1 ADVANCE for Executive Insight
1 ADVANCE for Executive Insight
1 ADVANCE for Executive Insight
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healthcare IT<br />
By Robert “Bob” Latz, PT, DPT, CHCIO<br />
Choosing the Right Vendor<br />
<strong>for</strong> a Hosted Email Solution<br />
One CIO shares his insights into selecting a cloud-based<br />
email vendor <strong>for</strong> your organization.<br />
In a recent survey of 97<br />
CHIME members, just shy<br />
of 10% are using a hosted<br />
Microsoft Exchange environment<br />
to meet their organizations’<br />
email needs. However,<br />
another 26 individuals (24%)<br />
share that they are considering<br />
moving to a hosted email<br />
environment <strong>for</strong> two reasons:<br />
1) the time spent on internal<br />
administration and maintenance; and 2) the cost<br />
of hardware and licensing <strong>for</strong> their environment.<br />
Our company, Select Rehabilitation, has nearly<br />
500 post-acute care locations in 32 states. For<br />
many of the same reasons as the survey responders,<br />
we are in the final stages of choosing a vendor<br />
<strong>for</strong> a hosted email solution. Above and beyond the<br />
cost and time considerations, we have two unique<br />
drivers <strong>for</strong> this change: 1) We have gone through<br />
several recent acquisitions and need to consolidate<br />
our email in one solution; and 2) We need to be<br />
flexible enough to incorporate near-future growth.<br />
Known Quantity<br />
Email is one of the low-hanging fruits in the<br />
cloud when looking at annual cost savings.<br />
We can remove unknown hardware costs <strong>for</strong> a<br />
known vendor cost, and we can remove or restructure<br />
network management costs <strong>for</strong> employee,<br />
licenses, patches and maintenance updates,<br />
to name a few. By moving to a cloud-based<br />
email environment, we trade unknowable management<br />
costs <strong>for</strong> a relatively<br />
known monthly cost.<br />
Email is also critical <strong>for</strong><br />
communication, so reliability<br />
and uptime is necessary.<br />
A cloud solution is a perfect<br />
answer. But which one is right<br />
<strong>for</strong> us?<br />
The Risks<br />
In follow-up discussions with<br />
some healthcare CIOs, we learned of several<br />
risks present in a hosted email environment:<br />
n Security concerns, including hosting of email<br />
offshore<br />
n Migration of existing data<br />
n Maintaining control of our data<br />
As we drew together all of our needs <strong>for</strong> this<br />
service, we paid particular attention to these<br />
risks. We asked each vendor to clarify their operating<br />
structure as well as their data migration<br />
and maintenance tools.<br />
RFP<br />
In order to understand the ROI <strong>for</strong> our situation,<br />
we put together an RFP and sent it out to seven<br />
vendors — including Google and Office 365. Two<br />
could not meet our time frame <strong>for</strong> going live or<br />
returning the RFP. Of the remaining five, we received<br />
pricing quotes ranging from roughly $100<br />
to $220 per user, per year. In most cases this in-<br />
Robert “Bob” Latz is corporate director of technology integration at Select Rehabilitation Inc. He is a member<br />
of CHIME, completed the CIO Boot Camp, and became a Certified HealthCare CIO. He is the Secretary of the<br />
Technology Special Interest Group of the American Physical Therapy Association and has presented on technology<br />
related topics at APTA conferences. He is a member of the NASL (National Association <strong>for</strong> Support of<br />
Long Term Care) Technology Committee.<br />
Email is one of the<br />
low-hanging fruits<br />
in the cloud when<br />
looking at annual<br />
cost savings. We<br />
can remove unknown<br />
hardware<br />
costs <strong>for</strong> a known<br />
vendor cost, and<br />
we can remove or<br />
restructure network<br />
management<br />
costs <strong>for</strong> employee,<br />
licenses,<br />
patches and maintenance<br />
updates.<br />
Healthcare IT is sponsored by<br />
the College of Health In<strong>for</strong>mation<br />
Management <strong>Executive</strong>s<br />
(CHIME). Contact CHIME at<br />
www.cio-chime.org.<br />
12 <strong>ADVANCE</strong> <strong>for</strong> <strong>Executive</strong> <strong>Insight</strong>