Catholic Health East : Best Practices
Catholic Health East
Best Practice Narrative

RHC: Mercy Health System (South Eastern Pennsylvania)
One Bala Plaza, Suite 402
Bala Cynwyd

 Category:
New Delivery Models

Contact: Terry Farrell
Title:
E-mail:
Fax:
Phone: (610) 237-4337
Description of the Best Practice: Telecommunications
In 1997, Mercy Health System (MHS) identified a need to significantly enhance the capabilities and use of telecommunications. As MHS has moved into an integrated delivery system, it became apparent that telecommunications was still operating in a disparate environment. The ability to transfer call between facilities was limited, phones were not answered in a timely or responsive manner, and the technology platforms in many institutions were at least 10 years old. During a strategy session with senior management, the need to address telecommunications as a strategic initiative for the Telecommunications Department was identified. Management also indicated that MHS needed to attempt to reduce costs while upgrading the telecommunication infrastructure. The Information Technology and Telecommunications (ITT) Department addressed this as a strategic project beginning in January 1998.

Implementation
A task force of internal and external personnel was formed to identify the major initiatives. To address the cost-cutting requirement, the ITT Department standardized the CHE AT&T agreement, which reduced long distance charges from two cents to seven cents per minute. Additionally, local calling charges were consolidated from over 140 accounts to one major account immediately resulting in a 10 percent discount on local calls. To address the phone answering issues, a training program was developed with the operators of all the facilities to standardize the response time and ensure a quick answering of phone calls. Additional consolidation of operator personnel is currently under way to reduce second and third shift staffing to help with call coverage.

Since the telecommunications equipment was significantly antiquated at several institutions, MHS again utilized the CHA Lucent agreement for phone and voice mail equipment. Standardizing on one platform also allowed the ability to institute five-digit dialing between all MHS sites. Utilization of the CHE Lucent agreement also resulted in discounts of 40 percent on capital equipment. A consolidated voice mail system was installed to allow integrated messaging and reduce the need for individual institution expenditures.

MHS is now designing the implementation of a call center where all information is consolidated and the communities served by the MHS facilities can quickly identify programs and services to meet their health care needs. It is anticipated that this call center will initially develop around the ambulatory centers and eventually include acute and home health care.

Time Frame
Telecommunications cost cutting initiatives were implemented in 1997 for the local and long-distance phone services. Organizational consolidation began in early 1998, and it is expected to continue through the year. Capital expenditures for new equipment began in1998 and are anticipated to be completed by year end. The overall time frame for implementation was for two years, 1997 and 1998.

Financial Profile
By establishing standards on service and equipment, and consolidating the ITT Department, MHS expects to reduce operating costs by at least 10 percent. Utilizing the CHA Lucent agreements also allowed MHS to contract for services without legal or term agreements, thereby opening alternatives to use other less expensive service offerings when they become available. Standardizing capital equipment with the CHA Lucent account enabled MHS to realize discounts on capital expenditures of 40 percent on purchase and 30 percent on replacement equipment.

Outcome
MHS has seen the reductions in phone bill expenses by establishing telecommunications as a strategic initiative. Consolidating and standardizing efforts have allowed the organization to enjoy integrated solutions and reduce the impact of necessary capital expenditures. The implementation of the call center is expected to raise the visibility of MHS to our clinical and patient population.

Best Practice Narrative is limited to a one page summary.
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