News Feature | September 18, 2013

Physicians Who Opt To Stay Independent Are Moving To The Cloud

Source: Health IT Outcomes
Greg Bengel

By Greg Bengel, contributing writer

A recent survey from Black Book says that while many practices are being taken over by hospitals, other practices are staying autonomous by integrating cloud-based technology

A recent study from Black Book found that many independent physicians are saving their practices by moving to the cloud. According to Black Book’s press release published here on PR Web, moving to cloud-based EHRs with integrated billing solutions “may save thousands of independent physicians from acquisition.”

Almost 10 percent of physician practices are being taken over by larger hospitals and medical groups, the press release says. “However,” it goes on, “Black Book surveys detect a defiant tipping point from the majority of independent physicians recently shifting to replacement EHRs featuring lower costs, ease in deployment, and high RCM usability.”

The survey was taken of more than 8,000 CFOs, CIOs, administrations, and support staff of American hospitals and physician practices. According to Information Week Healthcare, the sample was skewed toward small primary care practices.

Information Week Healthcare reports on the Black Book survey, writing, “Many practice leaders view integrated practice management (PM)/electronic health record (EHR) systems, coupled with outsourcing of revenue cycle management (RCM), as their best hope for remaining autonomous, according to the research firm.”

Eighty-six percent of survey respondents said that their current PM systems were not suited for the government regulations rapidly approaching, and almost all respondents said that their software was not suited for ACO participation. “They said that a seamless RCM/PM/EHR system would ensure long-term practice independence and greatly improve productivity and profitability,” explains Information Week Healthcare. Getting such a system, though, might prove easier said than done: 72 percent of physician practices say they expect either declining or negative profitability in 2014 due decreased reimbursements and inefficient billing and EHR technology.

Here’s where the cloud comes in. As profits decrease, physician practices struggle to replace inefficient EHR and billing systems that they agree they need to replace. Cloud-based EHRs are a cost-effective solution, as physicians do not need to make an initial investment in software or servers.

Here is a list of some of the findings of the Black Book survey, as reported by Information Week Healthcare:

  • “87 percent of practices agreed their billing and collection systems need upgrades. 
  • 42 percent were considering an upgrade of their RCM software within six to 12 months. 
  • 92 percent of those seeking an RCM/practice management system upgrade were considering only systems integrated seamlessly with EHRs. 
  • 71 percent of practices were considering a combination of new software and outsourcing services to improve their RCM systems.
  • 89 percent of those entities preferred a single PM/EHR vendor. 
  • 89 percent of physicians currently replacing their EHRs wanted a single vendor for all their IT systems and preferred vendors that offer software, outsourcing and consulting options. 
  • 96 percent of practices that had attested to Meaningful Use and/or were highly satisfied with their EHR vendor said that integrated PM/EHR systems are key to ensuring practice survival without being acquired by hospitals or larger physician groups.”