MHA FPX 5064 Assessment 4 Executive Summary Cost Benefit Analysis for HIS Implementation

MHA FPX 5064 Assessment 4 Executive Summary Cost Benefit Analysis for HIS Implementation

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Name

Capella university

MHA-FPX5064 Health Information Systems Analysis and Design for Administrators

Prof. Name

Date

Executive Summary

The strategic vision of Vila Health is centered on delivering exceptional, patient-centered care while meeting and surpassing both organizational and regulatory benchmarks at the state and federal levels. This commitment aligns with the broader goal of achieving sustained financial performance and operational excellence.

To support this mission, a cost-benefit analysis (CBA) has been requested to evaluate the existing assets and information technology (IT) resources within each subsidiary organization prior to integration. This assessment will guide the migration of systems and software across the newly acquired health systems.

At a high level, the organization must address several strategic and operational considerations before proceeding with full integration. The dynamic nature of healthcare delivery—driven by constant regulatory shifts, technological advancements, and emerging business trends—necessitates a flexible and evidence-based approach. Vila Health has already undertaken significant electronic health record (EHR) upgrades in anticipation of the merger, ensuring compliance with standard operating requirements and improved system interoperability.

During recent roundtable discussions, departmental representatives emphasized the need to expand capabilities in key areas such as:

• Enhanced patient portals
• Case management and care coordination tools
• Real-time daily census and admissions tracking

These enhancements are expected to strengthen clinical efficiency and support the organization’s mission of delivering optimal care across all facilities.

Reporting Capabilities and Operational Requirements

Each facility under Vila Health demonstrates unique operational and reporting needs. However, there are several foundational elements that can be customized to align with site-specific healthcare demands and patient population needs. The initial cost estimate for integrating these facilities into the centralized IT system is approximately $70,000 (Director of Operations, personal communication).

A more detailed location-based evaluation—covering infrastructure readiness, personnel capacity, and workflow alignment—may uncover additional hidden costs. Such a comprehensive assessment ensures accurate resource allocation and realistic budgeting during implementation.

Preventing Readmissions

To effectively reduce patient readmissions, hospital administrators must adopt a comprehensive post-discharge strategy that emphasizes continuity of care. Staff should maintain complete awareness of a patient’s medical history, particularly for individuals categorized as high-risk.

Recent studies reveal that over 25% of readmissions within 30 days occur due to conditions unrelated to the original hospitalization (George Washington University, 2023). This underscores the importance of multifaceted follow-up protocols that proactively identify secondary health risks.

Vila Health’s approach should therefore focus on:

1. Developing cross-departmental communication channels to enhance patient tracking.
2. Implementing integrated data analytics tools for early detection of potential readmission triggers.
3. Establishing standardized post-discharge care plans across all hospital units.

Such interventions can significantly improve care continuity, patient satisfaction, and overall outcomes.

Evolving Needs of Patients

The landscape of healthcare is continuously transforming due to evolving patient expectations, technological innovations, and demographic changes. Each year, advancements in medical treatments and digital health solutions reshape how care is delivered and experienced.

As the population ages and dependence on Medicare and Medicaid increases, healthcare systems must adapt to address growing chronic disease management needs. Moreover, patient empowerment continues to expand as technology allows for greater access to personal health data, fostering more informed decision-making.

Table: Changing Healthcare Dynamics

Competency 5: System Analysis and Cost-Benefit Evaluation

Identify the Components of a Health Information System

A health information system (HIS) integrates various components that facilitate data collection, storage, analysis, and sharing. Key components include:

• Electronic Health Records (EHRs)
• Clinical Decision Support Systems (CDSS)
• Patient Portals
• Administrative and Billing Systems
• Data Warehouses and Analytics Tools

These systems collectively ensure accurate data flow, regulatory compliance, and enhanced patient outcomes.

Analyze the Costs of Implementing an Upgraded System

Upgrading HIS infrastructure involves both direct and indirect costs, including software licensing, system integration, staff training, and ongoing maintenance. Additionally, there may be temporary productivity loss during transition phases.

Analyze the Benefits of Implementing an Upgraded System

The benefits include:

• Enhanced data accuracy and interoperability
• Improved clinical efficiency and care coordination
• Reduced readmission rates through predictive analytics
• Greater patient satisfaction via real-time access to health information

Analyze the Costs and Benefits of Not Implementing an Upgraded System

Make Implementation Recommendations Based on a Cost-Benefit Analysis

Based on the CBA, Vila Health should proceed with system integration in a phased manner, prioritizing high-impact areas such as patient data management and interoperability. A phased rollout minimizes disruption and allows for ongoing performance evaluation. Continuous staff training and stakeholder involvement will ensure sustainable adoption and operational efficiency.

References

George Washington University. (2023). How we can expect the healthcare industry to change in the future. Retrieved from https://healthcaremba.gwu.edu/blog/how-we-can-expect-the-healthcare-industry-to-change-in-the-future/

American Health Information Management Association (AHIMA). (2024). Best practices for EHR integration and interoperability. Chicago, IL: AHIMA Press.

MHA FPX 5064 Assessment 4 Executive Summary Cost Benefit Analysis for HIS Implementation

HealthIT.gov. (2024). Benefits of health IT and electronic health records (EHRs). U.S. Department of Health and Human Services.

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