The Perfect Prescription: Backup & Recovery in Health Care IT€¦ · diagnostic data, provide...
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The Perfect Prescription:
Backup & Recovery in Health Care ITAn E-Book by The 2112 Group and Intronis
The Perfect Prescription: Backup & Recovery in Health Care IT
Table of Contents
CHAPTER 1: The Health Care IT Revolution 4
CHAPTER 2: The Growing Market for Health Care Technology 8
CHAPTER 3: Leading With Backup: Health Care-Focused Channel Opportunities 10
CHAPTER 4: HIPAA Compliance & Other Unique Challenges in Health Care Tech 15
CHAPTER 5: Selling IT in the Health Care Vertical 18
CONCLUSIONS 21
LEARN MORE 23
ABOUT 24
Information contained in this publication has been obtained by sources and methodologies of The 2112 Strategy Group LLC, D/B/A The 2112 Group, and is considered to be reliable but not warrantied. This publication may contain the opinions of The 2112 Group, which are subject to change. This publication is copyrighted by The 2112 Strategy Group LLC. Any violation of the limited terms of reproduction or redistribution of this publication, in whole or in part, whether in hard-copy format, electronically or otherwise to persons not authorized to receive it, without the express consent of The 2112 Strategy Group LLC, is in violation of U.S. copyright law and will be subject to an action for civil damages and, if applicable, criminal prosecution. Any questions should be directed to The 2112 Group at (347) 770-2112 x104 or [email protected].
The Perfect Prescription: Backup & Recovery in Health Care IT
Of all the vertical industries of interest to the channel, few
hold more broad promise and greater opportunity than
health care. Thanks to the ongoing release of targeted
products, the evolving standards of care and an increase
in the number of federal government incentives, the health
care IT market is witnessing substantial spending growth.
Last year, the U.S. health care IT sector topped $40 billion
in annual sales and is expected to grow 23 percent annually
through next year.1 A substantial amount of that spending
comes from the $19 billion in federal grants approved by
Congress in 2010 to update technology across the U.S.
health care industry. Those funds will be rolled out
industry-wide through 2015.
As a result, solution providers are looking at the health care
space as fertile ground for specialized services offerings that
encompass electronic medical records (EMRs) and document
management, networking and mobility, security and data
encryption services, advanced imaging, storage, backup
and recovery, and cloud computing. Solution providers able
to navigate the health care industry’s complex technology
requirements and myriad regulatory and compliance
hurdles are poised to recognize the sector’s significant
financial opportunities.
In this e-book, a publication of The 2112 Group and Intronis,
we examine the state of the health care IT market, the specific
drivers of growth in this fertile space, and what backup and
recovery services hold for solution providers looking to
develop new health care IT practices. We will also look at
some of the specific challenges partners must overcome to
work effectively with health care clients and discuss ways
to generate more health care sales by targeting the unique
needs of medical providers.
INTRODUCTION
1 RNCOS Inc. Inc. “US Health care IT Market Forecast to 2014”, [Oct. 11, 2011].
Chapter 1 - The Health Care IT Revolution | 4
The Perfect Prescription: Backup & Recovery in Health Care IT
CHAPTER 1
The Health Care IT RevolutionOver the past two decades, modern medical care has been radically altered by the introduction and implementation of
innovative technologies. Medical equipment continues to get more advanced and effective in treating and preventing
disease. Mobile devices and applications have reshaped the use of IT in health care by enabling real-time monitoring of
patients and remote control of medical systems. Billing is now faster and more accurate. Patient medical records are more
portable and secure than ever before.
This digital transformation of the entire industry happened in less than a generation, and its impact affects patient
outcomes and the financial performance of medical and health insurance practices.
According to RAND Corp., $81 billion could be saved annually by thoroughly modernizing the health care IT system.2
$81 BILLION AMOUNT THAT COULD BE SAVED ANNUALLY BY THOROUGHLY MODERNIZING THE HEALTH CARE IT SYSTEM 2
2 RAND Corp. Analysis of healthcare interventions that change patient trajectories, [Sept. 2005].
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The Perfect Prescription: Backup & Recovery in Health Care IT
Some of the key ways information technology is having an impact on health care include the following:
Electronic Medical Records (EMRs)
Among the largest and most important efforts underway in the health care industry is the move toward universal and
standardized EMRs, which cover nearly every aspect of medical care delivery – laboratory test results, physician services,
patient history, prescription records, medical billing – and are the foundation of the technology revolution in health care.
EMRs make the health care system more efficient and less costly, reduce medical errors and improve diagnostic accuracy,
and improve the quality and convenience of patient care. With EMRs, information is available whenever and wherever
it is needed.
The Health Information Technology for Economic and Clinical Health (HITECH) Act, a component of the
American Recovery and Reinvestment Act of 2009, committed substantial federal resources to support
the widespread adoption of EMRs. As of August 2012, 54
percent of the Medicare- and Medicaid-eligible professionals
had registered for the meaningful-use incentive program.3
When fully functional and exchangeable, EMRs offer
significant benefits over paper records, with physicians
reporting an increased ability to make well-informed
treatment decisions quickly and safely.4
3 Levingston, S. A. (2012). Opportunities in physician electronic health records: A road map for vendors. Bloomberg Government. 4 Jamoom E, Beatty P, Bercovitz A, et al. (2012) Physician adoption of electronic health record systems: United States, 2011. NCHS data brief, no 98. Hyattsville, MD: National Center for Health Statistics.
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The Perfect Prescription: Backup & Recovery in Health Care IT
Enhanced Health Care Information Flow
Beyond the strict, government-defined boundaries of EMRs lies an even greater realm of technology-enabled information-
sharing transforming health care as we know it. Doctors and patients have immediate and remote access to medical care
quality measurements and reporting, medical product safety data and comparative effectiveness of new and innovative
treatments. Such access has made it possible for health care managers to target investment priorities and has empowered
patients with unprecedented access to information on drugs, procedures, risk factors and costs.
None of this enhanced data flow would be possible without the many improvements modern IT has brought to
the health care industry via advanced networking, security, storage and data analysis tools. The impact is especially
pronounced in global medical research and comparative studies, areas in which information processing and sharing
play pivotal roles in qualitative medical developments.
Computerized Physician/Provider Order Entry (CPOE)
If elevating the quality of health care is the most important aspect of this form of IT, then decreased errors by physicians
and health care providers in the prescription process is one of health care IT’s top benefits. Prescribing errors are the
largest identified source of preventable hospital medical error. CPOE allows the direct entry of medical orders by licensed
professionals into an IT system that reduces errors by minimizing the ambiguity of hand-written orders.
Evidence suggests modern CPOE systems can reduce the medication error rate by 80 percent and cut errors that have
potential for serious harm or death by 55 percent. When combined with other technology-driven clinical decision support
(CDS) tools, CPOE not only allows professionals to avoid medical errors, but improves health care quality and efficiency. 5
>>
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5 Simon et al.: Lessons learned from implementation of computerized provider order entry in 5 community hospitals: a qualitative study. BMC Medical Informatics and Decision Making 2013 13:67.
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Mobile Applications: Next-Gen Health Care IT
Mobile and handheld devices and the applications they offer have
evolved from curious gadgets to the cutting edge of technology-assisted
health care. Today’s doctors, nurses, lab technicians and medical facility
administrators leverage mobile technologies as indispensable tools to
improve administrative, technical and medical tasks.
Mobile devices deliver medical records and other information to treating
physicians and other members of the health care team. Tasks are synched
and streamlined so health care professionals can focus more on patient
care than administrative duties.
More than eight in 10 U.S. physicians own a
smartphone. Last year more than 62 percent
owned a tablet, and half of those physicians
used the devices at the point of care,
according to Manhattan Research.
A March 2013 report by
BulletinHealthcare found 52 percent of health care professionals access news briefings via tablets or
smartphones, up from
just 25 percent a year earlier.
CASE STUDY:
EMRs & Practical Management Help Indiana Clinic Improve Care, Boost Finances
ORGANIZATION: A large clinical practice focused on women’s health in
northeast Indiana has 31 health care providers in seven
locations treating 242,000 patients annually.
CHALLENGE: Previous IT modernization left the organization with inefficient
legacy data storage and retrieval systems and incompatible
records formats. The practice sought to replace its outdated
IT solutions with a modern, integrated EMR and practice
management platform.
SOLUTION: Working with a Georgia-based health care IT solution provider,
the clinic embarked on an ambitious rollout of an EMR
system and practice management platform. In addition to
implementing both solutions simultaneously, the partner
delivered all of the supporting infrastructure, including
compliant backup and recovery systems, and provided training
for key users in the practice.
OUTCOME: The dual systems had a dramatic effect on patient care
quality across the organization with reduced wait times, more
efficient labs and prescription procedures, and improved
communication with third-party care providers. One year
after the rollout, the clinic attributed a $236,130 annual savings
in transcription costs and a $130,134 reduction in costs for
non-clinical staff to its enhanced IT capabilities.
>>
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The Perfect Prescription: Backup & Recovery in Health Care IT
CHAPTER 2
The Growing Market for Health Care TechnologyAll of this rapid advancement and growing adoption of innovative technologies in health care IT are fueling a lucrative IT
sector where spending is outpacing the IT industry at large and most other vertically focused IT markets. Already in excess of
$40 billion annually, the global market for health care hardware, software and services is estimated to reach $56.7 billion by
20176 because of the significant demand for clinical IT, administrative solutions and services.
Major factors driving the growth of health care IT worldwide include pressure to cut health care costs, growing demand to
integrate health care systems, the high rate of ROI while using health care IT systems, growing demand of CPOE adoption,
and significant financial support from the U.S. government to implement IT modernization.
North America commands the highest share of the health care information technology market because of government
investment and incentives, along with growing demand by investors for integrated health care IT systems. According to
Insight Research Corp., the $3 trillion ecosystem of U.S. hospitals, physicians, pharmaceutical companies
and insurance providers will spend more than $100 billion through 2017 on telecommunications
services and equipment. The compound effect of an aging population and advancements in
clinical treatment technologies will require health care delivery systems that can synthesize
diagnostic data, provide immediate clinical recommendations and build a repository of
health care information to advance treatments, according to Insight.7
$56.7 BILLION 6 Markets and Markets. “Healthcare IT Market By Application – Global Forecasts to 2017”, [May, 2013].7 Insight Research Corp. “Telecom, IT and Healthcare: Wireless Networks, Digital Healthcare and the Transformation of US Healthcare, 2012-2017”, [April 2013]
BY 2017, THE GLOBAL MARKET FOR HEALTH CARE HARDWARE, SOFTWARE AND SERVICES IS ESTIMATED TO REACH
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The Perfect Prescription: Backup & Recovery in Health Care IT
A solid part of the domestic growth in health care IT spending comes as
a result of the $19 billion in federal grants approved by Congress in 2010
to update technology across the U.S. health care industry. These funds will
be rolled out industry-wide through 2015, and much of them are aimed at
increasing the adoption of EMRs. The robust vendor market hit $20 billion
last year, a 15 percent increase from $17.9 billion the year before, according
to Kalorama Information.
Beyond core infrastructure, the constituent tools of health care technology
are enjoying huge growth. By 2018, close to 5 million disposable Medical
Body Area Network (MBAN) sensors, used for patient monitoring and
remote diagnosis, will be shipped worldwide, according to ABI Research.
MBAN devices improve patient-monitoring detail and accuracy and
free up nursing staff to concentrate on other aspects of care. Over the
next four years, the market for mobile health care applications will reach
$26 billion worldwide, according to a report by mobile research firm
research2guidance.
Improving patient care and managing rising health care costs are not the
only incentives at work in the push to implement next-gen technologies
across the medical industry. A solid number of new technologies, including
EMRs and CPOE, are vital tools to combat billing and insurance fraud in
the U.S. medical system. The FBI recently advocated the broad adoption of
health care IT systems that can head off the $80 billion per year now lost to
health care fraud in the nation’s $2.7 trillion total health care economy.
CASE STUDY:
Records Overhaul Saves Hospital Group Millions
ORGANIZATION: A large hospital group in greater Houston has 12 facilities
and close to 500,000 annual emergency room visits,
making it one of the busiest health care systems in the U.S.
CHALLENGE: Outdated records systems were overwhelmed with new
and duplicate data, and costs had risen to more than
$3 million per year for medical records storage and
management. Inconsistent retention polices and
scattered storage assets thwarted the organization’s
ability to transition to a modern EMR system.
SOLUTION: Working with a Boston-based service provider specializing
in secure data storage and management, the hospital
group restructured its entire records process and
centralized patient information to reduce costs, improve
patient care and move to a state-of-the-art EMR platform.
OUTCOME: By cleaning up and consolidating medical records and
cross-referencing the Enterprise Master Patient Index,
the hospital reduced physical records storage by 30
percent and produced an annual savings of $1.2 million.
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The Perfect Prescription: Backup & Recovery in Health Care IT
CHAPTER 3
Leading With Backup: Health Care-Focused Channel OpportunitiesWith rampant modernization initiatives and the remnants of the federal economic stimulus plan pumping billions of dollars
into health care IT, there are numerous opportunities for solution providers of all skill levels to bolster their businesses with
targeted vertical services.
Hospitals, blood banks, imaging clinics, doctors’ offices, billing and administration centers, and other medical facilities need
secure data networking and advanced IT solutions. Most are willing to spend more than similarly sized vertical businesses to
secure medical records and confidential data, and modernize their organizations and practices.
Solution providers can deliver basic assessments across the spectrum to modernize essential IT services. More specialized
resellers are advised to start modestly in health care by investigating smaller, easier-to-crack prospects rather than larger
hospitals or major medical facilities.
SUCCESS: TURNING YOUR MSP STRATEGY ON ITS HEAD
Managed services is among the most important business models in the channel. See how MSPs are soaring toward maturity with the promise of deeper customer entanglement, increased recurring revenues and greater profits. > READ THIS PAPER
Chapter 3 - Leading With Backup: Health Care-Focused Channel Opportunities | 11
The Perfect Prescription: Backup & Recovery in Health Care IT
Successful channel forays into health care IT are marked by common attributes, most notably an awareness of the
differences between health care IT and other vertical services pursuits. In most cases, solution providers have built
successful health care vertical practices by developing strategic plans that incorporate industry best practices and
concentrate on a subset of medical businesses – be it hospitals, specialty clinics, in-patient and extended care facilities,
home health, billing centers or individual doctors’ offices. Each has special requirements: RFID, medical-grade networks
for secure data transmission, EMRs, etc.
Focusing on a finite set of health care deliverables helps solution providers ramp up specialized skills and support structure to further penetrate the profitable vertical space.
The specialized challenges in health care IT should not keep managed services providers (MSPs) from tapping this fertile
vertical. At their heart, the IT systems of most medical facilities are well-architected, well-run technology infrastructures
much like any business-class system offered by a quality IT service provider. These partners can deliver IT underpinnings
to a receptive market and fill the gaps in specialized knowledge by partnering with health care professional services firms
and consultancies, or developing specialized skills as they sell up the vertical stack.
Many vendors and distributors have health care partner programs that give solution providers a one-stop shop for
information on health care products and solutions, case studies, industry contacts and active sales leads. Moreover,
partners can take advantage of the services offered by remote monitoring and management (RMM) providers and
purveyors of integrated network operations center (NOC) services to bolster the scalability, reliability and regulatory
compliance posture of critical health care systems without sapping vital resources better dedicated to market
development and growing the MSP practice.
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The Perfect Prescription: Backup & Recovery in Health Care IT
The Backup Advantage for Health Care Solution Providers
Today’s technology-driven health care industry faces pressing data availability challenges and strict regulatory requirements
on data security and integrity. Despite pressure on medical organizations to safeguard critical data, some 19 million patients,
hospitals and practices have been affected by major information loss and data breaches in the last two years. As a result, many
medical professionals conclude the task of safeguarding sensitive data is best left to skilled and experienced health care IT
solution providers with proven records of implementing and maintaining data backup, recovery and restoration systems for
this growing vertical industry.
This has made backup and recovery services – particularly cloud-based backup – a natural entry point for solution providers
hoping to expand into health care IT and tap this lucrative market. For starters, cloud and backup services are already in the
MSP lexicon. Backup-as-a-service – whether as a pure cloud service or managed service – is one of the stickiest protracted
engagements. Backup requires constant monitoring, management, refinement and support. End users who sign up for backup
services are almost guaranteed to renew and expand their utilization, which increases recurring revenue for the provider.
TIPS ON SELLING CLOUD BACKUP SERVICES THE RIGHT WAY
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Chapter 3 - Leading With Backup: Health Care-Focused Channel Opportunities | 13
The Perfect Prescription: Backup & Recovery in Health Care IT
According to the CTTA (Cloud & Technology Transformation Alliance), more than 85 percent of channel partners report
having cloud-based products and services implemented or in development.8 Of those, more than 60 percent say they
offer cloud-based backup and recovery, making the technology the far-and-away leader among the services offered
by cloud-savvy solution providers.
The reasons are well established. A recent MarketsandMarkets report predicts the cloud storage market, inclusive of backup
and recovery, will reach $46.8 billion by 2018 at a CAGR of 40.2 percent. That windfall, in the form of recurring revenue
engagements with clients, is a significant driver of the incorporation of cloud backup into solution providers’ bills of fare.
Moreover, demand for cloud backup is growing: Solution providers report 58 percent of their customers ask for services
for fresh installs or as replacements for legacy hardware and software solutions.
But the story doesn’t end there. Thanks to the cloud, there are more avenues for solution providers
to create unique services and intricate services bundles that build on backup and recovery
portfolios. Cloud backup is a valuable sales element in an MSP’s arsenal – a solid base
for upsell opportunities.
85% NUMBER OF CHANNEL PARTNERS THAT REPORT HAVING CLOUD-BASED PRODUCTS AND SERVICES IMPLEMENTED OR IN DEVELOPMENT
8 CTTA:, “State of the Cloud Channel 2013” [Feb. 2103]
Chapter 3 - Leading With Backup: Health Care-Focused Channel Opportunities | 14
The Perfect Prescription: Backup & Recovery in Health Care IT
Solution providers delivering backup-as-a-service leverage deep insight into their clients’ data generation, application usage
and infrastructure utilization trends to identify broader IT needs and create stickiness and customer loyalty as springboards
to sales and elevated channel value. For industrious solution providers, anticipating and addressing future needs opens
opportunities. The intelligence gathered in pursuit of upsell opportunities afforded by basic backup services is valuable
in health care IT engagements, where the specialized nature of the broader engagement and the elements of trust and
confidence in the partnership necessitate greater customer entanglement.
For example, cloud providers that monitor risks related to stored or backed up data can leverage their trusted advisor role to
identify the need for advanced security solutions like encryption and data loss prevention. Such insights can set the stage
for higher-value security suite sales and robust compliance strategies.
As we will explore in the next chapter, backup services not only ease a known pain point for health care clients, they address
the most challenging compliance and regulatory requirements facing the medical industry. Solution providers armed with
health care-capable backup and recovery services and a thorough knowledge of health care’s regulatory challenges stand to
gain significant competitive advantage over the growing number of channel competitors in the vertical space.
INTEGRATING CLOUD BACKUPS INTO YOUR MSP MANAGEMENT PLATFORMS
In a world of tight margins and noisy clients, the smart MSP knows automation is the key to profitability. Discover the benefits of central management for cloud backup and recovery solutions, and see how to easily integrate cloud backup into PSA and RMM environments. > READ THIS PAPER
Chapter 4 - HIPAA Compliance & Other Unique Challenges in Health Care Tech | 15
The Perfect Prescription: Backup & Recovery in Health Care IT
CHAPTER 4
HIPAA Compliance & Other Unique Challenges in Health Care TechBefore embarking on any health care IT sales effort, solution providers and managed services providers should gain a
working knowledge of the laws that govern the activities and business structure of health care organizations, particularly
those enacted to protect sensitive medical data and patient privacy. This is especially true with regards to backup and
recovery services, which touch many regulated facets of a heath care organization’s data and
the partners and providers that maintain it.
The best known of these laws is the Health Insurance Portability and Accountability Act of
1996 (HIPAA), which dictates how sensitive patient medical records are to be handled.
HIPAA not only spells out physical file-handling processes, it includes a number of technology directives such as requirements for encryption on all hardware, software and medical devices handling patient information.
HIPAA has a profound impact on cloud and backup services employed by
health care organizations. It explicitly requires all health care providers,
medical clearinghouses and health care facilities that electronically maintain
or transmit health information to establish procedures for backup and
recovery. Those same health care providers and the solution providers that
serve them are required to maintain rigorous standards for data integrity,
access and audit controls for what the government deems protected
health information (PHI). For example, archived medical records must be
available for retrieval for up to 10 years, in most cases.
Chapter 4 - HIPAA Compliance & Other Unique Challenges in Health Care Tech | 16
The Perfect Prescription: Backup & Recovery in Health Care IT
Recent changes to HIPAA regulations have increased the level of responsibility and opportunities for partners. The so-called
OmniBus Final Rule expanded the definition of business associates that work with covered health care providers and insurers
to include MSPs and cloud service providers that maintain health data. That means MSPs offering cloud backup and data
storage are more responsible for the security of the health care information they store and are required by law to report any
data breach or loss to the U.S. Department of Health and Human Services.
The solution provider’s best option for turning this regulatory hurdle into an opportunity is to build health care backup and
recovery services on trusted, HIPAA-compliant cloud backup solutions that account for the health care industry’s need for
military-grade encryption and geographically-diverse mirrored data centers. The cloud service provider should also work
with the partner to draft a business associate agreement that covers all third parties that come into contact with the health
care client’s sensitive data.
In addition to HIPAA, other regulatory requirements present significant opportunities for solution
providers skilled in network security and encryption services. Hospitals, doctors’ offices and
health information exchanges can only take advantage of government incentives —
with payments that can range from $50,000 up to several million dollars over five years
— if they can document their compliance and adherence to nationally recognized
interoperability standards to the Centers for Medicare and Medicaid Services.
Most require the help of a solution provider that can deliver and certify
mandated services.
Chapter 4 - HIPAA Compliance & Other Unique Challenges in Health Care Tech | 17
The Perfect Prescription: Backup & Recovery in Health Care IT
Preparing for potential obstacles
While the health care market offers ample opportunity to solution
providers, it also presents its share of challenges.
Partners planning to enter the health care IT market should expect
longer sales cycle than other verticals, as complex deals pass through
a number of administrative and decision-making channels. Anecdotal
polling of health care technology providers indicates few health care IT
deals close in less than six months, and two-year sales cycles are
not uncommon.
These sluggish cycles are exacerbated by the conservative, risk-averse
nature of health care organizations. Medical facilities want to do
business with a provider that has a track record of success in this niche
market, and they want assurances solution providers will be available
when needed. Copious references, ROI analyses, a local presence and
a willingness to run smaller pilot implementations in pursuit of larger
engagements can ease friction in health care IT sales.
Solution providers can also grease the skids by documenting their
certification status and ability to deliver solutions compatible with other
outside medical systems, such as computerized physician order entries,
external hospital financial platforms and insurance and billing systems.
MSP CHECKLIST:
Preparing to Sell Health Care IT Services
a Do Your Homework: Fully assess whether the client is aiming for
HIPAA, HITECH or other regulatory compliance and understand
how it is positioned for Meaningful Use accreditation.
a Learn The Practice: Interview key IT staff, doctors, nurses and
other practice managers to really understand the organization’s
workflows.
a Aim for Multiple Opportunities: Doctors’ offices and hospitals
are obvious choices, but consider other potential clients like
ambulatory care facilities, skilled nursing homes, clinics and
integrated delivery systems.
a Highlight Key Benefits: Focus on the benefits of adopting
solutions like EMR from the client’s perspective. Point out
improved business efficiencies and positive impacts on quality
of patient care.
a Be Creative: Every solution provider sells servers, scanners and
networking gear. Learn to incorporate high-value items like
imaging systems, communications and practice management
platforms into your bill of fare.
a Act as a True Solution Provider: Understand everything you
sell is part of a larger solution set. Be sure every element is
compatible with all the moving parts.
a Think Long Term and Be Patient: The keys to success in health
care IT sales are envisioning the relationship and understanding
the sales cycles can approach 90 days for small offices and clinics
and up to 18 months for large hospitals. Patience is a requirement.
Chapter 5 - Selling IT in the Health Care Vertical | 18
The Perfect Prescription: Backup & Recovery in Health Care IT
CHAPTER 5
Selling IT in the Health Care VerticalIndividual doctors’ offices and local group practices have the greatest need for contracted IT services. Technology in most of
these offices grows independently of the hospitals and insurance firms with which they coordinate.
Despite a wave of regulations and industry incentives for modern records handling and data management, a low IT priority
finds many doctors doing business with handwritten forms and fax machines. Most have tiny staffs and no on-site IT
support. Even today, it is not unusual to find doctors’ staffs using MS DOS-based applications for records management and
taking files offsite to exchange EMRs with insurance providers and hospitals.
A New England Journal of Medicine study estimates only 17 percent of physician offices have a basic EMR system. The
other 83 percent have shown a strong inclination to have a solution provider handle IT so they can focus on medicine and
increasingly complex billing requirements. This is becoming truer as incentive funds for IT upgrades become available and
stiff penalties for noncompliance are levied.
Even when you subtract the specialized technology needs of the space, these smaller facilities need basic managed IT
services well before they modernize records and adapt to next-generation health care IT tools and processes.
5 MSP SALES MISTAKES
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Chapter 5 - Selling IT in the Health Care Vertical | 19
The Perfect Prescription: Backup & Recovery in Health Care IT
Selling Solutions: Office Management
In addition to backup services, many MSPs gain entrance into the health care market by targeting simpler solutions that
are easier to sell to underserved and technology-challenged organizations such as clinical laboratories and elder care and
assisted living facilities. These make for ready customers in health care-specific accounting, billing, document management,
and human resources applications and associated services.
For MSPs with a foot in the door on basic IT services, there are a number of ways to leverage health care client
engagements to move up into higher-touch/higher-profit services once the partner understands some of the intricacies
of the industry. These include the following:
» MANAGED PRINT: Expandable solutions such as managed print services can give solution providers significant
parallel opportunities. Print solutions can be leveraged as a gateway to selling more complex technologies within
a health care organization, or they can be scaled horizontally for delivery to similar connected facilities —
i.e., affiliated surgi-centers, outpatient facilities, remote practices, etc.
» UNIFIED COMMUNICATIONS: UC brings together disparate technologies to ease communication among
networked users and has become highly prized in health care. Doctors and nurses no longer need to tote pagers
and cell phones; with communications consolidated on one device, medical staffers are free to move about their
facilities and concentrate on care. UC’s inherent features are especially important in hospital settings where
knowing the status and location of doctors and nurses can be a matter of life and death. Solution providers
skilled in migrating legacy public-switched telephone networks (PSTNs) to IP telephony and smartphones can
make strong and profitable inroads into health care via UC solutions.
Chapter 5 - Selling IT in the Health Care Vertical | 20
The Perfect Prescription: Backup & Recovery in Health Care IT
» NETWORKING & BANDWIDTH: One thing common to most health care facilities is the need for advanced network-
ing and increased bandwidth – a boon to solution providers that can package and deliver such robust, flexible network
services with their health care offerings. The need is driven by factors such as the increased use of Voice over Internet
Protocol (VoIP), digital video and other network-intensive applications like diagnostic imaging. A single CAT scan, for
example, can generate more than 2,000 images compiled in a 2GB image file. Solution providers should bear in mind the
demand on medical networks and need for bandwidth are changing as emerging technologies become more prevalent.
» COMPLIANCE-AS-A-SERVICE: Partners can help health care clients address and manage compliance concerns by
packaging their managed services expertise and consultation into comprehensive compliance-as-a-service offerings.
MSPs can help clients with total HIPAA compliance management, reporting, end-user awareness and training, as well
as provide checklists and guidance to help clients evaluate compliance efforts.
» WIRELESS: Wireless networking is commonplace in today’s businesses, but its use in health care is highly specialized.
Medical wireless networks transmit EMRs, patient telemetry and all manner of sensitive data. Security, reliability
and speed are all at premiums in these critical systems. Even skilled wireless networking providers must remember
medical facility construction and equipment can make implementations far more challenging than those in a typical
office building. Interior hospital walls are thicker and better insulated, and the facilities are filled with medical gear
emitting electro-magnetic interference. Working around these challenges is key to delivering truly value-added wireless
networking services for health care clients.
» BEYOND BASICS: In general, the larger the health care organization, the more complex the solution requirements
become. As solution providers migrate up the health care stack to large hospitals and university medical facilities,
they discover the need for more specialized — and more lucrative — technology services such as laboratory bar-code
printing and scanning applications, patient admissions, labeling and tracking systems, pharmacy management and
POS technologies.
Conclusion | 21
The Perfect Prescription: Backup & Recovery in Health Care IT
CONCLUSIONManaged services providers are in prime position to enter the health care IT market by providing basic,
common technology solutions to a vertical that is just now realizing its modernization potential and
climbing the IT adoption curve. This opportunity is magnified when MSPs and solution providers can
leverage their health care engagements and relationships to drill down into more lucrative specialties
just beginning to flourish in the vertical market.
The real keys to the long-term navigation of the health care vertical are focusing on consultation
rather than pure sales, and understanding the core needs and nuances of the medical industry
from an IT perspective. Industrious solution providers will crack the code for health care IT by
building budding practices on a firm foundation of cloud backup and recovery service offerings.
Cloud and backup are well-established solutions for successful partners, and the security, reliability
and affordability they provide are attractive to health care organizations.
Solution providers can build on the relationships and organization insights gleaned from basic backup
and recovery engagements to better position themselves to deliver higher-value health care IT
solutions. Backup and recovery providers can leverage their visibility into the organization to observe
Conclusion | 22
The Perfect Prescription: Backup & Recovery in Health Care IT
client medical practices, patient admissions and discharge regimens, specimen collection procedures, and
imaging and billing methods. Ultimately, a trusted advisor looking for success in health care IT will know
which hardware needs anti-microbial properties and understand the desire among physicians and nurses
for handhelds that are lightweight and easily visible in many lighting conditions. Tablets may be ruggedized
and feature-rich, but they will only sell if they provide a range of applications such as quick access to EMRs,
medical reference libraries and lab results.
Understanding these scenarios and packaging them into scalable, repeatable solutions are the long-term
goals of any solution provider’s health care IT practice development.
Forays into the health care IT vertical can be slow, complex and challenging. The need for specialized industry
insight and knowledge of specific regulations and purpose-built technologies is greater here than in most
other vertical markets. But the broad market opportunity and demonstrated need for partner help in realizing
the positive effects of modernization make health care IT a promising opportunity.
Solution providers and MSPs with solid backup solutions that fit the bill for health care organizations are well
positioned to take advantage of this lucrative market and build a firm foundation for a health care IT practice
that will grow and thrive.
Conclusion | 23
The Perfect Prescription: Backup & Recovery in Health Care IT
Learn MoreTo learn more about Intronis solutions, please visit:
» The Intronis BDR Solution
» The Intronis Partner Program
» Product Integration
» VMware and QuickSpin
» SQL Server Backup
Intronis Partner Stories
» Disaster recovery success story
» Building a business continuity offering
» Better serving the dental industry
» Creating a health care-focused MSP business
Conclusion | 24
The Perfect Prescription: Backup & Recovery in Health Care IT
AboutTHE 2112 GROUP
The 2112 Group is the premier provider of channel development, market research, partner communications and strategic content to IT vendors,
distributors and solution providers around the world. Based in New York, 2112 is dedicated to helping all members of the channel community achieve
greater and sustained levels of success through strategic planning, market intelligence and smart decision-making. Our clients span the Fortune 500
to startups, distributors to next-generation cloud providers, and value-added resellers to managed services providers, all sharing a common view
that the indirect technology channel is the best route to market. Our premier publication, Channelnomics, is an analysis Web site devoted entirely to
providing the channel community with insights into the trends impacting the IT marketplace. Together, 2112 and Channelnomics provide the most
comprehensive set of strategic, analytical and actionable products and services in the channel.
On the Web: The2112Group.com | Channelnomics.comSocial Channels: @the2112group | @channelnomics | Facebook: Channelnomics | LinkedIn: Channelnomics
INTRONIS
Intronis Cloud Backup and Recovery is a world-class cloud backup solution for the IT channel. Intronis provides the industry’s easiest-to-use secure
data solution for offsite and local backup, which generates a monthly recurring revenue stream to add to your business. Intronis offers the deepest
Exchange and SQL backup on the market, supports virtualized environments with native VMware backup and is integrated to major solutions in the
MSP ecosystem. Partners receive expert customer support from our U.S.-based team. The solution has been field-tested by thousands of MSPs, and the
company has been named “Best Revenue Generator” seven times and “Best Customer Support” three times by members of ASCII.
On the Web: Intronis.com | Intronis Cloud Backup and Recovery BlogSocial Channels: @IntronisInc | Facebook: intronisonlinebackup | LinkedIn: Intronis Online Backup + Recovery