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Current financial incentives in healthcare counterproductive to successful digitization

Digitisation in healthcare is hindered by short-term financial focus

Digitisation in healthcare is progressing more slowly than it should because the financial benefits are being assessed incorrectly. Arguments for digitisation are too focused on short-term gains, which obstructs further innovation. These conclusions emerged from discussions with dozens of Dutch healthcare institutions that participated in the ‘Automation in Healthcare’ seminar, organised by low-code specialist Ciphix and Mendix. Nearly two-thirds (60%) of the participating healthcare institutions agreed that current financial incentives are counterproductive.

Too much short-term focus

Current financial incentives for digitisation in healthcare are often geared towards immediate cost savings, making long-term investments less likely or even unfeasible. Additionally, many financial benefits still relate to traditional treatment methods and models, creating little motivation to embrace further digital transformation. Another major challenge is the presence of outdated systems, which hinder innovation. Nearly a third (30%) of the healthcare institutions surveyed identified legacy systems as a key barrier to digital progress.

Healthcare organisations see significant opportunities for digitisation

Despite these challenges, healthcare institutions recognise the potential of digitisation. Eighty percent of participants agreed or strongly agreed that multiple processes within their organisations could be digitised, optimised, or automated. Additionally, more than 85% of respondents believe that smart automation could significantly reduce the administrative burden on employees.

Philippe Neven, spokesperson at Ciphix: “At a time when digitisation can play a crucial role in transforming healthcare, we unfortunately see that technologies such as low-code and RPA are still not being utilised to their full potential. A short-term focus is stalling innovation and causing missed opportunities. This is especially concerning in a sector that urgently needs to reduce its workload. Together with and Mendix, we are committed to guiding healthcare institutions towards a future where the benefits of digitisation become a reality, ultimately improving conditions for both healthcare providers and patients.”

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