ROI of Clinical Devices: How to Calculate and Optimise
- October 4, 2023
- 10:59 am
Return on Investment (ROI), a popular performance measure, evaluates the efficiency of investments, i.e., the value your investments have generated relative to the amount invested.
The same is expressed as a ratio. A ratio plays a vital role in every business as it is directly proportional to your profitability and an indicator of your performance.
With the current pace of advancements in technology, it is difficult to stay up-to-date with technologies like the Internet of Things (IoT). Moreover, it is also challenging, as with every advancement, the associated cost also increases. Clinical devices such as the Internet of Medical Things (IoMT) as with all sophisticated technologies involve huge investments. Hence, calculating the ROI of such investments becomes critical to the organisation’s sustainability and operational success. With the advancement of technology, these risks are here to stay. A cyber attack on healthcare today is not uncommon, even for a healthcare giant.
In this article, you will not only learn how to calculate the ROI of your clinical devices but also how to optimise them for the most efficient operations.
How to calculate ROI?
Calculating the return on investment isn’t as difficult as it seems. Everything boils down to your directional alignment. If the stakeholders are on the same page regarding estimation procedures and precision levels, the calculations of the cost incurred and value generated become easier. Not only will you back your business with planned investments, but you will also possess a clear framework to gauge the progress of ROI.
Considering how outdated and manual the majority of Internet of Medical Things (IoMT) technology management workflows are, it is difficult to overstate the value of automation. It is comparatively easy to find opportunities to improve productivity and evaluate savings in associated labour. It makes the work a lot easier for the people working. Using IoMT not only increases productivity but also adds more value by optimising operations.
To find the Return on Investment, the best way to go about it is by breaking down the costs to evaluate them more efficiently. Read ahead to find out how to break down the cost and optimise your ROI.
Optimising the Cost
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A precursor to optimising the ROI is to optimise its elements, thus influencing the overall ratio to the organisation’s benefit.
While calculating the cost associated with work, one of the major things we tend to miss out on is resource allocation. Research says that about 40% of a biomedical professional’s time is taken up by low-value tasks, thereby adversely affecting efficiency.
While optimising the cost of your selected products, do not forget to factor in usage-related hidden costs. Costs such as sink costs and opportunity costs also affect the overall metric and thus need to be appropriately managed. While the healthcare industry already deals with the challenge of limited staff, not optimising their valuable time makes matters worse.
Inadequate visibility and workflow efficiencies are major concerns for the ROI to drop.
At Claroty, we aim to remove as much manual labour as possible by introducing cutting-edge technology to help assist and optimise the resources better. By doing so, we make the calculation of ROI a lot easier and more fruitful. The model developed by us also offers the feature of specifying “ramp time” for these benefits.
Optimising ROI with Medigate
Medigate is here to help you optimise your ROI. Its new Clinical Device Efficiency (CDE) module offers you a chance to solve the problem and optimise your returns.
Welcoming our newest innovation to the suite, this model addresses the data access gap. This new technology offers better connectivity by establishing a live, dynamic connection between your connected clinical devices in the healthcare landscape. It seamlessly integrates and ensures swift accessibility to relevant stakeholders by aligning technology and connecting all devices in real-time infrequent updates. The module helps you identify managed and unmanaged assets, their location, and utilisation metrics by encompassing workflows spanning Health Information Technology (HIT) and Healthcare Technology Management (HTM), yielding benefits.
With the inclusion of location, the module covers every aspect that humans cannot tap into, such as detecting retired devices, underutilised rented devices, or, furthermore, even lost devices. Such features not only optimise operations but also present avenues for improvements, along with potential gains associated with the same, by providing accurate estimates and measures.
CDE revolutionises the healthcare landscape with its dynamic, data-rich optimisation features.
Reduce your costs with Medigate
Beyond the above-mentioned points, Medigate helps you optimise your ROI further by decreasing costs. It offers dedicated healthcare Cyber-Physical Systems (CPS) protection to help organisations by addressing the subsequent utilisation scenarios:
- Vulnerability research and correlation:
Medigate employs correlation between network devices and vulnerability databases to create a distinct risk profile tailored to the HDO environment, thereby expediting the process of answering questions that would otherwise demand hours of manual labour.
- Enhanced device management efficiency:
CDE automates device maintenance and management while integrating valuable insights from existing inventory records. This small add-on eliminates time-consuming tasks and leaves no room for human error, which could occur from manual data collection.
- Right-size maintenance level agreements:
By gaining insights into the severity of security risks and the lifecycle status of each medical device, the module can come up with accurate future procurement suggestions that will help us make the right decisions, thereby maximising the utility of current and future devices and ensuring secure operations.
Increase Revenue with Medigate
While decreasing the cost is a great way to optimise Return on Investments, generating more revenue is equally important. Medigate focuses on helping you optimise through a 360-degree approach. The platform is uniquely designed to help HDOs optimise clinical workflows to add business value and enhance revenue.
Following are how we can help you skyrocket your revenue:
- Amplifying technician throughput:
The module offers the feature of tracking devices on the go. It not only helps you with real-time information but also with detailed analysis with valuable insights for device usage, which not only improves patients’ care but also optimises the device and optimises ROI.
- Optimising capital expenditures:
By keeping track of the devices in real time, you can examine trends and operator efficiency to drive better procurement and revolutionise your optimisation.
- Informed Inventory Management:
Inventory management takes up a lot of space. It is important to optimise the same by keeping each device’s operations and utilisation in mind. CDE helps you make smarter decisions by suggesting when to replace, upgrade, dispose of, or reallocate assets for optimised performance and operations.
Conclusion
The healthcare cybersecurity industry is evolving at a rapid pace. New technology is coming up every day, and organisations must adapt themselves to the latest technology to match the pace and sustain themselves in the market.
Resource optimisation is very important, not only to optimise ROI but also to sustain in the market. Optimising the ROI of Clinical Devices intertwines with cost efficiency, revenue enhancement, and data-driven decision-making.
With the latest developments, vulnerabilities in cyber security also exposing companies to a wide array of healthcare cybersecurity risks. Medigate not only focuses on providing cutting-edge technology for a better tomorrow but also ensures a safer tomorrow. This holistic approach not only optimises ROI but also drives value and business with the latest innovation in the realm of technology. Read more about a converged approach to health care cyber security here.
