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Pediatric Informatics: Computer Applications in Child Health (Health ...

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Chapter 16<br />

Prioritiz<strong>in</strong>g <strong>Pediatric</strong> Investment<br />

for IT <strong>in</strong> Smaller Practices<br />

Mark M. Simonian<br />

Objectives<br />

To discuss IT <strong>in</strong>vestment for small practices from a pragmatic viewpo<strong>in</strong>t<br />

To list the steps and issues of adoption<br />

To provide a description of a solo practice adopter<br />

16.1 Introduction<br />

Small practices are the least likely to adopt electronic health records. 1–4 Practical<br />

bus<strong>in</strong>ess decisions determ<strong>in</strong>e the choices that office-based physicians make <strong>in</strong><br />

prioritiz<strong>in</strong>g <strong>in</strong>formation technologies purchases. Beyond basic cl<strong>in</strong>ical and clerical<br />

tools (stethoscope, typewriter, telephone, or fax), practices need to consider customer<br />

and market expectations, bus<strong>in</strong>ess efficiency, and regulatory issues to choose<br />

IT applications that impact on the quality of practice services and the bottom l<strong>in</strong>e.<br />

16.2 Pressures <strong>in</strong> Small <strong>Pediatric</strong> Practices<br />

16.2.1 F<strong>in</strong>ancial<br />

Regardless of size and mission, pediatric practices are bus<strong>in</strong>esses, and as such, must<br />

build a loyal clientele with a steady stream of susta<strong>in</strong>able bus<strong>in</strong>ess. Practices have<br />

<strong>in</strong>vestments <strong>in</strong> licens<strong>in</strong>g (for cl<strong>in</strong>icians, offices, and po<strong>in</strong>t-of-care laboratories), labor<br />

(salaries and benefits for nurs<strong>in</strong>g and support staff) and equipment (overhead costs<br />

for rental, utilities, and supplies). They earn revenue by provid<strong>in</strong>g cl<strong>in</strong>ical services to<br />

patient groups and <strong>in</strong>dividuals (contracts and fee-for-service) and may provide pro-bono<br />

services. Practices also compete with other practices for patients <strong>in</strong> an era when reimbursement<br />

levels have decreased and documentation requirements have <strong>in</strong>creased.<br />

Some of these f<strong>in</strong>ancial pressures may be mitigated by the size of an organization.<br />

Larger practices may have more resources to <strong>in</strong>vest, but also have greater<br />

C.U. Lehmann et al. (eds.), <strong>Pediatric</strong> <strong>Informatics</strong>: <strong>Computer</strong> <strong>Applications</strong> 221<br />

<strong>in</strong> <strong>Child</strong> <strong>Health</strong>, <strong>Health</strong> <strong>Informatics</strong>,<br />

© Spr<strong>in</strong>ger Science + Bus<strong>in</strong>ess Media, LLC 2009

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