Hospitals increasingly are dissatisfied with their current revenue cycle management (RCM) and laboratory information systems (LIS), according to a pair of recent reports by research firm CapSite.
More than 20 percent of U.S. hospitals plan to replace their core RCM system in the next 24 months, and an additional 50 percent of institutions intend to upgrade their current RCM solution, according to CapSite's 2012 Revenue Cycle Management Study. Among "bolt-on" RCM solutions that facilities are seeking to enhance their core systems, insurance eligibility verification and coding solutions are top priorities.
Based on a survey of 390 hospitals, the report focuses on:
- IT strategic priorities for the next 24 months
- Most challenging RCM areas impacting financial performance
- Top bolt-on RCM solutions that hospitals plan to purchase
- Confidence levels in RCM vendors' and clearinghouses' preparedness for ICD-10
- ICD-10 delay impact on RCM investment plans
- Meaningful use impact on RCM investment plans.
CapSite also shows the market shares for several vendors, including Allscripts, Cerner, Epic, GE and QuadraMed.
CapSite's LIS survey of 290 hospitals finds that 19 percent plan to replace their current LIS systems.
"Our study indicates that efficiency improvements are by far the primary driver behind hospitals decision to replace their current LIS," Gino Johnson, CapSite's senior vice president and GM, said in the announcement. "Additionally, we found that the most important LIS product attribute that hospital buyers are looking for in a new LIS, is integration with their current [electronic health record]."
What these reports don't address is the need for completely new kinds of revenue cycle management solutions that will be required under accountable care and bundled payments, something pointed out in a February 2012 article in Health Management Technology by Seema Mathur and Kim Lorusso of GE Healthcare.
"Organizations not ready to manage complex new payment models, such as episodic bundling and capitation, will likely see their revenue begin to shrink while they consider which processes and systems need to change for success," they wrote.