Only 12% of chief financial officers of hospital and health provider organizations say they plan to cut or defer spending on digital transformation of their financial systems despite 100% saying they expect a significant revenue decline this year due to the coronavirus.
That’s according to a recent survey from Black Book Research, which queried nearly 1,800 hospital and health provider CFOs, vice presidents of finance and RCM, controllers, business office managers, analyst staff, consultants and directors to find the top in-demand financial software systems and vendors.
“It would seem most CFOs understand what the pandemic has proved is the need to speed up digital transformation initiatives to not only survive but to prosper in the new normal,” Doug Brown, president of Black Book Research, said in a statement. “For CFOs eager to expedite their organization’s digital transformation, the standardization and simplification leaders want in their back-end processes are allowing for less complicated, faster adoption despite the times."
During the months of the COVID-19 pandemic, 84% of hospitals and 79% of large physician practices in the survey have performed audits on the existing state of their digital transformation, with 93% of all provider respondents finding missing capabilities and redundant or conflicting systems in the second quarter of 2020.
The pandemic has helped put a spotlight on some digital breakdowns and the need for transformation among health organizations, according to Black Book. To cope with the COVID-19 impacts, more providers are leveraging virtual health (87%), initiating highly patient positive experiences (73%), and implementing layoffs and process changes due to sinking margins (54%). A whopping 81% of CFOs and senior leaders in the survey said they have an immediate need for digital transformations for long-term survival of their organization.
"The lack of advanced financial analytic tools, strategic dysfunction caused by failed software integrations and outdated dashboard and decision support systems has put focus on the immediate technology needs of chief financial officers," Brown said.
Amy joined TriMed Media as a Senior Writer for HealthExec after covering home care for three years. When not writing about all things healthcare, she fulfills her lifelong dream of becoming a pirate by sailing in regattas and enjoying rum. Fun fact: she sailed 333 miles across Lake Michigan in the Chicago Yacht Club "Race to Mackinac."