The Value of Healthcare IT Governance

The healthcare industry relies on efficiency, which directly results in quality care, fiscal responsibility, and overall process improvement. There is also continuous change, reform, response to regulatory conditions, and improvements in medical and information technology. Almost all these changes require information technology to realize. Thus, IT governance is a critical discipline in the face of finite, and often declining, resources. Being good stewards of financial and human resources for IT spend requires an optimum level of efficiency. The speed of change and the subsequent adoption can wreak havoc on this efficiency, and the governance of effort is increasingly important to health systems’ success.

In this blog, we will break down the components of the IT governance process, questions you can ask yourself to gauge your current level of process maturity, and next steps you can take to kickstart the journey to optimal efficiency. 

What is IT Governance?

IT governance is a formal framework that provides a structure for organizations to prioritize IT investments that support business objectives and align with enterprise standards. IT as a service is experiencing a spike in demand, and management of demand and supply is critical to ensure appropriate deployment of limited and critical resources.

Why Should Health Systems/Providers Focus on Optimizing IT Governance?

IT governance focuses on the stewardship of enterprise resources by strategically aligning IT resources – people, hardware, software, services – with the clinical and business goals of the organization. Without appropriate operational oversight and a defined process for evaluating IT initiatives, there is no clear understanding of the priority of projects, project implementation accountability, and unknown resource availability. Often, this leads to the IT department making decisions on things they will do – decisions they are neither fully informed of nor comfortable making.

Questions to Think About When Addressing Your System’s IT Governance:

  • Are IT efforts, strategies, processes, and initiatives consistently aligned with the strategies of the system?
  • Are the investments you make in the right IT projects occurring at the right time for the betterment of the system?
  • Do IT efforts have associated KPIs and are these tracked over time?
  • Are all key stakeholders appropriately involved in the prioritization and approval process of proposed IT initiatives?
  • Are you effectively measuring IT staff utilization and deployment in order to understand existing and forecasted supply?
  • Are you consistently meeting internal IT service levels?
  • Is the entire processsubmission, estimation, approval – transparent to end users, management, and executives?
  • Are in-flight IT projects still producing their intended value? Or are they never reviewed after approval and set in motion?

7 Paths to Optimal IT Governance

  1. Improve initial intake process for efficiently managing demand for IT Services and short-circuit requests that have little chance of being approved or implemented
  2. Develop and utilize a standard business case to describe impact and effort for demand that can be used to compare all requests and prioritize those providing the most value for the effort required
  3. Reconstitute membership and charter for IT governance committees, so that operations will lead, and IT can advise
  4. Define multiple approval paths that can accommodate emergency needs, risk/compliance/safety requests, growth projects, and operational improvement requests
  5. Assign dedicated IT support for operational and clinical areas, so that operations has a single point of contact, and IT knows better the area they support
  6. Improve IT resource tracking so that current and forecasted IT resource supply is well understood
  7. Create and document the entire process – from request to implementation and beyond – so that requesters are aware of status, and the organization continues to encourage and efficiently manage IT demand

Overall, in today’s ever-changing environment, the healthcare industry is facing a plethora of challenges. Consumer satisfaction, regulation compliance, cost-efficiency, and overall quality are few of the many priorities that both health systems and providers are dealing with. IT will likely enable all of these. Focusing on IT governance and finding a balanced solution tailored to your specific needs is the key to a smoother, more efficient experience for everyone.

About the Author

About the Author

Paul has an extensive track record of developing new and innovative approaches to complex clinical, IT, operational and market opportunities as a leader of AArete’s healthcare strategy and operations service lines. He has served in various roles as a business developer, senior executive, CTO and industry thought leader. He has extensive experience in and broad knowledge of clinical and business informatics and technology enablers and provides proven and successful approaches to clients in the healthcare provider and payer sectors. His recent focus has been on sustainable reduction of cost-of-care and advising health systems on the enablers required for bearing risk and improving outcomes on populations. Paul has Bachelors and Masters degrees from The University of Texas.