News, Analysis, Trends, Management Innovations for
Clinical Laboratories and Pathology Groups
Hosted by Robert Michel

News, Analysis, Trends, Management Innovations for
Clinical Laboratories and Pathology Groups
Hosted by Robert Michel
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Why Radiology Giants Siemens and General Electric Want to Integrate Imaging and In Vitro Diagnostics

Mar 6, 2007 | Laboratory News, Laboratory Operations, Laboratory Pathology

During the past 12 months, Siemens and General Electric each invested several billion dollars to acquire in vitro diagnostic (IVD) companies. Snatched up by Siemens were Diagnostic Products Corp. and Bayer Diagnostics. General Electric has signed an agreement to purchase Abbott Laboratories Diagnostics in a deal expected to close within the next month.

By acquiring major IVD companies, both Siemens and General Electric have sent an unmistakable message. It is their expectation that the future of diagnostic medicine lies in the effective integration of imaging and in vitro diagnostics. Since both radiology and laboratory medicine generate scads of data, in recent years each company has acquired a vendor selling laboratory information systems (LIS). In the case of Siemens, it was Shared Medical Systems (SMS). General Electric acquired Triple G Systems. Further, both companies own EMR (electronic medical record) systems designed for use by office-based physicians.

Dark Daily believes it is not a coincidence that Siemens and General Electric are building almost identical capabilities to offer services that include imaging, IVD, software to handle data from imaging and laboratory testing, along with EMR and practice management software for office-based physicians. In classic economics, this is a strategy of horizontal integration. Wikipedia describes horizontal integration as “a strategy used by a business or corporation that seeks to sell a type of product in numerous markets.”

By that definition, Siemens and General Electric are building the components needed to provide diagnostic services to all segments of the healthcare market. Their goal is to integrate in vivo and in vitro diagnostics. They are assembling products that will be used by radiologists and pathologists to evaluate the patient and provide a diagnosis. This information will then be made available to referring clinicians and other relevant parts of the healthcare system.

So far, both Siemens and General Electric have offered few details about how their vision of integrated diagnostics will alter laboratory medicine as we know it today. That will change on Friday, May 10, 2007. On that day, Dave Hickey, Vice President of Strategic Marketing and Planning for Siemens Medical Solutions Diagnostics, will make a major speech at the Executive War College on Laboratory and Pathology Management. He will discuss “Full Service Diagnostics: The Coming Convergence of Imaging, Informatics, and In Vitro Diagnostics (IVD).”

Lab directors and pathologists have an opportunity to be first to learn why and how Siemens intends to integrate imaging, in vitro diagnostics, and healthcare informatics to provide clinicians with a full diagnostic report. Dark Daily considers it of particular interest that Siemens has talked about integrating these technologies in such a way as to allow physicians to diagnose disease when the patient is pre-symptomatic.

And if diagnosing patients who are pre-symptomatic isn’t radical enough, think about the implications of integrating radiology services with anatomic pathology! Traditionally, these are two medical specialties which have carefully guarded their scope of practice. Now two of healthcare’s largest companies are both committing billions of dollars to foster integration of radiology and pathology. These are reasons why Dave Hickey’s presentation at the upcoming Executive War College will provide useful insight and help guide strategic planning at pathology groups across the country.

You can get more details about Dave Hickey, his presentation, and the full Executive War College program at http://www.executivewarcollege.com. Make your plans now to see and hear Dave Hickey discuss how Siemens intends to integrate radiology and laboratory testing so you can prepare your laboratory for upcoming changes.
PS: To get the latest news and effective strategies dealing with new trends, join us in Miami on May 10-11, 2007 for the 12th Annual Executive War College. You can access the full details using the links below. Take action today to reserve your place.

Early-Bird Discount Registration now available online
Visit http://www.executivewarcollege.com
Download Full Program Agenda

You can:
1. Register ONLINE right now; or,
2. Call 800-560-6363. Our friendly staff can register you quickly and easily, as well as answer any questions you may have.

A New Issue for Laboratories: Consumers Who Want to Keep Their Own EMR

Dec 22, 2006 | Laboratory News, Laboratory Pathology

In recent years, the laboratory industry has debated how to best meet the demand from some consumers to order laboratory tests and receive results without the involvement of their physician. However, direct access testing (DAT) never gained much momentum. Now comes a trend likely to have a greater impact: the Personal Health Record (PHR).

In an age where the Internet is a secure way to capture information and paper medical records are slowly being converted to electronic ones, more individuals are taking over active management of their personal health information. Enter the Personal Health Record or PHR. This will be a key element in the complete patient medical record and is part of national healthcare IT policy. The Office of the National Coordinator of Health Information Technology (ONC) set as Goal 3 of it strategic framework “to personalize care through the adoption of PHRs.”

Lab managers and pathologists may be surprised to learn that there are already two types of PHRs currently in use: One type is the standalone PHR. This is a PHR created by individuals or by one institution to be used by patients and their families. They are useful for getting consolidated information, but standalone PHRs only work when patients are diligent in keeping records up-to-date. Integrated PHRs with EMR are currently tied directly to one institution and hospital system. This integration allows for helpful services such as appointment scheduling, physician messaging, and prescription refill capabilities.

Because an individual’s PHR is controlled and stored by an individual hospital or clinic at this point, the usefulness of the information is not fully recognized. EMRs are becoming the norm, but, as Dark Daily has reported in the past, adoption of EHRs by physicians and hospitals is slow and falls significantly behind national goals. The obvious goal for the future is to fully integrate PHRs and EMRs not only in one institution, but across institutions in a city, and, eventually, nationwide so that a person’s medical history is safely and accurately stored so that it can follow the person around his or her whole life through.

The emergence of PHRs affects clinical laboratories because lab data is a major component of a person’s permanent health record. Once test results, medications, doctor visits, etc are stored on a single electronic record, it will be easier for all parties involved to make more accurate medical diagnoses. The cost of implementation is great, but a well-developed system will save a significant amount of time and lead to reduced error in the long run. Dark Daily observes that forward-looking laboratories and pathology groups have an opportunity to develop a strategy that supports PHRs. Going forward, that strategy can help the laboratory create greater loyalty with those patients interested in maintaining PHRs.

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