Wednesday, March 31, 2010

ERP in Health care industry

ERP is the perfect solution for many industries including the health care sector. Most of the companies in the health care sector face numerous of problems in getting accurate information which is very crucial at least while generating reports to the customer. This writing gives you a brief overview on the advantages of the ERP for health care sector.
Normally, it is very important to get the accurate information in the hospitals as it is the matter of people life. If it is the manufacturing company, only the profitability will be affected but in case of the health care sector, people lives will be affected. So, hospitals must take the relevant precautionary measures while choosing the ERP application. It is true that most of the ERP applications would not fit into the requirements of the health care sector.
The hospitals need suitable ERP system to look after the data accuracy and reduce operation costs and streamlined process to satisfy the patients but most of the hospitals go wrong while choosing the application at the initial stage. Numerous of hospitals reluctant to disclose the relevant information to the vendor as the information is more confidential. This is a very bad practice because unless the hospital top management will not discuss at the designing stage, it is very difficult to design software application that fits into the exact requirement of the customer. Of course, you can customize the application at the implementation stage but it is apparent that the too much customization kills the original features of the ERP application. So, hospitals should be very careful while discussing about the requirements at the designing stage of the ERP application.
ERP helps the hospitals bring down the cost on operations. As ERP integrates all the functional departments such as finance, accounts and human resources, there would be streamlined information flow between the departments and ensures all the departments work on the same database. With this streamlined environment, the report generation would be flawless. This helps hospitals to reduce the expenditures internally. With the integration of all the departments, the independent departments or the employees take the further actions without waiting for anybody in the company.
ERP is one of the best solutions that help the hospitals at the time of expansions. ERP gives perfect information on the human resource strengths and department strengths. The top management can easily analyze the data which is gathered in the system so that they can take the appropriate decisions to expand the business in terms of getting new human resources or other equipments. Moreover, with the implementation of the ERP, the hospitals don’t require to disturb the existed operations when they are going for the revamping or drastic changes in the processes.

The hospitals need to understand the current processes in the hospital when they plan to go for implementing the ERP application because it is very important to let the vendor know about entire information of the hospital so that the vendor will come up with the suitable application.

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