Government Contribution toward High Acceptance and Implementation of Electronic Health Records (EHR) Driving Global Market
The soaring use of electronic gadgets such as tablets and smartphones in every sphere of operation is perhaps one of the most significant trends responsible for the emergence of electronic health records (EHR) or electronic medical records. The global market for the same has greatly benefited from the development of advanced mobile technologies and the integration of these technologies with healthcare services across the globe. Registering a healthy 6.4% CAGR during the forecast period, the global market for electronic health records is slated to amount to just under US$24 bn by 2020.
Here’s a look at some of the prominent trends in the EHR market:
What is the role of the government in the developed EHR markets of North America and Europe?
One of the most significant factors boosting the adoption of electronic health records across hospitals and healthcare facilities is strong support from various governments. North America and Europe are two of the most thriving markets for EHR solutions and a growing inclination toward the widespread installation of EHR platforms has greatly benefited these markets. The pay for performance (P4P) model implemented in the healthcare sectors of the U.S. and the U.K. is perhaps the best example of government initiatives booting the electronic health records market. This value-based payment model encourages healthcare providers to up their performance and improve clinical outcomes. On the other hand, the model also penalizes physicians, medical groups, hospitals, and other healthcare providers in case of medical errors, poor outcomes, and increased costs.
Electronic health records have witnessed increased adoption due to the implementation of the pay for performance model as they offer a host of cost benefits, improves patient access to medical data, enhances patient care delivery, and minimizes the frequency of human error in the medical field.
Another example of strong government support in the adoption of EHR in developed regions is the Government of Italy. Under the Italian Health Service, the development of electronic health record systems has been given added importance for the easy and safe transfer of patient data and for e-prescriptions.
Between hospitals and ambulatory centers, which end user presently dominates the EHR market and which presents immense promise for future growth?
Hospitals and ambulatory centers are the most common end users of electronic health records. In 2013, it was estimated that 59.0% of the hospitals in the world had some or the other form of EHR installed, up from 34.0% in the previous year. This makes hospitals the leading end-use segment of the electronic health records market. Hospitals contribute a major share of the revenue in this market owing to the growing need for optimum healthcare services and the rising adoption of client server-based EHR systems. The increasing popularity of cloud-based electronic health record systems is projected to offer immense scope for the growth of this end-use segment.
On the other hand, the rising demand for mobile healthcare services has upped the adoption of EHR systems in ambulatory centers. The introduction and use of wireless electronic health record software in clinics, retail pharmacies, and diagnostic labs is also anticipated to boost the ambulatory centers segment in the coming years.