Hospitals with the highest IT expenses
Software and information technology (IT) in healthcare have proven integral to improving patient care outcomes and reducing costs. The most prolific example of healthcare technology is the electronic health record (EHR), which enables secure patient data collection and sharing between providers. Other popular platforms include computerized physician order entry (CPOE), financial accounting programs, PACS, patient portals and telehealth.
Operating budgets forecast hospital department expenditures and revenues for the coming year, including IT operating expenses. As the year goes on, hospital leaders and supply chain managers may adjust purchasing and other spending to ensure the actual budget aligns with the original projection.
What does a hospital’s IT operating budget cover?
Hospital IT budgets can cover many expenses including but not limited to:
- Software solutions being used by clinical and administrative staff
- Medical devices for patient and vital sign monitoring
- Imaging equipment for diagnosis or surgical preparation
- Hardware and networking components that allow for device connection and communication
- Cybersecurity solutions to protect patient information
- Hospital IT personnel salaries
How much do hospitals spend on information technology?
In the Definitive Healthcare HospitalView product, IT operating budget is a proprietary calculation based on a facility’s size, services, and data from the Medicare Cost Report, such as hospital operating expenses.
The average IT operating expense budget across approximately 4,660 hospitals is $7.8 million. This is about 3% of the average total hospital operating expense of $209 million.
Below is a list of the top 25 hospitals with the highest estimated IT operating budgets. Results in the following analysis are aggregated from the most recent 12-month interval tracked in our database.
Hospitals with the highest IT expenses
|Rank||Definitive ID||Hospital name||Location||Estimated IT operating expense||Explore dataset|
|1||541974||NewYork-Presbyterian Weill Cornell Medical Center||New York, NY||$246,286,796||Explore|
|2||3120||Cleveland Clinic Main Campus||Cleveland, OH||$236,322,277||Explore|
|3||2843||Tisch Hospital||New York, NY||$230,617,581||Explore|
|4||3742||Vanderbilt University Medical Center||Nashville, TN||$202,895,476||Explore|
|5||588||Stanford Hospital - 300 Pasteur Dr||Stanford, CA||$184,025,134||Explore|
|6||2846||Memorial Sloan Kettering Cancer Center||New York, NY||$180,043,656||Explore|
|7||1973||Massachusetts General Hospital||Boston, MA||$177,721,524||Explore|
|8||273024||Montefiore Hospital - Moses Campus||Bronx, NY||$158,311,335||Explore|
|9||560||UCSF Helen Diller Medical Center at Parnassus Heights||San Francisco, CA||$157,893,191||Explore|
|10||2096||University Hospital||Ann Arbor, MI||$148,471,918||Explore|
|11||4017||University of Texas MD Anderson Cancer Center||Houston, TX||$142,223,581||Explore|
|12||731||Yale New Haven Hospital||New Haven, CT||$139,516,957||Explore|
|13||1365||IU Health Methodist Hospital||Indianapolis, IN||$135,788,177||Explore|
|14||1969||Brigham and Womens Hospital||Boston, MA||$129,841,670||Explore|
|15||873||AdventHealth Orlando (FKA Florida Hospital Orlando)||Orlando, FL||$122,781,412||Explore|
|16||430||Cedars-Sinai Medical Center||Los Angeles, CA||$122,238,479||Explore|
|17||3571||Hospital of the University of Pennsylvania||Philadelphia, PA||$121,468,237||Explore|
|18||2828||Long Island Jewish Medical Center||New Hyde Park, NY||$120,477,640||Explore|
|19||2824||North Shore University Hospital||Manhasset, NY||$112,852,847||Explore|
|20||1631||The University of Kansas Hospital||Kansas City, KS||$112,007,139||Explore|
|21||2837||The Mount Sinai Hospital (AKA Mount Sinai Medical Center)||New York, NY||$103,860,100||Explore|
|22||3567||Childrens Hospital of Philadelphia (AKA CHOP)||Philadelphia, PA||$103,657,382||Explore|
|23||550||UC San Diego Medical Center||San Diego, CA||$103,218,141||Explore|
|24||3003||Atrium Health Carolinas Medical Center||Charlotte, NC||$102,125,184||Explore|
|25||1914||The Johns Hopkins Hospital||Baltimore, MD||$100,798,180||Explore|
Which hospitals have the highest IT operating budget?
NewYork-Presbyterian Weill Cornell Medical Center has the highest estimated hospital IT expenses at more than $246 million. The facility is a top academic medical center and has the largest operating expenses for U.S. hospitals.
Cleveland Clinic has the second highest IT expenses of $236 million. Cleveland Clinic also comes in third for hospitals with the largest operating expenses and hospitals with the highest net patient revenue.
Rounding out the top three is Tisch Hospital with nearly $231 million in estimated IT expenses. Tisch Hospital comes in second place on the list of hospitals with the largest operating expenses and hospitals with the highest net patient revenue.
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