Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review...

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Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review – July/August 2007
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Page 1: Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review – July/August 2007.

Too Far Ahead of the IT Curve?

Michele Hom

Dr. Minder ChenBUS 550

5/10/11

Harvard Business Review – July/August 2007

Page 2: Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review – July/August 2007.

Agenda• Background

• The dilemma

• Monolithic vs SOA

• Pros and Cons

• Possible Solutions

• Question

• Discussion (if time permits)

Page 3: Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review – July/August 2007.

PEACHTREE HEALTHCARE•CEO= Max Berndt (12 yrs at institution)•Encompasses 11 mid-large sized institutions plus:

•Supported by:•Ancillary clinics•Practicing MDs•Trauma centers•Rehabilitation facilities•SNFs

•Over 4000 employees•Mission is:

•To deliver the best quality and efficient care•IT infostructure is collapsing

Page 4: Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review – July/August 2007.

Should the CEO approve

a shift to risky new technology

or

for with the time-tested

monolithic system?

Page 5: Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review – July/August 2007.

MONOLITHIC SYSTEM

SERVICE-ORIENTED ARCHITECHTURE

•Loosely coupled architecture designed to meet the business needs of the organization•Autonomous services

•Functionally distinguishable aspects are not architecturally separate components but are all interwoven

Page 6: Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review – July/August 2007.

Outline

Monolithic System SOA

PROS

CONS

•Consistent infostructure•Unifying for all new/current facilities•Allows MDs to work together

•$500 million +•TIME•Redesign acquired facilities•Curbs MD independence

•Quick•Flexibility in $•Ability to integrate new facilities

•Immature market•Experimental

•Different for all•Never before in HC•Cost ??•Time ??

Page 7: Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review – July/August 2007.

POSSIBLE Solutions??

•Define clear criteria for system capabilities•Create a risk profile

•Construct from the desired goals and establish a

plan for achievement

•Incorporate a β center and expand

Page 8: Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review – July/August 2007.

Question

The ability to loosely couple architecture designed to meet the business needs of the organization is:

A. Monolithic systemB. Enterprise systemC. SOA (Pick this one!)D. Microlithic system

Page 9: Too Far Ahead of the IT Curve? Michele Hom Dr. Minder Chen BUS 550 5/10/11 Harvard Business Review – July/August 2007.

Discussion

•How do you think the implementation of a SOA can impact healthcare?

•Can a system streamline medical decisions or will there be push back from MDs?