TEKsystems: Healthcare IT Leaders Continue to Expect Budget Increases in 2015

IT RecruitingLeading into HIMSS15, TEKsystems, a provider of IT staffing solutions, IT talent management expertise and IT services, highlights results that explore the current state of IT operations at healthcare organizations. The findings identify key objectives and challenges for healthcare IT teams, the skills most needed to meet those demands, as well as expectations for spending and confidence. The data is gleaned from information captured within TEKsystems’ 2013–2015 annual IT forecasts as reported by IT leaders (CIOs, IT VPs, IT directors, IT hiring managers) at healthcare organizations.

Key findings from the data include:

Expectations for IT Budget Growth Decrease in 2015; Yet Confidence Continues to Increase

  • Fifty-one percent of respondents expect their organization’s healthcare IT budget to increase in 2015, down from 68 percent that said the same entering 2014, and returning to levels seen entering 2013 (52 percent). Thirty-eight percent expect IT budgets to stay the same, a significant increase over 2014 (23 percent) and similar to levels of 2013 (41 percent).
  • Sixty-four percent are confident in their IT department’s ability to satisfy business demands in 2015, an increase over the 59 and 58 percent that felt confident heading into 2014 and 2013, respectively. Ten percent indicated they are unconfident in 2015, the same percentage as 2014 and down from 2013 (13 percent).
  • TEKsystems’ Take: Expectations for budget increases began to normalize last year. Following the ICD-10 extension by Congress, IT leaders felt less pressure to seek additional funding to meet those deadlines. Confidence has continued to grow even as budget increases have leveled out, now that organizations have core personnel in place or have developed other plans, such as outsourcing, to address workload concerns.

IT Support Aligns with Business Challenges; Focus Is on Improving Operations and Efficiency

Organizational Challenge 2014 Rank 2015 Rank (% of IT leaders)
Operational issues 2 1 (81%)
Risk management 1 2 (79%)
Revenue 3 3 (67%)
Workforce management 4 4 (59%)
Customer attraction, retention and satisfaction 5 5 (22%)
  • Over the last three years, operationally focused areas (e.g., improving efficiency, reducing costs, improving existing IT applications and infrastructure, and managing risk) have all been cited within the top five business objectives that most need IT support.


Business Objective 2015 Rank (% of IT leaders)
Improving efficiency 1 (49%)
Reducing costs 2 (42%)
Improving existing IT applications and infrastructure 3 (37%)
Managing risk 4 (34%)
Delivering operational results 5 (29%)
  • TEKsystems’ Take: Now that healthcare organizations have identified the biggest challenges facing them in 2015, they are working to align IT support priorities to address those challenges. They have laid the foundations for their large IT initiatives and must shift focus to ensure that they are implementing new projects and establishing best practices in a way that allows them to make the most of existing investments. Increasing efficiency and making the most of these implementations will better position them to take on other projects in the future.

Most Impactful Technology Trends Include Business Intelligence (BI) / Big Data, Security, Mobility, Consumerization and Cloud; Expected Spending Increases Mirror These Areas

  • Over the last two years, healthcare IT leaders listed BI/Big Data, security, mobility and consumerization of IT/BYOD as the top four trends impacting their organizations.
Area of Impact 2014 Rank 2015 Rank (% of IT leaders)
BI / Big Data 4 1 (61%)
Security 3 2 (54%)
Mobility 1 3 (42%)
Consumerization of IT / BYOD 2 4 (38%)
Cloud 6 5 (31%)
  • The majority of healthcare IT leaders expect to see spending increases in security (70 percent), mobility (61 percent), BI/Big Data (60 percent) and cloud (55 percent).
  • TEKsystems’ Take: These expectations for spending increases make sense considering that security, mobility, BI/Big Data and cloud are all cited as the most impactful areas and tend to have some interdependencies. These areas play a large part in how healthcare organizations can increase operational efficiency and risk management.

Hands-on Roles Still Most Critical For Success, Also Most Difficult to Fill with Exceptional Talent

  • “Doers” continue to be cited as the most critical positions for an organization to achieve success. In 2014 and 2015, project managers, help desk / technical support and programmers and developers were cited within the top four roles most critical to enabling success.
Critical Role 2014 Rank 2015 Rank (% of IT leaders)
Project managers 2 1 (51%)
Help desk / Technical support 3 2 (47%)
Programmers / Developers 1 3 (45%)
IT managers 7 4 (40%)
Software engineers 6 5 (37%)
  • In terms of the most difficult roles to fill, project managers rank as the No. 1, climbing two spots up from No. 3 in 2014. Security (No. 2), programmers and developers (No. 3), software engineers (No. 4) and architects (No. 5) also ranked within the top five most difficult positions to fill. BI (ranked No. 11 in 2013) ranks as the sixth most difficult position to fill, down from No. 5 in 2014.
  • More than half of healthcare IT leaders expect salary increases for project managers (55 percent), software engineers (53 percent) and programmers and developers (52 percent). Approximately one-third (34 percent) expect increased salaries for help desk / technical support.
  • TEKsystems’ Take: It’s not surprising that project managers and programmers and developers remain in the top four most difficult positions to fill, as these staff members are in the trenches ensuring that organizations continue to make the most of their IT investments to increase ease of use and efficiency. This value translates into greater expectations for salary increases as organizations seek to retain their developed talent.

Vast Majority Expect Staff Salaries to Rise; More Than Two out of Five Expect Full-time and Contingent Hiring Increases

  • Seventy-three percent of healthcare IT leaders expect overall IT salaries to increase in 2015. The remaining 27 percent expect salaries to stay the same, with no respondents expecting salary decreases.
  • Forty-three percent of healthcare IT leaders expect hiring for full-time IT staff to increase, while 52 percent expect hiring to remain the same. Just 5 percent expect to see a decrease.
  • Forty-two percent of healthcare IT leaders expect hiring for contingent IT staff to increase, while 52 percent expect hiring to remain the same. Only 6 percent expect to see a decrease.
  • TEKsystems’ Take: As more work is done to make the most of investments in BI / Big Data, security, mobility and consumerization of IT / BYOD, organizations will need to at least maintain their full-time and contingent workforces in order to cultivate efficiency and make progress. While retaining top talent by increasing salaries will be a key tactic, new staff will need to be brought on as projects expand.

“Last year, we saw an early surge in the numbers of healthcare IT leaders expecting to see budget increases due to the overarching mandate to meet the former ICD-10 implementation deadline and to get new healthcare technology initiatives off the ground,” said Ryan Skains, executive director of TEKsystems Healthcare Services. “We are seeing those numbers level out as organizations not only make headway on the projects they have begun, but as they increasingly become confident in their staff’s expanding expertise and ability to meet major deadlines. Moving forward, the focus will be on refining systems and processes to increase efficiency and growth opportunity.”

Health IT Thought Leader Highlight: Dr. Sol Lizerbram, HealthFusion

Dr. Sol Lizerbram

Dr. Sol Lizerbram has been co-founder and chairman of the board of HealthFusion since its inception in 1998. HealthFusion develops web-based, cloud computing software for physicians, hospitals and medical billing services. HealthFusion’s fully integrated solution includes MediTouch EHR and MediTouch PM. Dr. Lizerbram was a co-founder of a national physician practice management company, and served as chairman of its board of Directors from 1986 through July 1998. Dr. Lizerbram has been in the healthcare industry for more than 35 years, received a degree in pharmacy in 1970 from Long Island University, School of Pharmacy, and was licensed as a registered pharmacist in the states of New York and Pennsylvania. He obtained a medical degree from the Philadelphia College of Osteopathic Medicine in 1977.

He is board certified in family practice and is licensed as an osteopathic physician and surgeon in the states of Pennsylvania and California. Dr. Lizerbram was recognized by NASDAQ/Ernst & Young as the 1996 Entrepreneur of the Year in the healthcare industry. He was a trustee of the US Olympic Committee and is active as a committee member in the Jewish National Fund. Dr. Lizerbram was appointed by the California Insurance Commissioner to the Governing Committee of the Workers’ Compensation Insurance Rating Bureau, and appointed by the California Governor as a Commissioner to the Health Policy and Data Advisory Commission.

Here, he discusses HealthFusion, the technology he helps develop and how it’s being used by physicians, the future of health IT, interoperability and the rise of consumerism and the cloud, the survival of EHR companies.

Tell me more about yourself and your background. Why healthcare?

I was a pharmacist prior to attending medical school in Philadelphia. After completion of my medical training I moved to San Diego, where I practiced as a board certified family physician. After several years in practice, I was appointed as the medical director of Prudential PruCare in San Diego. Soon after, I began to see the need for software that would assist doctors in improving the health of our population.

In 1998 I helped to found HealthFusion with Dr. Seth Flam, our CEO and a fellow family physician, to make the practice of medicine simpler for physicians and their staff by finding novel methods of utilizing the Internet.

Our job is to create the software tools used by physicians to further the health of their patients. We are honored that each day thousands of providers use our healthcare software to help make someone’s life a little better.

I come from a family with a strong healthcare orientation; my brother and six cousins are all physicians. As a result, I had an interest in helping people with their healthcare needs and found it very interesting.

What do you see as the sector’s biggest issues and, technologically, how can we solve them?

One of the biggest issues in healthcare right now is interoperability, the ability to seamlessly exchange patient data between physicians, hospitals, diagnostics centers, etc. This communication has been a challenge in healthcare because it needs to be accomplished between disparate systems, but it’s vital to garnering full value from digital healthcare information for patients, and for improving population health.

I’m glad to say that we are already accomplishing this with HealthFusion’s MediTouch; as an example, we provide data exchange successfully between Miami Children’s Hospital systems and MediTouch in the community doctors’ offices.

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