Digital Health Most Wired
National Trends 2024

DHMW Methodology

The DHMW survey assesses HCOs across seven key digital health domains, scoring their performance based on the meaningful adoption of digital health technology and data analytics. HCOs receive a score for each key area as well as an overall score, with points assigned according to their capability level (on a 1–10 scale). The total points earned determines each HCO’s DHMW Level.

Since organizations participate in the DHMW survey voluntarily, this data set does not represent a random sample of HCOs. Additionally, note that the surveys are most often completed by the organization’s CIO. To provide comprehensive and accurate information, these CIOs are encouraged to consult with team members who have ownership over the seven digital health domains. Survey respondents who are not CIOs are typically high-level decision-makers and are similarly encouraged to collaborate with peers when taking the survey.

Overall Trends from 2024 Survey

Success at Any Size: Larger Organizations Achieve Award-Winning Recognition Levels Most Frequently; One-Third of Small Organizations Also Earn High Recognition

A significant number of HCOs who participated in the 2024 DHMW survey achieved the highest levels of recognition (Level 8 or higher). Many of these are larger organizations that have leveraged extensive resources to implement core technologies and pilot new innovations. Some smaller organizations have also received the highest DHMW Levels by improving and maximizing adoption of existing technologies, not just deploying new innovations.

Of organizations who participated in both the 2023 and 2024 DHMW surveys, most either maintained or improved their DHMW Levels, even in newer technology areas like AI and remote patient monitoring (RPM). Some HCOs saw a decline in their levels for telehealth and RPM, as the high user adoption they saw at the peak of the COVID-19 pandemic has slowed. Despite this, the industry continues to push for broader telehealth and RPM adoption, which should increase as organizations deploy more deliberate strategies and as reimbursement for those areas changes.

The Most-Significant Increases in HCO Technology Adoption Year-over-Year Are in Patient Engagement

The 2024 DHMW survey results show that participating HCOs have made significant progress with adopting patient engagement tools (e.g., apps, portals) that empower patients and caregivers, with 8.6 being the average level across respondents. This emphasis on patient-facing tools reflects a broader industry trend of adopting tools that enhance patient care delivery and outcomes. Other key areas in which organizations are prioritizing technology adoption include clinical quality and safety and infrastructure; technology improvements in these areas can contribute to clinician well-being and efficiency as organizations continue to grapple with staffing challenges.

Security & Infrastructure Are Top Priorities for Future Digital Health Investment

Organizations Are Allocating Larger Portions of Their Overall Budget to IT

Key Domains of Digital Health

Sections arranged according to their order within the DHMW survey

Infrastructure

IT infrastructure—the combined components needed for the operation and management of enterprise IT services and environments—is foundational to the success of any HCO’s digital strategy. Additionally, successful infrastructure can help combat clinician and IT staffing shortages as well as boost overall organizational efficiency. Technologies such as automation, issue identification, people and equipment tracking, and RPM help to reduce bottlenecks and streamline processes.

HCOs Streamlining Caregiver Workflows by Providing More Devices (e.g., Voice Assistants); Adoption of Employee-Owned Devices & BYOD Programs Also Growing

HCOs are heavily investing in organization-owned devices and automated technologies aimed at streamlining caregiver workflows, focusing particularly on point-of-care devices and voice recognition systems that reduce the clinician burden and enhance care delivery. Additionally, many HCOs are piloting voice-activated systems and have seen promising results regarding improved efficiency.

In addition to organization-owned devices, the authorized use of employee-owned devices (e.g., smartphones, laptops, etc.) has significantly increased to support patient care delivery. This increase in BYOD policies reflects a shift toward more flexible, technology-driven care environments. HCOs of all sizes are making strides in enhancing their BYOD policies by defining acceptable use, access control, and key terminology. Large organizations often face gaps related to educating staff on appropriate use of employee-owned devices in healthcare settings, and many smaller organizations are working to incorporate BYOD legislation and noncompliance guidelines.

Cybersecurity

IT cybersecurity measures are designed to protect critical systems and sensitive information from digital attacks—whether those originate from inside or outside of an organization. As HCOs increase the number of devices and software applications connected to their networks, the potential for security breaches (and subsequent liability) also increases. Security risks from medical devices or poor access management can negatively impact not only information security but also patient safety. Access management tools, data encryption, and healthcare internet of things (IoT) tools can help HCOs actively manage and reduce day-to-day security risks.

Security-Specific Executives Facing Higher Burden Due to Increasing Frequency of Security Governance Activities & Stakeholder Reporting

 

HCOs Are Engaging Third-Party Firms to Manage Higher Security Demands

Cybersecurity Departments Looking to AI for Help with Program Management; Many Organizations Piloting Use Cases

Administration & Supply Chain

Administrative and supply chain technologies play a critical role in the operational success of HCOs. As organizations are faced with rising financial pressures and increasingly thin margins, administrative and supply chain tools enable them to effectively manage valued resources as well as their spending on equipment, pharmaceuticals, and human capital. Many HCOs report that managing costs effectively is a weak spot for their organizations, and they are turning to effective technologies and process optimization to achieve their operational goals.

HCOs Using AI to Drive Efficiency for Revenue Cycle & Contract Management Processes

AI is widely used by HCOs to streamline revenue cycle and contract management processes and improve staff efficiency. These AI use cases are considered low risk and easy to deploy, making them attractive to organizations of all sizes. In contrast, adoption of AI for supply chain processes remains lower—particularly in cases where HCOs (1) are focused on leveraging automation from their ERP rather than adopting third-party AI solutions or (2) have not standardized workflows enough to take advantage of AI.

HCOs Employing RFID & RTLS via Command Centers to Improve Organizational Efficiency & Patient Flow

Efforts to Increase Employee Retention through Digital Tools Focus Largely on Responding to Needs; Tools to Deeply Understand Employee Experience Not Often Adopted

Analytics & Data Management

HCOs’ need for broad, deep analytics has grown dramatically, and organizations are looking for consolidated, end-to-end analytics platforms that offer a wide variety of capabilities. Breaking down data silos has been a challenge for HCOs as they attempt to coordinate with their vendors, consolidate data, and acquire the internal expertise to build the needed advanced algorithms and views to drive value. Despite the challenges, healthcare leaders widely agree that success in this area will be key to digital health maturity.

HCOs Hope Access to Accurate Data Can Improve Decision-Making

In a post-pandemic world, HCOs recognize that having access to accurate, trusted data can drive faster and more effective decision-making, leading them to focus more on centralizing their analytics and data management. By ensuring that data is well curated and centrally managed, organizations can take a federated approach to analytics staff, allowing them to be embedded across departments while maintaining consistent, high-quality insights.

Clinical & Operational Leaders Are More Frequently Using Real-Time Insights & Data Visualization

Data Governance Programs Are Maturing as Organizations Centralize Data Management

Across HCOs of all sizes, data governance programs are maturing, with roughly half of surveyed organizations having a clearly defined strategy and leadership buy-in. Many organizations currently developing governance strategies are gaining increased support from their leadership, though many are still reactive in their approach—taking advantage of technologies and analytics capabilities before fully mapping out governance use cases. As HCOs’ data governance programs continue to mature, the organizations will be better positioned to leverage data for decision-making, leading to improved outcomes.

Interoperability & Population Health Management

Interoperability—the ability of two or more systems to exchange health information and of clinicians to use that shared data—continues to be a critical area of focus for the healthcare industry. Sharing patient data creates a more comprehensive view of a patient’s health, which can enable HCOs to positively impact the health statuses and outcomes of specific populations (i.e., population health management). While the industry has undoubtedly progressed with making data connections, there is still significant room for improvement in making data exchanges meaningful. Meaningful interoperability requires many elements to come together: connectivity for health information sharing, utility of shared data for stakeholders and partners, strong adoption of interoperability use cases, proof of interoperability-enabled outcomes, and broad adoption of interoperable tools across organizations.

Healthcare Entities Are Increasingly Leveraging EHRs to Send & Receive Patient Data

HCOs Are Adopting TEFCA Standards & Participating in QHINs

Small and midsize organizations are making progress toward adopting Trusted Exchange Framework and Common Agreement (TEFCA) standards, and many are also joining Qualified Health Information Networks (QHINs). Of note, in this data set, the majority of HCOs participating in QHINs are Epic organizations. As both of these initiatives are still relatively new, it remains to be seen how they will impact interoperability.

Patient Engagement

Patient engagement refers to a patient’s desire and capability to actively participate in their care journey, maximize their health outcomes, and improve their care experience. As such, patient engagement involves both processes and behavior, shaped by the relationship between a patient, their provider, and their care environment. The patient engagement market has evolved from HCOs using disparate tools to using a one-stop-shop solution that spans all phases of the patient journey—including pre-visit engagement and registration, tools used during a visit (e.g., real-time experience improvement tools and telehealth services), and post-visit tools for bill pay and communication. Amid financial challenges, many HCOs are focused on developing their digital front door and providing self-scheduling and registration capabilities to improve patient volumes and throughput.

Shift to In-House Telehealth Management Reflects More-Centralized Approach to Virtual Health Services

The majority of HCOs plan to continue providing telehealth services, even as the number of telehealth visits is generally declining as the effects of the pandemic recede. Many organizations are planning to shift to managing telehealth programs exclusively in-house. Historically, most organizations have also relied on third-party vendors to run their telehealth services due to a lack of dedicated leadership and unclear strategies. However, the 2024 DHMW results show a noticeable reduction in telehealth outsourcing as more organizations are taking greater ownership of their programs. This shift reflects the growing permanence of telehealth, which was rapidly adopted at the beginning of the COVID-19 pandemic. Telehealth is particularly used for underserved populations and in specialty areas where there are fewer physicians. By integrating telehealth services more closely with other operations, HCOs aim to better ensure coordination, access to care, and long-term success.

Patient Empowerment Tools Are Expanding Beyond Basic Portal Functions

Clinical Quality & Safety

Improving clinical quality while reducing the staff burden is a key focus for HCOs. Many organizations use real-time reporting and retrospective decision-making to manage controlled substances and receive patient safety alerts.

Voice Assistants & Ambient Speech Technologies Enhance Care Team Efficiency

As mentioned before, the increased adoption of organization-owned and employee-owned devices at the point of care has led to increased access to functionality for care team members. Specifically, voice assistants and ambient speech technologies are being adopted to streamline charting and order-entry processes. Early adopters of these technologies report significant benefits, including increased efficiency, a reduced clinician workload, and more time with patients—signaling that investment in these technologies is valuable.

Technology Plays Crucial Role in Reducing Opioid Use & Supporting At-Risk Patients

Reducing the use of opioids remains an important focus for HCOs, and technology plays a pivotal role in (1) improving clinical practices to reduce opioid use and (2) supporting individuals at high risk for addiction by connecting them with community resources. Across the industry, HCOs are more often leveraging social determinants of health (SDOH) information to provide comprehensive care beyond hospital walls, ensuring better well-being and support for patients.

Centralized Imaging Strategies Can Improve Clinical Quality & Access