From the August 2016 issue of HealthCare Business News magazine
Interestingly, most software providers outside the health care industry have processes in place to identify software problems in real time (Microsoft Windows is one example) and then automatically submit them to the company for review. This is typically not the case with health care clinical systems.
These require a service ticket to be written up and submitted and then have the logs manually reviewed. The only way you can report a problem is by having a service contract. Most non-health care-related software companies also provide their updates at no charge. Again, in health care, the only way you can get these is through an SA. These updates are also crucial to proper system operation. So since that is the way it is, it is simply accepted.
“We like to keep current with the software, and by having the SA in place, we are assured we get that. Without it, we don’t have access to it, although we don’t usually install the most current version right away anyway,” said the head of IT for a mid-sized Midwestern hospital. “Usually we install upgrades with new feature sets every few years, once they have proven themselves in the field. These have recently been included in the SA prices, which is a plus, but we need to make sure that we have budgeted for the implementation and training costs, which are additional.”
More than half the health care IT companies provide software upgrades at no cost as well. Upgrades are software releases that provide added features and functionality. An example of this would be going from version 10.7 to 11.1. To the vendors' credit, many have begun providing upgrades at no cost versus providing a discount on upgrades. Still, even with “free” upgrades, an end-user is required to pay for professional services and training, as the head of IT pointed out. These costs can also be fairly significant.
Is there a compromise between a full-service SA and time-and materials service? Many facilities have very strong IT and network support staff and frankly don’t need the full gamut of services that a full-service contract offers. "One size fits all” seems to be all that is available. With this in mind, you may try and negotiate an SA similar to what is outlined below:
Tier one — Updates only, no support (this should be free)
Tier two — Updates and upgrades, no support
Tier three — Updates, upgrades and level 1 support (first-line troubleshooting)
Tier four — Updates, upgrades and levels 1 and 2 support (first-line troubleshooting and support escalation), no on-site support (billable)
Tier five — Full service support, including on-site, as/where applicable
