Governance Reporting

Making governance documents reader-friendly by using infographics, standardizing terms & major assumptions, ensuring relevance, and using interactive visualization

Read our related blog

 

Governance Reporting

Making governance documents reader-friendly by using infographics, standardizing terms & major assumptions, ensuring relevance, and using interactive visualization

Read our related blog

 

IBM Acq of Truven

IBM’s February 2016 announced plan to acquire Truven is yet another in a recent spate of healthcare market mergers/acquisitions. The Truven purchase, IBM’s fourth major acquisition since establishing Watson Health in 2014, offers IBM access to data integration and analytics services and solutions.

Visit the report page

 

IBM Acq of Truven

IBM’s February 2016 announced plan to acquire Truven is yet another in a recent spate of healthcare market mergers/acquisitions. The Truven purchase, IBM’s fourth major acquisition since establishing Watson Health in 2014, offers IBM access to data integration and analytics services and solutions.

Visit the report page

 

“The Global analyst firm Everest Group has released a comprehensive, 165 page report (available here) covering global service delivery locations, and the report cites Colombia as a nascent location in the global services market. While the country still has only a small share of the IT services market, for example, it is poised to…” Read more.

 

“The Global analyst firm Everest Group has released a comprehensive, 165 page report (available here) covering global service delivery locations, and the report cites Colombia as a nascent location in the global services market. While the country still has only a small share of the IT services market, for example, it is poised to…” Read more.

 

We have been wondering how service providers will ultimately tap into Service Delivery Automation (SDA) technologies to support their standardized and industrialized shared services offerings. Most have multitudes of in-house developed automations, including macros and the robotic varieties. Some have developed automation routines that can be shared across engagements for either specific processes (e.g., accounts payable) or for common purposes such as login & credentials management. The challenging part for shared services is to get a view across all automations, whether they are provided by macros, robotic or cognitive tools, as well as across clients.

Service providers are approaching this problem differently. Some are happy to just tap into the individual automation tools control panel, while others are looking for a controller of controllers capability. We are starting to hear from more and more service providers that have built the capability – Capgemini and Xerox being among them.

In a recent briefing with Capgemini, we heard about its solution to this problem. Capgemini has developed its own business services automation platform that will ultimately work with most automation technologies, including UiPath and Celaton, two of most recently announced Capgemini SDA partners. The platform is already operational and soon will clock up over a million transactions processed through it and UiPath.

Why a business services automation platform?

The majority of off-the-shelf automation software allow the user to manage and control automations from a centralized feature. This is fine and dandy for that piece of software, but most organizations use several automation tools from different vendors and need to have oversight of operations across all of them. With shared services, there is the added requirement of monitoring and, possibly, metering automated processes that are fulfilled through the shared capability. These features would aid operational quality assurance and transaction-based and volumetric pricing by providing process intelligence through role-based dashboards and reports. This kind of capability takes time to develop. We note that Capgemini’s platform offers the monitoring and analysis capability currently but not fully automated metering.

A central capability to manage, monitor, and measure the performance of automations, no matter where they’re run in the world, is fundamental for shared services. The advantages are clear to see:

  • Helps an automation Center of Excellence (CoE) to reuse and share robot codes across engagements as befits a shared services environment
  • Replaces a typically uncontrolled mess of home grown automation routines that are classically hidden among different engagements’ project assets and artefacts and consequently:
    • Enables IT to keep track of what is running where and implement full version control and asset management best practice
  • This allows service providers to have sensible discussions with clients about changing to transaction-based pricing, gainsharing, baselining volumes, benchmarking, and measuring performance against SLAs
  • The capability allows the service provider to see what is available and what needs to be added, e.g., add agent assist capability to the mix of RPA for back-office and AI document processing

For the controller of controllers to work, service providers will have to keep interfacing more and more automation technologies with it so that they can manage all of them no matter when and where they are used. Capgemini, for example, is working to connect more automation tools to its control platform. These include virtual agents for answering repetitive questions and smart search.

The shape of things to come

Whether they like it or not, service providers face the prospect of having to do away with much of manual processing of repetitive work and have staff, who will be exception managers and teachers of AI platforms, and will take care of higher value and complex work instead. The outlook for the future is as much straight-through automated processing as possible.

It is good to see how service providers, such as Capgemini, are making good progress on SDA. For many, previously, automation was part of the bigger digital picture, but today having teams of automation excellence specialists has become an imperative.

Ease of system integration and achieving higher transaction integrity at reasonable cost are key parts of driving higher benefits from automation.

We expect to see more announcements by service providers, as they enhance and scale up their automation capabilities.

 

 

We have been wondering how service providers will ultimately tap into Service Delivery Automation (SDA) technologies to support their standardized and industrialized shared services offerings. Most have multitudes of in-house developed automations, including macros and the robotic varieties. Some have developed automation routines that can be shared across engagements for either specific processes (e.g., accounts payable) or for common purposes such as login & credentials management. The challenging part for shared services is to get a view across all automations, whether they are provided by macros, robotic or cognitive tools, as well as across clients.

Service providers are approaching this problem differently. Some are happy to just tap into the individual automation tools control panel, while others are looking for a controller of controllers capability. We are starting to hear from more and more service providers that have built the capability – Capgemini and Xerox being among them.

In a recent briefing with Capgemini, we heard about its solution to this problem. Capgemini has developed its own business services automation platform that will ultimately work with most automation technologies, including UiPath and Celaton, two of most recently announced Capgemini SDA partners. The platform is already operational and soon will clock up over a million transactions processed through it and UiPath.

Why a business services automation platform?

The majority of off-the-shelf automation software allow the user to manage and control automations from a centralized feature. This is fine and dandy for that piece of software, but most organizations use several automation tools from different vendors and need to have oversight of operations across all of them. With shared services, there is the added requirement of monitoring and, possibly, metering automated processes that are fulfilled through the shared capability. These features would aid operational quality assurance and transaction-based and volumetric pricing by providing process intelligence through role-based dashboards and reports. This kind of capability takes time to develop. We note that Capgemini’s platform offers the monitoring and analysis capability currently but not fully automated metering.

A central capability to manage, monitor, and measure the performance of automations, no matter where they’re run in the world, is fundamental for shared services. The advantages are clear to see:

  • Helps an automation Center of Excellence (CoE) to reuse and share robot codes across engagements as befits a shared services environment
  • Replaces a typically uncontrolled mess of home grown automation routines that are classically hidden among different engagements’ project assets and artefacts and consequently:
    • Enables IT to keep track of what is running where and implement full version control and asset management best practice
  • This allows service providers to have sensible discussions with clients about changing to transaction-based pricing, gainsharing, baselining volumes, benchmarking, and measuring performance against SLAs
  • The capability allows the service provider to see what is available and what needs to be added, e.g., add agent assist capability to the mix of RPA for back-office and AI document processing

For the controller of controllers to work, service providers will have to keep interfacing more and more automation technologies with it so that they can manage all of them no matter when and where they are used. Capgemini, for example, is working to connect more automation tools to its control platform. These include virtual agents for answering repetitive questions and smart search.

The shape of things to come

Whether they like it or not, service providers face the prospect of having to do away with much of manual processing of repetitive work and have staff, who will be exception managers and teachers of AI platforms, and will take care of higher value and complex work instead. The outlook for the future is as much straight-through automated processing as possible.

It is good to see how service providers, such as Capgemini, are making good progress on SDA. For many, previously, automation was part of the bigger digital picture, but today having teams of automation excellence specialists has become an imperative.

Ease of system integration and achieving higher transaction integrity at reasonable cost are key parts of driving higher benefits from automation.

We expect to see more announcements by service providers, as they enhance and scale up their automation capabilities.

 

 

It’s hard to believe that the 2016 HIMSS Annual Conference & Exhibition is upon us! Being held in Las Vegas on February 29 – March 4, it is the largest healthcare IT conference in the world bringing together 40,000+ health IT professionals, clinicians, executives, and vendors. And with more than 1,300 healthcare IT vendors occupying over 1.3 million square feet of space (the equivalent of 22 NFL-sized football fields) in the Sands Expo, it will be easy to get lost physically and in the multitude of discourse and chatter that will be going on.

As I look at the healthcare and life sciences IT space heading into 2016, I expect the following five themes to rule the roost at HIMSS 16:

  1. Mega mergers, middling impact for providers

Big healthcare client mergers are underway, and they will cause fluctuations in IT services demand. Major IT services clients in the healthcare vertical are pursuing mergers – e.g., Aetna acquiring Humana; Anthem acquiring Cigna; and Centene acquiring Health Net. While awaiting regulatory approvals (which could take until the second half of 2016 or longer) and consummation, these mergers will affect IT services demand growth in this market segment – entailing pull back on awards of new IT services deals, and stalls on previously-planned scope – in turn potentially detracting from revenues previously expected by IT services firms. We have already seen market leaders such as Cognizant raise concerns over possible downward demand pressures arising out of this temporary pause in spending. After merger consummation, a ramp in merger-integration work could enhance consulting demand. Yet longer-term, existing outsourcing revenues from the combined organizations are prone to be truncated. That said, well-positioned IT services firms could capitalize by achieving client merger-induced share gains.

  1. Will the real patient engagement please stand up?

Patient engagement, population health management, and customized/targeted care have all been doing the rounds in the last couple of years. However, our assessment of the state of patient engagement maturity mandates suggests that most providers lack a coherent strategy. More often than not, care providers conflate ad-hoc and siloed patient-facing initiatives, such as a patient portal or solitary mobile app, as true patient engagement. This couldn’t be farther from the truth. These attempts don’t meaningfully move the needle on patient engagement, and give care providers a false sense of hope and progress. In 2016, health systems and payers will – hopefully – realize that to actualize the patient engagement mandate, they need to constitute a coherent, thought-out strategy that encompasses organizational maturity, culture, multi-pronged initiatives (spanning care management, operational support, internal IT, and omni-channel access), and effective governance mechanisms to keep these disparate moving parts together.

  1. Data security: keeping healthcare CIOs on their toes

Healthcare industry tailwinds such as big data, BYOD, EHR/EMR, networked devices, mHealth apps, cloud-based technologies, and IoT are adding to the healthcare information security conundrum. There has been a manifold increase in the complexity of managing information assets, specifically Electronic Protected Health Information (ePHI) and IP. The data sharing requirements for the Meaningful Use program and the Affordable Care Act will only compound the security challenges for healthcare organizations. The frequency, severity, and velocity of cyber-attacks have increased, leaving stakeholders shaken in the absence of adequate response and protection systems. Although CIOs often list security as a priority, historically it has not translated into actual meaningful spending on security initiatives. However, we believe now is time for Chief Information Security Officers (CISOs) to take their place in the sun. Per a 2015 survey conducted by Everest Group spanning over 200 senior healthcare IT stakeholders, more than 90 percent view data security as the key IT challenge, higher than any other pressing concern about their IT portfolio.

  1. Drug pricing – the Goldilocks syndrome to the rescue?

Thanks to Martin Shkreli, concerns over drug prices dominated the public discourse last year. For the uninitiated, Turing Pharmaceuticals, headed by Martin Shkreli, was widely condemned for raising the price of Daraprim, a drug used to treat HIV patients, by 5,000 percent from $13.50 to $750 per pill. Price increases for branded drugs have outpaced inflation every year since 2006. Even generics prices increased by an average of 9 percent in 2014. The federal government is investigating Turing Pharmaceuticals’ and Valeant Pharmaceuticals’ drug pricing strategies. In a U.S. election year, Big Pharma will be under tremendous pressure to lower drug prices, which could potentially affect new innovation funding. Presidential candidates, Democrats and Republicans alike, have drug price proposals, further intensifying the spotlight on the issue.

  1. 2016 Presidential elections and the fight for universal healthcare

Both parties in the U.S. presidential race have a number of healthcare proposals on the table. With the high-profile tax inversion mergers by pharmaceutical companies, rising medical costs, and high drug prices, healthcare will remain a key issue throughout the political campaign. This battle will stretch to the Congress as well, given the Senate’s recent passage of a bill that would dismantle core elements of the Affordable Care Act. While a full repeal looks unlikely, parts of the act are still under attack, and the mudslinging is likely to continue through 2016.

I look forward to interesting discussions on these and other topics with clients and the broader vendor community during #HIMSS16. If you’re there in person, feel free to contact me!

 

It’s hard to believe that the 2016 HIMSS Annual Conference & Exhibition is upon us! Being held in Las Vegas on February 29 – March 4, it is the largest healthcare IT conference in the world bringing together 40,000+ health IT professionals, clinicians, executives, and vendors. And with more than 1,300 healthcare IT vendors occupying over 1.3 million square feet of space (the equivalent of 22 NFL-sized football fields) in the Sands Expo, it will be easy to get lost physically and in the multitude of discourse and chatter that will be going on.

As I look at the healthcare and life sciences IT space heading into 2016, I expect the following five themes to rule the roost at HIMSS 16:

  1. Mega mergers, middling impact for providers

Big healthcare client mergers are underway, and they will cause fluctuations in IT services demand. Major IT services clients in the healthcare vertical are pursuing mergers – e.g., Aetna acquiring Humana; Anthem acquiring Cigna; and Centene acquiring Health Net. While awaiting regulatory approvals (which could take until the second half of 2016 or longer) and consummation, these mergers will affect IT services demand growth in this market segment – entailing pull back on awards of new IT services deals, and stalls on previously-planned scope – in turn potentially detracting from revenues previously expected by IT services firms. We have already seen market leaders such as Cognizant raise concerns over possible downward demand pressures arising out of this temporary pause in spending. After merger consummation, a ramp in merger-integration work could enhance consulting demand. Yet longer-term, existing outsourcing revenues from the combined organizations are prone to be truncated. That said, well-positioned IT services firms could capitalize by achieving client merger-induced share gains.

  1. Will the real patient engagement please stand up?

Patient engagement, population health management, and customized/targeted care have all been doing the rounds in the last couple of years. However, our assessment of the state of patient engagement maturity mandates suggests that most providers lack a coherent strategy. More often than not, care providers conflate ad-hoc and siloed patient-facing initiatives, such as a patient portal or solitary mobile app, as true patient engagement. This couldn’t be farther from the truth. These attempts don’t meaningfully move the needle on patient engagement, and give care providers a false sense of hope and progress. In 2016, health systems and payers will – hopefully – realize that to actualize the patient engagement mandate, they need to constitute a coherent, thought-out strategy that encompasses organizational maturity, culture, multi-pronged initiatives (spanning care management, operational support, internal IT, and omni-channel access), and effective governance mechanisms to keep these disparate moving parts together.

  1. Data security: keeping healthcare CIOs on their toes

Healthcare industry tailwinds such as big data, BYOD, EHR/EMR, networked devices, mHealth apps, cloud-based technologies, and IoT are adding to the healthcare information security conundrum. There has been a manifold increase in the complexity of managing information assets, specifically Electronic Protected Health Information (ePHI) and IP. The data sharing requirements for the Meaningful Use program and the Affordable Care Act will only compound the security challenges for healthcare organizations. The frequency, severity, and velocity of cyber-attacks have increased, leaving stakeholders shaken in the absence of adequate response and protection systems. Although CIOs often list security as a priority, historically it has not translated into actual meaningful spending on security initiatives. However, we believe now is time for Chief Information Security Officers (CISOs) to take their place in the sun. Per a 2015 survey conducted by Everest Group spanning over 200 senior healthcare IT stakeholders, more than 90 percent view data security as the key IT challenge, higher than any other pressing concern about their IT portfolio.

  1. Drug pricing – the Goldilocks syndrome to the rescue?

Thanks to Martin Shkreli, concerns over drug prices dominated the public discourse last year. For the uninitiated, Turing Pharmaceuticals, headed by Martin Shkreli, was widely condemned for raising the price of Daraprim, a drug used to treat HIV patients, by 5,000 percent from $13.50 to $750 per pill. Price increases for branded drugs have outpaced inflation every year since 2006. Even generics prices increased by an average of 9 percent in 2014. The federal government is investigating Turing Pharmaceuticals’ and Valeant Pharmaceuticals’ drug pricing strategies. In a U.S. election year, Big Pharma will be under tremendous pressure to lower drug prices, which could potentially affect new innovation funding. Presidential candidates, Democrats and Republicans alike, have drug price proposals, further intensifying the spotlight on the issue.

  1. 2016 Presidential elections and the fight for universal healthcare

Both parties in the U.S. presidential race have a number of healthcare proposals on the table. With the high-profile tax inversion mergers by pharmaceutical companies, rising medical costs, and high drug prices, healthcare will remain a key issue throughout the political campaign. This battle will stretch to the Congress as well, given the Senate’s recent passage of a bill that would dismantle core elements of the Affordable Care Act. While a full repeal looks unlikely, parts of the act are still under attack, and the mudslinging is likely to continue through 2016.

I look forward to interesting discussions on these and other topics with clients and the broader vendor community during #HIMSS16. If you’re there in person, feel free to contact me!