Case Study: MediServe

1. Microsoft Software-plus-Services
Strategic Hosting Partners Case Study
MediServe Partners With OpSource to
Deliver Software-as-a-Service Solution That
Lowers Healthcare Costs and Improves
Quality of Care
Overview ―The progression towards our Software-as-a-Service maturity
ISV Solution Provider: MediServe
has been a long one. The OpSource team has been patient
and added a lot of value all along the way. They have clearly
Strategic Hosting Partner: OpSource
demonstrated their relationship commitment throughout the
Software-plus-Services Platform of process. I have really enjoyed working with them and look
Choice: Microsoft Corporation
forward to continuing our fruitful partnership.‖
Dennis Stevenson, Director of SaaS, MediServe
Case Study Highlights
 Healthcare technology solution provider
MediServe helps lower costs and
With healthcare costs and quality of service dominating the news headlines, it‘s nice to hear about
improve patient care with high value
Software-as-a-Service offering companies that are in the trenches working to improve the healthcare system. Arizona-based
 Strategic Hosting Partner OpSource
MediServe is one of those companies. For over 20 years, MediServe has been helping many of the
brings MediServe solution up to
enterprise-class standards top community hospitals, university medical centers and specialty clinics, improve clinical outcomes,
 Microsoft products and technologies
reduce costs, and improve their revenues through innovative technology solutions. Some of the
provide the foundation for the
OpSource/MediServe partnership most respected healthcare institutions use MediServe solutions, including the Cleveland Clinic,
success
Johns Hopkins, University of Michigan Medical Center, MedStar/National Rehabilitation Hospital,
. and Duke University Medical Center.
MediServe solutions help healthcare organizations manage the operational and financial
components of their business. The solutions are focused on two segments of the healthcare
industry: Respiratory Care and Rehabilitative Medicine. Respiratory Care involves treating lung

2. and cardiopulmonary conditions for patients An Interim Stop on the Road to
ranging from newborn infants to the elderly. Software-as-a-Service
These conditions typically require acute care
services in hospitals. Rehabilitative Medicine is Five years ago, MediServe was not in a
typically provided to patients recovering from position to begin building completely web-
strokes, hip or knee replacements, severe based versions of its solutions from scratch.
accidents, or general musculoskeletal Market acceptance, the resources and skill
impairments; conditions that require focused in- sets required, as well as the organizational
patient or outpatient rehabilitative care in a impact all needed to be better understood
clinical setting, but not at the level of services before making such a commitment.
and care required in a traditional acute care
hospital setting. MediServe decided to build an interim step in
the process – developing a self-hosted
MediServe‘s ‗CORE‘ solutions are designed to Application Service Provider (ASP) version of
better manage the four biggest issues facing their solutions. This approach would allow the
these organizations: company to offer a Software-as-a-Service
solution that provided the compelling benefits
 Revenue Optimization – improving the capture of SaaS: low upfront costs, application and IT
of all services and helping manage costs infrastructure managed outside the
 Compliance – meeting HIPAA (the Health organization, and predictable monthly cost,
Insurance Portability and Accountability Act) without the significant undertaking of building
regulations as well as insurance a SaaS application from the ground up.
documentation requirements
 Improving Patient Outcomes – supporting best MediServe Sails Into Perfect
practice care approaches, optimizing Storm of Opportunity with
―OpSource are organizational performance Software-as-a-Service Offering
 Efficiency – enabling proactive monitoring of MediServe has focused its SaaS offering (called
absolutely experts at problematic workflows to insure efficient MediServe On Demand) on Impatient
helping solve all of the patient care, operational workflow, and patient Rehabilitation Facilities (called IRFs). IRFs
satisfaction provide comprehensive in-patient rehabilitation
issues related to SaaS care for individuals requiring improvements in
businesses. Their Traditionally, MediServe solutions have been function before safely returning home or to the
delivered through a classic client-server model community. Patients, typically elderly, are most
knowledge stands head and provided on-premise at the customer‘s often recovering from a stroke, hip or knee
and shoulders above location. About five years ago, a few replacement, and aren‘t well enough to return
customers began asking MediServe to handle home. Medicare is the primary payer for IRF
the rest and we‘re very the hosting of the solution as the upfront cost treatment. IRFs have a unique, acuity based
happy we‘re working and ongoing management of the on-premise payment system requiring comprehensive
solution was beyond the resources of their documentation of the patient‘s medical,
with them.‖ organizations. These early requests, though functional, and cognitive impairments.
Dennis Stevenson, Director of SaaS, MediServe few, started the MediServe organization on the
path to creating a web-based solution. MediServe‘s IRF solution helps manage and
standardize the entire patient care process
including capturing the correct clinical
information, documentation of care and services
provided, measuring outcomes, quality
assurance, and financial and performance

3. reporting. For Medicare, MediServe‘s solution opens up the potential to gain new business
provides everything needed to properly with the smaller rehab clinics; a segment of
document the claim and meet audit the market that was previously not a viable
requirements, thereby optimizing the IRF‘s target.
revenue potential.
With sales of the current SaaS offering growing
Over the last couple of years, MediServe has at a substantial pace, MediServe made a
seen explosive growth of its IRF SaaS solution. strategic decision to begin building their next
The combination of the economic downturn and version of the IRF SaaS solution from the ground
the compelling value proposition of the solution up. In addition, the company had been hosting
has created a perfect storm of events to drive the current SaaS offering internally. The
sales of the solution. ―With the economic combination of these two factors led the
downturn, capital budgets have essentially dried company to the conclusion that it was time to
up, but our SaaS offering is an operating seek an external strategic hosting partner to help
expense so there are still budget dollars take their SaaS strategy to the next stage of
available. And with our compelling revenue growth.
growth value proposition for IRFs, we‘ve seen
great results over the last couple of years‖,
commented Dennis Stevenson, Director of Strategic Hosting Partner
Software-as-a-Service for MediServe. OpSource Chosen to Take
MediServe to the Next Stage of
Beyond outstanding growth results, MediServe‘s Growth
SaaS strategy has provided a number of MediServe‘s decision to seek a strategic hosting
additional business benefits, including: partner stemmed from several factors:
1. The desire to offload the complexities
 Dramatically Condensed Sales Cycle: and responsibilities of managing their
MediServe‘s sales cycle has shrunk from 1.5 own hosting environment so
years for the client-server IRF offering to only MediServe could better focus on their
90 days for its SaaS offering, a stunning 85% core competency of delivering mission-
reduction. critical software to their customers.
 Simplified and Cost-effective Deployment: The 2. The need for a more professionally
client-server version usually required managed enterprise-class
additional customization for deploying in a infrastructure complete with the
customer‘s infrastructure environment which support, maintenance and
raises the support costs. The standardized management that goes with it.
environment of the SaaS offering greatly 3. Obtaining additional best practice
simplifies deployment and keeps costs low. knowledge and strategic resources for
 Entirely New Revenue Stream: The SaaS building its new SaaS solution from the
solution has provided MediServe with a ground up.
revenue stream that essentially did not exist MediServe chose OpSource as their strategic
three years ago. More dramatically, in the hosting partner based on their expertise of all
past year, the market has completely flipped SaaS related issues, and their genuine interest
from virtually 100% of sales coming from in building a meaningful relationship with the
client-server to nearly 100% now coming from MediServe team.
the SaaS offering.
 Access to New Markets: The low initial cost ―OpSource are absolutely experts at helping
and manageable monthly subscription model solve all of the issues related to the SaaS

4. business. Their knowledge stands head and implemented a complete back-up and
shoulders above the rest and we‘re very happy disaster recovery system.
we‘re working with them‖, indicated Dennis 4. 24x7 Monitoring and Management-
Stevenson. OpSource provides an Account
Manager as the main point of contact
OpSource‘s first step in the new relationship was for the relationship. In addition,
conducting an on-site strategic consulting OpSource provides 24x7 live coverage
session. This day-long immersive event focused of the environment and a contact is
on the best practices for moving the application available to discuss issues around the
infrastructure into a true SaaS environment. clock. Finally, MediServe has
OpSource worked with MediServe on issues complete visibility into the environment
ranging from scalability, security, change through robust dashboard tools.
management, release cycles, performance
monitoring and management, and back- OpSource has also provided strategic value to
up/disaster recovery procedures and policies. A MediServe in unexpected ways. OpSource
complete review and discussion of the conducts an annual SaaS Summit event that
application architecture and requirements is also brings together resources and leaders from the
covered. OpSource is able to convert this SaaS industry. The event is intended to share
discussion into an actionable plan for best practices and experiences to help move the
implementing a new enterprise-class industry forward. MediServe attended the event
infrastructure. and gained significant knowledge and contacts
that have helped them with their SaaS
OpSource‘s added-value services and enhanced strategies. In fact, as a result of the OpSource
infrastructure provided MediServe with a number SaaS Summit, MediServe found and hired one of
of important benefits, including: OpSource‘s strategic off-shore development
1. Enhanced Security– OpSource re- partners to build MediServe‘s new SaaS
architected the infrastructure with application. ―I learned a lot from the OpSource
upgraded security features. In SaaS Summit and I‘m regularly tapping into all of
addition, OpSource is SAS 70 Type II the contacts I made at the Summit. OpSource
compliant, which means they are able has a great ecosystem of partners to assist you
to meet the highest compliance with your SaaS journey‖, said Dennis Stevenson.
standards for security. OpSource also
backs MediServe‘s HIPAA In short, OpSource has been an invaluable
requirements, and is PCI DSS Level 1 partner for MediServe. ―I really like the fact that
certified. This has all become an I have a team that‘s dedicated to me, that
important selling point for MediServe understands my business, my application, and
as security is a high concern for their my environment. When I have a question, they
customers. understand it completely and can take action
2. Improved Scalability and Performance- without direction. It‘s a big relief knowing that I
The new infrastructure provides a don‘t have to worry about things‖, concluded
foundation for easier growth and Dennis Stevenson.
delivers superior performance.
3. Stronger Processes and Procedures- Microsoft Products and
OpSource helped implement more Technologies Support OpSource
standardized processes for application and MediServe
releases and change management. In Microsoft products and technologies provide the
addition, OpSource developed and foundation for OpSource‘s and MediServe‘s

5. For More Information on success. From a robust set of development Headquartered in Santa Clara, California,
Microsoft’s Software-plus- tools, to a highly scalable SQL database, and the OpSource has Cloud and Web application
Services Strategy security and performance of Windows Server, the delivery centers in Virginia, London and
When you combine the ever-growing OpSource/MediServe partnership is well served. Bangalore.
power of devices and the increasing ―We appreciate the flexibility and capabilities of
ubiquity of the Web, you come up with a the Microsoft platform. Microsoft is trusted by For more information visit:
sum that is greater than its parts. our customers and that helps them to trust us as http://www.opsource.net
Software-plus-Services is that greater well‖, commented Dennis Stevenson.
sum. It all adds up to a commitment from About MediServe
Microsoft to deliver ever more compelling About OpSource MediServe, based in Chandler, Arizona,
opportunities and solutions to consumer OpSource™ provides complete Cloud operations, combines financial intelligence with clinical and
and business customers—and to our infrastructure and services for companies of all operational expertise to providers of physical
partners. sizes, from Software-as-a-Service (SaaS) ISVs to rehabilitation and respiratory care. Through
Microsoft has vibrant businesses on the the enterprise, with hundreds of applications, more than 20 years of experience as solution
desktop and in the enterprise, and is millions of users and billions of transactions providers, MediServe has developed a strong
making sizable investments in online supported daily. reputation for helping its clients optimize the
services and devices. As these four value of patient care by improving financial and
worlds converge, no technology vendor is OpSource Cloud™ is the first Cloud to bring clinical outcomes, reducing risk, and overcoming
better positioned to deliver on the vision together the flexibility, availability and community the unique clinical challenges these providers
of Software-plus-Services. Microsoft has of the public Cloud with security, performance face.
multiple ways to monetize the results and control the enterprise demands.
through the familiar model of software Emphasizing security, OpSource Cloud provides For more information visit:
licensing, offering services by enterprise users with a Virtual Private Cloud http://www.mediserve.com
subscriptions, leveraging Microsoft's within the public Cloud, allowing them to
industry-leading advertising platform or determine their own degree of Internet
the growing form of micro-payments connectivity. About the Microsoft ISV
known as Microsoft Points. And, Incubation Program
Microsoft has the world‘s largest and For more information visit: The Microsoft Incubation Center Program is
most diverse partner ecosystem, which is http://www.opsourcecloud.net designed to ease the commercial, financial, and
committed to its role in our strategy. For technical challenges ISVs encounter while
more information visit: OpSource On-Demand™ empowers SaaS ISVs to adding a service-based delivery application to
http://www.microsoft.com/softwarepluss bring the Cloud to the enterprise by quickly and their business offerings. Microsoft has
ervices/ securely delivering their applications and established global facilities with a set of Gold
services over the Web. Going far beyond full- Certified Partners in Hosting to guide ISVs
featured managed hosting, the comprehensive, through a structured series of business and
award-winning Cloud operations solution architectural consulting sessions to ensure their
includes the application management, business model and applications are ready for
compliance and business services that are service-based delivery.
necessary for on-demand business success.
For more information visit:
http://www.microsoft.com/hosting/programs/in
cubationcenter.mspx
This case study is for informational purposes only.
MICROSOFT MAKES NO WARRANTIES, EXPRESS OR
IMPLIED, IN THIS SUMMARY.
Powering Software-plus-Services Solutions:
Microsoft Products Used In This Solution
Document published December 2009
 Microsoft Windows Server 2008  Microsoft SQL Server 2008
 Microsoft .NET Framework 3.5