Cavanaugh Consulting Group

IT Again Captures the Largest Share of Capital Investments, Up From 2013 and 2012

According to a Spring, 2014 survey  cited in an article by Premier, Inc. nearly half (49 percent) of the C-suite respondents plan to make their largest capital investments over the next year in HIT, to include electronic health records (EHRs), advanced data analytics and telecommunications. This is up from 46% in spring of 2013 and 43% in spring of 2012. Other interesting data points include:

  • The biggest drivers of healthcare costs:
    • 42% Labor Costs
    • 34% Healthcare Mandates
    • 27% IT Systems
    • 23% Unjustified Variation in Care
  • Reimbursement cuts remain the most often cited trend expected to impact providers this year, selected by 69 percent of executives. One of four executives cited provider consolidation, twice as many compared to spring 2012.
  • In addition, executives citing uncompensated care increased for the first time in two years. Twenty-two percent selected this category, compared to 17 percent a year ago and 27 percent in spring 2012.