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Enterprise resource planning approach
Why enterprise resource planning
Scope of the study of enterprise resource planning
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Enterprise Resource Planning Concerns and Risks Enterprise resource planning (ERP) systems help to eliminate the fragmentation within an organization by integrating the organizations’ management business processes, both internally and externally (Elmuti & Topaloglu, 2013; Stefanou, & Revanoglou, 2006; Tan and Payton, 2010). As a CIO of a 170 bed hospital the use of health management information systems (HMIS), such as ERP, is becoming a requirement. ERP systems help to reduce costs by streamlining the many departments within the hospital, such as the supply chain management, customer relationship management, accounting and payroll, and marketing. Analysis of ERP concept and interaction ERP is meant to interact with every management system within a healthcare organization. Two very different departments that interact with the ERP system is the supply chain management (SCM) and customer relationship management (CRM). Both of these departments deal with two very different responsibilities. Having an ERP allows vendors to create applications within their own systems which will then interact effortlessly creating an integrated system that management can use to operate the entire system. Two very important systems within a healthcare organization would be the SCM and CRM. These systems allow for smooth operations of both the front-end and back-end of the organization. SCM is a system which increases efficiencies between suppliers and venders as well as optimizing the service quality with the internal information flow processes (Tan & Payton, 2010). The ERP system allows SCM to interact with every department in the hospital allowing for constant updates to supplies and equipment; allowing for a better flowing system, saving time and m... ... middle of paper ... ...ll be concerns with security. However, if continually monitored and updated frequently the risks are worth the increased access and amount of money that is being saved. It is the HMIS system like ERP, CPOE, and CSM that will increase information flow reducing costs and saving money for the healthcare field. Works Cited Elmuti, D., & Topaloglu, R. (2013). ERP systems to the rescue. Industrial Management, 55(6), 15-19. Hone, F. (2007, Jan). New strategies for progressive organizations: Market forces and the new focus on demand-driven healthcare. Employee Benefit News, 21(1), 12. Stefanou, C., & Revanoglou, A. (2006). ERP integration in a healthcare environment: A case study. Journal of Enterprise Information Management, 19(1), 115-130. Tan, J., & Payton, F. C. (2010). Adaptive health management information systems (3rd ed.). Sadbury, MA: Jones and Bartlett.
Recommend which system is the best choice to meet meaningful use requirements in this particular setting. Both Cerner and CPSI have helped hospitals meet CMS Stage 1 and Stage 2 requirements. However, Cerner provides a modular concept that larger hospitals are using more than complete inpatient systems to achieve MU (Zieger, 2013). In 2014, EHR vendors said eight hospitals had attested to MU Stage 2, and Cerner was used twice as much as CPSI (Gregg, 2014). Concerning Computerized Physician Order Entry (CPOE), CPSI System had the broadest reach in community hospitals; nevertheless, the software was missing functionality and usability (KLSA Enterprises, 2010, p. 6). Therefore, CPSI’s CPOE was significantly below the market-average due to low physician satisfaction (KLAS Enterprises, 2010, p. 6). KLAS Enterprises (2010, p. 2) reported Cerner clients were happier the more they adopted CPOE.
Health care information system (HCIS) is an arrangement of information (data), processes, people, and information technology that interact to collect, process, store, and provide as output the information needed to support the health care organization (Wager, Lee, Glaser, 2013, p. 105). Having ready access to timely, complete, accurate, legible, and relevant information is critical to health care organizations, providers, and the patients they serve (Wagerm Lee, & Glaser, 2013). In the health care industry, the quality of care is one of the most important objectives for most health care organizations. The growing developments in health information technology have a great impact on the delivery of health care and have changed the systems used to record and share information. It has the potential to improve the quality of care if it is appropriately used. Health care organizations routinely apply computers and other technologies to record and transfer health information such as diagnoses, prescriptions, and insurance information.
When a new system is implemented, an initial setback is always a major hurdle to overcome. In case of E-health the hurdle is the initial training provided to the staff as this can significantly decrease the productivity of the staff. A study conducted by the University of California-Davis found a 25-33 percent drop in physician productivity in the initial implementation phases of the EMR. While ultimately the goal is to increase productivity in the office or hospital, expect to see a significant drop in productivity, and ultimately revenue, in the first several weeks, and perhaps longer. (Palma,
The objective of the MCEG is to provide channels to exchange information between managed care/health plan information systems executives and to provide opportunity for personal networking. MCEG provides a forum to develop policy which relates to the use of information technology and healthcare. MCEG provides feedback to vendor sponsors and other vendors on the trends and types of technology needed to ensure that their products and strategies meet their customer’s present and future managed care needs. Additionally, their objective is to “educate executives on clinical and administrative trends in health care, new and emerging technologies, and other pertinent information to assist in achieving the key goals of cost containment, effective service and high quality health care.” (Why We Matter, 2011)
ERP stands for Enterprise Resources Planning. ERP is a term used for software that controls whole organizations different departments. SAP is the world leader in ERP systems followed by Oracle.
With consolidation among hospital systems over the last few years there has been a trend toward ways to streamline processes. By having “shared services” such as laundry services, human resources and radiology and diagnostic services it’s possible to lower costs and have common processes. The advent of health care reform and the Affordable Care Act (ACA) with its Information Technology (IT) incentives has led to greater interest in risk management and IT solutions. While there was a decrease in 2012 on outsourcing IT services the finalization by the Supreme Court of the ACA and President Obama’s re-election cemented the need for an IT solution (Kutscher, 2012)
The rising cost of healthcare and the lack of health insurance coverage for over 15% of the U.S. population have appeared as important political, economic and policy concerns. Hospitals have to find ways to develop effectiveness to drive down the cost of their services. Hospital organizations in United States are facing pressures to control costs, and to improve quality outcomes. Information systems (IS) have an integral role in addressing these challenges. Successful presentation of Information systems (IS) in the healthcare industry can create new professional models. Dramatic improvement in technology improves the availability of clinical data with no time and so improves patient outcome and care management. Information technologies can assist in the reform of organizations and h...
middle of paper ... ... ficiency and effectiveness of care • Provides caregivers with clinical decision support tools • Reduces and possibly eliminates redundant / unnecessary testing • Improved reporting and monitoring of public health and related statistics • Provides a basic level of interoperability among electronic health records (EHRs) maintained by individual physicians and organizations • Hopefully will eventually reduce health related costs (HealthIT.gov, 2013) While the thought is good and outcomes still in prediction phase, the current reality is that there is still a hefty financial impact to be worked out. There will always be a safety and privacy concerns and long as new and emerging technologies continue to need integrations, and HIE will only work with long term political support and financial backing not driven by individual gain, but rather by collective collaborations.
The United States health care system has undergone a myriad of changes, including the introduction and implementation of health information systems (HIS). Because I am primarily a consumer of healthcare in an international forum, I have watched with interests as the United States aims to integrate the use of electronic health records throughout the healthcare platform. Just recently, I had the opportunity to ask an internal medicine physician about the experience of using HIS within an office setting. The physician stated the process is especially helpful for patients who travel and move often. But, in this particular healthcare practice, the physician stated the two biggest HIS obstacles were time consumption and system breakdowns. In fact,
An ERP Story : Background (A) and An ERP Story : Choosing a Project Leader (B)
HMIS and ERP assists in the integration of medical record databases across healthcare settings and allows multiple healthcare providers to access to their patients’ complete health histories and facilitate patient care coordination (Washington, Sun, & Canning, 2010). However, Sanja (2013) explains since healthcare providers are a diverse group of professionals, CIOs might experience resistance to adopting ERP systems across healthcare settings. In order to increase the chances of successful ERP implementation and improve interoperability, she stresses CIOs must clearly communicate health information exchange (HIE) strategies and goals to their employees, so they understand why ERP is important to healthcare coordination and disease management (Sanja, 2013). Healthcare coordination can be improved through the collaboration of healthcare providers across
First problem identified in ERP implementation is, difficulties in transferring data from previous application. The biggest problem in ERP implementation is management of data transition from old system to new ERP system. Programmers find that transferring data are the most tedious work to do. Conversion of the data requires tremendous patience to deal with it as it is a complex task to do. The ERP system first need to fit with the company requirement so that the data can be transferred easily and smoothly and also, data need to be formatted to meet the standard of the new system. The conversion can be done manually or by an automated program. If it is done by using an automated program, programmers need to make sure that the formatted data do not jeopardize the file system integrity. There are two types of data migration; static data migration and dynamic data migration. Static data migration is data that change infrequently like engineering master files and price book. The migration need to make early on so that later can focus on more challenging tasks of dynamic data migration. Next is dynamic data migration, it refers to volatile data which include shop work orders and account receivable open items. Due to the changeable nature of this type of the data, it should be migrated as late as possible. Late migration ensures that the system includes the most up to date data.
At the moment, Enterprise resources planning (ERP) systems had become important systems in the modern business world. The meaning of ERP itself is an integrated software package composed by a set of standard functional modules (production, sales, human resources, finance, etc.) developed or integrated by the vendor that can be adapted to the specific needs of each customer (Esteves et al. 2000).
“An Enterprise resource planning (ERP) systems are software systems for business management, supporting areas such as planning, manufacturing, sales, marketing, distribution, accounting, finance, human resource management, project management, inventory management, service and maintenance, transportation, and e-business”.( Haag, Cummings, Phillips, S, M, A (2007). Mangement Information Systems. New Yory, NY: The McGraw-Hill Company Inc..)
Today’s CRM systems are vast multi-functional systems that allow firms to manage multiple elements of relationships with their customers. Xu et al. (2002) offer the four characteristics of CRM as: