Chapter 5
Determining the Cost, Benefits, and ROI
In This Chapter
Figuring people costs
Monitoring software and hardware costs
Tracking potential benefits
Creating a return on investment (ROI) chart
You already know that you’re going to have to shell out the big bucks for your new EHR, but just knowing the cost of your hardware and software isn’t enough to provide you with a clear picture of the true cost of the initiative. To really know how much the EHR is costing you, you have to consider the basic costs in conjunction with other factors, such as costs that may occur down the road and potential benefits. You’re not doing this EHR thing because it’s fun (but we hope one day, it will be); EHR is about realizing clinical, financial, and operational benefits.
In this chapter, we show you how to create a detailed budget based on EHR costs, benefits, and return on investment (ROI) — the size of what you get in light of what you spend. (ROI also refers to release of information, but for the purposes of this chapter, we’re talking about your return on investment.) Calculating the cost is the last part of determining your EHR readiness. After all, how can you be ready if you don’t know what the EHR will cost you or the benefits you’ll achieve?
ROI factors items that aren’t easy to quantify, benefits such as improved documentation and patient satisfaction, the effect of changed roles ...
