The Value of Health Information Exchange Use: The Impact of Patient and Locations Characteristics

40 Pages Posted: 21 Jun 2018 Last revised: 18 Mar 2019

See all articles by Hilal Atasoy

Hilal Atasoy

Temple University - Department of Accounting; IZA Institute of Labor Economics

Emre M Demirezen

University of Florida - Information Systems and Operations Management

Pei-Yu Chen

Arizona State University (ASU) - Department of Information Systems

Date Written: June 5, 2018

Abstract

In this paper, we investigate the impact of Health Information Exchange (HIE) use at the visit-level on patient outcomes, such as number of procedures/tests, readmissions, and length of stay. Timely sharing of patient information can decrease fragmentation of care and improve decision-making, diagnoses, and care plans. This in turn can result in fewer readmissions, duplicate tests and procedures. The empirical studies that examine the benefits of HIE use are not unanimous and generally limited to average effects with the data available to these researchers. The goal of this study is to get a deeper understanding on how patient characteristics (such as having a chronic condition) and fragmentation of care (patient movements between hospitals) impact the benefits of HIE use. We utilize a rich dataset from an HIE provider in New York. Notably, one of the unique features of our data is information on HIE use in each patient visit, which provides a detailed understanding of the extent of HIE use, going beyond hospital level adoption. Observing HIE use at the encounter level also allows us to examine heterogeneous effects for different patient populations and when they switch hospitals. Our results show that HIE use decreases future readmissions and the number of future encounters, and these effects are significantly stronger for chronic patients compared to non-chronic patients. Further, HIE use decreases the length of stay and number of procedures done at the focal visit. The benefits for chronic patients accrue to both their chronic and non-chronic visits. Additionally, while hospital switches are associated with inefficiencies such as longer length of stay and more procedures being performed, we show that HIE use could effectively address these inefficiencies and reverse their effects, leading to overall net benefits. Results from this study have important implications for policy makers, healthcare providers, and patients.

Keywords: Health IT, health information exchange, care coordination, chronic disease management, care fragmentation

Suggested Citation

Atasoy, Hilal and Demirezen, Emre M and Chen, Pei-Yu, The Value of Health Information Exchange Use: The Impact of Patient and Locations Characteristics (June 5, 2018). Fox School of Business Research Paper No. 18-035. Available at SSRN: https://ssrn.com/abstract=3191566 or http://dx.doi.org/10.2139/ssrn.3191566

Hilal Atasoy (Contact Author)

Temple University - Department of Accounting ( email )

Philadelphia, PA 19122
United States

IZA Institute of Labor Economics ( email )

P.O. Box 7240
Bonn, D-53072
Germany

Emre M Demirezen

University of Florida - Information Systems and Operations Management ( email )

PO Box 117165, 201 Stuzin Hall
Gainesville, FL 32610-0496
United States

Pei-Yu Chen

Arizona State University (ASU) - Department of Information Systems ( email )

Tempe, AZ
United States

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