According to a new report from research firm Kalorama Information, Cerner is the clear market share leader among EHR (electronic health records) software providers, edging out rival McKesson. Of the 4,474 non-federal acute care hospitals surveyed, nearly one-quarter use Cerner. The company’s 2015 acquisition of Siemens Healthcare’s EHR division helped make it No. 1.
Epic and Allscripts followed McKesson in the third and fourth slots. Another key piece of EHR news in the study was that the costs associated with training and consulting for EHR platforms has also increased in recent years. Keeping this in mind, it’s essential that companies look for more efficient and effective staffing solutions to keep these costs down.
Industry Consolidation Figure to Increase; Largest Companies Most Likely To Endure
According to Bruce Carlson, publisher of the Kalorama study, “There are over 1,100 companies involved in the healthcare IT business in one aspect of another. This is not sustainable.” While specialized EHR firms are increasing their market share, leaders in the general IT space like GE Healthcare and Siemens have reduced their presence, a sign of looming change in the industry.
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Some businesses are concerned about whether EHR solutions from smaller vendors will still be around a year or two after they purchase the product. With mergers expected in the near future and the study suggesting that the largest companies have the most to gain, it’s likely that Cerner will continue to consolidate its presence in EHR. Healthcare organizations looking to future-proof their operations should consider going with an industry leader like Cerner in order to get ahead of these potential market changes. Now is the time to consider a Cerner implementation.
Cerner Creates New SVP Position To Address Revenue Cycle Questions
With the healthcare industry moving to value-based payment models, Cerner has responded to this transition by creating a position focused on revenue cycle management (RCM). Starting September 1, Jeff Hurst will hold this newly created senior vice president position, in addition to being president of RevWorks, which is Cerner’s revenue services management division.
In a recent interview, Hurst predicted that payment rates will go down in the future.
“The ability of health systems and providers … to truly optimize their revenue cycle and squeeze every dollar they can out of it … is going to be an accelerated priority,” Hurst told RevCycle Intelligence.
In a separate interview with Becker’s Hospital Review, Hurst also noted that transparency and simplification would be the two main components of new RCM tools. In terms of how health care providers interact with consumers, he thinks there will be more pressure on providers to create greater transparency, and Cerner will deliver the solutions that make this possible.
According to Cerner President Zane Burke, the creation of the new SVP position demonstrates Cerner’s commitment to helping clients be successful in an environment of changing payment models and regulations.
With an increased focus on overall population health and a “louder consumer voice,” it will be important to focus on clinically-driven RCM solutions that optimize workflows across all aspects of care and result in better financial performance.
Considering moving forward with a Cerner Implementation? Make sure to download our new ebook “The Six Phases of a Successful Cerner Implementation” for guidance.