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5-2 Final Project: Milestone Two
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Introduction
The Venice Family Clinic offers little to no cost care to the individuals as
well as families who are homeless, do not have any healthcare insurance, or have
lower incomes. As the families and individuals who have a lower income are more
vulnerable to infection and diseases, it is important that facilities such as VFC come
up in order to support such communities of people. This proposal has been designed
to target high risk patients.
Almost all the facilities located in different places have an Information
Technology department. The latest trends in the management and delivery of
healthcare services, such as personalized and predictive healthcare, incorporate
communication and information technologies, health promotion and prevention, home-
based care, care coordination, and community health networks in order to significantly
improve the delivery of healthcare services.
Technology has proved to be a boon to the healthcare system. The new
technology trends like electronic medical records or EMR, various innovative
machines, and telehealth helps in effectively diagnosing the disease of the patients
and treating them. It allows saving the lives of a number of people. According to the
Consolidated Financial Statements of the Venice Family Clinic, the technology
expenses have increased from $431,867 in 2017 to $520,976 in 2018. It clearly
shows that an additional amount of $89,109 was spent on technology. In order to
ensure the delivery of the best care to the patients, it is vital to implement new
technology spending (Dang et al. 2019). Moreover, by using the referral programs as
well as Telehealth systems, the healthcare facilities can effectively reach out to the
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patients outside of the community, especially elderly people and the individuals who
do not have any access to transportation. However, it is essential to review the
relevant regulations and understand how Medicaid, as well as Medicare, can support
the services and how they will impact the expenses.
There are a large number of benefits of electronic medical records. However,
the total savings that the facility would be able to make is significant. The
implementation of EMR can help in saving money. It can enhance the quality of care
delivered to the patients. Moreover, it can also save the time of the staff members in
doing different activities. This, in turn, can help in enhancing the revenue as well as
productivity of the facility. The main basis of the proposal is to ensure the evolution
of healthcare and stay up to date while increasing the efficiency and productivity of
the facility.
Proposal
Options
There are a number of options available when it comes to EMR systems.
However, among all the available options, there are three best options as according to
the price per quality. It includes Athenhealth, AdvancedMD, and CareCloud.
According to AdvancedMD, the monthly price is nearly $420 starting and is
customizable. AdvancedMD provides a comprehensive EMR system designed for
medium-sized medical facilities. The users can make use of this EMR system from
anywhere by leveraging their single database. It is a web-based product. The users
need to make only one purchase of the package to access the system. The system
offers reliable and secure databases and ensures integrated workflows in order to
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enhance patient circulation. It can be done using self-scheduling, automated
appointment reminders, billing, and patient care.
The pricing of the system starts from $140 per month. However, the
calculation of the pricing will depend on the input of the facility. The system makes
it easy for the providers to deliver high quality care to the patients by ensuring better
organization and increased efficiency (Ali et al., 2018). The EMR system has the
potential to track physician orders and enable healthcare providers to follow the point
of care. It can also provide various facilities such as billing functions, revenue
management, care coordination, and more. The software is simple and easy to use
and ensures a straightforward and productive approach to patient care.
According to CareCloud, the cost of the system will be nearly $279 per
provider per month. It has an integrated and standalone system. CareCloud offers high
quality performance software to facilitate an increase in margins and productivity. It
ensures the delivery of satisfactory patient experiences. It also provides a number of
tools that cover revenue cycles, EMR, patient management, and other essential
management tools for the delivery of better patient care.
Financial Research
The purchase of the new technology can be associated with a high upfront
cost owing to the hardware, software, as well as training involved. The majority of
the healthcare facilities regain the EMR investment in a time period of about two and
a half years. Moreover, the facilities can even get incentives for the implementation
and use of the EMRs. The incentives for the full-time employees can be nearly
$23,000 in terms of net benefits. The incentive for the eligible providers for using
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the EMR systems properly can be nearly $44,000 through Medicare for five
consecutive years.
Organizational Resources
Once the proposal has been approved, the bidding process will start. It will be
evaluated by the accounting department of the facility. The bids made need to be
accurate. It must be examined as well as validated closely by the accounting
department. The Information technology department has to closely monitor and ensure
that the system is performing correctly and efficiently. It will also monitor the cyber
breaches. EMRs refer to digital record systems. So, there is a chance of potential
cyber-attacks. All the staff involved who will operate the EMR will have to be
provided with proper training in order to use the system in an effective manner. The
staff members must be capable of using the system correctly before they actually use
the EMR system.
Communication
The staff meetings need to be conducted on a quarterly or monthly basis,
depending on the employee success rate. Consistent training needs to be provided to
the staff members who will use the EMR system. Retraining needs to be provided at
least twice a year in order to ensure that the system is properly being used by the
staff members. It is important to ensure an open, clear, and transparent
communication between the management, staff members, the IT department, and other
units of the facility. It is vital as if anything goes wrong or misfires can be
effectively dealt with instantly. This can help in preventing significant losses to the
facility. Staff meetings, emails, reminders, and mandated posters need to be done
frequently in order to ensure that all the staff members are on the same page.
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Budget
Financial Information
According to the annual report of VFC, the total revenue was $53,164,116.
The total expenses were found to be $49,239,117. The total capital gain of the
facility was $3,924,939. According to the Consolidated Statements of Activities, the
interest, as well as dividend income of the facility, had increased from $104,279 in
2017 to $125,905 in 2018. The difference was found to be $21, 626. The analysis of
the financial information of VFC shows that that facility has a relatively good
standing and is profitable. According to the Venice Family Clinic Consolidated
Financial Statements, the technology expenses have increased from $431,867 in 2017
to $520,976 in 2018. The additional spending on technology was found to be
$89,109.
Expenses
The associated expenses relating to the proposal would be the EMR software,
training of staff members, hardware, and other essential equipment. The proper cyber
security of the software must also be taken into account.
Budgetary Accounts
The potential budget areas that might be impacted include the need for
maintenance and repair of the EMR system, implementation of the proposed budget,
training of the staff members, and the associated equipment (Darwish et al., 2019).
To cover the costs, slightly scaling back by 2 percent on each department can help.
In order to deal effectively with unforeseen situations, it is important to set aside
significant funds.
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Reasoning
The cut back of each and every department ensures a uniform cut as all the
departments in the facility will use the EMR system.
Ratio
Profitability is an important part of the proposal. Properly using the EMR
system can help in getting incentives up to $44,000 through Medicare. It is per
eligible provider. It can prove to be helpful for the upfront investment along with a
payout in the future.
Ratio Calculations
Return on Assets or ROA can be used in order to find out the increase in
revenue with the use of the proposed item. ROA provides an insight into the
efficiency of the management in generating earnings from the assets or economic
resources on the balance sheet.
References
Ali, O., Shrestha, A., Soar, J., & Wamba, S. F. (2018). Cloud computing-enabled
healthcare opportunities, issues, and applications: A systematic review.
International Journal of Information Management, 43, 146-158.
Darwish, A., Hassanien, A. E., Elhoseny, M., Sangaiah, A. K., & Muhammad, K.
(2019). The impact of the hybrid platform of internet of things and cloud
computing on healthcare systems: opportunities, challenges, and open problems.
Journal of Ambient Intelligence and Humanized Computing, 10(10), 4151-4166.
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Dang, L. M., Piran, M., Han, D., Min, K., & Moon, H. (2019). A survey on internet
of things and cloud computing for healthcare. Electronics, 8(7), 768.
