How much will rival hospitals spend on financial and clinical analytics in the next five years?
Savvy healthcare finance teams already know that keeping pace in the new era of information-driven hospitals is going to be expensive. But many are still trying to figure out exactly how much to invest in analytics software.
A new report overview BCC Research posted projects that hospitals spent $6.2 billion on all analytics last year and that will rise to $7.2 billion as 2017 winds down.
Healthcare executives planning out their budgets should also be aware that BCC project continued spending that will reach $15 billion by 2020 or approximately 15 percent more.
The two largest groupings of analytics technologies are, of course, clinical and financial.
HIMSS Analytics September 2017 Clinical and Business Intelligence Essential Brief reported that more hospitals have already invested in business intelligence than clinical intelligence, with a particular focus on revenue cycle, financial performance and operations to glean insights about supply chain, patient satisfaction and other relevant issues.
BCC Research predicted, however, that hospitals will continue to invest more in both financial and clinical analytics.
The firm estimated that healthcare organizations will increase financial analytics purchasing by 11.9 percent, from today's $3.0 billion to some $5.3 billon by 2022.
And as clinical analytics become increasingly important for population health, reducing readmissions, improving outcomes and disease management, health entities will spend 17.7 percent more in that same timeframe, thereby bringing that market up from $2.8 billion today to $6.2 billion.