Investor Newsletter October 2022

KLAS Market Insights

Population Health Management & Customer Vulnerability

This year’s Digital Health Investment Symposium (DHIS) brought together executives, thought leaders, and decision-makers from healthcare organizations, vendors, and investors. The discussion topics ranged widely, but two topics were particular areas of focus: value-based care and population health management (PHM). Though these topics are no longer new in the healthcare industry, many organizations still have hypothetical plans that haven’t yet been put into operation. However, in an environment where healthcare organizations must navigate ongoing margin pressures from current market conditions, there are early indicators that organizations who have invested more deeply in value-based care are navigating market pressures more successfully. This caused our KLAS team to examine the history of the PHM market and where the market is headed.

KLAS data shows that prior to the pandemic, PHM products were highly considered—second in number of considerations only to EMR products. In 2017, 2018, and 2019, KLAS validated over 200 PHM considerations each year. Starting in 2020, the number of considerations drastically dropped and continued to be low throughout 2021. This year, the drop is even more drastic, with PHM products being considered only 15 times year to date.

This downward trend can partially be attributed to the pandemic, as healthcare organizations at the time were prioritizing day-to-day operations over long-term plans. But the continued decline in considerations may have more to do with organizations’ risk management and the risk appetite of organizations looking to engage with value-based care contracts. Even though some healthcare organizations are showing resilience in the face of market pressures and the effects of the pandemic, the overall appetite for new risk-based contracts—and thus, PHM products—is low.

Despite the low number of purchases, KLAS data shows that the conditions are ripe for considerations and purchases to rebound once the market stabilizes and risk appetite returns. Only 20% of PHM customer respondents are experiencing vulnerability—that is, only 20% report they are unsatisfied, stuck, considering leaving their vendor, or planning to replace their vendor. Of that 20%, only 7% of respondents are actively vulnerable (they are planning to replace their PHM solution), and 13% are passively vulnerable (they are unsatisfied, stuck, or considering leaving).

KLAS Reports—Recently Published & Upcoming

Emerging Technology Reports

Each week, dozens of new companies are knocking on the doors of provider organizations and health systems to present their latest innovative solutions. KLAS publishes 90+ individual reports annually that provide early performance data on these solutions designated as emerging, disruptive, or innovative. To view the KLAS reports library, visit our website.

Market Specialty Reports

KLAS publishes 75+ specialty reports annually, providing market insight based on customer perceptions of and experiences with the vendor/consultant solutions they employ. KLAS also validates industry trends, emerging technologies, purchasing decision insights, and market energy. Interested in KLAS report purchase options? Contact the KLAS Investment Advisory team at investorservices@klasresearch.com.

Security & Privacy Consulting Services 2022: Who Exceeds Expectations in This High-Performing Market?

Recently Released and Upcoming KLAS Specialty & Emerging Technology Reports

Accenture Digital Transformation 2022

Provider and payer organizations are increasingly concerned about their strategies for digital capabilities that affect operations and patient care. By engaging with consulting firms to define needs and develop digital road maps, organizations are utilizing firms’ assistance to plan, manage, and improve these digital capabilities and, ultimately, consumer experiences. This report evaluates the experiences of healthcare organizations that have engaged Accenture for digital transformation work.

Credentialing 2022:
What Solutions Have Fulfilled Their Efficiency Promise?

Credentialing management has historically required dozens of spreadsheets, manual data entry, and painstaking monitoring of multiple payer, state, and national databases—causing significant inefficiencies and expenses. Vendors providing credentialing software and/or services promise major efficiency gains for healthcare organizations, but not all offerings are equally effective. This report examines three strong predictors of efficiency—the use of automations, strong credentialing workflows, and vendor partnership/guidance—to determine how well vendors are living up to their promises.

Home Health 2022:
Exploring Technology in a Dynamic Market

The home health market has seen renewed energy since 2020 as COVID-19 along with efforts to improve outcomes and decrease costs have shifted more care to the home. As a result, the number of home health agencies has grown. Amid this growth, home health agencies continue to face complex billing and a limited labor market. They want to make the right EMR investments and fully leverage those investments in ways that improve operational efficiency and interoperability, minimize the need for other IT purchases, and keep clinicians happy (thereby mitigating turnover). This report looks at which home health vendors best drive clinician satisfaction. A similar report for hospice is planned for 2023.

Continuum Health IT HIT Staffing:
First Look Report 2022

The scope of HIT staffing projects—including the length, complexity, and skill sets of participants—can vary widely from engagement to engagement. What remains consistent is the need for high-quality, well-matched consultants who drive value and achieve desired outcomes. In this market, provider organizations struggle to find these consultants, so firms like Continuum Health IT can provide staff to help implement, support, and optimize different solutions, specifically EMR systems. This report evaluates the experiences of healthcare organizations that have used Continuum Health IT’s HIT staffing services.

HSi Wi-Fi & Cellular Infrastructure Services:
Emerging Technology Spotlight 2022

Healthcare organizations’ ability to create an environment where patients and staff can reliably use Wi-Fi and a cellular infrastructure is no longer a luxury; it is a necessity, especially as utilization of 5G and Wi-Fi 6 increases. Unfortunately, many organizations today rely on aged, unreliable Wi-Fi and cellular infrastructures. The firm Health Systems Informatics—or HSi—aims to help organizations grappling with this challenge. This report evaluates the experience of clients who have used Wi-Fi and cellular infrastructure services through the firm’s HSi Technology Solutions (HTS) division.

LeanTaaS iQueue for Infusion Centers:
Emerging Technology Spotlight Report 2022

Operational limitations—such as variable staff and patient availability—can make it difficult for healthcare organizations to effectively manage infusion scheduling. This often leads to volatile workloads in which resources may be both under- and overutilized in the course of a single day. LeanTaaS iQueue for Infusion Centers leverages machine learning and predictive analytics to optimize scheduling templates, level load daily schedules, and flag future problem days for preventive action. This report examines customers’ experiences and satisfaction with iQueue for Infusion Centers.

Seamless MD:
Emerging Technology Spotlight Report 2022

Patient-driven care management solutions have the potential to improve the overall quality of patient care and to drive outcomes by enabling clinicians to monitor and stay connected with patients across their healthcare journey—including before, during, and after hospitalization. This report seeks to validate the experiences of customers (both US and non-US) with SeamlessMD’s digital patient engagement platform.

Surescripts Medication History:
First Look 2022

The scope of HIT staffing projects—including the length, complexity, and skill sets of participants—can vary widely from engagement to engagement. What remains consistent is the need for high-quality, well-matched consultants who drive value and achieve desired outcomes. In this market, provider organizations struggle to find these consultants, so firms like Continuum Health IT can provide staff to help implement, support, and optimize different solutions, specifically EMR systems. This report evaluates the experiences of healthcare organizations that have used Continuum Health IT’s HIT staffing services.

Trulla:
Emerging Technology Spotlight Report 2022

Pharmacy is the largest category of non-labor spend in healthcare and is one of the most complex areas of spend across any industry. Annually, there is considerable healthcare expenditure that is exacerbated by gaps in the pharmacy supply chain. Pharmacy buyers have limited tools to assist with ordering, costing health systems millions every year. Additionally, procuring medication at affordable prices is a concern for providers, pharmacies, and patients. This report offers an at-a-glance profile of Trulla, a pharmacy procurement software application aimed at helping pharmacy buyers select the most economic NDCs and suppliers, ultimately improving the drug-purchasing process.

To make a purchase or find more information on KLAS reports, contact the KLAS Investment Advisory team at investorservices@klasresearch.com.

KLAS Events & Other Events in the Healthcare Industry

Digital Health Investment Symposium (DHIS) 2022
An Insider’s Perspective