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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 CareOverview ―The progression towards our Software-as-a-Service maturityISV 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 clearlyStrategic Hosting Partner: OpSource demonstrated their relationship commitment throughout theSoftware-plus-Services Platform of process. I have really enjoyed working with them and lookChoice: Microsoft Corporation forward to continuing our fruitful partnership.‖ Dennis Stevenson, Director of SaaS, MediServeCase 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
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 mostknowledge 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 IRFthe 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
reporting. For Medicare, MediServe‘s solution opens up the potential to gain new businessprovides everything needed to properly with the smaller rehab clinics; a segment ofdocument the claim and meet audit the market that was previously not a viablerequirements, thereby optimizing the IRF‘s target.revenue potential. With sales of the current SaaS offering growingOver the last couple of years, MediServe has at a substantial pace, MediServe made aseen explosive growth of its IRF SaaS solution. strategic decision to begin building their nextThe combination of the economic downturn and version of the IRF SaaS solution from the groundthe compelling value proposition of the solution up. In addition, the company had been hostinghas created a perfect storm of events to drive the current SaaS offering internally. Thesales of the solution. ―With the economic combination of these two factors led thedownturn, capital budgets have essentially dried company to the conclusion that it was time toup, but our SaaS offering is an operating seek an external strategic hosting partner to helpexpense so there are still budget dollars take their SaaS strategy to the next stage ofavailable. And with our compelling revenue growth.growth value proposition for IRFs, we‘ve seengreat results over the last couple of years‖,commented Dennis Stevenson, Director of Strategic Hosting PartnerSoftware-as-a-Service for MediServe. OpSource Chosen to Take MediServe to the Next Stage ofBeyond outstanding growth results, MediServe‘s GrowthSaaS strategy has provided a number of MediServe‘s decision to seek a strategic hostingadditional 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
business. Their knowledge stands head and implemented a complete back-up andshoulders 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 contactOpSource‘s first step in the new relationship was for the relationship. In addition,conducting an on-site strategic consulting OpSource provides 24x7 live coveragesession. This day-long immersive event focused of the environment and a contact ison the best practices for moving the application available to discuss issues around theinfrastructure into a true SaaS environment. clock. Finally, MediServe hasOpSource worked with MediServe on issues complete visibility into the environmentranging from scalability, security, change through robust dashboard tools.management, release cycles, performancemonitoring and management, and back- OpSource has also provided strategic value toup/disaster recovery procedures and policies. A MediServe in unexpected ways. OpSourcecomplete review and discussion of the conducts an annual SaaS Summit event thatapplication architecture and requirements is also brings together resources and leaders from thecovered. OpSource is able to convert this SaaS industry. The event is intended to sharediscussion into an actionable plan for best practices and experiences to help move theimplementing a new enterprise-class industry forward. MediServe attended the eventinfrastructure. and gained significant knowledge and contacts that have helped them with their SaaSOpSource‘s added-value services and enhanced strategies. In fact, as a result of the OpSourceinfrastructure provided MediServe with a number SaaS Summit, MediServe found and hired one ofof 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
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 applicationServices Strategy security and performance of Windows Server, the delivery centers in Virginia, London andWhen you combine the ever-growing OpSource/MediServe partnership is well served. Bangalore.power of devices and the increasing ―We appreciate the flexibility and capabilities ofubiquity 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.netSoftware-plus-Services is that greater well‖, commented Dennis Stevenson.sum. It all adds up to a commitment from About MediServeMicrosoft 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 andand business customers—and to our infrastructure and services for companies of all operational expertise to providers of physicalpartners. sizes, from Software-as-a-Service (SaaS) ISVs to rehabilitation and respiratory care. ThroughMicrosoft has vibrant businesses on the the enterprise, with hundreds of applications, more than 20 years of experience as solutiondesktop and in the enterprise, and is millions of users and billions of transactions providers, MediServe has developed a strongmaking sizable investments in online supported daily. reputation for helping its clients optimize theservices and devices. As these four value of patient care by improving financial andworlds converge, no technology vendor is OpSource Cloud™ is the first Cloud to bring clinical outcomes, reducing risk, and overcomingbetter positioned to deliver on the vision together the flexibility, availability and community the unique clinical challenges these providersof 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.comsubscriptions, leveraging Microsofts within the public Cloud, allowing them toindustry-leading advertising platform or determine their own degree of Internetthe growing form of micro-payments connectivity. About the Microsoft ISVknown as Microsoft Points. And, Incubation ProgramMicrosoft has the world‘s largest and For more information visit: The Microsoft Incubation Center Program ismost diverse partner ecosystem, which is http://www.opsourcecloud.net designed to ease the commercial, financial, andcommitted to its role in our strategy. For technical challenges ISVs encounter whilemore information visit: OpSource On-Demand™ empowers SaaS ISVs to adding a service-based delivery application tohttp://www.microsoft.com/softwarepluss bring the Cloud to the enterprise by quickly and their business offerings. Microsoft haservices/ 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.mspxThis case study is for informational purposes only.MICROSOFT MAKES NO WARRANTIES, EXPRESS ORIMPLIED, IN THIS SUMMARY. Powering Software-plus-Services Solutions: Microsoft Products Used In This SolutionDocument published December 2009 Microsoft Windows Server 2008 Microsoft SQL Server 2008 Microsoft .NET Framework 3.5