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Impact of IT on Healthcare Industry

   

Added on  2020-05-16

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Running head: USE OF IT IN HEALTHCARE INDUSTRYUse of Information Technology to Gain Competitive Advantage in Healthcare IndustryGrad 699-90-2017/LS ThesisKirandeep K. GillHarrisburg University of Science and TechnologyAssignment submitted to Dr. Stanley Nwoji in Fulfillment of GRAD 699Submission Date: December 13, 20171
Impact of IT on Healthcare Industry_1

USE OF IT IN HEALTHCARE INDUSTRYAbstractThe use of information technology in the healthcare industry has been attracting many scholars and medicalstaff from last few years.IT has positive effect on healthcare system resulting in gaining the competitive advantage but on the other hand, there are few factors like cost of implementation and reluctant to use IT due to cultures/beliefs, which, has negative effect on gaining competitive advantage. This research therefore, evaluated how the two factors affect the gain of competitive advantage in healthcare system.The research questions addressedthe relationships between these two factors and integration of the IT into health care system.Quantitative research design was suitable for this research,the research strategy was a survey utilizing closed -ended questionnaires to collect primary data for analysis.Quantitave method was used for analysis,where descriptives were first carried out to describe the data and then inferential statistics was done to test hypotheses.Correlation analysis were done at 5%level ofsignificance.The results revealed that was a significant association between those health units that have managed to integrate IT in all departments and their views on the cost of implementation of IT and there was a significant association between integration of IT into the health system and cultures/beliefs.It was recommended that further research be carried out in other parts of America as our study focused only in North America.Keywords: information technology, healthcare industry, competitive advantage, Data Science research.2
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USE OF IT IN HEALTHCARE INDUSTRYTable of ContentsAbstract........................................................................................................................................................................2Introduction.................................................................................................................................................................5Problem Statement.....................................................................................................................................................5Objectives....................................................................................................................................................................6General objective........................................................................................................................6Specific Objectives......................................................................................................................6Theoretical Framework................................................................................................................6Hypotheses...................................................................................................................................7Significance of Study...................................................................................................................7Definition of Terms.....................................................................................................................7Ethical Considerations.................................................................................................................8Delimitation.................................................................................................................................8Limitation....................................................................................................................................8Literature Review.......................................................................................................................................................8Information Technology..............................................................................................................9Information Technology and Healthcare Industry.......................................................................9Competitive Advantage.............................................................................................................10Factors Facilitating use of IT as Competitive Advantage for Healthcare.................................10Review of Methodologies..........................................................................................................11Review of Theories....................................................................................................................11Theoretical Framework..............................................................................................................12Research Design and Methodology.........................................................................................................................12Research Worldwide..................................................................................................................123
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USE OF IT IN HEALTHCARE INDUSTRYResearch Design........................................................................................................................12Research Strategy......................................................................................................................13Method of Data Collection........................................................................................................13Method of Data Analysis...........................................................................................................14Sample.......................................................................................................................................14Results........................................................................................................................................................................16Descriptive analyses..................................................................................................................16Inferential Statistics...................................................................................................................18Discussion of results..................................................................................................................................................22Recommendations.....................................................................................................................................................23Conclusions................................................................................................................................................................23References..................................................................................................................................................................24Appendix A................................................................................................................................................................274
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USE OF IT IN HEALTHCARE INDUSTRYIntroductionHealthcare industry is always under pressure to improve the healthcare standards, patient safety, and reducemedical errors. If an organization can integrate its healthcare system with information technology, it can reduce themedical errors and improve its service which will in return help it in gaining competitive advantage over its competitors (Bates, 2000).While medical staff and patients have always been, and will continue to be at the heart of healthcare, the value of the use of IT in a patient-centric approach to care is starting to reveal itself and for everyone concerned, the improvements are there to see (Strategyand.pwc.com, 2017). Problem StatementIn just 30 years, information technology (IT) has profoundly changed healthcare. Electronic medical records, online second opinions, real-time virtual visits, eHospital critical care monitoring is just but the beginnings of how IT systems are enhancing healthcare delivery in the 21stcentury (Harris, 2017).IT has positive effect on healthcare system resulting in gaining the competitive advantage but on the other hand, there are few factors like cost of implementation and reluctant to use IT due to cultures/beliefs which has negative effect on gaining competitive advantage. This research therefore, will evaluate how the two factors affect the gain of competitive advantage in healthcare system.Purpose StatementProper use and integration of IT has resulted in enhancement of any field. (Reid, Compton, Grossman, and Fanjiang, 2005). Healthcare industry has always been a topic of interest. Advancements in healthcare procedures and healthcare delivery has attracted many other industries. Information Technology is one sector which has successfully integrated with healthcare industry and resulted in benefit of millions of patients.Although there are many benefits of IT integration with healthcare but still there is some ignorance in handling the technology in healthcare. Few companies are reluctant in making full use of Information Technology. Some people do not want their work to go digital. Bates (2000) suggests that several information systems interventions like computerized physician order entry, computerized physician decision support, robots for filling 5
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USE OF IT IN HEALTHCARE INDUSTRYprescriptions, bar coding, automated dispensing devices, and computerization of the medication administration record have been shown to reduce medication errors considerably.For this research, quantitative research methodology will be followed. Literature review was done by studying different articles, books, and journals. Objectives and research questions were prepared, hypothesis was done. ObjectivesGeneral objectiveExamination of how cultures/beliefs and cost of implementation affect the gain of competitive advantage inthe health sectorSpecific ObjectivesTo describe the use of IT in the health care sector,types of ownership of healthcare units and integration of IT into the heath care units departmentsTo find the relationship between IT integration into the health care system and type of ownership of organizationTo find the relationship between integration of IT into departments of health units and views on the cost of implementationTo find the relationship between integration of IT into the health care system and views on cultures/beliefsTheoretical FrameworkThere are different factors that contribute in gaining competitive advantage by using IT in healthcare industry.. Error free patient care, electronic health records, and healthcare tools are the few outcomes of using IT inhealthcare industry. Use of IT is not always welcomed. There is always constant resistance from the users to use ITin healthcare and, implementation cost of IT is also very high. The raise in healthcare standard and the constant support for the introduction of IT in medical field has always been the positive variables for this research. Although there are many positive factors but there are few weaknesses also that might affect that research results.Figure 1. (Appendix A) of theoretical framework gives the overview of different theories and analysis done.Different factors contribute towards the competitive advantage whereas there are certain factors which need to be avoided or improved. 6
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