cerner corporation
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Cerner Corporation
Brian BakerGovernment StrategistMay 16, 2014
© 2012 Cerner Corporation. All rights reserved. This document contains Cerner confidential and/or proprietary information which may not be reproduced or transmitted without the express written consent of Cerner. 2
Cerner at a Glance
Over 14,000 Associates Worldwide
* Operating earnings reflects adjustments compared to results reported on a U.S. Generally Accepted Accounting Principles (GAAP) basis in our 2013 annual report on Form 10-K. Non-GAAP results should not be substituted as a measure of our performance but instead should be used along with GAAP results as a supplemental measure of financial performance. Please see the Appendix for a reconciliation of these items to GAAP results.
• $3.8B Cumulative R&D• 3,000+ Person IP Org• 1,800 Clinicians
25% 10-year Operating Earnings CAGR
• $2.9B 2013 Revenue• 13% 10-year CAGR (mostly organic growth)
14,000 client facilities in 24 countries3,000 hospitals; 4,900 physician practices; 60,000 physicians; 590
ambulatory facilities; 3,500 extended care facilities; 150 employer sites; and
1,790 retail pharmacies.
Largest standalone health care IT company in world
FOUNDED IN KANSAS CITY IN 1979
© 2012 Cerner Corporation. All rights reserved. This document contains Cerner confidential and/or proprietary information which may not be reproduced or transmitted without the express written consent of Cerner. 3
Recognized for Innovation
© 2012 Cerner Corporation. All rights reserved. This document contains Cerner confidential and/or proprietary information which may not be reproduced or transmitted without the express written consent of Cerner. 4
30 Years, One Vision: Person-Centric Care
© 2012 Cerner Corporation. All rights reserved. This document contains Cerner confidential and/or proprietary information which may not be reproduced or transmitted without the express written consent of Cerner. 5
Within 5 years, all providers will operate with a digital transaction infrastructure
One supplier will not provide all of the infrastructureInteroperability of data will not magically create interoperability of care or the management of health
When Things Become Digital, Things Change –The Post-EMR World
EMRs alone will not solve the problem
© 2012 Cerner Corporation. All rights reserved. This document contains Cerner confidential and/or proprietary information which may not be reproduced or transmitted without the express written consent of Cerner. 6
Digitization of health care Resulting in the proliferation of EMRsEnabling the interoperability of dataPromoting information-based care managementEncouraging health of communities
Emergence of the accountability frameworkRisk management shifts from insurers to providersAccountable Care Organizations (and their variants) are here to stayBig data and analytics will be the next foundation system
Shift from safety and quality to outcomes and value
Beyond the Enterprise Medical Record
© 2012 Cerner Corporation. All rights reserved. This document contains Cerner confidential and/or proprietary information which may not be reproduced or transmitted without the express written consent of Cerner. 7
Strong Enterprise
EMRFoundation
HealthInformationExchange
“True Interoperabilit
y”
Big Data Managemen
t & Predictive Analytics
New AgeCare
Management
ConsumerEngagemen
t
Driving Accountability for Outcomes and ValueAligning Persons, Payers and Providers
Vision and Strategy for Population Health Management
© 2012 Cerner Corporation. All rights reserved. This document contains Cerner confidential and/or proprietary information which may not be reproduced or transmitted without the express written consent of Cerner. 8
State Sponsored Populations – Solutions and Services
MedicaidFoster Children – Health PassportCare Coordination - Automating the Medical Home (Sec. 2703 Health Home)Engaging the ConsumerAnalytics / Predictive Modeling
Correctional Health and Probation and ParoleElectronic Medical Records (EMR)Interoperability with free world facilitiesRe-entry programs and connecting individuals with the appropriate behavioral and physical health services to reduce recidivism
State Employee PopulationsWellnessWorkplace ClinicsWorkplace PharmaciesBenefit Administration
State Health-oriented FacilitiesVeterans HomesHospitals, including Behavior Health FacilitiesInteroperability, i.e. Health Information Exchange
2006 2007 2008 2009 2010 $200 $220 $240 $260 $280 $300 $320 $340 $360 $380 $400 Health Plan PMPM
Trend
Cerner PMPMNational Average
2010 Sav-ings
$4,162,181
© 2012 Cerner Corporation. All rights reserved. This document contains Cerner confidential and/or proprietary information which may not be reproduced or transmitted without the express written consent of Cerner. 9
Health care is too important to stay the same.
TM
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