by: Sarah Joson
Monday, December 30, 2013 | Outsourcing News |
The recently released "Healthcare IT Outsourcing Market - By Application [Provider (EHR, RCM, LIMS) Payer (CRM, Claims Management, Fraud Detection, Billing) Life Science (ERP, CTMS, CDMS) Operational (SCM, BPM) & Infrastructure (IMS, Cloud Computing)] & Industry - Global Forecast To 2018" report predicted that the global HCIT outsourcing market will be valued $50.4 billion by 2018, from $35 billion in 2013, by means of a CAGR of 7.6 percent.
The report identified the rise in demand for affordable healthcare amongst health institutions and facilities around the world as one of the key factors fuelling the HCIT industry. Since both the public and private sectors are seeking better quality healthcare, this then adversely affects the costs for healthcare providers. Reasons that are believed to be causing the rise in healthcare costs globally are lack of universal coverage of insurance, slow recovery from recession in some countries, impeded cash flow in healthcare organizations, costly innovations, and the growing number of aging population in selected regions. The rise in costs prompts providers to look for ways to reduce expenses and one of which is on the IT side (installation and application).
The report also included information on the opportunities in key markets: North America, Europe, APAC, and rest of the world. The market is then segmented according to application into provider outsourcing, payer outsourcing, life sciences outsourcing, operational services outsourcing, and infrastructure outsourcing. The market has also been segmented by industry.
Organizations seen in the market are healthcare insurance companies, healthcare providers, clinical research firms, biotechnology companies, and organizations in the pharmaceutical segment.