Health system boards lack sufficient oversight over technology, Black Book survey reveals
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Health system boards lack sufficient oversight over technology, Black Book survey reveals

Press releases may be edited for formatting or style
TAMPA, Fla., July 17, 2019 /PRNewswire/ -- In a Q2 2019 poll, Black Book sought to identify the technology presence in the boardroom of hospital and health systems to discover that over two-thirds of those surveyed had little to no significant tech expertise on their board of directors. Among currently serving board members, 4% have direct technology experience relevant to the healthcare industry.

According to the C-Suite executives polled, 91% of hospital boards rely entirely on consultants for IT strategy and advisement rather than the healthcare tech expertise of trustees. "The advisors on which health system boards depend are historically inclined to give very broad advice on vendor selections and the competitive landscape, which may not motivate digital transformation, but will keep the organization from lagging behind," said Doug Brown, Founder of Black Book Research.

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A Black Book survey recently asked 494 C-Suite hospital executives, "As a collective governance group, how tech-savvy is your organization's board on the following Issues?"



Q2 2019 - C Suite Executives

Highly Knowledgeable

Somewhat Knowledgeable

No Knowledge

Don't Know/ Not Sure

Enterprise IT Functionality

0%

3%

68%

29%

Healthcare IT Vendors

4%

80%

2%

14%

Cybersecurity Trends

0%

76%

4%

20%

Healthcare Cyber Risks

0%

7%

88%

3%

IT ROI & Bottom Line Impact

23%

54%

3%

20%

IT Lifecycle Cost Studies

0%

0%

92%

8%

IT Optimization over New Purchases

2%

17%

63%

14%

Artificial Intelligence & Machine Learning

0%

2%

91%

4%

Of the 308 board members surveyed separately, Black Book found 79% feel they receive too little data and or feedback on tech challenges facing the health system. Only 5% of these board members polled have a dedicated technology committee. Trustees and board members in both for-profit and not-for-profit health systems were polled, "As a collective governance group, how prepared is your organization's board on the following Issues?"







Q2 2019 - Board Members

Very Prepared to Handle

Somewhat or Moderately Prepared to Handle

Not Prepared to Handle

Not Sure

Large Scale Data Breach or Hack

0%

6%

85%

9%

Complete Failure of HIT/EHR System

0%

4%

90%

6%

Switching/Replacing EHR with New Vendor

0%

10%

84%

6%

High costs & overruns impacting financial stability

18%

34%

19%

18%

Implementation Delays impacting physicians/community

0%

5%

94%

1%

80% of CFOs and senior finance leaders disclosed their belief that board members were not impartial in recent vendor selection processes and approved spending that was influenced mainly by either another board member, corporate management and/or the vendor sales executives. Board members being unaware or uninformed of health system technology issues and concerns also increases large, enterprise-wide spends for software and services not well understood, according to 92% of chief financial officers participating in the polls.
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