DXA bone density testing has been experiencing mounting economic pressures, as has most of healthcare. Reimbursement cuts have reduced revenue to bone density providers and bone density test volume has at best remained flat. As a result, DXA operators have had to become more efficient.
“The Cloud” has been instrumental in other industries, including government and military, in reducing costs. Can “The Cloud” help DXA practices similarly?
Cloud-based applications are typically offered on a Software-As-A-Service (SaaS) basis. The idea behind SaaS is simple: pay for what you use. The implication is that the initial purchase of software, which can be quite costly, is replaced with a subscription-type model. The subscription can be based on any number of factors, such as per user, amount of storage, or simply usage.
There are other savings too:
- SaaS applications typically minimize – or even eliminate – the need for an internal IT department. There is no on-site hardware or servers and thus no maintenance for those items. Installation is easy – often times simply requiring a web browser.
- SaaS applications often time include upgrades and support. The traditional model for purchasing software involved an initial purchase and occasional upgrades, that had to be purchased.
- SaaS services are often scalable. A business can start small and easily add capacity as it grows.
In future articles we will discuss more advantages of the SaaS model.