 13, Page 11: (3) Eastwood, Brian. Healthcare Needs Data Analytics for the ACO Model to Succeed, CIO, January 13, Page 12: (4) Deloitte Harry Greenspun, MD Paul H. Keckley, PhD Sheryl Coughlin, PhD, MHA. Health System Chief Information Officers:Juggling responsibilities, managing expectations, building the future, White Paper, February 12, UnitedStates/Local%20Assets/Documents/us_chs_HealthSystemChiefInformationOfficers_ pdf Information from White Paper found on this slide: (4a) p.7, (4b) p.1, and (4c) p.9. Page 13: (5) Chan, MD, MBA, Steven. Trends in healthcare information technology, why it matters to doctors, imedicalapps, October 28, Page 14: (6) Gold, Ashley. Self-care med devices market to hit $16.8 billion by 2019, FierceHealthcareIT, January 9, The Kiran Consortium Group, LLC 28
29 Healthcare Information Technology and You: Will Your Skills Pave The Road to Your Future? Current Industry Trends (continued) Page 15: (7) Overland, Dina Preview: What's in store for health insurers, Fierce Health Payer, January 7, Page 16: (8) Gregg, Helen. 7 Health IT Market Predictions, Becker s Hospital Review, December 18, Page 17: (9) Bowman, Dan. Healthcare analytics market poised to skyrocket, FierceHealthIT, December 18, Page 18: Bibliography (10) Evans, Melanie and Meyer, Harris. Outlook 2014: The year ahead in healthcare business, Modern Healthcare, posted on January 4, Page 19: (11) Commins, John. Healthcare Jobs Report Creates Clashing Narratives, HealthLeaders Media, January 13, The Kiran Consortium Group, LLC 29
30 Contact Information Lucy Mancini Newell, MBA, FHIMSS Managing Partner Cell Phone: Corporate Phone No: Web Site: Other Thought Leadership Materials Are Found On Our Web Site. Address: 2013 The Kiran Consortium Group, LLC 30
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