Healthcare Operations 2023
Addressing Operational Challenges through Technology

Vast Majority of Organizations Lack a Sophisticated Operational Strategy

Just over 20% of respondents say their operational strategy is sophisticated (see definitions of stages in chart to the right). The remaining 80% are in planning, emerging, or maturing stages. Larger organizations are more likely to be further along, though they still note challenges and external pressures that mean their strategies must continue evolving. Midsize and smaller hospitals have a particularly large gap between operational challenges to be solved and the resources to tackle those challenges, and few of these organizations report having achieved a sophisticated operational strategy.

Improving Patient Access and Engagement Is a High Priority for Organizations

Organizations hope to achieve a variety of operational goals over the next one to two years. Respondents across the board most often report wanting to engage patients and the communities they serve in innovative ways, such as digital front door solutions. Increasing efficiency in processes and workflows (i.e., automation of patient follow-up, AI deployment, improved ordering) is the next most-reported goal. Other goals mentioned by all types of respondents include increasing patient volumes and developing population health/value-based care capabilities.

What types of operational goals an organization has tend to vary depending on the organization’s size. Ambulatory organizations most often report wanting to increase efficiency and progress their population health efforts. Small organizations (25–500 beds) want to increase their patient base and diversify their patient engagement. Organizations with 501–1,000 beds want to improve their technology infrastructure, while large organizations with 1,001+ beds specifically prioritize staff retention.

“Our board has outlined several strategic priorities. From the CIO’s perspective, some large goals are reducing redundancy, increasing uptime, and increasing patient access. There are several projects that adhere to those goals.” —CIO

Budget and Staffing Issues Are Most Prominent Current Operational Challenges

Across all bed sizes, acute care organizations cite budget constraints and staffing shortages as significant barriers to their operations and strategies. Respondents say they have intentions and goals to address problems but are often unable to do so because of the current economic environment. Organizations also mention challenges such as internal misalignment of priorities and inadequate change management practices. For ambulatory organizations, interoperability is a top operational challenge, with many respondents saying they prefer using best-of-breed solutions but lack the qualified staff and/or resources needed to successfully integrate disparate technologies. To help healthcare organizations solve operational problems, technology vendors must figure out innovative ways to reduce hospital staffing requirements and work within budget constraints.

“Time, people, and money are standing in the way of us achieving our goals. We would do many things overnight if we had the funding, the people, and the time. Each of those obstacles are equal. One is not more of an obstacle than another.” —CIO

Organizations Highlight ERP and Cloud Vendors as Best Enterprise Partners, Outside of EMR Vendors

Organizations are defaulting to large enterprise systems to increase efficiency and get the most possible from one vendor relationship. When asked which types of vendors outside of EMR vendors are best positioned to be a partner in addressing operational challenges, over 40% of respondents mentioned ERP vendors due to their wide operational reach. Cloud and patient engagement vendors are also top of mind for healthcare executives looking for partners.