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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 multifacility 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 ...

Limited Budgets

Regulation /
Legal Requirements

Healthcare
Provider
Organization

Competition

SAP AG 2002, Title of Presentation, Speaker Name 6

Increased Patient
Expectations

How SAP Addresses These Business Needs

Lower TCO

Limited Budgets

Increased end
user efficiency

Closer interaction
with patients,
citizens and GPs

Regulation /
Legal Requirements

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

Competition

SAP AG 2002, Title of Presentation, Speaker Name 7

Better decision
making

Higher treatment
quality

Increased Patient
Expectations

Healthcare Solution Map 2003


Strategic Enterprise
Management

Business Analytics

Business Intelligence &


Decision Support

Accounting

Employee Relationship
Management &
Workforce Analytics

Patient Management

Patient Administration

Patient Accounting &


Billing

Patient Scheduling

Patient Service
Management

Patient Relationship
Management

Diagnostics & Therapy

Diagnostic Support &


Ancillaries

Clinical Order
Management

Medical & Clinical


Documentation

Enterprise Management

Care Management

Enterprise
Communication

Support Services

Business Support

Care Planning

Internal Communication

Medical Technology
Employee Life-Cycle &
Transaction
Management

SAP AG 2002, Title of Presentation, Speaker Name 8

Clinical Care

Communication with
Providers

Procurement

Care Documentation

Communication with
Payers

Environment, Health and


Safety
Financial Supply
Chain Management

Treatment & Operation Research & Education

After Care Management

Communication with
Suppliers

Transportation

Fixed Asset
Management

Partner Relationship
Management

Facility Services

Real Estate
Management

Equipment
Maintenance

Business Needs That Drive Our Customers ...

Limited Budgets

Competition

SAP AG 2002, Title of Presentation, Speaker Name 9

Regulation /
Legal Requirements

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

Increased Patient
Expectations

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
internal clinical supply chain from
operation room to external
buying.

Requesting
Vendor /
Supplier

Nurse

Pharmacist

Physician

Benefits
It supports you to cut your
inventories
It reduces your internal and
external procurement costs
It helps you to analyze material
consumption on patient level

SAP AG 2002, Title of Presentation, Speaker Name 14

Buying /
Providing

Approving

Digital Signature

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 ...

Limited Budgets

Competition

SAP AG 2002, Title of Presentation, Speaker Name 17

Regulation /
Legal Requirements

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

Increased Patient
Expectations

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 Rolebased & 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 ...

Limited Budgets

Competition

SAP AG 2002, Title of Presentation, Speaker Name 23

Regulation /
Legal Requirements

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

Increased Patient
Expectations

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 ...

Limited Budgets

Competition

SAP AG 2002, Title of Presentation, Speaker Name 30

Regulation /
Legal Requirements

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

Increased Patient
Expectations

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 patientrelated 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 top10 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
Low TCO through one platform
or fewer interfaces.
Protection of earlier
investments through flexibility
in the choice of your partners,
e.g for database, archiving
solution
SAP AG 2002, Title of Presentation, Speaker Name 35

Networked
Software

Role-Specific
Enterprise Portal

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


Strategic Enterprise
Management

Business Analytics

Business Intelligence &


Decision Support

Accounting

Employee Relationship
Management &
Workforce Analytics

Patient Management

Patient Administration

Patient Accounting &


Billing

Patient Scheduling

Patient Service
Management

Patient Relationship
Management

Diagnostics & Therapy

Diagnostic Support &


Ancillaries

Clinical Order
Management

Medical & Clinical


Documentation

Enterprise Management

Care Management

Enterprise
Communication

Support Services

Business Support

Care Planning

Internal Communication

Medical Technology
Employee Life-Cycle &
Transaction
Management

SAP AG 2002, Title of Presentation, Speaker Name 40

Clinical Care

Communication with
Providers

Procurement

Care Documentation

Communication with
Payers

Environment, Health and


Safety
Financial Supply
Chain Management

Treatment & Operation Research & Education

After Care Management

Communication with
Suppliers

Transportation

Fixed Asset
Management

Partner Relationship
Management

Facility Services

Real Estate
Management

Equipment
Maintenance

SAPs Commitment

We bring clinical processes, patient service and


back office together as one
Increased information about
patients and treatment
processes for better clinical and
administrative decision making
and better patient service

Increased end-user efficiency


by enterprise portals for
doctors, nurses and
administrative users

Support health system efficiency


by closer interaction of the
hospital with the citizens and the
external community

Higher treatment quality by


seamless process and
information flow

Low TCO by tight platform


integration with clinical partners

SAP AG 2002, Title of Presentation, Speaker Name 41