The Road to Interact 2012: Risky Business
We’ve talked about the maintenance and operational challenges associated with successfully running a large and complex healthcare organization/facility, and we’ve talked about the exciting potential of Asset Lifecycle Management (ALM) strategies and powerful programs like PeopleSoft ALM.
“But what’s the big deal?” you might ask, “How much of a difference can a fully-integrated ALM really make?”
To answer those questions, and in order to get a full understanding of how and why products like PeopleSoft ALM can make such profound difference, we first have to get a better sense of the risks associated with not implementing a strategic and effective maintenance management program.
In other words: what’s the downside?
One of the most obvious concerns is the operational integrity and lifespan of the equipment that hospitals and healthcare facilities rely on to perform quality patient care. Healthcare devices can be delicate in nature and very expensive to acquire and maintain. And, with bigger and better technologies coming online all the time, this is an issue that is unlikely to go away.
The growing emphasis on diagnostics highlights another potential vulnerability. If a CAT scan or MRI machine breaks down, for example, hospitals actually face potential revenue loss from two directions: the straightforward loss of income from the unplanned downtime and subsequent inability to perform critical tests, and also the industry-specific liability exposure that can arise from a compromised diagnostic capacity and poorer patient health outcomes. Even a single lawsuit can make the maintenance management value equation more than clear.
Now, extrapolate these out over the physical assets of an entire organization, and the potential savings are staggering.
Non-compliance with state and federal guidelines, industry standards and other regulatory mandates is another serious risk. The Joint Commission (formerly known and still often referred to as the “Joint Commission on Accreditation of Healthcare Organizations”) is a nonprofit that evaluates healthcare organizations’ compliance with federal regulations. As healthcare administrators and executives understand all too well, Joint Commission accreditation and certification are prerequisites for Medicare reimbursement and other licensing. At a time when those reimbursements account for a large percentage of many hospitals’ income, and considering the fact that a lot of private insurance is also contingent on that licensure/certification, an unsuccessful Joint Commission audit is an administrator’s worst nightmare. A bad audit can literally shut down an entire facility.
Finally, there are many technology systems that allow healthcare professionals to run their institutions efficiently. If the systems are superlative, but the integration of those systems allowing them to properly talk to each other is burdensome, efficiency is compromised and the bottom line suffers. The PeopleSoft ALM solution is fully integrated into the PeopleSoft FSCM system you are probably running today. All of the integration points are already created. Support is reduced, efficiency is increased and the bottom line benefits. Don’t ignore the value of intelligent integration.
Replacing your existing CMMS system with PeopleSoft ALM will go a long way toward reducing your risks, helping your operation become more efficient, and allowing you to spend more time and resources ensuring you remain compliant with regulations – all of which lowers everyone’s stress level/blood pressure as the audit date nears.
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More links:
Learn more about Interact 2012, where MIPRO will be exhibiting.
MIPRO Consulting main website.
