Health Care - Digital Operating Model (PowerPoint PPTX Slide Deck)

BENEFITS OF THIS POWERPOINT DOCUMENT

1. Digital and Technology Operating model transformation
2. Digital health care
3. Case studies in health care digital transformation

HEALTHCARE PPT DESCRIPTION

This product (Health Care - Digital Operating Model) is a 110-slide PPT PowerPoint presentation slide deck (PPTX), which you can download immediately upon purchase.

A health care network (HCN) IT and digital operating model review and redesign

These sanitized materials provide a review of the development of a best practices digital and technology operations model for a major health provider network, with over 48 hospitals and medical facilities across the globe.

Fundamentally, the future digital health vision saw the technology operating model shift from its focus on running IT services to being a strategic enabler of business needs and priorities. The vision was achieved through to action three major themes of change containing nine core recommendations.

The journey to the new operating model utilized a pragmatic approach through linked initiatives to successfully implement the recommendations.

The proposed program of work will required additional funding over existing programs for over over 24 months. The benefits from the program established higher levels of strategic business partnering, increased IT agility and innovation.

The materials in this extensive work would be of use to anyone looking at best practice in digital and technology transformation for a large health provider, including recent project costings and benchmark analysis.

The PPT provides a comprehensive analysis of the current IT operating model at HCN, identifying critical gaps in alignment, capabilities, and management focus. Key findings reveal that the existing ITOM is not adequately aligned with the rapidly evolving business agenda, lacks the necessary capabilities to support future technology demands, and is overly focused on maintaining current operations rather than enabling transformation.

The proposed digital operating model emphasizes the importance of a strategic shift towards business enablement, leveraging scale, and fostering innovation. Detailed recommendations include building out a business engagement role, uplifting key functions, and implementing new governance structures. These initiatives are designed to enhance IT agility, improve service delivery, and support the health care network's strategic priorities.

Source: Best Practices in Healthcare PowerPoint Slides: Health Care - Digital Operating Model PowerPoint (PPTX) Presentation Slide Deck, Affinity Consulting Partners

HEALTHCARE PPT SLIDES

Innovative Digital Transformation in Healthcare Case Studies

This PPT slide presents a series of case studies that illustrate innovative digital transformation initiatives within the healthcare sector. It highlights 3 specific examples: SilverCloud, UnitedHealth Group, and Uber Health, each showcasing unique approaches to enhancing healthcare delivery.

SilverCloud offers an online platform for mental and behavioral health services, enabling patients to access clinical content anonymously. This model allows for consumer-provider interaction tailored to individual preferences. The use of advanced analytics in this case supports tracking of behavioral patterns and clinical outcomes, leading to personalized care services.

UnitedHealth Group introduces a "Garage" concept, functioning as an innovation lab. This initiative focuses on crowd-sourcing ideas from employees across the organization, fostering a culture of innovation. The ability to prototype and test new business ideas is emphasized, which can streamline the development of new health services.

Uber Health exemplifies a more operational approach by leveraging existing resources. It provides on-demand health services, such as vaccinations, directly to consumers' homes. This model not only utilizes registered nurses, but also redefines the competitive landscape by integrating new service delivery methods.

The implications for HCN (Healthcare Network) are significant. The slide outlines how these case studies can inform HCN's strategies, such as enhancing patient engagement through digital channels and utilizing analytics for improved care outcomes. Additionally, it suggests that HCN can harness the collective intelligence of caregivers and adapt quickly to emerging trends in technology and service delivery. Overall, the case studies serve as a roadmap for HCN to innovate and adapt in a rapidly evolving healthcare ecosystem.

Strategic Framework for Healthcare Business Engagement

This PPT slide presents a strategic recommendation focused on enhancing the business engagement role within the healthcare network. It emphasizes the necessity for a distinct business relationship function to adapt to evolving patient care demands. The central theme revolves around aligning this function with both industry trends and organizational priorities.

At the top, the slide outlines key strategic priorities for the healthcare network (HCN), which include increasing investments in information, analytics, and technology. This suggests a push towards modernization and data-driven decision-making. Agility in responding to environmental changes is highlighted, indicating the need for flexibility in operations. Additionally, the slide stresses the importance of deeper partnerships with key stakeholders, which is essential for collaborative care models.

The left side lists various technological trends that are shaping the healthcare landscape, such as digitization, mobile solutions, virtual care models, and data analytics. These elements are critical in driving innovation and improving patient engagement. The mention of health incubators and genomics further illustrates the focus on harnessing cutting-edge technologies to enhance service delivery.

On the right side, industry trends are identified, including regulation and reform, an aging population, funding pressures, and a focus on innovation. These factors create both challenges and opportunities for healthcare organizations, necessitating a proactive approach to adapt and thrive.

The slide effectively communicates the need for a robust business relationship function that aligns with both business needs and industry trends, positioning the healthcare network to better meet the demands of modern patient care.

Framework for Strategic Cloud Migration Decisions

This PPT slide presents a structured framework developed by HCN for making cloud-related decisions, particularly relevant for organizations assessing their cloud strategy. It outlines key considerations and analysis parameters that guide decision-making.

The left side of the slide emphasizes "Considerations" and "Analysis parameters." It suggests that organizations should evaluate their application outlook, including aspects like investment, containment, and sunset strategies. This initial assessment is crucial for determining if the organization should be considered for cloud migration.

Moving to the central section, the framework poses critical questions: "How will I move?" and "How hard will the move be?" This part highlights various factors influencing the migration process, such as the level of remediation required, integration complexity, and existing projects. It also mentions the types of systems involved, like mainframe or mid-range technologies, which can significantly impact the migration effort.

The right side of the slide addresses the destination and order of migration. It discusses "Cloud Disposition," categorizing potential cloud environments—public, community, private, or existing infrastructure. The slide also emphasizes strategic relevance, weighing business benefits against risks and funding considerations.

Finally, the "Approach" section outlines recommended strategies for maximizing return on investment while minimizing risk. It advocates for a deep, focused approach before scaling broadly, suggesting that organizations should enhance their foundational elements to foster innovation. This framework serves as a comprehensive guide for organizations looking to navigate their cloud journey effectively.

Assessment of IT Operating Model Alignment and Capabilities

This PPT slide presents an assessment of the current state of the IT operating model (ITOM) within a healthcare network, highlighting 3 primary findings.

The first finding addresses the degree of alignment between the ITOM and the healthcare network's strategic priorities. It indicates that the existing IT operating model does not sufficiently reflect the current and rapidly evolving business agenda. This misalignment suggests that the organization may struggle to respond effectively to emerging trends and priorities in the healthcare sector.

The second finding focuses on the depth and breadth of capabilities. It points out that the current ITOM lacks the necessary capabilities to meet both current and future technological demands. The analysis reveals that the IT function is primarily engaged in run-related activities, which limits its ability to support a broader range of functions. This gap in capabilities can hinder the organization’s ability to manage technology effectively at scale.

The third finding emphasizes the focus of management. It notes that the ITOM is primarily concerned with maintaining existing operations rather than enabling transformation and innovation in patient care. The slide highlights issues related to the transparency of IT spending and the need for a shift in focus towards facilitating change. It suggests that the organization must increase its overall IT spending and adjust its financial strategy to support the desired transformation agenda.

Overall, the insights provided in this slide underscore the need for a comprehensive reevaluation of the IT operating model to better align with strategic goals and enhance the organization's ability to adapt to the evolving healthcare landscape.

Challenges in Healthcare IT Operating Model

This PPT slide outlines the challenges faced by the current IT operating model within a healthcare context, emphasizing its inability to adapt to new demands. It presents a spiral diagram that illustrates a reinforcing negative cycle affecting IT responsiveness and stakeholder perceptions.

At the core, the slide identifies that IT is primarily focused on "keeping the lights on," which indicates a reactive rather than proactive approach. This internal focus leads to significant capability gaps in essential areas such as project delivery and strategic alignment. Stakeholders perceive IT as lacking the ability to meet strategic initiatives, resulting in decreased support for investing in new capabilities.

The second point highlights the consequences of this internal focus, leading to delayed and inconsistent delivery of IT services. The organizational structure appears to prioritize operational activities over project delivery, which can exacerbate issues when large-scale changes are necessary, such as acquiring another hospital. This misalignment further complicates the situation, as operational staff may be redirected to immediate tasks, increasing operational risk and leading to more frequent outages.

The final point reveals a critical reaction from business stakeholders. Frustrated by the limitations of the IT department, they begin to seek delivery capabilities outside of the IT function. This shift not only undermines the IT department's role, but also indicates a growing disconnect between IT and business needs.

Overall, the slide effectively captures the cyclical nature of the challenges faced by IT in healthcare, emphasizing the need for a strategic overhaul to break this negative spiral.

Enhancing Operational Functions for Health Care Network

This PPT slide outlines key functions that the Health Care Network (HCN) must enhance to align with its overall vision. It emphasizes the need to address functional gaps across various performance levels. The structure is divided into distinct categories, including service strategy, service development, service management and operations, IT management, and supplier relationship management. Each category contains specific recommendations aimed at improving performance from one quarter to the next.

For instance, under service strategy, business relationship managers are expected to align more closely with the business agenda, acting as a driving force behind achieving requirements. This suggests a shift towards a more integrated approach where business needs directly influence IT strategy. In the IT management section, the focus is on meeting service level agreements (SLAs) and establishing a services integration committee, highlighting the importance of governance and resource allocation.

The slide also addresses risk management, indicating that the risk function should be fully aligned with the corporate risk function. This alignment is crucial for effective data governance and analytics, ensuring that insights are actionable and adequately resourced. The mention of a service transition committee underlines the need for a structured approach to managing changes in service delivery.

Overall, the slide serves as a roadmap for HCN to uplift its operational capabilities. It provides a clear framework for prioritizing initiatives that can lead to improved performance and better alignment with strategic goals. The actionable insights presented here can guide decision-making and resource allocation for executives considering enhancements in their operational frameworks.

Framework for Operational Process Improvement in Healthcare

This PPT slide outlines a framework for improving key operational processes within a healthcare network (HCN). It emphasizes the necessity to define interfaces and processes that align with proposed priority functions. The structure is divided into several key areas: Service Strategy, Service Development, Service Management and Operations, and IT Management. Each area contains specific focus points essential for enhancing overall performance.

In the Service Strategy section, elements like Digital Strategy Formulation and IT Strategy Formulation are highlighted, indicating a need for a comprehensive approach to align technology initiatives with business goals. Investment Planning and Demand & Supply Management suggest a strategic focus on resource allocation and market needs.

The Service Development section emphasizes the importance of Service Portfolio Management and includes critical activities such as Planning & Scheduling and Prototyping & Installation. This indicates a structured approach to managing service offerings and ensuring they meet user needs effectively.

Service Management and Operations cover various essential functions, including Incident Management and Service Request Management. These processes are crucial for maintaining operational efficiency and ensuring that user issues are addressed promptly.

Finally, the IT Management section encompasses areas like Knowledge Management and Data Governance, which are vital for ensuring that information is effectively utilized and protected. The inclusion of Enterprise Performance Management and Risk Management highlights the importance of maintaining a robust operational framework that can adapt to changing circumstances.

Overall, this slide serves as a strategic roadmap for HCN to enhance its operational capabilities, focusing on critical processes that drive efficiency and effectiveness. The structured approach outlined here provides a clear path for improvement and alignment with broader organizational goals.

IT Spending Analysis: HCN vs. Global Benchmarks

This PPT slide presents a comparative analysis of IT spending across various healthcare organizations, highlighting HCN's current IT budget in relation to its peers and global benchmarks. It begins with a statistical overview, indicating that while HCN's IT spend as a percentage of revenue and operating expenses aligns closely with similar organizations, it falls short of global averages.

The first section details IT spend as a percentage of revenue, showing HCN's 2021 budget at 2.00%, compared to averages of 2.33% and 4.10% for global providers. The second section focuses on IT spend as a percentage of operating expenses, where HCN again trails with a figure of 2.20% against a global average of 4.40%.

The third section evaluates IT spending per full-time equivalent (FTE), with HCN's budget at USD 2,647, significantly lower than the global average of USD 8,700. The slide concludes with suggested IT spending ranges based on revenue, operating expenses, and FTE benchmarks, indicating that HCN's budget should ideally be between USD 36.6 million and USD 39.9 million to align with industry standards.

Overall, the slide effectively communicates that while HCN's spending is comparable to peers, it is insufficient when measured against broader global benchmarks. This insight suggests a need for HCN to reassess its IT investment strategy to enhance operational efficiency and align more closely with industry standards.

Prioritization of Key Functions in Healthcare IT

This PPT slide outlines the prioritization of key functions within a healthcare context, emphasizing their alignment with strategic priorities and maturity gaps. It presents a framework that categorizes various functions, such as service management, project management, and technical operations, along a vertical axis representing strategic alignment. The horizontal axis appears to indicate the maturity level of these functions.

At the center of the slide, the highest priority is given to business relationship management, which is crucial for bridging the gap between business needs and IT solutions. This function is further broken down into sub-functions, including enterprise architecture and information strategy, as well as prototyping and incubation. These elements suggest a focus on fostering collaboration and ensuring that IT initiatives are closely aligned with overarching business objectives.

The slide also highlights the importance of managing supplier relationships, indicating that external partnerships play a significant role in achieving strategic goals. Other functions, such as data governance and analytics, security and risk management, and IT workforce management, are included, suggesting a comprehensive approach to operational effectiveness.

The recommendations section emphasizes the need for developing a clear technology architectural direction and adopting emerging technologies. This indicates a forward-looking strategy aimed at enhancing agility and responsiveness in service delivery. Overall, the slide serves as a strategic roadmap for healthcare organizations seeking to optimize their IT functions in alignment with business priorities. It provides a clear visual representation of where focus should be directed to achieve desired outcomes.

Karolinska University Hospital's Digital Transformation Strategy

This PPT slide presents a case study focused on Karolinska University Hospital in Sweden, highlighting its significant digital transformation efforts through a robust business engagement function. The hospital, one of Sweden's largest tertiary facilities, boasts 1,700 beds and 1.7 million patient visits annually, with a strong emphasis on research and development. A key initiative is the "Future Plan," which involves a €3 billion investment in eHealth initiatives aimed at enhancing technology integration within healthcare services.

Karolinska's approach emphasizes innovation via dedicated business engagement teams. These teams are tasked with regularly evaluating new technologies and facilitating the adoption of advanced clinical decision support tools and mobile health platforms. This proactive stance is crucial for adapting to the rapidly evolving healthcare landscape.

The slide outlines specific strategies that differentiate Karolinska from other institutions. It mentions the implementation of technology-rich distributed care models, where community care providers handle routine services while hospitals focus on specialized care. This model fosters greater collaboration across organizations, addressing the need for integrated healthcare solutions.

The implications for Health Care Networks (HCN) are significant. The hospital's ability to swiftly assess and translate innovations into clinical applications enhances its service offerings. Furthermore, the use of next-generation communication tools is expected to improve collaboration across sectors, driving new care models. The focus on genomic analysis at the point of care is also noteworthy, as it supports personalized treatment options. Lastly, the integration of diverse data sets and advanced analytics is positioned to bolster preventative care strategies, ultimately improving patient outcomes.

Assessment of HCN's IT Operating Model Limitations

This PPT slide presents an assessment of the current IT operating model at HCN, highlighting its inadequacies in leveraging emerging healthcare technology trends. It begins by outlining key healthcare technology trends, such as the growing reliance on data and analytics for personalized treatment and proactive care, the increasing use of mobile and digital channels for seamless healthcare access, and the emergence of new cloud-enabled care models that extend services directly to patients' homes.

The implications for the IT operating model are significant. The slide emphasizes the need for new care models that harness data analytics to enhance patient care. It suggests that machine learning and advanced technologies should be integrated to support personalized healthcare solutions. A seamless, patient-centric experience is crucial, utilizing digital channels to facilitate coordinated care. The ability for patients to receive care anytime and anywhere is underscored, along with the necessity for healthcare providers to adopt mobile channels for virtual consultations.

Current limitations are starkly identified. The existing model primarily uses data for reporting rather than for driving innovative care approaches. There’s a lack of capability to implement advanced technologies like machine learning, and the IT framework fails to adopt a patient-centric focus. Limited use of digital channels restricts both workforce empowerment and patient engagement. Furthermore, the absence of an effective engagement model hampers the creation of a partner ecosystem, which is vital for modern healthcare delivery. This analysis serves as a critical call to action for HCN to evolve its IT operating model to meet contemporary healthcare demands.

Transforming Healthcare: Key Themes for Future Hospitals

This PPT slide outlines critical transformations in the healthcare ecosystem, emphasizing the role of IT in facilitating the transition to what is termed the "hospital of the future." It presents several key themes that are expected to shape this evolution.

First, there is a notable shift towards community-based care for routine procedures, indicating a move away from traditional tertiary facilities for certain services. This suggests a decentralization of healthcare delivery, allowing for more specialized and high-value care to occur in appropriate settings.

Next, the slide highlights the emergence of new care models that integrate funding and delivery systems, facilitated by collaborations among insurers, industry stakeholders, and other partners. This indicates a trend towards more innovative and flexible healthcare solutions.

Personalized medicine and genome-based diagnostics are also mentioned as essential services for chronic care management. This reflects a growing focus on tailoring healthcare to individual patient needs, enhancing the overall quality of care.

The redesign of service experiences to prioritize patient-centered approaches is another significant theme. This involves leveraging innovation to ensure that healthcare delivery is aligned with patient preferences and needs.

Additionally, the slide notes the importance of geographically spreading healthcare services to provide a seamless consumer experience across various locations. This could enhance accessibility and convenience for patients.

Finally, the concept of connected hospitals is introduced, where providers coordinate care for patients at home. This integration of virtual and physical care models is critical for improving patient outcomes and ensuring continuity of care.

Overall, the slide presents a forward-looking perspective on healthcare transformation, emphasizing the need for strategic alignment and technological integration.

Design Principles for Future IT Operating Model

This PPT slide outlines a set of design principles aimed at shaping the future IT operating model for a healthcare network. It emphasizes the importance of collaboration between IT and various divisions within the organization. The first principle, "Business enabling organization," highlights the need for a culture that fosters cooperation and measures IT's value in relation to strategic priorities. This sets the tone for a more integrated approach to IT.

Next, the principle of "Deliver large transformation programs" focuses on enhancing core capabilities to manage significant initiatives effectively. It suggests a shift from merely building IT solutions to integrating services, which can lead to improved outcomes in project execution.

The slide also addresses the need for efficient delivery of business services. This principle stresses the importance of consistency and resilience in service delivery, while also emphasizing the necessity of maintaining security and risk management measures to protect both the healthcare network and its customers.

Cost optimization is another critical principle. It aims to improve transparency in IT costs, ensuring that total cost of ownership (TCO) is optimized throughout planning and execution phases.

The remaining principles focus on responsiveness to demand, leveraging scale and standardization, achieving a high degree of automation, and fostering an innovation-driven culture. These elements collectively aim to enhance the agility and efficiency of IT operations, ultimately supporting the healthcare network's growth and strategic objectives.

This slide serves as a comprehensive checklist for stakeholders involved in the transformation process, ensuring that all critical areas are addressed for a successful IT operating model.

Governance Framework for Healthcare Management

This PPT slide outlines a proposed governance structure for managing programs and projects within a healthcare network, emphasizing the establishment of an Enterprise Project Management Office (EPMO). This EPMO is positioned as a central entity that provides a comprehensive view of all portfolio-wide investments through a dashboard interface. It aims to govern programs and projects primarily by exception, indicating a focus on significant deviations rather than routine oversight.

The slide details the roles and interactions between various project management offices (PMOs) and governance bodies. The EPMO serves as the hub, coordinating with the Chief Financial Officer (CFO) and the IT board for strategic oversight. This centralized approach is intended to streamline reporting and enhance decision-making processes.

An enterprise-wide reporting function is highlighted, which will standardize templates and procedures, creating a center of excellence for portfolio governance. This function will prepare reports and dashboards, ensuring transparency and accountability across the network. Additionally, area-specific reporting functions are mentioned, which will track progress and liaise with the EPMO to ensure adherence to best practices.

The diagram illustrates the flow of information and authority, showing how various PMOs, such as the Engineering PMO and Division PMO, report to the EPMO. This structure is designed to enhance collaboration and ensure that all programs align with the overall strategic objectives of the healthcare network. The emphasis on a single point of truth for governance aims to reduce complexity and improve the efficiency of project management across the organization. Overall, this governance model is positioned as a critical step towards achieving better alignment and performance in healthcare project execution.

Outsourcing Strategies: Infrastructure vs. Application Development

This PPT slide presents 2 distinct outsourcing options for organizations, specifically in the context of application maintenance and infrastructure management. The first option, labeled as "Application maintenance and infrastructure outsourcing," focuses on a minimal approach primarily related to infrastructure. This option emphasizes low outsourcing, with various functions categorized under it. Key areas include business relationship management, strategic business relationship management, and operational business relationship management, indicating a foundational level of engagement with external vendors.

The second option, "Application development outsourcing," represents a more comprehensive approach, characterized by a higher scope of IT functions. This option includes more complex activities such as development operations and project management and measurement. The slide indicates a clear differentiation in the level of outsourcing, suggesting that organizations can choose between a basic infrastructure-focused model or a more integrated application development strategy.

Each option is further broken down into specific functions, with a numerical representation indicating the level of outsourcing involved. For instance, the development section under the second option shows a higher number of activities, suggesting a more extensive engagement with external partners. The "Office of the CIO" section also highlights critical functions like management and control, security and risk management, and IT finance, which are essential for organizations looking to leverage their IT capabilities effectively.

Overall, the slide serves as a strategic framework for decision-makers considering outsourcing options, providing a clear visual representation of the trade-offs between minimal and extensive outsourcing approaches. It encourages potential customers to evaluate their specific needs against the outlined options.

Transforming HCN's IT Operating Model for Leadership

This PPT slide outlines a strategic vision for the health care network (HCN) to enhance its IT operating model, emphasizing 3 primary themes of change. The overall outcome sought is for HCN to establish itself as a leader in healthcare provision globally. The first theme, "Align," focuses on ensuring that the IT agenda is in sync with the broader business objectives. This involves recognizing the rapidly evolving healthcare environment and leveraging new technologies to create a connected health ecosystem.

The second theme, "Uplift," highlights the necessity for HCN to enhance its core capabilities. This is crucial for delivering comprehensive services sustainably and effectively. Recommendations include uplifting key functions and defining the necessary interfaces and processes to better align IT with business needs.

The third theme, "Leverage Scale," suggests that HCN should utilize its scale to optimize operations where possible. This involves outsourcing non-core functions, such as application support and infrastructure management, to focus on strategic initiatives.

Each of these themes impacts various elements of the operating model, as depicted in the pyramid structure on the slide. The top layers emphasize alignment with business strategy and market trends, while the lower layers detail the operational aspects, including governance, processes, and key performance indicators. The slide serves as a roadmap for HCN, illustrating how to transform its IT operating model to meet strategic objectives and adapt to market demands effectively.

Framework for Innovation in Healthcare Networks

This PPT slide outlines the critical role of innovation in supporting digital and emerging technologies within a healthcare network (HCN). It emphasizes the need for a robust prototyping and incubation framework that aligns with the strategic priorities of the HCN.

On the left side, various digital emerging technologies are listed, including digital processes, clinical information systems, data analytics, consumer devices, and health tech. This highlights the diverse technological landscape that healthcare organizations must navigate. Each technology serves a specific function, suggesting that a comprehensive approach is necessary to integrate these elements effectively.

The right side of the slide details the objectives of the innovation function. Key actions include adopting emerging technologies and launching products swiftly through rapid prototyping and iterative methods. This approach is crucial for staying ahead in a fast-evolving market. Developing strategic capabilities to create product and service roadmaps from concept to launch is also emphasized, indicating a structured method to guide innovation.

Identifying key areas for innovation within HCN operations, products, and technology is another focal point. This suggests a targeted approach to innovation, ensuring that efforts are aligned with the organization's overarching goals. The slide also stresses the importance of aligning innovation efforts with HCN strategy, IT strategy, and legal/regulatory requirements, indicating that compliance and strategic alignment are paramount.

Driving innovation through appropriate people, processes, and partnerships is highlighted, along with a structured approach to funding, assessing, prototyping, and incubating innovative ideas. This comprehensive framework positions the HCN to leverage disruptive technologies effectively, ensuring that innovation is not just an afterthought, but a core component of the organization's strategy.

IT Budget Analysis and Change Spend Requirements

This PPT slide presents a financial analysis regarding HCN's IT budget and change spending requirements. It outlines the actual IT spending for fiscal year 2016 and the proposed budget for fiscal year 2017, highlighting the need for increased investment to achieve a specific mix of change spending.

The first row indicates the actual spend for FY16, which totaled USD 27.1 million, with a change spend of USD 3.3 million, representing 12% of the total. The following row shows the FY17 budget, which is set at USD 36.2 million, with a change spend of USD 4.3 million. This indicates a slight increase in both overall budget and change spend,, but it still falls short of the desired spending mix.

The core of the slide focuses on the suggested range for IT budgets, which spans from USD 43 million to USD 55 million. This range is critical for maintaining a 30% change spend mix, with specific figures outlined for varying levels of change spend (30%, 40%, and 50%). For instance, to maintain a 30% change spend, HCN would need to allocate USD 25.3 million for change, which is significantly higher than the current allocation.

The analysis underscores the financial gap HCN faces in meeting its strategic IT objectives. It emphasizes the necessity for a substantial increase in change spending, estimated between USD 6 million to USD 12 million, to align with the targeted change spend mix. This data-driven approach provides a clear framework for decision-making regarding future IT investments.

Organizational Structures for Business Relationship Managers

This PPT slide presents 3 organizational options for Business Relationship Managers (BRMs) within a healthcare context, focusing on their integration into divisions or IT. Each option outlines a distinct structural approach, highlighting the reporting lines and roles of BRMs.

Option 1 suggests that BRMs are integrated into divisions, where they report directly to divisional leads. This structure emphasizes close collaboration between BRMs and IT, positioning BRMs as primary interfaces for technology-related initiatives. The slide notes that this arrangement allows BRMs to engage with business divisions effectively, ensuring alignment with business needs.

In Option 2, BRMs are situated within the IT department and report to the Chief Information Officer (CIO). This model fosters a strong connection between IT and business, as BRMs work closely with both sides. The slide indicates that BRMs in this setup are instrumental in bridging gaps between technology and business requirements, enhancing service development and management.

Option 3 proposes a hybrid model where BRMs remain within IT, but maintain a dual reporting line—both to the IT department and the business divisions. This dual structure aims to balance the needs of IT with those of the business, ensuring that BRMs have clear performance indicators aligned with business objectives. The slide emphasizes that this arrangement can enhance responsiveness to customer satisfaction and overall service delivery.

Overall, the slide provides a comprehensive overview of how BRMs can be organized, each option presenting unique advantages and challenges. Organizations must consider their specific needs and strategic goals when deciding on the most effective structure for BRMs.

Interconnected Governance Forums for Health Care Networks

This PPT slide illustrates the interconnected governance forums essential for effective stakeholder engagement within a health care network. At the top, the Digital & Innovation Board sets the digital vision, indicating a strategic direction that influences various committees. The CEO plays a pivotal role, overseeing risk and issue escalations that flow through the IT Board, which serves as a central hub for portfolio performance and actionable insights.

The IT Portfolio Governance Committee (IT PGC) is crucial for managing risks and issues, ensuring that any challenges are escalated appropriately. This committee interacts closely with the Architecture Board, which focuses on enterprise architecture strategy and necessary changes. The Program/Project Steering Committees (PSC) are responsible for approving change requests, highlighting the importance of structured governance in managing projects effectively.

The Security, Information, and Data Governance Committee ensures that data integrity and security are maintained, contributing to overall portfolio performance. The IT Services Committee monitors service performance and change request statuses, while the Supplier Relationship Committee focuses on supplier performance and feedback, ensuring that external partnerships align with organizational goals.

The slide emphasizes the need for close interactions among these governance bodies to ensure that all aspects of IT and digital transformation are aligned with the overarching strategic objectives. Understanding these relationships is vital for any organization aiming to enhance its digital operating model, as it highlights the complexity and necessity of coordinated efforts across various stakeholders.

Centralized IT Organization Structure for Healthcare

This PPT slide outlines a strategic recommendation for restructuring the IT organization within a healthcare context. It emphasizes a centralized IT function model, with the Chief Medical Information Officer (CMIO) reporting directly to the Chief Information Officer (CIO). This structure is designed to streamline decision-making and enhance alignment between IT and clinical operations.

The slide presents 3 distinct reporting models: a single reporting model, a dual reporting model, and a combined model. The single reporting model shows a straightforward hierarchy where the CIO oversees all IT functions. The dual model introduces a more complex structure, allowing for the CMIO to report to both the CIO and the Chief Marketing Officer (CMO), which may facilitate cross-functional collaboration. The combined model further integrates various roles, indicating a flexible approach to reporting lines.

The slide also discusses organizational structures based on function and business divisions. This segmentation allows for tailored IT solutions that can better address the specific needs of different departments. The centralized model is highlighted as the preferred approach, suggesting that it can lead to improved efficiency and resource allocation.

A hybrid model is also mentioned, indicating a phased approach to centralization over time. This gradual transition can help mitigate resistance and allow for adjustments based on feedback and performance metrics. The slide concludes with references to cluster and federated organizational models, which may offer alternative frameworks depending on the organization's size and complexity.

Overall, the slide provides a clear framework for decision-makers considering a transformation in their IT organization, emphasizing the importance of alignment and adaptability in a rapidly evolving healthcare landscape.

Essential Skills for Modern Healthcare BRMs

This PPT slide outlines the evolving role of Business Relationship Managers (BRMs) in the healthcare sector, emphasizing the necessity for new skills and attributes. It categorizes key attributes into 5 areas: Business acumen/investment mindset, Clinical knowledge, Technology advocacy and agnosticism, Understanding of technology usage/management, and Change agent experience.

Each attribute is paired with its relevance to the healthcare network, indicating how these skills support the BRM's function in aligning IT investments with business needs. For instance, a strong business acumen allows BRMs to grasp financial implications and advocate for necessary IT investments. Clinical knowledge is crucial for facilitating effective communication between clinicians and IT, ensuring that the needs of end users are met.

The slide also identifies potential candidates for the BRM role, suggesting that individuals from diverse backgrounds—such as architects, medical professionals, project managers, and digital transformation enthusiasts—can bring valuable perspectives and skills. This diversity is essential for fostering a holistic understanding of both clinical and technological landscapes.

The overall message stresses that as the healthcare environment becomes increasingly complex, the BRM's role must adapt to include a broader skill set. This shift is vital for ensuring that technology and business strategies are effectively integrated, ultimately enhancing organizational performance and patient care. The insights provided here can guide organizations in selecting and developing BRMs who are equipped to navigate these challenges.

Transforming IT into a Strategic Business Partner

This PPT slide outlines a strategic vision for the IT function within a healthcare network, emphasizing a shift from being merely a service provider to becoming a key partner in business transformation. The vertical axis represents the focus on sustained, higher patient care and staff engagement, while the horizontal axis indicates the varying levels of value derived from IT activities, ranging from sporadic, lower value to a more integrated approach.

The central theme is the transition towards viewing IT as a business transformer. This involves moving beyond fundamental IT services to embrace a broader role that includes enabling new digital models of care and health services. Key measures for success are highlighted, such as establishing clear metrics for patient care improvement and managing IT spend with a focus on operational excellence.

The slide also distinguishes between different operational levels, from functional to executive, indicating that CIOs need to influence the broader business agenda. This suggests a need for IT leaders to engage with higher-level strategic goals rather than just focusing on technical execution.

The right side of the slide lists specific key measures that support this vision. These include optimizing IT spending, ensuring visibility of performance metrics, and maintaining availability and stability of IT services. The emphasis is on a holistic approach to IT management that aligns with overall business objectives, rather than treating IT as a separate entity. This strategic repositioning is crucial for organizations looking to enhance their operational effectiveness and improve patient outcomes.

Evolution of Health Care IT Organization Strategy

This PPT slide outlines the evolution of the health care network's IT organization over a two-year period, detailing 3 distinct phases: Current Organization, Uplift Phase, and Transform Phase. Each phase is designed to enhance the IT structure and capabilities, ultimately leading to a fully in-house model with the potential for outsourcing certain roles.

In the Current Organization section, the focus is on the existing IT PMO and IS organization. It notes the incorporation of 2 MBSI roles while indicating that Business Intelligence (BI) functions will be integrated into Program BART resources. This sets the stage for the transition by establishing a baseline of current capabilities.

The Uplift Phase, spanning 0-12 months, emphasizes a significant ramp-up in change management capabilities and strategic IT planning. Key activities include establishing business relationships and enhancing enterprise architecture and strategy roles. This phase is critical for preparing the organization for the upcoming transformation.

The Transform Phase, covering 12-24 months, outlines the addition of business relationship management, architecture, and innovation capabilities. It highlights the enhancement of IT and vendor management roles, indicating a shift towards a more integrated approach. The slide also mentions that all infrastructure and application maintenance will be managed in-house, reinforcing the commitment to building internal capabilities.

Finally, the potential for outsourcing is noted, with an estimated 55 roles that could be transitioned to external vendors. The total estimated cost for this evolution is projected at USD 16.2 million. This slide serves as a roadmap for stakeholders, providing insights into the strategic direction and operational changes necessary for achieving a robust IT organization.

Cost Reduction through Managed Application Services

This PPT slide presents a compelling case for HCN to transition from in-house application maintenance to a managed service model. It illustrates the potential for significant cost reductions, estimating savings of 30-40% in application maintenance and support costs. The graph indicates that the current cost per user for in-house maintenance is approximately USD 115, while the managed service model promises a reduction in this cost.

Key insights include the structured nature of managed service contracts, which hold vendors accountable for performance through penalties for unmet service level agreements (SLAs). This accountability not only enhances service reliability, but also fosters a more efficient operational environment. The slide emphasizes the importance of visibility into support tickets and resolution times, suggesting that advanced analytics and next-generation tools can identify recurring issues, leading to quicker resolutions.

Furthermore, the slide highlights the role of AI agents in driving productivity improvements. These agents can analyze data and implement self-healing fixes autonomously, reducing the need for human intervention. This capability not only streamlines operations, but also allows IT teams to focus on more strategic initiatives rather than routine maintenance tasks.

The bottom section of the slide clarifies what is included and excluded in the application maintenance services, ensuring that stakeholders have a clear understanding of the scope. Overall, the slide effectively communicates the financial and operational benefits of adopting a managed service model, making a strong case for HCN to consider this strategic shift.

Optimizing IT Structure for Vendor Management

This PPT slide presents 2 organizational models for IT functions within a healthcare setting, focusing on how to effectively manage vendor relationships and overall IT strategy.

Option 1 outlines a single reporting model where all IT functions, including business relationship management, strategy and architecture, development, service management, and vendor management, report directly to the Chief Information Officer (CIO). This structure aims to ensure that IT strategy is closely aligned with development and service management, thereby enhancing operational efficiency. In scenarios where certain services are outsourced, vendors would report to the service management function, which is responsible for overseeing operations and managing service level agreements (SLAs).

The pros of this model include a tightly integrated IT strategy that influences development and operations, and the simplicity of having a single senior resource (the CIO) overseeing the entire IT function. However, the con is that it places a significant burden on the CIO, requiring them to manage all aspects of IT.

Option 2 introduces a split reporting model, where vendor management is separated from the CIO and instead reports to the Chief Financial Officer (CFO) or Chief Operating Officer (COO). This model allows the CIO to focus on strategic advisory roles and broader technology trends, while the CFO manages vendor performance and cost optimization. The pros here include the ability for the CIO to dedicate time to strategic initiatives and the CFO's focus on controlling costs. The downside is the potential for misalignment between IT strategy and vendor management, which could hinder operational effectiveness.

Overall, the slide emphasizes the importance of organizational structure in optimizing IT functions and vendor management in healthcare.