Hit Service Strategy

Hit Service Strategy

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  HIT Service Strategy EnablingTransformational Health Care
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  CEO/CIO Questions • HealthcareCEO/CIOs are looking for fresh perspectives in advancing Healthcare Information Technology (HIT) strategy design, development, and deployment for more effective and efficient healthcare delivery. A number of important questions require immediate answers.  Is there room to optimize service delivery capability?  Do we effectively organize/manage/govern HIT Services to maximize value and clinical relevancy?  Are we sure that service performance will meet or exceed federal and customer expectations?  Is the budget allocated correctly?  Is there room to optimize our spend?  Should we prioritize or redistribute HIT spend?  How best should we strategically source HIT skills and services?
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  HIT Services MustBe Agile Survival in Volatility Requires a HIT Organization be Able to: • Change size, shape, scope and style as needed: – Size: Grow/shrink at many levels and rates via flexible resource capacity arrangements (own, rent, lease, borrow). – Shape: Centralized, distributed, networked as needed (simultaneous component shapes if required). – Scope: Occupy a varying footprint(s) in its value web as the value and service lifecycles evolve. – Style: Integrate, collaborate, franchise, etc., depending on dynamics of markets and offers. • Engage “self-directed” leadership, managerial and operational behaviors within dynamic, environmentally determined constraints. • Embrace an “effectiveness over efficiency” culture, while continuing to focus on efficiency.
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  Challenges Will RemainConstant • The distributed vertical nature and volatility of today’s healthcare environments, the global economy, and government legislation are underscoring increased challenges with: – Quality of Patient Care – Responsiveness – Innovation – Competitive Positioning – Speed to Delivery – Reach – Reliability – Risk – Cost Efficiency “We can't solve problems by using the same kind of thinking we used when we created them.”-Albert Einstein • Healthcare organizations will need a radically new transformational approach to HIT on the part of the CIOs, business leaders and clinicians. • A transformational strategy will encompass an inclusive governance process with streamlined decision-making authority, a radically simplified IT architecture, mega-project-management capability, resource allocations and strategic sourcing, change and effective communication management.
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  HIT Organizations CurrentlyStrive for a Business - Aligned, Managed Environment Today’s best practices show that HIT value can be maximized when enterprise HIT investments are aligned with healthcare goals and HIT execution is well managed. The key drivers of HIT value are: • Outlook – How organizations make Outlook Health Care Aligned decisions about technology investments • Performance – How well organizations Tactical implement those decisions Performance Reactive Managed
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  But Technological-Driven Transformationof Health Care Is Challenging this Target Extended Clinical/Health Care Employers Home PBMs, Retail RX Processes Laboratories Expanded Physician Groups Channels & Imaging Centers Connections Patient Payers Hospitals Dynamic Community Business Health Services Models Care Centers Government Care Managers
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  This Requires aNew Mindset and a New Approach to Technology Execution Environmentally Integrated Outlook Health Care Aligned Tactical Performance Reactive Managed Agile
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  The Pressures Feltby Most HIT Organizations Validate this Model • Pressure on current HIT spending: – Are we delivering maximum business value for the resources spent? – How do we deliver more with less? – How do we minimize capital investment? • Scarce resources: How do we hire, retain, retrain, or obtain staff to provide the necessary technology skills? • HIT governance challenges: How do we coordinate HIT spending and activities throughout the organization? With our partners? • The need for speed: How do we support business requirements to respond to opportunities in days vs. months vs. years?
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  An Agile HITFramework Provides a Persistent Context for the Strategy Outputs Strategic Directions Required for Driving Agile HIT Come in Two Flavors • Getting Aligned and Managed . . . Externalizing & – Drive efficiency and effectiveness of HIT delivery Transitional State Becoming Agile and management processes Environmentally Integrated Agile – Adopt an enterprise architectural view IT – Focus on getting costs structured, understood, Getting Aligned under control & Managed Health Care Aligned Health Care Outlook – Concentrate cost optimization on efficiency issues Aligned Managed – Drive opportunity portfolio prioritization through Health Care Aligned value tradeoff Managed Transitional State – Align business and HIT strategies Tactical • Externalizing and Becoming Agile . . . – Integrate business and HIT strategies performance Reactive Managed Agile – Focus on improved services and delivery through adaptive management and delivery processes – Expand the view of infrastructure to “extra- Because an organization’s HIT structure” capabilities are typically distributed – Create agility through a flexible services across the framework, their HIT environment leveraging internal and external Strategy embraces a mix of activity providers types
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  An Agile HITStrategy Addresses the Shortcomings of the Traditional HIT Strategy • HIT defines an ongoing decision tool for leveraging IT to drive a healthcare organizational success in a constantly evolving community environment • The process is practical and scenario driven • It recognizes that technology both enables and improves healthcare strategy • The process examines opportunities made available by other entities in the environment as well as constraints imposed by it • The strategy is not just about the new, but what to do with the existing environment and current systems portfolio • The strategy drives integrated architectures and implementations
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  An Agile HITStrategy Translates Needs and Opportunities from the Environment into Action Technology Health Care Environment Environment Visioning IT Architectures HIT Strategy Application Health Care Strategy Data Technology Health Care Security Architecture Governance What How Transformation Services HIT Current State People HIT Future State Process Technology
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  What Does anAgile HIT Strategy Produce? A plan for leveraging the HIT capabilities of the company and the community environment to deliver healthcare Clusters of tech-enabled business capability success -------------- Provide decision making Environment framework Health Care Strategy IT Strategy IT Systems & Services Health Healthcare Care IT Capabilities Institutions Success IT Operating Model Skills and capability that enable Systems & Service delivery -------------- Rules of engagement for decision Sourcing strategy is critical making ------------------------- Coordinates complex Creative Solutions relationships, brokering
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  An Agile HITStrategy Provides… • HIT Systems and Services Directions, that – Are strategic technology-enabled healthcare capabilities stewarded by HIT – Provide the decision-making framework for all potential HIT investment – Recognize • the interplay of internal capabilities with those of healthcare partners and customers • the potential need to support rapid healthcare business and technology evolution • HIT Capabilities & Sourcing Strategies, that – Describe the combination of skills and knowledge with methods and tools that support the development, deployment and management of the HIT systems & services – Examine sourcing options and define the critical skill sets that must be developed and maintained within an organization • An HIT Operating Model, that defines – HIT management structures and processes – HIT delivery structure and processes – Roles, responsibilities, and interaction with partners and customers that support the model of agile execution
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  The HIT StrategicComponents Provide the Basis for HIT Transformation Tools • HIT Initiative Planning & Prioritization – Development of a set of processes and tools to organize and prioritize HIT initiatives – Focus on resolving the issues around resource management and prioritization of scare resources • HIT Portfolio Management / Portfolio Rationalization – Development of the disciplines and processes around managing the HIT environment as a portfolio of assets – Can also include an effort linked to “cost reduction” that focuses on rationalizing an existing portfolio based on business/ health/ technical criteria • HIT Organization Design – Focused on developing a new HIT organization based on changes in the environment such as: • Acquisition / divestiture • Re-centralization • A re-evaluation of the HIT strategy
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  This Pragmatic Approachto HIT Strategy Focuses on Sustained Value and Significant Benefits • Integrates with and drives healthcare strategy, not an after-thought or extension – Provides a common language for healthcare/HIT discussions • Recognizes ROI, needed capabilities, and risks – Provides an explicit linkage between HIT investments and healthcare capabilities – Enables a consistent framework for prioritizing HIT demands in an environment of permanent volatility – Coordinates previously fragmented HIT investments – Resolves capability development, acquisition, and partner challenges • Evolves an organization, as opposed to simply maintaining it: – Plans for new assets in the form of intellectual capital and strategic capabilities, not just salaries and depreciated hardware – Allocates resources to the right investments while containing costs – Determines clear roles and responsibilities for distributed HIT decision making, enabling an organization to act quickly and with confidence Greater “technology ROI” derives from greater agility in response to and tighter integration of technology and healthcare decision making
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  Appendix A: AgileHIT Strategy and Planning Approach
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  Agile HIT StrategyDevelopment Steps Tasks Resources • Extract key healthcare strategies • Executive management team • Document and review with key • Division management Confirm healthcare management • HIT management strategy • Create healthcare strategy summary • Strategy development team • Confirm with key management • Identify technology infrastructure • HIT management enablers • Strategy development team Identify key • Identify information management • Key business subject matter experts technology enablers enablers • Identify application enablers • Define required system/service • Strategy development team characteristics • HIT management Define HIT systems & • Identify key product capabilities services • Identify key service capabilities • Identify sourcing opportunities • Identify baseline HIT competencies • Strategy development team Identify HIT • Identify common capabilities • HIT management • Identify specialized capabilities capabilities • Identify appropriate sourcing • Define the HIT governance structure • Strategy development team • Define the HIT governance processes • HIT management Define HIT for • Executive management team Governance • HIT Product & Service delivery • Division management • HIT management • Identify product & service, governance, • Strategy Development team Identify Implications capabilities implications • HIT Management, SMEs
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  Agile HIT Strategyand Planning Approach The approach to HIT Planning begins with the development of a well-articulated information technology strategy driven by the strategic direction of the healthcare business. This strategy serves as the foundation for the enterprise architectures for applications, information, technology infrastructure, and HIT management. Finally, the strategy, using the architectures as “roadmaps”, helps to establish the plan of what technology initiatives will be implemented. Applications HIT Transition Plan Information Technology Development Strategy Architecture Health Care Application Portfolio Initiatives Strategy Health Care 3 Information Information Strategy Strategy Architecture Information Repository Initiatives Technology Technology Infrastructure Health Care Strategy Architecture Initiatives Environment HIT Management Management Initiatives Strategy Architecture 18
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  HIT Planning Approach TheHIT Strategy describes an overall direction for HIT in terms of its Systems and Services to the healthcare business, the competencies it will leverage to deliver those Systems & Services, and the governance structure that must be in place to support the delivery. • The Application Architecture builds on the product/system direction that is set in that strategy to define an overall direction for the portfolio of applications in use and a detailed description of the current and future state of the elements of the portfolio. • The Information Architecture looks at the structure for managing the key information for managing the healthcare business, who uses that information, where it’s created and how it is managed. • The Technology Architecture describes the enterprise direction for an enabling infrastructure as driven by the strategic direction for applications and data. • The Management Architecture describes the processes, tools and systems to be put in place for the effective management of the HIT resource. • The HIT Transition Plan defines how to get to the future state. The HIT Transition Plan clusters potential project efforts into a series of prioritized programs or initiatives, reflecting the interdependence all aspects of HIT and HIT management and their priorities with respect to supporting the business strategy. 19
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  HIT Transformation Map 2010 Stage 1 Year 1 Year 2 Major activity/ Long milestone Major activity/ milestone Term Major activity/ milestone Major activity/ milestone Vision Major activity/ Major activity/ milestone milestone Major activity/ milestone Major activity/ milestone Major activity/ Major activity/ milestone milestone Major activity/ milestone Major activity/ Major activity/ Major activity/ Major activity/ milestone milestone milestone milestone Major activity/ milestone Major activity/ Major activity/ Major activity/ milestone milestone milestone Major activity/ milestone Major activity/ milestone Major activity/ milestone Major activity/ Major activity/ milestone milestone TODAY Major activity/ milestone
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  For More InformationContact: John Anderson [email protected] Innovative Solutions, LLC 52 Sandia Lane Placitas, NM 87043 U.S.A. 01-815-354-7456