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Novarad has expanded its TCO
pricing model to enterprise imaging users

Novarad extends TCO pricing plan to enterprise imaging users

by John R. Fischer , Staff Reporter
Novarad Corporation is equipping users of its Ncompass Enterprise Imaging system with its Total Cost of Ownership (TCO) pricing plan as a guide for predicting and better managing its costs.

The move expands the enterprise’s controlled model into the enterprise imaging space, offering providers a better sense of pricing for services and updates associated with the solution, and enables facilities and IT departments to avoid financial risks.

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“This is a natural extension of how Novarad has priced clinical modules such as PACS, RIS, mammo, and cardiology,” Fred Trovato, executive vice president of sales with Novarad, told HCB News. “By including all software updates – not just patches and fixes – but entirely new versions of the latest software in the purchase agreement, facilities know how to properly budget for EI. From a health care facility standpoint it makes perfect sense, as it assures that their costs will be consistent and predictable.”

Designing a pricing plan can be complex, due to the amount of options to consider, depending on the solution. Many providers also disregard the impact of upgrades, add-ons and recurring costs on the total life cycle cost of the solution, as well as that of limitations in data storage and backup capabilities.

Users of the Ncompass Enterprise
Imaging system will now be able to
better predict costs of updates
and services

Novarad’s TCO pricing model is packaged with 24/7 U.S.-based support and software upgrades lasting the entire lifespan of the agreement.

It also offers hardware updates if they are included in the deployment, and providers are only required to pay for services and storage used with all costs falling under TCO.

The use of a fully-laid out TCO model enables CIOs to better monitor and manage lifetime software costs, and receive good returns on investment (ROI) with better business outcomes.

“All too often, providers consider cost-saving factors during an initial purchase, but do not take ongoing costs and fixed recurring costs into account,” Trovato said. “Return on investment is an important factor for any capital equipment purchase, and that includes advanced health information systems, such as electronic health records and enterprise imaging solutions.”

Novarad will discuss its TCO model this month at its booth at HIMSS 2018 in Las Vegas.

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