Hospital Support of Private Physician EHRs: Strategies and Perspectives

1. Hospital Support of Private Physician EHRs: Strategies and Perspectives Greater Chicago Chapter of HIMSS October 25th, 2007

2. Northwest Community Hospital • 488 bed hospital offering full range of inpatient and outpatient services • Busse Center for Specialty Medicine, an 8-floor facility housing physician offices, medical specialty services and advanced diagnostic technology • Day Surgery Center • The Wellness Center • Three Immediate Care Centers • Imaging Center • The Youth Center, for adolescents struggling with substance abuse problems • Five Medical Office Locations • New Patient Care Addition: opening summer 2010

3. Medical Staff Composition • 981 Active Physicians • Primary Care Physicians (380) • Internal Medicine Hospitalists (25) • Specialists (433) • Contracted Groups (128) • Anesthesiology Pathology • Intensivists Pediatric Hospitalists • Emergency Medicine Radiology • Neonatology Radiation Oncology

4. Practice Size Breakdown for Independent physicians Medical Staff Composition

5. It’s a Fragmented Market • Loosely affiliated physicians in our market will have different EHR technologies choices • Hospital sponsored • Bundled services (ex: billing service) • ASP • Traditional purchase • Physicians are at different states of “readiness” to adopt and exploit opportunities afforded by an EHR • Small number (approx. 13%) have implemented or are ready to implement on their own

6. It’s a Fragmented Market • What we have learned from physicians • They are looking for a solution that offers: • Ease of use • High touch pre-implementation and implementation support with on-going high level of customer service • The ability to fully support their practice at multiple organizations • An economically attractive solution • Many are concerned about fully utilizing an EHR • Physicians are unsure if the benefits of an EHR will outweigh costs

7. Where’s the Market going? • In the long term we see the market consolidating into an interoperable model where the patient owns the record • Standards: Certification Commission for Healthcare Information Technology (CCHIT) • Google, Microsoft Health Vault, Web MD, Revolution Health, Dossia, Relay Health and others

8. Potential Strategy • Leverage expertise and experience to provide a high quality and high touch solution which addresses the different states of “Readiness” within the market place • Emphasis on customer service, value and adoption

9. Potential Strategy • NCH has done extensive research, analysis and discussions over past 18 months to develop business model • CMS • IRS • Legal council

10. Potential Strategy • Provide EHR and practice management solution • Phased approach • Provide linkages to other systems

11. Potential Business Model • Value Added Reseller (VAR) • Ensure aligned incentives • Customer service and adoption metrics • Utilize NCH IT as vendor

12. Risks • Conflicting hospital operational priorities that challenge initiative’s progress • Implementation challenges • Negative ROI • Is your medical staff ready for this? • What if the plan doesn’t succeed? • Competition for physician participation • Resources?

13. Key strategies to ensure success • Understand the needs and requirements of the physician community • Determine what your competitors are doing and how your approach differs • Focus on value (integration, efficiencies of scale, etc.) • Do not scrimp on • Resources • Marketing or communications staff • Craft a strategy, and then involve knowledgeable legal counsel