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Healthcare Computer System Markets and Trends In HIT Buying (Forecasts for System, Service and Support Revenues, Areas of Interest, Major Competitor Profiles)

August 2009 | 125 pages | ID: H9AACFF251EEN
Kalorama Information

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The healthcare information technology (HIT) market was in a growth trend prior to the recent recession. While economic times have tightened budgets some, there is still opportunities for companies in this market.

In this report, Kalorama takes a comprehensive look at the demand for IT products in the healthcare market - with a focus on computer systems for hospitals, nursing homes, physician offices and other healthcare entities. Kalorama has interviewed experts in the HIT industry and presents the latest findings on where the industry is headed. There is tremendous excitement in HIT given the commitment to healthcare investment among healthcare entities and some of the Obama Administration incentive programs; but there is also increased competition. Included in the report is the following:
  • Current Market Size and Forecast for:
    • Hospital Computer System Market
    • Nursing Home Computer System Market
    • Other Healthcare Entity Computer System Market
  • Market Breakdown by
    • System Revenue (Hardware & Software)
    • Support Revenue
    • Extra Service Revnue
  • System Market Breakdown: Hardware and Software
  • Profile of Companies
  • Key Products in the Market
  • HIMSS Status of IT Buying in 2009
  • Most Sought Benefits for IT Purchases
  • Impact of EMR incentives
The healthcare industry includes establishments ranging from small private practices of physicians with only one medical assistant to large city hospitals that employ thousands of professionals.

Vendors are a vital part of shaping this industry. Having the competitive intelligence is just one part of advancing this industry. Participants need to be ever vigilant of the economic pulse and the government’s role in healthcare to properly meet the challenges facing the industry today and in the future.

Included in the report are statistics influencing the industry, demographics; life expectancy, and company strategies. Information is presented as a global market, with a emphasis on the U.S. market. A market summary includes a total market analysis. Also included is a competitive analysis of leading healthcare IT system providers.

The information for this report was gathered using both primary and secondary research including comprehensive research of secondary sources such as company literature, databases, investment reports, and medical and business journals. Telephone interviews and email correspondence were the primary method of gathering information. For the purpose of this study, Kalorama Information conducted interviews with more than 10 key industry officials, consultants, health care providers, and government personnel. These sources were the primary basis in gathering information specifically relating to revenue and market share data presented in this report. Additional interviews were completed with relevant company representatives including marketing directors, division managers, and product representatives.
CHAPTER ONE: EXECUTIVE SUMMARY

Industry at a Glance
Scope and Methodology
Size and Growth of the Market
Key Issues and Trends Affecting the Market
Leading Market Participants

CHAPTER TWO: INDUSTRY OVERVIEW

Overview of Healthcare Computer Systems
Industry Terminology
Industry Structure
Hospitals
U.S. Hospital Chains
Consolidation in the Industry
Technology Adoption in Hospitals
Physicians
Number of Physicians
Technology Adoption by Physicians
Nursing Homes
Technology Adoption by Nursing Homes
Pharmacies
Technology Adoption by Pharmacies
Medical and Diagnostic Laboratories
Technology Adoption by Laboratories
The Healthcare Industry
European Union and Asia-Pacific Markets
The US Market
The Value Chain of the Healthcare Industry
Components of Healthcare Information Systems
Organization
Administrative System Components
Laboratory System Components
Radiology System Components
Pharmacy System Components
Computerized Physician Order Entry
Clinical Documentation
Flow of Patient Data across Various Components
Hardware Examples
Distribution
Regulatory Bodies and Societies
United States Department of Health and Human Services
Health Insurance Portability and Accountability Act (HIPAA)
Health Level Seven
Federal Communication Commission
Wireless Telecommunications Bureau
Healthcare Information and Management Systems Society
Health Industry Business Communications Council
The Joint Commission
Nationwide Health Information Network (NHIN)
Health Information Exchange (HIE)
Industry Initiatives
Need for Regulation in Changing Environments
Demographic Trends
US Demographics
Population Over Age 65
World Demographics

CHAPTER THREE: LEADING MARKET PARTICIPANTS

Overview
Cerner Corporation
Company Overview
Performance Review
Key Acquisitions, Alliances, and Partnerships
Products and Services
Key Competitors
Key Executives
Growth Strategy
New Development
Locations
Cisco Systems, Inc
Company Overview
Performance Review
Key Acquisitions, Alliances, and Partnerships
Products and Services
Key Competitors
Key Executives
Growth Strategy
New Development
Locations
Computer Programs and Systems, Inc
Company Overview
Performance Review
Products and Services
Key Competitors
Key Executives
Growth Strategy
New Development
Locations
Eclipsys Corporation
Company Overview
Performance Review
Key Acquisitions, Mergers, and Partnerships
Products and Services
Key Competitors
Key Executives
Growth Strategy
New Development
Locations
Epic Systems Corporation
Company Overview
Performance Review
Key Acquisitions, Alliances, and Partnerships
Products and Services
Key Competitors
Key Executives
Growth Strategy
Locations
GE Healthcare
Company Overview
Performance Review
Key Acquisitions, Alliances, and Partnerships
Products and Services
Key Competitors
Key Executives
Growth Strategy
New Development
Locations
McKesson Corporation
Company Overview
Performance Review
Key Acquisitions, Alliances, and Partnerships
Products and Service
Key Competitors
Key Executives
Growth Strategy
New Development
Locations
Medical Information Technology, Inc. (MediTech, Inc.)
Company Overview
Performance Review
Key Acquisitions, Alliances, and Partnerships
Products and Services
Key Competitors
Key Executives
Growth Strategy
New Development
Locations
Quadramed Corporation
Company Overview
Performance Review
Key Acquisitions, Alliances and Partnerships
Products and Services
Key Competitors
Key Executives
Growth Strategy
New Development
Locations
Siemens Healthcare
Company Overview
Performance Review
Key Acquisitions, Alliances, and Partnerships
Products and Service
Key Competitors
Key Executives
Growth Strategy
New Development
Locations

CHAPTER FOUR: MARKET TRENDS AND SUMMARY

Market Overview
End-User Markets
Hospitals and Clinics
Home Healthcare and Nursing Homes
Competitive Analysis
Revenues By Type
Systems
Support
Services

CHAPTER FIVE: INDUSTRY TRENDS

Overview
Information Technology (IT) Budget Outlook
Budget Increases
Budget Decreases
Industry Challenges Forcing IT Implementation
Reprioritizing Spending
CPOE and Bedside Matching
“Vendor As Lender” Programs
Nudge Approach to Healthcare System Investment
Emphasis on Reducing Hospital Days
Nursing Shortage
Cost Effectiveness
Technology Adoption Issues
Health Information Technology and American Investment and Recovery Act of 2009 (ARRA)
Trends in Technology
Wireless in the Healthcare Setting
Adoption of the Electronic Medical Record
Remote Patient Monitoring
Telemedicine
E-Prescription
Medical Tablet PC
Patient/Asset Tracking
Need of RFID
Benefits of RFID in Healthcare
Bar Code Label Requirements and Technology Demands
Examples of Implemented Technologies
St. Clair Hospital—Pittsburgh, Pennsylvania
Provena St. Joseph Medical Center—Joliet, Illinois
Vanderbilt Medical Center—Nashville, Tennessee
Good Samaritan Hospital—Vincennes, Indiana
Memorial Medical Center—Springfield, Illinois
Bethesda Children’s Hospital—Meadville, Pennsylvania
London Health Sciences Centre—London, Ontario and
St. Joseph’s Health Care—London, Ontario

APPENDIX

LIST OF MAJOR COMPANIES

TABLE OF EXHIBITS

CHAPTER ONE: EXECUTIVE SUMMARY

Table 1-1: Global Market for Healthcare Computer Systems, 2006-2013
Figure 1-1: Global Market for Healthcare Computer Systems, 2006-2013

CHAPTER TWO

INDUSTRY OVERVIEW

Table 2-1: U.S. Registered Hospitals by Type, 2007
Figure 2-1: Number of Hospitals in the US, 1975-2005
Table 2-2: Leading For-Profit U.S. Hospital Chains, 2008-2009
Figure 2-2: Number of Hospital Mergers in the US, 1998-2007
Table 2-3: Segmentation of Physicians in the US*
Figure 2-3: Number of Nursing Homes, 2000-2006
Figure 2-4: Number of Pharmacies and Drug Stores, 2000-2006
Figure 2-5: Number of Medical and Diagnostic Laboratories, 2000-2006
Figure 2-6: By Sector Contribution to the U.S. GDP
Figure 2-7: The US Healthcare Spending (2005-2017)
Figure 2-8: Value Chain of the Healthcare Industry
Table 2-4: The U.S. Population, 1980-2020
Figure 2-9: The US Population, 1980-2020
Table 2-5: Percent U.S. Population Over Age 65 by Year
Figure 2-10: Estimated Population by Age Group, 2000 and 2050
Table 2-6: The World Population, 1980-2020
Figure 2-11: The World Population, 1980-2020

CHAPTER THREE: LEADING MARKET PARTICIPANTS

Table 3-1: Corporate Details of Cerner Corporation
Table 3-2: Financial Details of Cerner Corporation 2006-2008 ($millions)
Figure 3-1: Cerner Revenues 2006-2008 ($millions)
Table 3-3: Key Executives of Cerner Corporation
Figure 3-2: Cerner Research and Development Expenditures 2006-2008 ($millions)
Table 3-4: Corporate Details of Cisco Systems, Inc
Table 3-5: Financial Details of Cisco Systems 2006-2008 ($millions)
Figure 3-3: Cisco Systems Revenues 2006-2008 ($millions)
Table 3-6: Key Executives of Cisco Systems
Figure 3-4: Cisco Systems Research and Development Expenditures 2006-2008 ($billions)
Table 3-7: Corporate Details of Computer Programs and Systems, Inc
Table 3-8: Financial Details of CPSI 2006-2008 ($millions)
Figure 3-5: CPSI Revenues 2006-2008 ($millions)
Table 3-9: Key Executives of CPSI
Table 3-10: Corporate Details of Eclipsys Corporation
Table 3-11: Financial Details of Eclipsys 2006-2008 ($millions)
Figure 3-6: Eclipsys Revenues 2006-2008 ($millions)
Table 3-12: Key Executives of Eclipsys Corporation
Figure 3-7: Eclipsys Research and Development Expenditures 2006-2008 ($millions) 86
Table 3-13: Corporate Details of Epic Systems, Inc
Table 3-14: Financial Details of Epic (estimated) 2006-2008 ($millions)
Figure 3-8: Epic (estimated) Revenues 2006-2008 ($millions)
Table 3-15: Key Executives of Epic Corporation
Table 3-16: Corporate Details of GE Healthcare
Table 3-17: Financial Details of GE Healthcare 2006-2008 ($millions)
Figure 3-9: GE Healthcare Revenues 2006-2008 ($millions)
Table 3-18: Key Executives of GE Healthcare
Figure 3-10: GE-funded Research and Development Expenditures 2006-2008 ($millions)
Table 3-19: Corporate Details of McKesson Corporation
Table 3-20: Financial Details of McKesson Corporation 2007-2009 ($millions)
Figure 3-11: McKesson Corporation (Technology Solutions Business Segment) Revenues 2007-2009 ($millions)
Table 3-21: Key Executives of McKesson Corporation
Figure 3-12: McKesson Research and Development Expenditures 2007-2009 ($millions)
Table 3-22: Corporate Details of Medi-Tech Inc
Table 3-23: Financial Details of MediTech 2006-2008 ($millions)
Figure 3-13: MediTech Revenues 2006-2008 ($millions)
Table 3-24: Key Executives of MediTech
Table 3-25: Corporate Details of QuadraMed Corporation
Table 3-26: Financial Details of QuadraMed 2006-2008 ($millions)
Figure 3-14: QuadraMed Revenues 2006-2008 ($millions)
Table 3-27: Key Executives of QuadraMed
Figure 3-15: QuadraMed Research and Development Expenditures 2006-2008 ($millions)
Table 3-28 :Corporate Details of Siemens Healthcare
Table 3-29: Financial Details of Siemens Healthcare 2006-2008 ($millions)
Figure 3-16: Siemens Healthcare Revenues 2006-2008 ($millions)
Table 3-30: Key Executives of Siemens AG
Figure 3-17: Siemens AG Research and Development Expenditures 2006-2008 ($millions)

CHAPTER FOUR: MARKET TRENDS AND SUMMARY

Table 4-1: Global Market for Healthcare Computer Systems, 2006-2013
Figure 4-1: Global Market for Healthcare Computer Systems, 2006-2013
Table 4-2: The Global Market for Healthcare Computer Systems, by End User 2006-2013
Figure 4-2: The Global Market for Healthcare Computer Systems, by End User Type 2006-2013
Figure 4-3: The Global Market for Healthcare Computer Systems, by End User Type 2008
Figure 4-4: The Global Market for Healthcare Computer Systems, by End User Type 2013
Table 4-3: Revenues and Market Share of Healthcare Computer System Providers 2008
Figure 4-5: Revenues and Market Share of Healthcare Computer System Providers 2008
Table 4-4: Global Market for Healthcare Computer Systems by Type, 2006-2013 (System Sales, Support & Maintenance, Services)
Figure 4-6: The Global Market for Healthcare Computer Systems, by Type 2006-2013 (System Sales, Support & Maintenance, Services
Figure 4-7: The Global Market for Healthcare Computer Systems, by Type 2008
Figure 4-8: The Global Market for Healthcare Computer Systems, by Type 2013
Figure 4-9: The Global Market for Healthcare Computer Systems, System Sales by Software and Hardware Segments 2008

CHAPTER FIVE: INDUSTRY TRENDS

Figure 5-1: Estimated Implementation of IT related Technologies and Applications in Developed Regions, (includes both completed and in-progress systems) 146
Figure 5-2: Projected Changes in the IT Budget, 2009
Figure 5-3: Reasons for Increase in the IT Budget, 2009
Figure 5-4: Reasons for Decreases in the IT Budget, 2009
Figure 5-5: IT Priorities of Healthcare Organizations in the US, 2005-2008
Figure 5-6: Increased in Medications Dispensed Electronically in Typical Hospital, AHA Survey
Table 5-1: National Health Expenditure Amounts, by Type of Expenditure: Calendar Years 2001-2015
Table 5-1: National Health Expenditure Amounts, by Type of Expenditure: Calendar Years 2001-2015 157
Table 5-2: Per Capita Healthcare Expenditures, 2001-2015
Table 5-3: RFID Application in Healthcare

APPENDIX: LIST OF MAJOR COMPANIES


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