European health ministries are keen on improving the IT infrastructure in the health sector. The higher adoption rate of HIS, EMR and other e-health services has directly impacted the growth of the computerised physician order entry (CPOE) systems market. The healthcare industry has realised the important role that technologies such as CPOE can play in reducing medication errors. However, as the economic crisis has resulted in reduced healthcare budgets, market participants need to devise cost-effective solutions, while enabling hospitals to reduce medication-related adverse events.
New analysis from Frost & Sullivan (healthcareIT.frost.com), European Market for Computerized Physician Order Entry (CPOE) Systems, finds that the market earned revenues of $106.0 million in 2010 and estimates this to reach $173.5 million in 2017. The following CPOE systems are covered in the research: ambulatory and in-patient.
"Improved IT adoptions in the healthcare sector, paralleled by the need to reduce medication errors, are driving the growth of CPOE systems in Europe," notes Frost & Sullivan Research Analyst Somsainathan. "Similarly, integrating CPOE with other existing ehealth services is the biggest trend that is expected to support accelerated growth from 2013."
Increasing receptiveness to and continuous government support for IT solutions in healthcare has led to the wider adoption of HIS and EMR, which directly improves the penetration of CPOE. The market is expected to witness more rapid growth from 2013, due to the integration of CPOE with existing IT services in healthcare units.
High initial costs and shrinking budgets present important challenges for market participants. The high outlays involved in adopting such systems against a backdrop of tightened healthcare budgets have underlined the cautionary attitude being displayed by many hospitals towards CPOE.
"CPOE systems are witnessing relatively slow paced market penetration mainly due to the initial costs involved in steering this service into mainstream hospital applications," remarks Somsainathan. "Since the recent economic crisis, public expenditure has dropped significantly and hospitals are reluctant to make new investments."
Understanding client needs, customising products to meet customer requirements and presenting a broader service range will encourage uptake by hospitals and healthcare providers who are grappling with shrinking budgets. At the same time, reducing initial expenditures and integration costs will propel market penetration, especially in small- and medium-sized hospitals.
"Developing services that are easy to integrate will be key to success in the European CPOE systems market," advises Somsainathan. "Mitigating the high integration cost will not only boost the adoption rate for CPOE systems but will also ensure higher revenue generation for market participants."
If you are interested in more information on this study, please send an email with your contact details to Janique Morvan, Corporate Communications, at janique.morvan[.]frost.com.
European Market for Computerized Physician Order Entry (CPOE) Systems is part of the Healthcare & Life Sciences IT Growth Partnership Services programme, which also includes research in the following markets: European Laboratory Information Systems Market, European Electronic Medical Records Markets, European Markets for Pharmacy Automation Systems and European Markets for Pharmacy Information Systems. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.
About Frost & Sullivan
Frost & Sullivan (frost.com), the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages 50 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 40 offices on six continents.
European Market for Computerized Physician Order Entry (CPOE) Systems / M634