Texas Health Resources - The Business of Healthcare

The Business of Health Care Report
Hospitals Identify Top Trends for 2002 - September 2002

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I'm Doug Hawthorne, President and CEO of Texas Health Resources, with "The Business of Health Care Report" on News Radio 1080 KRLD. Today's report looks at current trends in the hospital industry.

For the health care industry, 2002 is a year of converging issues -- with clinical information systems, compliance with government regulations, bed capacity, workforce shortages and financial performance all vying for attention.

Cap Gemini Ernst and Young, a health care consulting company, recently surveyed more than 1,000 hospitals to identify industry trends. Their findings, along with those of the American Hospital Association, reveal some common themes.

First, after a decade of downsizing, hospitals are building again. Aging baby boomers, new technology and a growing population - especially in high-growth areas such as North Texas - are shaping health care delivery like never before. A construction boom locally is already in full swing, with more than $1 billion in hospital building projects planned or underway.

Next, information systems that allow clinical information to be shared efficiently between hospitals and medical personnel are burgeoning and have the potential to improve and speed quality care. Texas Health Resources is especially proud for the fourth year in a row to be named one of the "Most Wired" hospitals in the country, embracing information systems advances

In addition, there's heightened focus on quality. Led by the Leapfrog Group and other quality initiatives, companies expect employees to use hospitals that meet specific criteria, most notably information systems innovations and the achievement of volume thresholds on advanced surgical procedures.

Also, national and state legislators continue to focus on changing health care, resulting in increased regulation. An example is the Health Insurance Portability and Accountability Act (or HIPAA), aimed at protecting patient privacy. Without question, this creates a challenging time for health care.

For Texas Health Resources and its family of hospitals - Harris Methodist Hospitals, Presbyterian Healthcare System and Arlington Memorial Hospital - I'm CEO Doug Hawthorne with "The Business of Health Care Report" on NewsRadio 1080 KRLD.

Sources: Medical Group Management Association's Center for Research in Ambulatory Health Care Administration(CRAHCA); The Institute for Management and Leadership Research(IMLR) at Texas Tech University.

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