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Health e Services Bill Wing Vice President August 4, 2008. Health e Cerner Overview. Cerner’s Vision Cerner at a Glance Value Proposition Guiding Principles Health e Strategies Results. 2. Cerner’s Vision & The First 25 Years. Cerner at a Glance. Founded: 1979
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Healthe Cerner Overview Cerner’s Vision Cerner at a Glance Value Proposition Guiding Principles Healthe Strategies Results 2
Cerner at a Glance • Founded: 1979 • Headquarters: Kansas City • Revenue 2007: $1.5B • Associates: 7,600+ • Countries: 22+ • Average Tenure/Age: 5/34 Years • Associate Mix: 30% engineering, 30% IT services, 10% clinical, 30% sales & all others • All connected to common internet tools • Health Plan Spend: $32 Million • Covered Lives: 11,151
Value Proposition – Connecting the Community • More connected and engaged Consumers/Providers • Improved Health Status and Clinical Outcomes AND… • More Efficient Method of Sharing Information • Health Plan Administrative Savings • Wellness/Condition Management Savings • Medical/Pharmacy Savings 5
Healthe Guiding Principles • Person-Centric • Provider Friendly • Frictionless • Evidence-Based • Technology Leveraged • New Consumer Experience 6
Healthe Integrated Strategies • Healthe Benefits • Healthe Card • Healthe Record/eClipboard • Healthe Advisors/Wellness • Healthe Coaches/Conditions • Healthe Clinic • Healthe Pharmacy 7
Healthe Services - Results On-line Scheduling/No Wait Productivity Impact - $568,000 Wellness/Prevention Biometric Screenings - 92% Immunizations – 2,220 Fitness Integration Primary Care Services Reduced Specialist Visits - (16%) Reduced OP Visits - (37%) Reduce ER Visits - (1%) Increased Prevention – 10% Condition Management On-Site Pharmacy Generic Substitution Rate - 97% Cost Impact - 25% Savings In-House Laboratory Real-time Payment Future Services eVisits Q3 Physical Therapy Q3 Chiropractic Services Q3 Personalized Medicine Redefining the “Healthcare Experience” 8
Healthe Results - 2007 Health Plan Administrative Savings - $470,400 Medical Savings - $1,281,620 Outpatient visits reduced by 37% Provider office visits decreased 16% ER visits reduced by 1% Pharmacy Savings - $791,337 Generic dispensing rate was 64% versus 50% in community pharmacies Generic substitution rate of 97.3% Productivity Savings - $568,575 Average visit time of 30 minutes versus 3 hours in the market Estimate more than $1,312,500 savings in 2008 Second Year Savings: $3,111,932 9