HMA seals biggest deal for athenahealth

July 20, 2012 in Medical Technology

WATERTOWN, MA – athenaHealth has finessed its biggest deal to date. More than 1,200 physicians who are part of the Naples, Fla.-based Health Management Physician Network (HMPN), will begin using athenhealth’s cloud-based practice management and electronic health record.
athenahealth’s solutions will be implemented for HMPN, Health Management Association’s employed physician network, which operates in 15 states at more than 300 locations.

In addition, athenahealth will offer its suite of services to the nearly 10,000 independent physicians affiliated with Health Management hospitals.

[See also: athenahealth launches IT bonus program]

Health Management, through its subsidiaries, operates 70 hospitals, with approximately 10,500 licensed beds, in non-urban across the country.

In a brief dated July 18, Piper Jaffrey analyst Sean Wieland wrote that the deal is likely to produce $28 million in annual revenue for athenahealth. According to Wieland, the deal displaces Quality Systems Inc.’s NextGen products at HMA.

“The Health Management Physician Network is focused on enabling our employed and affiliated physicians by providing the best tools available to deliver top-quality patient care and outcomes,” said Patrick Easterling, president of the Health Management Physician Network. “Our partnership with athenahealth allows us to enhance our current initiatives by providing additional support to our physicians using athenahealth’s cost-effective and proven practice and clinical management solutions.”

In addition to practice management and EHR technology, Health Management employed and affiliated physicians will also deploy athenaCommunicator, which offers on-demand, automated, and live communication services to support and streamline patient-physician interactions outside of the exam room. Athenahealth executives say the technology helps practices manage the flow of patient communications and improve the bottom line.
“We are excited for the opportunity to work with one of the nation’s largest and most progressive hospital companies,” said Jonathan Bush, chairman and CEO of athenahealth. “Health Management’s physician network will benefit from the power of cloud technology to constantly iterate and extrapolate from the collective clinical and operational knowledge and best practices of thousands of medical groups around the nation already on the athenaNet platform, in turn enabling them to pull out greater efficiencies from their clinical operations. The shared goal is to support physicians so that they can deliver the best care possible.”

Health Management selected athenahealth after a 12-month review and due diligence process that involved more than 350 clinical experts, including more than 200 physicians, HMA officials say. The evaluation process included detailed questionnaires, onsite and virtual demonstrations, site visits and clinical template shootouts.

“Emerging incentive programs and new federal reform laws place more importance on having the most effective clinical and financial solutions in place than in the past,” said Ron Riner, MD, chief medical officer for Health Management Associates. “Most physicians see the benefit of migrating to an electronic health record system. We made sure our physicians were actively engaged in the selection process, as they will ultimately be the ones adopting these solutions to improve patient care in their communities.”

Health Management will begin to implement athenahealth solutions in markets over the the next several months.

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