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ACO = HIE + Analytics Martin Sizemore Director, Healthcare Strategy November 10, 2011

ACO = HIE + Analytics - a Healthcare IT Presentation

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With the release of the Accountable Care Organization (ACO) regulations, healthcare providers must be able to identify, access, and seamlessly share patient information to drive efficiencies and enjoy a potential share in ACO program incentives. Additionally, more than half of the 93 draft National Committee for Quality Assurance (NCQA) ACO measures are also Meaningful Use measures, which further elevates the need to achieve meaningful use stage 2 or higher. Given these goals, success will ultimately depend on an organization’s ability to share patient data at the point of care and its ability to gain meaning from historical and longitudinal data for use in managing population health. Healthcare organizations will need to give focused attention to the IT strategies, appropriate architectures, and roadmaps they will use to move from desired state to reality. We discuss the practical architectural approach for creating an ACO. As Health Information Exchanges (HIEs) evolve into their second generation, they are able to the support the functional ACO tasks of delivering and managing care for a defined population, accept payment, distribute savings to participants, and perform disease management with predictive modeling to improve outcomes. We will also discuss the need to achieve meaningful use stage 2 or higher and the data/analytics requirements for ACO participants. Presenter Martin Sizemore is the Director of Healthcare Strategy for Perficient. Martin has been a consultant and trusted advisor to CEOs, COOs, CIOs and senior managers for global multi-national companies and healthcare organizations, and is a certified Enterprise Architect with specialized skills in Enterprise Application Integration (EAI) and Service Oriented Architecture (SOA).

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Page 1: ACO = HIE + Analytics - a Healthcare IT Presentation

ACO = HIE + Analytics

Martin SizemoreDirector, Healthcare Strategy

November 10, 2011

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About Perficient

Perficient is a leading information technology consulting firm serving

clients throughout North America.

We help clients implement business-driven technology solutions that

integrate business processes, improve worker productivity, increase

customer loyalty and create a more agile enterprise to better

respond to new business opportunities.

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PRFT Profile

Founded in 1997

Public, NASDAQ: PRFT

2010 Revenue of $215 million

20 major market locations throughout North America— Atlanta, Austin, Charlotte, Chicago, Cincinnati, Cleveland,

Columbus, Dallas, Denver, Detroit, Fairfax, Houston, Indianapolis, Minneapolis, New Orleans, Philadelphia, San Francisco, San Jose, St. Louis and Toronto

1,500+ colleagues

Dedicated solution practices

500+ enterprise clients (2010) and 85% repeat business rate

Alliance partnerships with major technology vendors

Multiple vendor/industry technology and growth awards

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Perficient brings deep solutions expertise and offers a complete set of flexible services to help clients implement business-driven IT solutions

Our Solutions Expertise & Services

Business-Driven Solutions• Enterprise Portals• SOA and Business Process

Management• Business Intelligence• User-Centered Custom Applications• CRM Solutions• Enterprise Performance

Management• Customer Self-Service• eCommerce & Product Information

Management• Enterprise Content Management• Industry-Specific Solutions• Mobile Technology• Security Assessments

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Perficient Services End-to-End Solution Delivery IT Strategic Consulting IT Architecture Planning Business Process & Workflow

Consulting Usability and UI Consulting Custom Application Development Offshore Development Package Selection, Implementation

and Integration Architecture & Application Migrations Education

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Our Speaker

Martin Sizemore• Enterprise Architect with specialized skills in Enterprise

Application Integration (EAI) and Service Oriented Architecture (SOA).

• Martin has been a consultant and trusted advisor to CEOs, COOs, CIOs and senior managers for global multi-national companies and healthcare organizations.

• His deep industry experience as a consultant in manufacturing, healthcare and financial services industries has provided him with a broad knowledge of IBM hardware and software offerings with numerous certifications and recognitions from IBM including On-Demand Computing and SOA Advisor.

• He is experienced with Microsoft general software products and architecture, including SharePoint and SQL Server and has worked closely with Microsoft architects on healthcare products including their healthcare CRM, Amalga, and HealthVault offerings.

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Agenda

• Accountable Care Organizations (ACO)• Definition, key components• ACO: Definition of success• ACO HIE requirements – use cases• HIE Current and Emerging views• ACOs require more than EHRs• Challenges to widespread ACO adoption• ACO = HIE + Analytics – Architecture• What are the typical use cases?• Summary

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Accountable Care Organization-a definition

• A healthcare delivery system whose members share responsibility, financial risk and a common goal to improve healthcare delivery and the overall health status for a given population.

• Acts collaboratively to coordinate patient care across the continuum and share both the payment and responsibility for quality of care for the covered patients.

• Paid a specified amount for the population it manages, rather than a per transaction fee. ACOs can be incented if their quality and patient satisfaction scores are higher than expected; they can also receive decreased reimbursement if scores are lower than expected.

* HIMSS ACO FAQ, www.himss.org

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Key components of an ACO

• Patient centered medical homes‐• Primary care physicians• Specialists• Minimum of one hospital• Ancillary providers• Minimum of 5,000 Medicare beneficiaries (for Medicare

demonstration funding)• Care coordination ability and mechanisms to support• Payer partnerships with reimbursement based on quality,

efficiencies and patient satisfaction

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*Source: Article by Stephen M. Shortell and Lawrence P. Casalino

Emerging ACO Models Governance‐

Model Characteristics Current ExamplesIntegrated delivery systems/networks(IDN)

• Own hospitals, physician practices, perhaps an insurance plan.

• Aligned financial incentives.• E-health records, team-based care.

• Geisinger Health System• Group Health Cooperative of Puget Sound• Kaiser Permanente• Summa Health System

Multispecialtygroup practices(MSGP)

• Usually own or have strong affiliation with a hospital.

• Contracts with multiple health plans. • History of physician leadership. • Mechanisms for coordinated clinical care.

• Cleveland Clinic• Marshfield Clinic• Billings Clinic• Virginia Mason Clinic

Physician-hospitalorganizations(PHO)

• Nonemployee medical staff.• Function like multispecialty group practices.• Reorganize care delivery for cost-

effectiveness.

• Greater Newport Physicians (partners with Hoag)• St. Vincent Healthcare in Billings• Methodist LeBonheur Healthcare• Kettering Health Network

Independent Practice Associations

• Independent physician practices that jointly contract with health plans

• Active in practice redesign, quality improvement.

• Atrius Health (eastern Massachusetts)• Hill Physicians Group (southern California)• Monarch HealthCare (southern California)

Virtual Physician Organizations

• Small, independent physician practices, often in rural areas.

• Led by individual physicians, local medical foundation, or state Medicaid agency.

• Structure that provides leadership, infrastructure, resources

• Community Care of North Carolina• Grand Junction (Colorado)• North Dakota Cooperative Network

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ACO: Definition of Success

Experience of Care

Per Capita Costs

Population Health Metrics:

• QUEST outcomes• Select HEDIS metrics• Health status – SF12• Mortality rates

Metrics:• Total medical PMPM• Total Medical Trend• Total Rx PMPM• Admissions/1000• Readmission rate

Metrics:• Patient satisfaction• PAM Scores (Patient Activation

Measures)

Improving triple aim™ population outcomes

* The term triple aim is a trademark of the Institute for Healthcare Improvement

Healthcare Business Intelligence will be the key to success in managing to these

metrics

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Health Information Exchange (HIE)

• Extension of EMRs• Integration or

Interoperability role

• Primarily data push or pull

• Struggles with financial viability

• Shifting from state-level efforts to private HIEs

• Key element in the integration and coordination of care

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HIE: Current View

Rx Claims

Medical Claims

Remote monitoring

Environmental

Social /economic

Lifestyle / behavioral

HRA

Bio-metrics

Labs

Demographics

HealthInformation

Exchange

Focus: Data collection and

Integration

Rx Claims

MedicalClaims

RemoteMonitoring

EnvironmentalFactors

Social /Economic

Lifestyle /Behavioral

HealthAssessments

Biometrics

Labs

Demographics

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HIE: Emerging ACO View

Financial Performance

Clinical Performance

Risk / predictive modeling

Care plan design

Care plan deployment

Interventions

Quality Reporting

Risk Management

HealthInformation

ExchangeFocus: Population

Health Analysisand tracking

Financial Performance(vs. paid claims)

ClinicalPerformance

Risk / PredictiveModeling

Care PlanDesign Care Plan

Deployment

Interventions

QualityReporting

RiskManagement

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ACOs require far more than EHRs

Requirements– Predictive modeling– Registries– EHR interfaces– Reminder systems– Claims and clinical data

warehouses– Episode of care analysis systems– Specifications for integrated

claims and clinical databases– Patient portal options– Health information exchanges

Data Sources for Mining– Medical records– Clinical outcomes data– Patient billing systems– Payer data– Quality measures abstracts– Charge master– Physician, payer, service line

utilization data– Infection surveillance data– Labor, productivity and

throughput records– Adverse drug events

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Challenges to widespread ACO adoption

• Silos lead to a disconnected business and IT infrastructure• Islands of computing create inefficiencies and underutilized

assets• Missing or competing data standards, limited interoperability• Struggle with regulatory compliance, volume of information,

data integrity and security• Resource constraints and difficulty managing

complexity/change• Volume of data points and quality measures, in widely

dispersed locations• Limited use of analytics among providers

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Moving beyond Operational Analytics

Based on: Competing on Analytics, Davenport and Harris, 2007Degree of Complexity

Com

petiti

ve A

dvan

tage

Standard Reporting

Ad hoc reporting

Query/drill down

Alerts

Simulation

Forecasting

Predictive modeling

Optimization

What exactly is the problem?

What will happen next if …?

What if these trends continue?

What could happen…. ?

What actions are needed?

How many, how often, where?

What happened?

Stochastic Optimization

How can we achieve the best outcome?

How can we achieve the best outcome including the effects of variability?

Operational AnalyticsSupport ongoing business operations

Meet compliance requirements

Advanced Analytics Prescriptive and Predictive

Support new business models and opportunities

Critical Business QuestionAnalytic Technique

Healthcare increasingly will use advanced analytics to drive clinical and operational improvements to meet business challenges

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ACO: High Level Architecture

ACO Performance Management will be the key to success

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Transaction RepositoryAllergies

Billing

Lab Orders & Results

Medications

Encounter

Diagnosis

Procedures

Surgery

Survey

R&D

Others

Ente

rpris

e Se

rvic

es B

ackb

one

(HL7

/CCD

)

Patient

Provider

Clinical

Pharmacy

Billing

EMR’s

Claims

Registeries

Eligibility

Other

Taxonomy SnoMed , RxNorm, etc.

Data Modeling/ Metadata Management

Data Quality Management

Identity Management & Security

Infrastructure Services

Governance

Data Sources

Multi-tenant

Data Marts

Extract Routines

Org

aniz

ation

CHF

COPD

Other

Registries.

Asthma

Diabetes

CampaignsPurp

ose

Spec

ific

Cubes

Core Warehouse

Clinical

Financial

Operational

Claims

Health Info. Exchange

Reference Data

Patient Registry (EMPI)

Provider Registry

Organization Registry

Identity Resolution Hubs

Disease Registers

Data Mapping and transport

Business Intelligence & Population Services

Patient Services

Ad-Hoc Analysis

Standard Reporting

Care Notifications

Provider Messages/Services

HIE Services

(CCR/CDA/etc)

Campaign Services

Business Access Services

Contact Services

Cohort Services

Publish / Subscribe

Enterprise Information Portal (EIP)

Schedule Reports

HIE Portal

Query Tool

Personalize / Share Reports

Ente

rpris

e Se

rvic

es B

ackb

one

(HL7

/CCD

)

Use

r Acc

ess

Met

hods

Syst

em A

cces

s M

etho

ds

Web Portal

Email, SMS

Excel, PDF

Fax, Printer

Other

Message Bus

File Delivery

Data Extracts, FTP

Internal

Patient Portal

Physician Portal

Management

Information DeliveryInformation Consumers

Campaign Management

Community

Health

Research

Data Warehouse and Data Marts

Bi-d

irecti

onal

Inte

rfac

esIntegration

Reference (Terminology) HUB

Data Validation

Data Quality Metrics

Data, Transform and Load

Data

Standardization

Unified Standard Code Sets (HLI, UMLS)

Local Code Sets

ACO = HIE + Analytics: Architectural View

Physician Community

Groups

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HIE + Analytics: What are typical use cases?

Use Cases Use Cases

Determine and model total cost of care across all settings (acute, ambulatory, home care) by population or individual

ID risk to patients by looking at environmental factors e.g. asthma, flu breakout

Care coordination New age case management (CRM for patients)

Match payer and provider data-verify rollout of preventative programs

ID labor savings. Correlate staffing to predicted demand/activity

Meds Mgmt./Reconciliation/Med Therapy Mgt./Prescription fill compliance

Physician attribution and/or care team – quality outcomes – patient satisfaction

Analyze population health levels based on various grouping (geo, facility, provider, etc.)

Monitor and track (real time) compliance to regulatory and/or clinical guidelines across settings

Understand resource utilizing productivity, throughput and access

Chronic care cost modeling to support payments and allocation

Evaluate readmission across continuum Support transitions of care through transfer of data

Resource planning/physician profitability (contract management, preferences, outcomes

Aggregate and manage data across all care settings (cost, care)

Support 65 ACO measures Comparative Effectiveness / waste reduction

Monitor/track patients experience beyond HCAPS (coordinate w/workforce, predict experience)

Creation of new evidence base for guidelines

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Why build this level of technical architecture?

• Move from retrospective reporting to predictive modeling of population health

• Create the data analytics necessary to move to evidence-based medicine and modeling of outcomes

• Predictive modeling provides an objective assessment of a patient’s future illness burden and associated health costs based upon their historical conditions as captured through claims and clinical information – key to ACO success!

– It is a method for prioritizing members for population health management and care management and stratifying them based upon their morbidity burden and financial risk

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2121

Metadata is VERY important

ETL Operational Metadata (Job Run Information)

Physical Schemas

ETL Job Design

BI Reports

Business Glossary & IS Users

Industry Data Models

DW Design Model

Data Lineage is the key to integrity and troubleshooting

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Advanced Analytics Architecture

Cognos

Operational Source SystemsStructured / Unstructured Data

COMMON METADATA : Data Glossa

ry

Encryption – Data at R

est

Spreadsheets

Applications

Data Staging

Federated Data

Cubing Services

Data DefinitionGlossary

SOA Web Service

Master Data Management

Business Rules Engine

Common DefinitionManagementDeployment

Dashboards

Embedded Analytics

Financial Planning

Mash ups

Scorecards

• Data Integration • Data Quality • Data Delivery

Integrated Warehouse

Data RepositoryMultidimensional Analysis Data Mining

TerminologyServices

EMPI

Archive

Healthcare Information Exchange Appliance

• HL7 Acquisition• Routing• Remote Configuration & Monitoring

PresentationLayer

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ACO = HIE + Analytics Summary

Benchmarking Outcome AnalysisACO Analytics and Management

Population HealthManagement

Spend Analysis

Value Based PricingClaims Adjudication

Value Analysis

Quality

Labor Supply OptimizationSupply Chain Optimization

Waste and Harm

Operations ManagementOptimization

Efficiency & Effectiveness Analysis

Disease Management

Practitioner Profiling & Quality HEDIS 2010 (select measures)

Savings OpportunitiesHarm Avoidance

Safety Pharmacy Analysis AHRQ

Harm AvoidanceAlerting

Actuarial Analysis

Claims HandlingClaims Adjudication

P4PPatient SatisfactionPerformance Improvement

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To enable a smarter healthcare system that offers better care,

better value and better health.

To get the big picture and truly use healthcare IT to improve care in real time, our systems must enable care teams to:

– Access a patient’s medical history from a secure, yet accessible cloud.

– View anything and everything that could have an impact on a patient’s care, including past procedures and past medications.

– Review evidence-based examples of how to customize and tailor treatments to produce the best possible outcomes for individual patients.

– Evaluate whether treatments are effective over the long term and compare results with other providers.

– Balance the privacy interests of each patient and the societal benefits of greater access to powerful, aggregated intelligence.

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Poll Question

What is the most important reason for analytics in an ACO?

A. Manage costs and operational efficiencyB. Manage population health including chronic illness C. Clinical research on best practices D. All of the above

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Q & A

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Join Perficient at HIMSS 2012

Visit us in Booth No. 1274 to speak to our healthcare technology experts on:

• Business Intelligence & Analytics• System Interoperability• Health Information Exchange• Portal Collaboration• Regulatory Compliance

Drawing for Perficient client badges to be pulled from today’s registration list!

Healthcare IT Conference & ExhibitionFebruary 20th – 24th Venetian Sands Expo Center, Las Vegas

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Follow Perficient Online

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Twitter.com/Perficient_HC Facebook.com/Perficient

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Thank you