Digitization and technological advancements have blessed the healthcare industry, which is keeping up with the changing trends in the industry. Healthcare information technology is a blooming market in terms of the time frame. However, the industry has shown great prospects to impressive future. Reducing the amount of paper clutter and organizing all the medical data in order to increase its shelf life have become essential. Maintaining physical data like patient case histories and other data is becoming increasingly impossible, which is forcing the hospitals, medical organization and other businesses to resort with information technology. Increasing demand from developing parts of the world is expected to drive the global healthcare IT market.
The basic driving factors for the healthcare IT industry include the rising demand, especially within the developing regions of the world. Apart from that cost cutting drills, increasing investment tendency and technological advancements are driving the global industry at a healthy pace. Healthcare sector is looking for cost cutting on various facilities and services available at the disposal. This is making the companies in this market to make a shift towards available IT services. The sector has great investment portfolio. Handsome returns are attracting more and more investors towards healthcare IT market, which is increasing the size and business opportunities in the market.
Increased life span, elderly population, chronic diseases are also driving the market. Apart from that governmental efforts to maintain medical records have also had positive influence on this sector. Segmentation in the HCIT market is largely based on the provider and payer sectors. The provide segment is expected to grow at a rapid rate, which is segmented into clinical and non-clinical services. Different applications of clinical information systems include EHR, PACS, CVIS, CPOE, RIS and CDSS. The non-clinical services include general ledger, payroll and billing. Payer market on the other hand is segmented into administrative, workflow and other services.
According to the latest market research reports for the global healthcare IT market, experts suggest that it will grow at an anticipated CAGR of 7% from 2012 to 2017. At this rate, by 2017, the market will reach $56.7 billion, which was worth $40.4 billion in 2012. The biggest constraints of the industry include high maintenance costs, rising service costs and higher costs of the healthcare information technology solutions. However, growing demand and investment ratios are projected to be the positive signs for the industry.