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Healthcare EDI

Understanding the Basics of EDI

Understanding the Basics of EDI

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What is Healthcare EDI?

When discussing healthcare EDI, it's important to understand the application of EDI technology within the healthcare process. There are two major uses for healthcare EDI technology:

  • Healthcare EDI Supply Chain Management
  • Claims Management and Patient Information Exchange

When discussing healthcare EDI, most people focus on the management of claims and patient record aspect of the business. This part of healthcare EDI has been developed under the auspices of the Health Insurance Portability and Accountability Act of 1996 (HIPAA) which aimed to combat waste, fraud, and abuse in health care delivery and insurance while improving the effectiveness of the health care system. The HIPAA regulations for healthcare EDI focus on security and information transfer. Since claims management and supply chain management are often separate departments within institutions, it's quite common for "turf wars" between departments to confuse the issue of healthcare EDI adoption. Often institutions will have two different healthcare EDI systems in use, one for claims processing and one for supply chain management. The unfortunate reality is that healthcare EDI technology allows for one system that could easily be used to handle both sets of information. Ensuring the use of a single healthcare EDI system must be a critical first step of adopting the technology.

The Challenge of Healthcare EDI

While the long-term reasons for adopting EDI are strong, the technology has seen limited success in the market. The reason for this lies in the nature of the companies that use EDI and the companies that require it. Unlike the retail world, in healthcare, large suppliers like Cardinal Health mandate the use and adoption of healthcare EDI. While these large vendors have the resources and budgets necessary to deploy and use EDI, the hospitals and facilities they deal with are often cash-strapped and have limited IT resources, making the adoption of EDI precarious and time consuming. This problem of lack of resources with mandates means finding healthcare EDI solutions that are viable can be challenging. Unlike in the retail arena, the providers of healthcare EDI solutions are few and far between and often provide healthcare EDI products that are difficult to use and expensive.

The Right Healthcare EDI Solution for Your Organization

One answer for organizations seeking to become EDI compliant is to find solutions that are easy to use, easy to deploy and provide a high degree of automation. Through ease of use and automation, EDI can allow hospitals and clinics to focus on healthcare instead of healthcare EDI. DiCentral's healthcare EDI software provides all the necessary features. Our healthcare EDI software is easy to install, allowing for a full installation in as little as 10 minutes. In addition, through the use of "healthcare EDI kits" our software allows you to expand your use of healthcare EDI quickly and easily.

Automation is another key aspect of how our healthcare EDI software makes your life easier. Our product allows for the automation of as many steps as possible in the EDI process, saving you both time and money. Kits with pre-built automated sequences make the use of EDI easier and more productive. Regardless of the healthcare EDI solution that you select, you should ensure that it provides for ease of installation and ease of use. Additionally, having an automated healthcare EDI software will make working with EDI faster and more productive. Finding the right solution will allow you to focus on healthcare, instead of healthcare EDI.

Ready to get started with EDI?