On the 12th Day of #HITChristmas … Tanya Egbert from KLAS Research

Note: In case you missed the other 12 Days of #HITChristmas, you can start with the first day here along with the story behind #HITChristmas or read all 12 days here as they are published.

On the 12th Day of #HITChristmas we’re excited to feature, Tanya Egbert, Director of Research & Strategy – ERP at KLAS Research.

Tell us a little bit about yourself and KLAS

My name is Tanya Egbert. I’ve been with KLAS for nearly seven years and oversee our strategy and research in all of our Human Capital Management areas (ERP, Talent Management, Nurse Scheduling, Physician Scheduling, Time and Attendance), Credentialing, Tracking/RTLS, Patient Flow, and Command Centers.

KLAS is the voice of the customer in healthcare. We publish customer experience data on healthcare technology vendors. Our goal is to improve healthcare by bringing transparency to healthcare technology decisions for providers.

How would you described the state of the healthcare ERP market today? How has it changed recently?

Up until the last few years, ERP within healthcare was a fairly stagnant market. Most healthcare organizations have been on outdated systems for the better part of 20 years. Health systems have been keeping old, inefficient ERP solutions running for many years knowing that they would need a change. They see their old solutions as lacking modern usability and some basic functionalities for their users.

In the past few years, ERP decisions have heated up tremendously. The introduction of cloud ERP systems, the need for an enterprise/integrated solution, and the need for greater efficiencies have caused many healthcare organizations to look at replacing their ERP systems. Customers see the cloud as a tool for containing costs and ensuring that the organization stays current – to many, cloud means they will naturally stay up to date and have accessibility and stability. Customers want high-functioning and integrated solutions for finance, HR, and supply chain – often, usually at least one group (finance, supply chain, or HR) is really struggling with very suboptimal software. Health systems are expecting their new integrated ERP solutions will drive efficiency improvements for their organization.

What’s been COVID-19’s impact on ERP?

COVID-19 has brought to light the need for a more efficient and integrated supply chain/inventory system. Also, due to COVID-19, health systems have had to adjust to many employees working from home and the new cloud solutions have allowed organizations to more easily make that change.

Who do you see largely driving ERP efforts in healthcare?

HR and supply chain needs are driving decisions. Finance functionality is table stakes, decision makers see most of the cost savings in the other two key areas.

What seems to differentiate the top rated ERP vendors in KLAS reports?

Surprisingly, the biggest differentiator we hear from customers of the top-rated ERP vendors isn’t about the technology. It’s about the relationship. Health systems are looking for a partner that will work with them to drive success for their specific needs. Health systems are leaving vendors that did not work diligently to meet their specific needs. They are looking for an Epic-like partner for implementation and support. The next big differentiators are the ability to offer a cloud enterprise solution with strong functionality and development. Customers want high-functioning and integrated solutions for finance, HR, and supply chain and are looking for a strong development partner. They want a vendor that is continuously investing into their ERP solution.

What are some of the most interesting insights into ERP from the KLAS ERP surveys and reports?

Workday has been a consistently high performer since we first talked with their customers about six years ago. They continue to be a strong partner for their customers, and despite an immature supply chain, their customers have high optimism of where Workday is headed.

Oracle has seen an incredible surge in customer satisfaction over the past year, mainly driven by their renewed focus on the relationship with their customers. Oracle customers are also very optimistic about the potential of Oracle Cloud.

Infor continues to struggle with customer satisfaction and most interviewed customers describe a strained vendor relationship; however, a handful of Infor customers shared some optimism with KLAS about Infor’s future improvement, citing more positive, effective support from engaged representatives.

Premier continues to perform well in supply chain and financials but struggles with mind share due to the lack of an HR application.

Be sure to follow all of the 12 Day of #HITChristmas.

About the author

John Lynn

John Lynn

John Lynn is the Founder of HealthcareScene.com, a network of leading Healthcare IT resources. The flagship blog, Healthcare IT Today, contains over 13,000 articles with over half of the articles written by John. These EMR and Healthcare IT related articles have been viewed over 20 million times.

John manages Healthcare IT Central, the leading career Health IT job board. He also organizes the first of its kind conference and community focused on healthcare marketing, Healthcare and IT Marketing Conference, and a healthcare IT conference, EXPO.health, focused on practical healthcare IT innovation. John is an advisor to multiple healthcare IT companies. John is highly involved in social media, and in addition to his blogs can be found on Twitter: @techguy.

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