Market Analysis Program (MAP) Industry Sector Markets 1991-1996 Medical Sector INPUT 1280 Villa Street, Mountain View, OA94041, (415) 961-3300 DECEMBER 1991 INDUSTRY SECTOR MARKETS 1991-1996 MEDICAL SECTOR INPUT 1280VillaStreet,MountainView,California94041-1194 (415)961-3300 MEDICALSECTOR INPUT Publishedby INPUT 1280VillaStreet MountainView,CA94041-1194 U.S.A. MarketAnalysisProgram(MAP) IndustrySectorMarkets,1991-1996 MedicalSector Copyright©1991byINPUT. Allrightsreserved. PrintedintheUnitedStatesofAmerica. Nopartofthispublicationmaybereproducedor distributedinanyformorbyanymeans,orstored inadatabaseorretrievalsystem,withouttheprior writtenpermissionofthepublisher. MAPMD'594-1991 MEDICALSECTOR INPUT Table ofContents Introduction I-l A. PurposeandMethodology 1-1 1. Purpose 1T-11 2. Methodology T1--^Z B. IndustryStructure 1-Z 1. Descriptions 2. Financials T1-A4 C. OrganizationandContentsofReport 1-3 Trends,Events,andIssues n-1 A. TrendsandEvents n-1 1. GeneralBusinessandSocialTrends n-1 a. RisingPercentageofUninsured n-2 b. UrbanPovertyandServiceNeeds n-2 c. GrowingRanksofElderly n-2 d. DrivestoControlMedicalCosts n-3 2. MedicalIndustryTrendsandEvents n-4 a. ControllingCosts n-4 b. LearningtoCompete n-8 c. DocumentingCare II-11 d. RestructuringU.S.HealthCare II-11 3. TechnologyTrendsImpactingtheMedicalIndustry 11-14 a. Background: ASluggishStart n-14 b. TheChallengeforHospitals 11-15 c. FocusonPatientCareSystems 11-17 d. ShiftingRolesforSystemsinFinances 11-20 e. EDIforOrderingandClaims 11-21 f. Issue: NeedsversusFundstoInvest 11-21 B. BusinessIssues 11-21 MAPMD ©1991byINPUT.ReproduaionProhibited. MEDICALSECTOR INPUT Table ofContents (Continued) ni InformationSystemsEnvironment DI-l A. Applications III-l B. ISIssues in-2 1. BusinessIssues 111-2 2. TechnologyIssues 111-6 C. ImpactofNewTechnologies 111-8 D. OrganizationandBudget 111-13 E. ISDepartmentObjectives 111-15 InformationServicesMarket IV-1 A. Overview — IV-2 1. InformationServices—DrivingForces IV-2 2. InformationServices InhibitingFactors IV-4 B. DeliveryModeAnalysis IV-6 1. ProcessingServices IV-8 2. TurnkeySystems IV-8 3. ApplicationsSoftwareProducts IV-9 4. SystemsOperations IV-9 5. SystemsIntegration IV-10 6. ProfessionalServices IV-11 7. NetworkServices IV-11 C. IndustrySegmentAnalysis IV-12 CompetitiveEnvironment V-1 A. VendorCharacteristicsandCompetitiveTrends v-1 B. LeadingVendors v-1 C. VendorProfiles V-2 1. CISTechnologies,Inc. V-3 2. CyCareSystems V-3 3. D&BSoftware V-3 4. GTEHealthSystems V-4 5. HBO&Company V-5 6. IDXCorporation V-5 7. Meditech V-5 8. NationalElectronicInformationCorp. V-6 9. SharedMedicalSystems V-6 10.SpectrumHealthcareSolutions V-7 11.StellarManagementCorporation V-8 12.TDSHealthcareSystems V-8 ii ei991byINPUT.ReproductionProhibited. MAPMD