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SAP for Healthcare

SAPs Solution Portfolio for the


Healthcare Community
Agenda

SAP in the Healthcare Community

Business Needs and SAPs Answers

What makes SAP unique?

SAP AG 2002, Title of Presentation, Speaker Name 2


SAP in the Healthcare Community

SAP has approx. 850 healthcare installations worldwide. The


solutions of the SAP for Healthcare portfolio focus on
healthcare provider organizations
Healthcare is a major industry of SAPs Public Services
practice, which is operating globally. SAPs Public Services
business contributes to SAPs overall revenue with
approximately 7%
SAP for Healthcare offers an end-to-end solution from ERP
(back office) to e-Health including solutions for patient
management and accounting as well as seamlessly
integrated clinical solutions provided by partners
Customers live since 1994

SAP AG 2002, Title of Presentation, Speaker Name 3


SAP for Healthcare Customers

General Hospitals, University Hospitals,


IDNs, Private Hospitals, HMOs etc.

Very small hospitals as well as multi-


facility hospital chains in more than 30
countries worldwide

Heidelberg University Hospital Methodist Health Systems, Inc.


Montefiore Medical Center Parkway Group
Hospital Clinico Barcelona East Regional Health Board
University Hospital Charit, Berlin Hospitals of Styria (Kages)
Kindred Healthcare The Wesley Hospital
Healthlink South Ltd. Sacre-Coeur, Angrignon / Canada

SAP AG 2002, Title of Presentation, Speaker Name 4


Agenda

SAP in the Healthcare Community

Business Needs and SAPs Answers

What makes SAP unique?

SAP AG 2002, Title of Presentation, Speaker Name 5


Business Needs That Drive Our Customers ...

1 Limited Budgets 2Regulation /


Legal Requirements

Healthcare
Provider
Organization

4 Competition 3
Increased Patient
Expectations

SAP AG 2002, Title of Presentation, Speaker Name 6


How SAP Addresses These Business Needs

1
Increased end
Limited Budgets
Lower TCO
2 Regulation /
Legal Requirements

user efficiency SAP for


Healthcare
brings clinical Higher treatment
processes, quality
Closer interaction patient service
with patients, and back office
citizens and GPs together as

4 3
one

Competition Increased Patient


Better decision Expectations
making

SAP AG 2002, Title of Presentation, Speaker Name 7


Healthcare Solution Map 2003
Employee Relationship
Strategic Enterprise Business Intelligence &
Enterprise Management Business Analytics Accounting Management &
Management Decision Support
Workforce Analytics

Patient Accounting & Patient Service Patient Relationship


Patient Management Patient Administration Patient Scheduling
Billing Management Management

Diagnostic Support & Clinical Order Medical & Clinical


Diagnostics & Therapy Treatment & Operation Research & Education
Ancillaries Management Documentation

Care Management Care Planning Clinical Care Care Documentation After Care Management

Enterprise Communication with Communication with Communication with Partner Relationship


Internal Communication
Communication Providers Payers Suppliers Management

Environment, Health and


Support Services Medical Technology Transportation Facility Services
Safety

Employee Life-Cycle &


Financial Supply Fixed Asset Real Estate Equipment
Business Support Transaction Procurement
Chain Management Management Management Maintenance
Management

SAP AG 2002, Title of Presentation, Speaker Name 8


Business Needs That Drive Our Customers ...

1 Limited Budgets 2 Regulation /


Legal Requirements

SAP for
Healthcare
brings clinical
processes,
patient service
and back
office together

4 3
as one

Competition Increased Patient


Expectations

SAP AG 2002, Title of Presentation, Speaker Name 9


Business Need: Manage Limited Budgets

Manage budget caps, budget cuts, limited revenue


opportunities, losses, decreasing profits
How can I argue for a higher budget?
What are my cost drivers?
Why did cost of department X rise dramatically?
Which surgeries drive my profits?
What is the impact of rising personnel cost on my next year budget?
Which patients should I try to attract to maximize my revenues?

Focus Areas
Plan, set up, and administrate budgets
Increase transparency of cost and revenue
Reduce cost and increase efficiency, e.g.
Reduce process costs
Standardize clinical processes
Improve treatment efficiency
Optimize your revenue opportunities

SAP AG 2002, Title of Presentation, Speaker Name 10


Manage Limited Budgets: Solution

Optimize your revenue opportunities

The mobile care unit workstation


provides an efficient, easy to use
data collection at the point of care.
Benefits
All services are entered and billed
Increased diagnoses/case ratio to
support higher DRG revenues
Increased patient satisfaction
through better information about
patient
More time for patients through
increased productivity

SAP AG 2002, Title of Presentation, Speaker Name 11


Manage Limited Budgets: Solution

Plan, set up, and administrate budgets

SAP Strategic Enterprise


Management enables you to
simulate your budget e.g. based
on the simulated DRGs for your
different departments.
Benefits
Identify potential budget
problems early
Standard integration with
accounting and patient
related medical data
guarantees highest
information quality and saves
interface cost
SAP AG 2002, Title of Presentation, Speaker Name 12
Manage Limited Budgets: Solution

Increase transparency of cost and revenue

SAP Business Information


Warehouse provides personalized
business insight for different
roles (e.g. head physicians,
medical controller).
Benefits
Identify which clinical
processes drive your costs and
understand where your
revenues come from
Detect and analyze deviations
early

SAP AG 2002, Title of Presentation, Speaker Name 13


Manage Limited Budgets: Solution

Reduce cost and increase efficiency

mySAP Supplier Relationship


Management integrates your Delivering Requesting
internal clinical supply chain from
operation room to external Vendor /
Supplier
Nurse

buying.
Benefits
It supports you to cut your
inventories
It reduces your internal and
Pharmacist Physician

external procurement costs Buying / Approving


Providing
It helps you to analyze material
consumption on patient level Digital Signature

SAP AG 2002, Title of Presentation, Speaker Name 14


Manage Limited Budgets Bottom Line
SAP for Healthcare helps you master your budget and take
steps to increase your efficiency.

BENEFITS WITH S A P*

Increased staff productivity, e.g. 33% more admissions with


same staff
Improved financial processes, e.g. time to close books
decreased by 60%
Reduced procurement cost by 5-10%
Inventory levels decreased by 10% and more
Improved forecasting and planning capabilities

* Based on 3rd party ROI study (Surgency / Benchmarking Partners)

SAP AG 2002, Title of Presentation, Speaker Name 15


Manage Limited Budgets: In Our Customers Words

Montefiore Medical Center about mySAP SRM:

The information system and related process improvement


saved from $4 million to $6 million in supply management costs
in the first year of operation.
Charles Agins, Vice President of Finance

University Hospital Gttingen about SAP Patient Management:

Thanks to SAP Patient Management, the efficiency of


drug ordering has increased dramatically. In particular, the
digital signature has made the approval process more cost
efficient, quicker and simpler."
Dr. Gnther Juretzka, Medizinisches Rechenzentrum

SAP AG 2002, Title of Presentation, Speaker Name 16


Business Needs That Drive Our Customers ...

1 Limited Budgets 2 Regulation /


Legal Requirements

SAP for
Healthcare
brings clinical
processes,
patient
service and
back office

4 3
together as
one

Competition Increased Patient


Expectations

SAP AG 2002, Title of Presentation, Speaker Name 17


Business Need: Manage Regulation / Legal
Requirements
Many processes depend on legal requirements
(e.g. DRG, external reporting, HIPAA) with frequent
changes
What do I have to do to be compliant with legal requirements?
How do I support my legal reporting obligations?
How can I still focus on my strategic (IT-) needs?
Do I need to buy new software to meet changed legal requirements?
Can I implement an IT platform which protects best my previous IT
investments?

Focus Areas

Deploy flexible, powerful and globally available


solution to be flexible and able to respond to
changes quickly

Establish flexible reporting meeting internal


and external, current and future needs

SAP AG 2002, Title of Presentation, Speaker Name 18


Manage Regulation / Legal Requirements: Solution

Deploy flexible, powerful and globally available solution to


be flexible and able to respond to changes quickly.

SAP for Healthcare solutions are


implemented in more than 30
countries worldwide. They
combine the business practices
of various healthcare systems.
Benefits
Faster deployment of new
methods
SAP Patient Management
billing provides a rule-based
framework which enables the
deployment of various billing
methods. Implementation of
more profitable methods at low
costs.
SAP AG 2002, Title of Presentation, Speaker Name 19
Manage Regulation / Legal Requirements: Solution

Establish flexible reporting meeting internal and external,


current and future needs

SAP for Healthcare provides


various ways to meet your
reporting needs.
Benefits
Easy & Time-saving - exactly
what you need through Role-
based & personalized access
Actual reporting in source
system
Comprehensive - from many
different source systems;
medical data with patient
related and accounting data

SAP AG 2002, Title of Presentation, Speaker Name 20


Manage Regulation / Legal Requirements Bottom Line

Frequent changes in a regulated environment require a


solution which is powerful and flexible.

BENEFITS WITH SAP

Solutions of the SAP for Healthcare portfolio are in use in > 30


countries and combine the best practices from various
healthcare systems
The SAP Patient Management billing engine is based on
extremely flexible billing rules which can handle many legal
changes without program changes
SAP for Healthcare offers flexible reporting without
programming skills

SAP AG 2002, Title of Presentation, Speaker Name 21


Manage Regulation / Legal Requirements:
In Our Customers Words

Hospital Britanico de Buenos Aires about SAP


Patient Management:

SAP Patient Management - a solid, dependable and flexible


product. The implementation project was finished on time
and within budget, the go-live was smooth and the users
are satisfied with the system functionality.

Osvaldo Mauro, Director of the Informatics Project

SAP AG 2002, Title of Presentation, Speaker Name 22


Business Needs That Drive Our Customers ...

1 Limited Budgets 2 Regulation /


Legal Requirements

SAP for
Healthcare
brings clinical
processes,
patient service
and back
office together

4 3
as one

Competition
Increased Patient
Expectations

SAP AG 2002, Title of Presentation, Speaker Name 23


Business Need: Manage Increased Patient Expectations

Aging population, increased demand for information,


increased quality awareness, growing consumerism
How can I deliver best service to my patients?
Can I attract the interesting patient groups?
What can I do to meet the growing information demand of my patients?
Can I work more effective with external clinics and physicians?

Focus Areas
Establish various information channels to patients,
e.g. phone, fax and Web
Extended ways of consumer focus and patient
interaction
Manage waiting lists effectively
Reduce patient waiting time
Prepare for (published) hospital benchmarks

SAP AG 2002, Title of Presentation, Speaker Name 24


Manage Increased Patient Expectations: Solution

Reduce patient waiting time and manage waiting lists


efficiently

SAP Patient Management includes


several components to reduce patient
waiting time.
Benefits
Less waiting time through
meticulous planning of your
outpatient activities
Optimized occupancy and more
efficient use of resources through
better planning
Faster admissions through
preregistration
Transparency for the patient
through waiting list management
SAP AG 2002, Title of Presentation, Speaker Name 25
Manage Increased Patient Expectations: Solution

Extended ways of consumer focus and patient interaction

mySAP CRM Interaction Center


can easily be interfaced with your
back-end solution. It helps you to
manage your patient relations
better.

Benefits
Patient friendly: Central
contact with access to all
information & services and
ability to get direct response.
Efficient: No need to route
through various departments
with involvement of physicians
and nurses
SAP AG 2002, Title of Presentation, Speaker Name 26
Manage Increased Patient Expectations: Solution

Establish various information channels

mySAP Enterprise Portal helps


you to improve your web
presence.

Benefits
Actual and Cost effective
through Content management
(requires no specialized IT
skills; multilingual)
User friendly: Direct access to
relevant information and
services

SAP AG 2002, Title of Presentation, Speaker Name 27


Manage Increased Patient Expectations Bottom Line

Improved patient relation and satisfaction is a key success


factor within an increasingly competitive hospital landscape.

BENEFITS WITH SAP

Patients are better informed


Patient waiting time is reduced
Length of time spent waiting for lab results decreased*
More personalized patient service*
Improvements in collecting and integrating patient
information*
Time to send a bill reduced from 3 weeks to 1 day*

* Based on 3rd party ROI study (Surgency / Benchmarking Partners)

SAP AG 2002, Title of Presentation, Speaker Name 28


Manage Increased Patient Expectations:
In Our Customers Words

Hospital of the Barmherzige Schwestern Linz


(Austria) about SAP for Healthcare:

Besides optimized patient orientation, time and cost


savings are the result of the projects wide scope.

SAP AG 2002, Title of Presentation, Speaker Name 29


Business Needs That Drive Our Customers ...

1 Limited Budgets 2 Regulation /


Legal Requirements

SAP for
Healthcare
brings clinical
processes,
patient
service and
back office

4 3
together as
one

Increased Patient
Competition
Expectations

SAP AG 2002, Title of Presentation, Speaker Name 30


Business Need: Manage Impacts of Competition

Downsizing of departments, cooperation with other


hospitals, mergers, heterogeneous IT landscape,
need for differentiation
Should I merge a department with another hospital?
Do I need to close a clinical department?
Should I focus on specific services?
How can I consolidate the data of my new hospital acquired recently?

Focus Areas
Collaborate actively with business partners, e.g.
establish referral management
Use open and integrative IT infrastructure
Specialize your services
Provide services centrally
Consolidate information

SAP AG 2002, Title of Presentation, Speaker Name 31


Manage Impacts of Competition: Solution

Consolidate information

mySAP Business Intelligence


allows enterprise-wide
consolidation of financial,
administrative and patient-
related data. You are informed
about all hospital entities within
your healthcare group.

Benefits
Low TCO
Benchmark against other
hospitals
Better Decisions

SAP AG 2002, Title of Presentation, Speaker Name 32


Manage Impacts of Competition:
In Our Customers Words

Schn Clinics Group about mySAP Business


Intelligence:

What impressed us most of all were the simple, flexible


data extraction options and the high degree of integration
with SAP for Healthcare. This meant that we could look
forward to harmonized data.

Manfred Volmer, Business Manager Schn Clinics Group

SAP AG 2002, Title of Presentation, Speaker Name 33


Manage Impacts of Competition: Solution

Establish referral management

mySAP CRM allows marketing


campaigns directly addressing
certain segments, e.g. your top-
10 referrers of a specialty.

Benefits
Low TCO through integration
with back-end systems
Personalized ways of
communication
Better relationship with your
business partners
Higher occupancy / revenues

SAP AG 2002, Title of Presentation, Speaker Name 34


Manage Impacts of Competition: Solution

Use open and integrative IT infrastructure

SAP NetWeaver provides a


framework for a fully integrated
IT landscape. It supports
integration on various levels.

Benefits
Effectiveness through
seamless processes
Networked
Low TCO through one platform Software

or fewer interfaces.
Protection of earlier Role-Specific
investments through flexibility Enterprise Portal
in the choice of your partners,
e.g for database, archiving
solution
SAP AG 2002, Title of Presentation, Speaker Name 35
Manage Impacts of Competition:
In Our Customers Words

Hospital of the Barmherzigen Schwestern Linz


about SAP NetWeaver:

Basis for the project were the many isolated applications


within our old IT landscape.

The integrated, patient-centric view facilitates the choice for


optimal treatment.

Dr. Christian Gierlinger, IT-Manager

SAP AG 2002, Title of Presentation, Speaker Name 36


Manage Impacts of Competition Bottom Line

SAP for Healthcare helps you to be more competitive and to


manage the increased IT complexity with low TCO.

BENEFITS WITH SAP

Reduced purchasing cost and lower inventory by


centralized buying*
Reduced IT cost by replacing standalone systems
with SAP for Healthcare solutions, savings up to
25%*

* Based on 3rd party ROI study (Surgency / Benchmarking Partners)

SAP AG 2002, Title of Presentation, Speaker Name 37


Agenda

SAP in the Healthcare Community

Business Needs and SAPs Answers

What makes SAP unique?

SAP AG 2002, Title of Presentation, Speaker Name 38


Why Choose SAP?

We bring clinical processes, patient


service and back office together as one

Unique integrative solution approach including


clinical solutions from partners
Proven successes and strong ROI for our
customers for more than 10 years
Deployed in more than 800 healthcare
installations all over the world
Long-term solid partner
Best business practices from many countries

SAP AG 2002, Title of Presentation, Speaker Name 39


Healthcare Solution Map 2003
Employee Relationship
Strategic Enterprise Business Intelligence &
Enterprise Management Business Analytics Accounting Management &
Management Decision Support
Workforce Analytics

Patient Accounting & Patient Service Patient Relationship


Patient Management Patient Administration Patient Scheduling
Billing Management Management

Diagnostic Support & Clinical Order Medical & Clinical


Diagnostics & Therapy Treatment & Operation Research & Education
Ancillaries Management Documentation

Care Management Care Planning Clinical Care Care Documentation After Care Management

Enterprise Communication with Communication with Communication with Partner Relationship


Internal Communication
Communication Providers Payers Suppliers Management

Environment, Health and


Support Services Medical Technology Transportation Facility Services
Safety

Employee Life-Cycle &


Financial Supply Fixed Asset Real Estate Equipment
Business Support Transaction Procurement
Chain Management Management Management Maintenance
Management

SAP AG 2002, Title of Presentation, Speaker Name 40


SAPs Commitment

We bring clinical processes, patient service and


back office together as one
Increased information about Increased end-user efficiency
patients and treatment by enterprise portals for
processes for better clinical and doctors, nurses and
administrative decision making
administrative users
and better patient service

Support health system efficiency Higher treatment quality by


by closer interaction of the seamless process and
hospital with the citizens and the information flow
external community

Low TCO by tight platform


integration with clinical partners

SAP AG 2002, Title of Presentation, Speaker Name 41