What Is Health Information Technology? Ultimate Guide

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The average person often doesn’t think about health care software. They often don’t think about how it affects the medical industry as a whole, either. Many might think, “My clinic is doing just fine; what do I care?” But the impact of health information technology has revolutionized patient care on a global scale. Implementing these medical practice management software and other health care information systems in hospitals and other health care organizations has had monumental effects.

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What is Health Information Technology

Every year, more and more health care providers are taking steps to change how their business manages internal processes.

Health information technology (HIT) improves health care quality by processing, storing and exchanging health information through an electronic medium. Health care systems leveraging health information technology reduce costs and improve medical care. According to a report published by HIMSS, about 80% of health care institutions plan to invest heavily in digital health care tools.

But choosing the right health care information software for your business can be confusing. There are several HIT categories, and with many of these software systems sharing similar capabilities, it’s not always easy to distinguish one from the next. That’s why we’ve made a primer to help you break down the types of health information technology.

What this Article Covers

What is Health Information Technology?

Before we dive in too far, let’s define what health information technology actually is. In the broadest sense, HIT is applying information technology to health care. This refers to the electronics systems that health care professionals (and sometimes patients) use to store, share and analyze health information. It’s another way to describe the comprehensive management of information among patients, practitioners, government and quality entities, and insurers.

The use of health information technology improves the quality and effectiveness of health care; it promotes individual and public health while increasing the accuracy of diagnoses. The software also reduces costs and medical errors, while improving the efficiency of both administrative and clinical processes.

In addition to providing a higher quality of care, health care software saves you time and money. Using health information technology can reduce the time and effort spent managing daily operations and administrative tasks, allowing your health care organization to focus more of its efforts on patient treatment and health. Faster prescriptions, improved information sharing, reduced paperwork and better follow-up are just a few examples of how health care software is helping facilities to become more productive and efficient.

There are various health care information technology systems — depending on your health care organization’s type of treatment and specific needs, there will be certain solutions you’ll benefit from more than others. Before you can begin the process of selecting software, you must be aware of the different software types regarding HIT.

Categories

There are three main health care information technology categories and four “subcategories.” You’ll find these exist in both hospitals and physician offices and are beneficial for nearly all types of providers.

Categories of Health care Technology

Medical Practice Management

As the name implies, practice management software helps you manage your practice’s different administrative and clinical aspects. MPM software centralizes various systems so you can run things more efficiently. It automates almost every task under the “health information management” umbrella, from organizing appointments to verifying insurance.

Although there may be some features that involve patient information, MPM is geared much more toward a health care facility’s clerical work, such as managing patient flows and other general documentation for the office. With medical practice management software, there’s no need for a patient’s medical data to be included. For example, practice management software might keep record of patient demographics but will generally not include a patient’s medical history.

Dashboards to track all the critical information in healthcare

Use dashboards to track scheduled appointments, view pharmacy and lab alerts, send messages, create tasks, and more.

Rather than clinicians, the primary users of practice management software will consist predominantly of front desk workers as well as those with administrative roles. In addition to scheduling appointments and verifying insurance, medical practice management software automatically processes claims, generates reports and handles medical billing and payment.

Overall, think of practice management as a way to manage the day-to-day operations of your health care organization. By automating a variety of business tasks, MPM helps to improve a facility’s production and efficiency while giving administrators and other staff more time to focus on patient care.

Compare Top Practice Management Software Leaders

EHR / EMR

The cornerstone of switching to the patient side of things, electronic health records (EHR) focus on the documentation and storage of a patient’s medical information. In the past, clinicians had to document everything on paper, by hand — now, they can simply fill out that information on their computer or mobile device.

Electronic medical records (EMR) started as a way to eliminate the time and errors that came with the manual charting of patient data. The problem, historically, with EMRs was that patient information was only able to be viewed within one office — so, if a patient switched to a different clinic, their medical information would not follow suit. Electronic health records eliminate this shortcoming by allowing the transfer of patient data among different health care facilities. With an EHR, a patient in the emergency room receives proper treatment as different physicians can access their information.

While differentiating an EHR from an EMR can be difficult, don’t stress about knowing the distinction — in recent years, industry insiders have started to use the two terms interchangeably. For the sake of this article, we will be referring to both as EHR.

Managing patient information in eClinicalWorks

View and manage patient information using eClinicalWorks’ EHR solution.

These systems can also alert you when patients are due for preventive procedures and screenings. In addition, EHRs help physicians treat patients by looking at their history and comparing their health data with past entries.

EHRs are also saving health organizations money by saving space. Because a patient’s information is stored electronically, facilities can repurpose space that was originally used for document storage. They also eliminate the risk of damaged or misplaced files.

It’s important to remember that practice management software and electronic health records focus on entirely different aspects of your practice. Think of MPM in relation to the business side of a health care facility — handling the day-to-day operations — while EHR focuses on patient treatment and documentation of medical charts

Compare Top EHR/EMR Software Leaders

Picture Archiving and Communication Systems (PACS) and Vendor-Neutral Archives (VNAs)

PACS and VNAs are the two most popular tools in use by health care professionals to process and store patients’ medical images. These systems are an important category of health information technology as they integrate radiology into the regular workflow of a clinic. Leveraging PACS and VNAs, medical staff can merge imaging data stored in separate departments’ image banks in a centralized, accessible location.

Primary Benefits

Health information technology has been around in the health care industry for some time now. Needless to say that it has a positive impact on the key aspects of health care, including quality and efficiency. Let’s take a look at some of the benefits of HIT.

  • Leverage an EHR to enable faster means for a doctor to access patient data. Reduce paper dependency, saving time and additional costs for the clinic.
  • Tap into the power of big data analytics to extract actionable data to manage patient populations efficiently.
  • Streamline data coordination between providers with EHRs. Ensure all medical professionals concerned get access to updated data.
  • Use cognitive computing and analytics to extract valuable insights to align medicine according to patient requirements.
  • Patients can obtain and modify their own data if required. Further, they can share information with clinicians.

Key Features

These systems often integrate with practice management software to provide robust functions and better patient care:

Key Features of Health Care Software

Patient Portal

With patient portals, users can essentially view everything you’d find in an EHR, including patient history, treatments and medications. Patients can access their medical histories, schedule appointments, message their doctor, view bills and make payments all online. Patient portals are allow patients to have more control when it comes to their overall health treatment.

Patients can use their personal devices, such as a phone or tablet, to create and save personal notes as well as receive alerts and notifications from their providers. Rather than having to wait on the phone during business hours to set an appointment, a patient can simply log in, check their doctor’s availability and schedule a time that works for both of them.

Accessing lab results, health records and messaging from home pages

Access overviews for lab results, health records and messaging from homepages.

Once a patient has finished their appointment, they can go online to view their bill and provide payment information to settle up.

In recent years, these systems have increased in popularity among hospitals and medical practices. Today’s consumer expects more transparency and accessibility than ever before, so it’s no wonder why portals are becoming a staple in the medical industry.

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Patient Scheduling

Scheduling software often goes hand-in-hand with a patient portal. In today’s digital age, many patients prefer to schedule appointments themselves. You can direct patients to log in to their account and schedule appointments when convenient for them, matching their availability with that of their practitioner(s).

Manage appointments by using patient scheduling modules

Manage and filter appointments by day, week or month using patient scheduling modules.

Providing patients the accessibility to manage their own scheduling radically reduces your phone traffic while allowing patients to find the specific time and date that works best for them. Rather than calling every time they want to make an appointment, patients can make appointments at any time of the day, as opposed to just being able to do so from 9-5.

Aside from the patient’s ability to set appointments, practitioners can use practice management software to schedule other staff members as well as assign exam rooms and specialty equipment to specific times of the day.

Compare Top Patient Scheduling Software Leaders

Medical Billing

One of the most time-consuming tasks for practices is managing all aspects of billing. It’s especially true for busy hospitals and practices, as there is little time to spare for most tasks in the first place. Medical billing software handles the entire billing workflow process from scheduling an appointment until payment is processed.

In addition to patient billing, this software handles insurance claims, insurance verification, payment processing and patient tracking. If there’s an issue such as a late payment, the system alerts you so you can act accordingly.

Medical billing dashboard

Review patient and provide info, create claims batches, and receive claim error alerts using a medical billing dashboard.

Perhaps the most significant advantage to medical billing software lies in its claim scrubbing tools. This involves automatically scanning claims and eliminating any NCCI, HIPAA or LCD errors. In turn, this leads to higher first-pass claim acceptance rates and faster reimbursements for your facility.

If your facility focuses on specialized care, make sure your area of treatment is supported by your software, as many medical billing solutions don’t support specialty clinics — mainly dentistry.

Compare Top Medical Billing Software Leaders

E-Prescribing

Sending prescriptions to pharmacies can be tedious when creating orders for multiple patients. To expedite the process, physician offices began using e-prescribing software. A prescription is sent, filled and waiting for the patient when they get to the pharmacy in just a few clicks.

In addition to speeding up the entire prescription process, medical professionals can track the fulfillment of prescriptions and monitor controlled substance prescriptions more accurately. Practitioners can spend less time responding to prescription refill requests and more time focusing on other issues at hand.

Review medication history, drug interaction using e-prescribing features

Check drug interactions, review medication histories and send prescriptions requests via e-prescribing features.

When entering and re-entering data by hand, errors are naturally going to occur; e-prescribing systems ensure there’s never a prescription mix-up caused by hard-to-decipher handwriting. Additionally, by being online rather than in physical form, you don’t run the risk of misplacing a prescription. The system displays the prescription at the pharmacy, ensuring patient safety by giving them the correct one.

Patients are also saving money as a result of e-prescribing. Further, your clinic is able to keep better track of patient records and provide a more cost-effective medication for your patients.

Remote Patient Monitoring

With remote patient monitoring, medical sensors can send patient data from their home (or wherever they are) to health care professionals at the facility. RPM reduces the costs of chronic care and hospital readmission while leading to better quality health care.

RPM can also monitor blood-glucose levels as well as blood pressure for patients with chronic conditions. Leverage data to predict and prevent events that’d otherwise require medical intervention. As RPMs become increasingly popular, this data captured could possibly become part of a more extensive population health study down the road.

RPM member dashboard

RPM member dashboard showing recorded patient vitals and trends while providing task reminders.

Practitioners can use the data they gather to make recommendations or provide wellness advice to the patient. For example, if a patient is consistently gaining weight, a doctor might recommend a healthier diet or even make sure the treatment isn’t causing the problem.

Aside from chronic care, several types of health care benefit from using an RPM: post-discharge care, senior care, worker’s compensation cases, behavioral health and substance abuse treatment.

Compare Top Practice Management Software Leaders

Master Patient Index

To put in the simplest of terms, a master patient index connects a patient’s records with more than one database. Containing records for any patient registered at a health care organization, an MPI allows that facility’s different departments to all share data simultaneously.

This type of HIT is commonly used by hospitals or other large practices, as data can be entered once and stored for future reference different departments and labs. The MPI then creates an index of all medical records for a specific patient, making accessing patient data quick and painless.

Master patient index to view patient records

Search patients, view immunizations records, check activity logs and more from a master patient index.

A couple of end goals of using MPI include providing more accurate data and better security of patient information. MPI aims to reduce the need for the manual duplication of patient records; for example, when it comes to filling out claims, errors involving patient information can be prevented, resulting in fewer patient claim denials. Administrators can control which users can access the MPI with access management tools.

Upcoming Trends

Internet of Medical things (IoMT)

A report from Precedence Research projects the IoMT market will reach $172.4 billion by 2030, up from $39.9 billion in 2020.

Upcoming Trends in Health Care Information Technology

Wearables and trackers have become an important part of today’s medical industry for updating health care professionals with real-time patient data. It also allows patients to be aware of their own health and make informed decisions. Through wearables, doctors and patients can stay in touch with each other constantly.

Data Privacy

Cybersecurity is a widespread challenge. According to the healthcare data breach report published by HIPAA Journal, “In 2021, an average of 59 data breaches were reported each month and 712 healthcare data breaches were reported between January 1 and December 31, 2021.” With IoT interoperability, the threat of data hacks is constantly rising every day. Health care organizations need to scope and revamp their security options to keep their data safe.

HIPAA-complaint Video Conferencing Options

According to HIPAA mandates, health care institutions are in charge of protecting the privacy of patients’ medical data. With telemedicine in full swing, video applications such as Zoom, Skype and Google Meet provide video calling features to connect doctors with patients remotely. That said, upcoming video conferencing solutions will have enhanced security protocols for protecting patient data.

Security and Privacy

HIPAA mandates have been the standard of security requirements in the medical industry for quite some time now. Every medical clinic needs to abide by these security directives to provide patients access to their medical records securely.

Increase in Data Breaches in Health Information Technology 2021

A Critical Insight report states, in 2021, there was a 35% increase in cybersecurity attacks across clinics, hospitals and medical organizations. Medical clinics are increasingly adopting health IT systems with data security and cybersecurity technology to avoid online threats.

Implementation

Although HIT offers many potential benefits, individuals and institutions have been somewhat slow to adopt the technology. In some cases, the issues are financially motivated; even when the federal government provides monetary incentives, the initial cost of implementing HIT can be too expensive of a turn-off for providers.

Other times the problems are more technical — one example of this occurs when companies try to interface different proprietary systems with health information technology containing laboratory or medication data.

To choose and use HIT effectively, an organization must be diligent in researching both current and proposed requirements. Not only quality of care but health information technology also make health care more cost-effective. Despite initial difficulties associated with implementing the program, the outcomes are worth the risk and effort. Think of how to streamline processes at your hospital or practice once you do implement a system. It could make the least favorable tasks much easier to manage for you and the rest of your staff.

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Next Steps

Health information technology systems equip professionals to provide better treatment and boost the efficiency of health organizations. Although there are many types of health care information systems to choose from, we hope this list can help narrow your search.

You’ll want to recognize your organization’s specific needs and what you hope to get out of your software, as with any software. It’s also wise to request demos from vendors so you know what each program is capable of before making your final decision — the most popular software may turn out to be less-than-stellar solutions for your particular clinic. When making your final decision, the most important thing is to find a system that fits your facility.

How has your health care facility benefited from the use of health information technology systems? Are there any we missed? Let us know in the comments.

Samikshan SarkarWhat Is Health Information Technology? Ultimate Guide

34 comments

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  • Denis Robinson - August 15, 2024 reply

    Hi Samikshan,

    Great guide on health information technology! The distinctions between MPM and EHR systems are clear and insightful. I’m particularly interested in how emerging technologies are enhancing integration between EHRs and PACS/VNAs. Could you elaborate on any recent advancements in this area and their impact on data interoperability?

    Thanks for the detailed overview!

  • Clare Martin - September 22, 2023 reply

    I appreciate your explanation when you told us that health information technology uses electronics and software to analyze health information and help increase the accuracy of diagnoses. My sister wants to work as a medical assistant in a hospital in Round Rock, so she is planning to acquire a healthcare information technology certificate to add to her credentials. I’ll be sure to keep this in mind while I help her find an institute here in Round Rock to enroll in for her certification soon. https://cbet.edu

  • techworld - July 3, 2023 reply

    Thanks for sharing this with us.

  • Fola Awarun - September 26, 2022 reply

    Very very useful information! Interesting read, thank you.

  • 강남셔츠룸 - January 19, 2021 reply

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    Hunter Lowe - January 20, 2021 reply

    Thank you for your reply!

  • judionline - November 21, 2020 reply

    This design is incredible! You obviously know how to keep a reader entertained. Between your wit and your videos, I was almost moved to
    start my own blog (well, almost…HaHa!) Fantastic job. I really enjoyed what you had to say, and more than that, how you presented it. Too cool!

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    Hunter Lowe - December 9, 2020 reply

    Thank you!

  • husna - April 3, 2020 reply

    hi.. useful information.
    may I know, when you published this article (year) ? I want to use as reference in my essay if you don’t mind
    thank you

    Jason Keller - April 6, 2020 reply

    Hi Husna, we published this Nov 7, 2019. It’s continually updated.

  • Christina - February 10, 2020 reply

    Finally, a great article after tons of B.S. that I’ve read!
    Thanks!

    Jason Keller - February 12, 2020 reply

    Hey Christina,
    Thanks for the comment! Let us know if you have any questions!
    – Jason

  • Pirame Anton - November 12, 2019 reply

    Interested in this software or application. Please advise your office location and advise which are your existing clients.

    Thanks
    Anton Pirame

    Jason Keller - November 12, 2019 reply

    Hi Anton,

    We can help you out ! Just call one of helpful, responsive community managers here at 855.850.3850

  • Sophie Nalova - November 12, 2019 reply

    this is really cool

    Jason Keller - November 12, 2019 reply

    Hi Sophie,

    We’re glad you liked the article!

    Best,
    Jason

  • Katy Hoffman - October 9, 2019 reply

    Nice post.. Thanks for sharing.

    Jason Keller - October 14, 2019 reply

    Hi Katy,
    We’re really glad you liked article!
    – Jason

  • Norbert Apuri - October 4, 2019 reply

    I want to cite this article in my thesis work, but I am careful about plagiarism controversies. How do I go about it? Should I credit it solely to you Evan Heier, or an organization? What is the year of publication?

    Evan Heier - October 7, 2019 reply

    Hi Norbert, glad you found this article helpful. It was published in the early fall of this year, 2019. I would suggest giving credit to SelectHub but you could also include my name if you like. Thank you for reaching out.
    -Evan

    Cath - January 18, 2022 reply

    Hi greeting for you Mr. Even, We are now creating a Thesis project, would you respect I would like to ask where to find your work about this topic

  • Scott Hibbard - August 20, 2019 reply

    Great read, thanks for putting this together. From the patient side, I still see two hurdles to patient portals and EMR/EHR systems: (1) While it is true that technology is becoming more prevalent and available to the greater populace, a portion of the patient population (e.g. senior citizens) do not have a computer or smartphone. Therefore their use of a patient portal is unlikely and will still require medical providers to interact with “paper and pen”. (2) In an ideal world, EMR/EHR systems would be integrated between large medical groups/medical organizations (e.g. Summit Medical and Atlantic Health) and hospitals. Unfortunately that is not (yet) the case. Patient information in Medical Group A’s EMR/EHR system is not in Medical Group B’s EMR/EHR. It seems as if the Medical Index makes patient information available more broadly within a large healthcare organization, but not outside the organization to another. Solving this would be key to better healthcare as patient records and medical history would follow the patient regardless of where he/she receives medical attention.

    Evan Heier - September 5, 2019 reply

    Hi Scott,
    Thanks for your insight. You’re correct, patient portals definitely still have obstacles when it comes to reaching particular population groups. I also agree that EMR/EHRs still have room for improvement when it comes to the limitations of interoperability. It’ll be interesting to see where they are in comparison a little further down the road.

    Thanks,
    Evan

  • Seyyone - April 16, 2019 reply

    Such valuable information – Much needed!

  • adeola - March 20, 2019 reply

    the information here is very resourceful. please how do i reference this site

    Bergen Adair - March 21, 2019 reply

    Thanks for reading Adeola! The best way to reference a site you find useful is to include a link to the article. Hope that helps!

  • Bergen Adair - December 11, 2018 reply

    Thanks for reading, Abrian! We hope you found the information useful.

    Melissa Kersey - June 15, 2021 reply

    The information I received from the 7 categories pf health care information is very helpful in billing and coding.it was designed to improve the quality and effectiveness of healthcare.

    Catherine McFadden - June 14, 2023 reply

    I found the information to be very helpful. Thanks for sharing.

  • Brianna Picker - December 4, 2018 reply

    I have actually witness how resourceful these systems are

    Bergen Adair - December 5, 2018 reply

    Thanks for reading, Brianna! I’m glad to hear healthcare tech has had a positive impact on your life. It’s definitely an area that’s going to continue to expand and advance rapidly, and I’m looking forward to seeing how it will continue to improve our lives.

    Richard M Brown - September 11, 2023 reply

    There is no doubt that the is an enormous amount of effort that goes into the technology which is the next step into the future of things. Just last week I was able to witness the HIT again for the second time in three years. The capabilities are intriguing to say the least. My eyes were tested remotely and I did not miss the presence of a person performing the process in terms of ability and results.

  • Henry Patterson - April 10, 2018 reply

    The information was very useful.

    Mary Lonon - October 24, 2019 reply

    I read your email and I agree that you email was very useful and it expressed a lot of interest in how the much the medical field has advantage over the years. The new methods innovation has help move to new discoveries and keeping patient records safe , easy to manage and access.I enjoyed reading this article very much.

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