Healthcare Industry Looks Toward Digital Transformation

A growing number of U.S. healthcare providers are looking toward digital transformation to help them with ongoing challenges of the COVID-19 pandemic, according to a recent report by Information Services Group (ISG). 

The 2021 ISG Provider Lens Healthcare Digital Services Report for the U.S. finds the healthcare industry seeking IT service providers to help them with their digital transformation efforts, partly in response to the pandemic, but also to address changing regulations and patient expectations, technological advances, rising costs and new entrants into the market. 

“Learning from the pandemic, the U.S. healthcare system is evolving, with an increased focus on healthcare equity, supply chain issues, workforce challenges and treating patients who have deferred care,” says Bob Krohn, partner, Healthcare, for ISG. 

In response, healthcare providers have focused on so-called value-based care, including remote and virtual care, and they’ve embraced the consumerization of healthcare, with more convenience and easy access to information and services, the report says. Digital transformation efforts have helped deliver these services. 

Healthcare providers have a continuing need to access and share information that can help improve patient expectations and outcomes, the report says. The healthcare system is evolving to ensure cost transparency to consumers and enable improved access to medical data needed by various stakeholders. Service providers offer expert advice and tools for interoperability, but some healthcare providers have been slow to adopt them. 

Beyond the pandemic, another major change facing the U.S. healthcare system is disruption triggered by technology companies, retailers, telecom providers and banks, as well as consolidations in the industry, the report says. Basic primary care is being offered by big-box stores and pharmaceutical chains. Provider and employer arrangements with payers are changing the nature of partnerships with insurance companies.