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Surviving SAP Implementation in a Hospital

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Paul Bouwhuizen

on 2 December 2016

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Transcript of Surviving SAP Implementation in a Hospital

Michael Johnson
Cathleen Holtzlander
Paul Bouwhuizen
Audrea Hardy
Max Watson
Thomas Magrino

"We Pledge"
The Patient Care Issue
Who is SAP
System Configuration Decisions
Implementation Decisions
Challenges Faced During Go Live
Surviving SAP Implementation in a Hospital
Introduction (Cathleen)
The Patent Care Issue (Cathleen)
Who is SAP (Audrea)
System Configuration Decisions (Paul)
Implementation Decisions (Michael)
Challenges Faced During Go Live (Max)
Executive Summary (Thomas)

Group 2:
Systems Applications and Products (SAP)

SAP was established in 1972 by five of IBM’s former employees in Mannheim, Germany. It has become the world’s largest inter-enterprise software company and the world’s fourth largest independent software supplier.

How did they make critical design decisions?
Selecting the design teams
OR, ER, and nursing staff SME
Cross-functional design teams
Hospital SMEs working with SAP SMEs
Simultaneously implement Electronic Medical Records, Computerized Physician Order Entry, and Enterprise Resource Planning
Team Identification: cardiologist, Chief Medical Director, Chief Nursing Officer, Chief Administrative Officer, and the head of insurance contract management
Identification of the effects on end users
Choosing SAP: strong ERP system, healthcare solution less complex based on German model, created gaps
Received two top offers: one proposed 1000 software developments, Compunet just 350
Decided better to integrate then develop, hired Compunet
Cajiao, J., & Ramirez, E. (2016, June). Surviving SAP Implementation in a Hospital. International Journal of Case Studies in Management, 14(2).
Laudon, K., and Laudon, J., (2016). Management Information Systems: Managing the Digital Firm (14th ed.). United States: Pearson Education, Inc.
Rouse, M. (2009, November). SAP . Retrieved from TchTarget: http://searchsap.techtarget.com/definition/SAP
What Is the SAP Software System. (2016, October 21). Retrieved from ToughNickel: https://toughnickel.com/business/What-is-SAP-Everything-you-need-to-know-about-SAP-software

Initial Decisions
Communicate the Decision
SAP not a
systems-driven initiative
, but a
strategic decision
to support VLF's growth while ensuring patient safety
Employees concerned over losing jobs
Ensured that jobs will not be cut
Redistribute positions
Change Management
Training with SAP modules
Hired eight physicians from medical school with IT experience
Extra IT training for assistance personnel which made up 60% of the staff
Establishing Contingency Plans
Avoid critical care delays
Notify patients and families of system implementation
Establish help desk
Maintain Compunet support
Key Modules include:
• Finance
• Controlling
• Sales and Distribution
• Human Resources
• Project System
The original SAP
idea was to provide customers with the ability to interact with a common corporate database for comprehensive range of applications. This application is used to run many corporations such as IBM, Microsoft and now in Hospitals.
Columbia's Health System is Complex
Law 100 (1993) Major Reform for Health Care Industry
HPOs Not Doctors determine where patients are treated
Patient Care Delivery at VLF before IT
Human error factor
Executive Summary
Key Decisions
Executive Recommendation
Should the health system adopt an EMR, computerized physician order entry, and ERP?
Yes. These systems help reduce errors, streamline process flows, and improve patient care. There are also government regulations that penalize physicians and hospitals for not using this technology.
Should these systems be developed in house or should third party vendors be brought in?
It costs time, money, and manpower to develop in house systems. A vendor, like Compunet, should be brought in. Also third parties are less likely to be concerned with internal politics.
Should the firm bring in a sole vendor or multiple?
There should be an RFP process to vet for a single system wide vendor.
Allow systems to integrate
Simplify the adoption process
What are key considerations when selecting a vendor?
Obvious ones are: Cost, experience, and implementation time.
Ability to integrate with legacy systems
Support and training services
Road map to evolve to meet future needs
How can the health system ensure smooth implementation and adoption of these systems?
Establish a clear governance body to lead the transition
Between Big Bang and Phased Implementation, we recommend Big Bang
Minimize time of disruption
Allows technical teams to asses the total functionality of the system
The organization needs to communicate the ease of use and usefulness of the systems.
For physicians: Cooptation of physicians into decision process, get key physicians in support of the change.
For staff: Have regular town halls and a single message from management, thoroughly train staff on new systems.
What contingency steps should the health system take to ensure care continues if the system fails?
All systems no matter how well designed are subject to potential failure.
24/7 technical support
Paper back up forms that can be scanned into the EMR at a latter time
Duplicate servers that backup at least daily
Clinical functionality more difficult
Change business processes or SAP system?
SAP - "change your business processes"
Hospital - "change the system to meet our needs"
Some standardized business processes were not modified
Supply chain management, maintenance, and accounting
SAP already had these features built in
Only addressed hospital-specific adjustments
Initial Issues during testing – delayed Go Live date
Big Bang Vs. Phased Implementation?
Learning Occurred throughout implementation
Having to “unlearn” previous routines
Help Desk Overloaded
Special Training Sessions
Assistive Personnel Hired and 24/7 SAP Modules installed
Slowed Workflow as a result of learning by doing
Emergency Room Procedures
Generating Buy-in from employees at all levels and functions
Doctors were unable to access SAP from outside VLF
Stabilization of System took 6 months
Full transcript