6th Annual Ambulatory PM & EHR Study. HIMSS Analytics



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6th Annual Ambulatory PM & EHR Study HIMSS Analytics August 2014

1 Introduction As healthcare organizations continue down the path of meeting Meaningful Use criteria, Ambulatory Practice Management (PM) and Electronic Health Record (EHR) solution adoption remains a topic of interest. Indeed, evidence from both the HIMSS Analytics Database and HIMSS Analytics Annual Ambulatory PM & EHR Studies reveal that ambulatory practices have been on an There is heavy interest in adopting the necessary technology to help make practices more efficient and meet Meaningful Use criteria. acquisition spree of these tools since the ARRA/HITECH Act was introduced in 2009. While HIMSS Analytics has tracked adoption levels, vendor market share and vendor mind share over the years, we have also strived to provide direction to ambulatory organizations with our Ambulatory Electronic Medical Record Adoption Model (A-EMRAM) SM. As evidenced in the Appendix, A-EMRAM provides practice leaders with a very clear path towards a fully functional electronic medical record (EMR) akin to the pathway provided to acute care providers via the HIMSS Analytics EMR Adoption Model (EMRAM) SM. There is heavy interest in not only adopting the necessary technology to help make practices more efficient, but it is equally important physicians are utilizing these solutions to meet the necessary criteria in meeting Meaningful Use. This study was designed to continue to gauge the level of Ambulatory PM and EHR adoptions across hospital owned and free standing physician practices. This research also looked at the opportunities available in the ambulatory market in regard to net new solution purchase, replacements or upgrades for PM & EMR solutions. Additionally, with attestation of MU Stage 2 criteria right around the corner, we were interested to discover which practices had attested and which practices still has work to do. To provide a comprehensive view of the marketplace, stakeholders from ambulatory organizations of various size, ownership and specialty were surveyed.

Contents Executive Summary 4 Findings EHR/EMR 5 Definition 5 Market Penetration/Growth 5 Timeframe of Purchase 8 Vendor Presence 10 2014 HIMSS Analytics Ambulatory PM & EHR Study 2 Vendor Market Penetration/Share 11 Market Opportunity: Purchase Intentions 14 Market Opportunity: Purchase Timeframe 15 Market Opportunity: Vendor Consideration 16 Market Factors: Purchase Motivation 18 Market Factors: Purchase Barriers 19 Findings PM 20 Definition 20 Market Penetration/Growth 20 Timeframe of Purchase 22 Vendor Presence 23 Vendor Market Penetration/Share 24 Market Opportunity: Purchase Intentions 26 Market Opportunity: Purchase Timeframe 27 Market Opportunity: Vendor Consideration 28 Market Opportunity: Purchase Motivation (consider replacing) 30

3 Market Opportunity: Purchase Motivation (cause replacing) 31 Market Opportunity: Purchase Motivation (MU2 status) 32 Market Opportunity: Purchase Motivation (MU3 projection) 33 Findings Strategy 34 Strategic Plans: Health Information Exchange 34 Strategic Plans: Accountable Care 36 Strategic Plans: Accountable Care and HIE 38 Conclusion 393 Appendix 40 About HIMSS Analytics 41

4 Executive Summary The 6 th Annual HIMSS Analytics Ambulatory Practice Management (PM) and Electronic Health Record (EHR) study confirms the findings from previous years that PMs and EHRs continue to be adopted as standard business tools. Leveraging the insights of 563 IT executives from U.S. hospital owned and free standing ambulatory facilities with data from the HIMSS Analytics Database, the findings reveal that PM and EHR tools are not as entrenched in free standing ambulatory environments as they are in hospital owned settings, but are marching towards universal adoption nevertheless. Differences by the organizational structure of the ambulatory facility were also evidenced in vendor preferences. While the data clearly shows both the PM and EHR markets presenting as crowded vendor environments, the profile of the top vendors servicing these markets vary greatly between hospital-owned and free standing ambulatory providers. Given the high rates of PM and EHR adoption, the data suggests sales in these markets reached a tipping point in 2011. Overall adoption in the market slowed between 2012 and 2013 which means fewer net new opportunities for vendors. Additionally, the most recent data indicates a relatively low level of solution replacements currently occurring in the market, suggesting that ambulatory practices plan to stick with their current vendor to help them meet the different stages of Meaningful Use criteria. Despite the slowed acquisition pace, there are opportunities to be had. Finally, respondents were asked about their Accountable Care and Health Information Exchange (HIE) plans. With the market generally favorable towards HIEs, there appears to be a fairly notable degree of uncertainty surrounding Accountable Care plans.

40 Appendix US Ambulatory EMR Adoption Model SM Q2 2014 Q2 HIE, data sharing with community based EHR, robust business and clinical intelligence Advanced clinical decision support, proactive care management, structured messaging Personal health record, online tethered patient portal CPOE, Use of structured data for accessibility in EMR and internal and external sharing of data Electronic messaging, computers have replaced the paper chart, clinical documentation and clinical decision support Beginning of a CDR with orders and results, computers may be at point-of-care, access to results from outside facilities Desktop access to clinical information, unstructured data, multiple data sources, intra-office/informal messaging Paper chart based 4.30 5.83 5.56 1.23 11.42 30.74 34.29 6.63 Data from HIMSS Analytics Database N = 26,008

41 About HIMSS Analytics HIMSS Analytics collects, analyzes and distributes essential health IT data related to products, costs, metrics, trends and purchase decisions. It delivers quality data and analytical expertise to healthcare delivery organizations, IT companies, governmental entities, financial, pharmaceutical and consulting companies. Visit www.himssanalytics.org. HIMSS Analytics is a part of HIMSS, a cause-based global enterprise that produces health IT thought leadership, education, events, market research and media services around the world. Founded in 1961, HIMSS encompasses more than 52,000 individuals, of which more than two-thirds work in healthcare provider, governmental and not-for-profit organizations across the globe, plus over 600 corporations and 250 not-for-profit partner organizations, that share the cause of transforming health and healthcare through the best use of IT. HIMSS, headquartered in Chicago, serves the global health IT community with additional offices in the United States, Europe, and Asia.