In an effort to expand its healthcare offerings, GE will acquire API Healthcare.
Hartford, Wis.-based API Healthcare develops analytics tools for healthcare workforce management. GE’s acquisition of the company is meant to bolster its healthcare data and analytics offerings, officials said in a press release Tuesday announcing the deal. The deal, financial terms of which were not disclosed, should close within the next two months.
[See also: Healthcare mergers take on new shapes]
GE expects API Healthcare's capabilities to complement GE Healthcare’s Hospital Operations Management portfolio, which gives hospitals real-time access to operational data, helping them drive efficiencies in admission and discharge, staffing and more.
Pointing out that labor costs can represent more than half of most hospitals' operating budgets, Michael Swinford, president and CEO of GE Healthcare Services, said in a press statement that the API acquisition will help GE "address a significant portion of hospital operations costs – assets, patients and labor – with a mix of software, real-time data, powerful analytics and professional services."
API Healthcare’s solutions, which focus on staffing and scheduling, patient classification, human resources, talent management, payroll, time and attendance, business analytics and more, are used by some 1,600 hospitals and staffing agencies in the U.S., the press release noted.
“Healthcare productivity is more important than ever for hospitals as more patients enter the system and operational costs continue to climb,” said John Dineen, president and CEO of GE Healthcare, in the statement. “In addition to clinical systems, hospitals need operational management systems to drive enterprise-wide efficiencies, reduce unnecessary costs and enable improved patient care."
In the wake of the API deal, GE Healthcare will work with hospitals and health systems in three key areas, officials said: managing assets throughout their lifecycle, helping to lower costs and improve efficiency; tracking patients and workflow from admission to discharge in real-time, lowering costs and increasing transparency; and enabling better insights into staffing and scheduling.
"As the demands of an aging population increase and the greater challenges associated with a changing workforce take hold, operational efficiency has never been more important," said J.P. Fingado, president and chief executive officer of API Healthcare, in the statement. "We are excited to expand our capabilities and address customers’ toughest challenges together with GE.”
This story is based on a report on Healthcare IT News.