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George Mattathil -
5/10/2011




IBM zEnterprise System
business value for the healthcare industry
Smarter systems for a smarter planet™




Posting reference 727
                                        © 2010 IBM Corporation
To succeed, health care organizations are focusing on three key
Smarter Healthcare™ imperatives that are directly benefited by the
new IBM zEnterprise System advantages.



                  IMPROVE OPERATIONAL                                                   ACHIEVE BETTER QUALITY
                  EFFECTIVENESS                                                         AND OUTCOMES
                   Contain costs
                                               DELIVER COLLABORATIVE
                                               CARE FOR PREVENTION                       Improve quality of care,
                   Improve operational                                                   prevention and wellness
                                               AND WELLNESS
                    efficiency                                                           Proactively manage chronic
                   Create new business          Activate patients and                   disease
                    value                         communities to improve health          Measure and demonstrate
                                                  and wellness                            reporting compliance
                                                 Increase health care value


                   IBM’s healthcare industry value proposition
                   IBM collaborates with health benefits organizations to help them operate efficiently, achieve better
                   quality and performance, and develop new care models to create member value.

    The IBM healthcare industryvalue proposition is enhancedwith the introduction of the new
    IBMzEnterprise™ System.

2                                                                                                          © 2010 IBM Corporation
Healthcare organizations‟ IT-dependent business
 goals and outcomes advantaged by zEnterprise.

         1                                                                                        3
                eHealth and                            2       Quality and                                  Modernization and
                collaborative care                             Performance                                  Transformation
DESIRED OUTCOMES of high-priority payor IT initiatives
      Better personal health management for     • More informed, timely decisions based          Reduced core operations cost and
       members and patients                        on member-centric, enterprise                   increased business flexibility
      Strengthened collaborative                  information                                    Improved service responsiveness
       partnerships with members, patients       • New member and business value, and              through rapid adoption and response to
       and providers                               improved financial results                      risks and opportunities
      Improved health decision effectiveness,                                                    Improved business and compliance risk
                                                 • Increased member growth and
       quality and safety, and reduced                                                             management covering privacy, security,
                                                   retention through delivery of higher-
       medical costs                                                                               long-term data retention and
                                                   value products and services
      Improved stakeholder satisfaction and                                                       information availability
       member, patient and provider              • Improved risk transparency and
       experience                                  reduced losses

DESIRED OUTCOMES of high-priority provider IT initiatives
     • Improved quality of care and              • Higher quality outcomes, process efficiency   • Improved core operational flexibility to
       patient safety through collaboration        and cost reductions through intelligence        support cost reduction and excellence
     • Better integration of care teams            infused into decision-making                  • Faster service responsiveness and
     • Improved efficiency to control            • Improved transparency and quality reporting     more efficient and effective IT-
       healthcare costs                          • Optimized business performance and              enabled business services
     • Improved efficiency through clinical        operational knowledge to act on new           • Improved management of business
       automation of Electronic Medical            opportunities                                   and compliance risk related
       Records
 3                                                                                                                       © 2010 IBM Corporation
Healthcare business processes addressed by new
IBM zEnterprise System advantages.
    IMPROVE OPERATIONAL             ACHIEVE BETTER QUALITY                 DELIVER
       EFFECTIVENESS                    AND OUTCOMES                    COLLABORATIVE
                                                                            CARE


1                                2                                  3
       Cost containment               Insight and compliance    Increased efficiency and value

EXAMPLE: Independent findings indicate that healthcare institutions can realize significant
cost and operational efficiencies with the IBM zEnterprise™ System, such as:


                      24 percent
                          lower IT cost-per-
                            hospital bed

“… in the long run the marketplace rewards those that make the optimum use of the right
computing resourcesin the right way as evidenced by business performance”
                                              — Dr. Howard Rubin, CEO and Founder Rubin Worldwide
4                                                                                    © 2010 IBM Corporation
Built on best-in-class systems and software technologies, IBM
zEnterprise helps unify IT for predictable service delivery healthcare organizations demand.




                                        Three new innovations of IBM zEnterprise™ System

    IBM zEnterprise 196 (z196)                                            zEnterprise Unified                            zEnterprise BladeCenter
                                                                          Resource Manager                                   Extension (zBX)
     Optimized to host large-scale                                Unifies management of                                Selected IBM POWER7 blades
      database, transaction, and                                    resources, extending IBM                              and IBM System x Blades* for
      mission-critical applications                                 System z qualities of service                         tens of thousands of AIX and
     The most efficient platform                                   end-to-end across workloads                           Linux applications
      for large-scale Linux                                        Provides platform, hardware                          High-performance optimizers
      consolidation                                                 and workload management                               and appliances to accelerate
     Capable of massive scale-up                                                                                         time to insight and reduce cost
     New easy-to-use z/OS V1.12                                                                                         Dedicated high-performance
       * All statements regarding IBM future direction and intent are subject to change or withdrawal without notice,
                                                                                                                          private network
5        and represents goals and objectives only.                                                                                         © 2010 IBM Corporation
Extending IBM System z® qualities of service to make
clouds ready for healthcare organizations.


                           Security                                                      Virtualization
    Industry-leading security at the                                                     Centralized management of
               core of an integrated                                                     virtual servers across a
                       infrastructure                                                    heterogeneous pool
     Identifies potential fraud in near                                                  More than 100,000 virtual servers in
                              real time                                                  a single IBM zEnterprise™ System



                    Availability                                                          Efficiency
    Resiliency management and                                                             Economies of scale for labor,
           fewer points of failure                                                        software and environmental costs
       Centralized management of                                                          Helps reduce labor, energy, and
         heterogeneous workloads                                                          development costs, by up to 70
     aligned to business priorities                                                       percent, 90 percent, and 20 percent,
                                                                                          respectively
                                                                                          (IBM Internal Study based on Oracle SW with
                                                                                          Nehalem 4 core running 25% utilization)
                                                         Scalability
                                           Ability to help meet massive demands
                                                      from users and data
                                             Process up to a trillion instructions per
                                          second with a single IBM zEnterprise System

6                                                                                                                 © 2010 IBM Corporation
Healthcare provider—information hubs

    Challenges and issues:
     Client grew through acquisitions and has multiple systems—looking to consolidate data
      and systems to reduce complexity and the number of systems to update
     Challenged to support new industry mandates
     Need to standardize on platforms to reduce complexity for development, test and
      production
     Need to reduce the time required to configure a new development and test environment
     Need ability to monitor the end-to-end transaction flow to determine bottlenecks
     New application—some architectural choices still being investigated

                                            Business advantage:
     The Future with IBM
                                            Consolidation and simplification can provide client
     zEnterprise™ System
                                            agility to better compete in the highly volatile and
     Consolidate information into           competitive healthcare industry
     „information hubs‟ that will be used
                                            Operational advantage:
     by all of the adjudication systems.
     Two options being considered            Application and data proximity
     include Master Data Management          Manage and monitor cross actions on one ensemble
     using IBM DB2® on IBM z/OS®             Network—high speed, private, possible opportunity for reduced
     for data store with IBM                  requirements for firewalls and encryption
     WebSphere® on either IBM AIX®           Allows for virtualization across multiple tier workloads
     or Linux® for IBM System z®             Consistency and standardization of operating system, middleware
                                              and application reduces variations in test
                                             Consolidated floor space
                                             Reduced energy costs
7                                                                                                  © 2010 IBM Corporation
Summary: A new dimension in computing for
healthcare organizations.



Management                     Multi-platform    The world‟s fastest and most scalable
 integration                    integration       enterprise systems with virtually
                                                  unrivalled reliability, security and
                                                  manageability
                                                 The industry‟s most efficient platforms
                                                  for large-scale data center simplification
                                                  and consolidation
                                                 A “system of systems,” integrating IBM‟s
                                                  leading technologies to help improve
                                                  dramatically the productivity of today‟s
                                                  multi-architecture data centers and
                    Stack                         tomorrow‟s private clouds
                 integration

For more details:
ibm.com/systems/zenterprise

8                                                                               Posting reference 727
                                                                                   © 2010 IBM Corporation

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IBM zEnterprise: Healthcare

  • 1. George Mattathil - 5/10/2011 IBM zEnterprise System business value for the healthcare industry Smarter systems for a smarter planet™ Posting reference 727 © 2010 IBM Corporation
  • 2. To succeed, health care organizations are focusing on three key Smarter Healthcare™ imperatives that are directly benefited by the new IBM zEnterprise System advantages. IMPROVE OPERATIONAL ACHIEVE BETTER QUALITY EFFECTIVENESS AND OUTCOMES  Contain costs DELIVER COLLABORATIVE CARE FOR PREVENTION  Improve quality of care,  Improve operational prevention and wellness AND WELLNESS efficiency  Proactively manage chronic  Create new business  Activate patients and disease value communities to improve health  Measure and demonstrate and wellness reporting compliance  Increase health care value IBM’s healthcare industry value proposition IBM collaborates with health benefits organizations to help them operate efficiently, achieve better quality and performance, and develop new care models to create member value. The IBM healthcare industryvalue proposition is enhancedwith the introduction of the new IBMzEnterprise™ System. 2 © 2010 IBM Corporation
  • 3. Healthcare organizations‟ IT-dependent business goals and outcomes advantaged by zEnterprise. 1 3 eHealth and 2 Quality and Modernization and collaborative care Performance Transformation DESIRED OUTCOMES of high-priority payor IT initiatives  Better personal health management for • More informed, timely decisions based  Reduced core operations cost and members and patients on member-centric, enterprise increased business flexibility  Strengthened collaborative information  Improved service responsiveness partnerships with members, patients • New member and business value, and through rapid adoption and response to and providers improved financial results risks and opportunities  Improved health decision effectiveness,  Improved business and compliance risk • Increased member growth and quality and safety, and reduced management covering privacy, security, retention through delivery of higher- medical costs long-term data retention and value products and services  Improved stakeholder satisfaction and information availability member, patient and provider • Improved risk transparency and experience reduced losses DESIRED OUTCOMES of high-priority provider IT initiatives • Improved quality of care and • Higher quality outcomes, process efficiency • Improved core operational flexibility to patient safety through collaboration and cost reductions through intelligence support cost reduction and excellence • Better integration of care teams infused into decision-making • Faster service responsiveness and • Improved efficiency to control • Improved transparency and quality reporting more efficient and effective IT- healthcare costs • Optimized business performance and enabled business services • Improved efficiency through clinical operational knowledge to act on new • Improved management of business automation of Electronic Medical opportunities and compliance risk related Records 3 © 2010 IBM Corporation
  • 4. Healthcare business processes addressed by new IBM zEnterprise System advantages. IMPROVE OPERATIONAL ACHIEVE BETTER QUALITY DELIVER EFFECTIVENESS AND OUTCOMES COLLABORATIVE CARE 1 2 3 Cost containment Insight and compliance Increased efficiency and value EXAMPLE: Independent findings indicate that healthcare institutions can realize significant cost and operational efficiencies with the IBM zEnterprise™ System, such as: 24 percent lower IT cost-per- hospital bed “… in the long run the marketplace rewards those that make the optimum use of the right computing resourcesin the right way as evidenced by business performance” — Dr. Howard Rubin, CEO and Founder Rubin Worldwide 4 © 2010 IBM Corporation
  • 5. Built on best-in-class systems and software technologies, IBM zEnterprise helps unify IT for predictable service delivery healthcare organizations demand. Three new innovations of IBM zEnterprise™ System IBM zEnterprise 196 (z196) zEnterprise Unified zEnterprise BladeCenter Resource Manager Extension (zBX)  Optimized to host large-scale  Unifies management of  Selected IBM POWER7 blades database, transaction, and resources, extending IBM and IBM System x Blades* for mission-critical applications System z qualities of service tens of thousands of AIX and  The most efficient platform end-to-end across workloads Linux applications for large-scale Linux  Provides platform, hardware  High-performance optimizers consolidation and workload management and appliances to accelerate  Capable of massive scale-up time to insight and reduce cost  New easy-to-use z/OS V1.12  Dedicated high-performance * All statements regarding IBM future direction and intent are subject to change or withdrawal without notice, private network 5 and represents goals and objectives only. © 2010 IBM Corporation
  • 6. Extending IBM System z® qualities of service to make clouds ready for healthcare organizations. Security Virtualization Industry-leading security at the Centralized management of core of an integrated virtual servers across a infrastructure heterogeneous pool Identifies potential fraud in near More than 100,000 virtual servers in real time a single IBM zEnterprise™ System Availability Efficiency Resiliency management and Economies of scale for labor, fewer points of failure software and environmental costs Centralized management of Helps reduce labor, energy, and heterogeneous workloads development costs, by up to 70 aligned to business priorities percent, 90 percent, and 20 percent, respectively (IBM Internal Study based on Oracle SW with Nehalem 4 core running 25% utilization) Scalability Ability to help meet massive demands from users and data Process up to a trillion instructions per second with a single IBM zEnterprise System 6 © 2010 IBM Corporation
  • 7. Healthcare provider—information hubs Challenges and issues:  Client grew through acquisitions and has multiple systems—looking to consolidate data and systems to reduce complexity and the number of systems to update  Challenged to support new industry mandates  Need to standardize on platforms to reduce complexity for development, test and production  Need to reduce the time required to configure a new development and test environment  Need ability to monitor the end-to-end transaction flow to determine bottlenecks  New application—some architectural choices still being investigated Business advantage: The Future with IBM Consolidation and simplification can provide client zEnterprise™ System agility to better compete in the highly volatile and Consolidate information into competitive healthcare industry „information hubs‟ that will be used Operational advantage: by all of the adjudication systems. Two options being considered  Application and data proximity include Master Data Management  Manage and monitor cross actions on one ensemble using IBM DB2® on IBM z/OS®  Network—high speed, private, possible opportunity for reduced for data store with IBM requirements for firewalls and encryption WebSphere® on either IBM AIX®  Allows for virtualization across multiple tier workloads or Linux® for IBM System z®  Consistency and standardization of operating system, middleware and application reduces variations in test  Consolidated floor space  Reduced energy costs 7 © 2010 IBM Corporation
  • 8. Summary: A new dimension in computing for healthcare organizations. Management Multi-platform  The world‟s fastest and most scalable integration integration enterprise systems with virtually unrivalled reliability, security and manageability  The industry‟s most efficient platforms for large-scale data center simplification and consolidation  A “system of systems,” integrating IBM‟s leading technologies to help improve dramatically the productivity of today‟s multi-architecture data centers and Stack tomorrow‟s private clouds integration For more details: ibm.com/systems/zenterprise 8 Posting reference 727 © 2010 IBM Corporation