The healthcare industry is famous for its outdated database system. Paper-addicted, they still rely on conventional methods of organizing information. Lately, it was discovered that the industry is not completely against the idea of going digital. Their concern was more of how can they encode countless documents into an organized database. Thus, the healthcare information technology industry was born.
As more hospitals and doctors sign up for electronic healthcare systems, small unknown companies in this industry rocketed. One of them was Cerner (CERN), whose mission is to contribute to the systemic improvement of healthcare delivery. They are transforming healthcare by eliminating error, variance and waste for healthcare providers and consumers. As they say, healthcare is too important to remain the same.
Cerner changes the way people use and share information while coordinating care across fragmented healthcare systems. Their investments in IT include replacement of the current, claims-based system with more efficient and streamlined electronic payments.
The accomplishments of their clients and associates speak for the company. Some of these awards include America’s 50 Best Hospitals, Health Care’s Most Wired, HIMSS Nicholas E. Davies Award of Excellence, Malcolm Baldrige National Quality Award and Thomson Reuters Everest Award, among others.
In terms of revenue, Cerner is poised to grow 24% this year. Strong positions in the hospital space allowed them to overcome the tough economy, together with other companies. Unlike other industries, there is more room for competition in healthcare information technology since there is no “one size fits all” solution. The entire system cannot be improved by just a single company, and with countless numbers of hospitals and other healthcare establishments in the country, there is plenty of room for more.
Cerner’s market cap has reached $11.4 billion this year, which is quite impressive considering that the business is relatively new. The future is definitely looking bright for them.