HopeWin OES 6.0: Driving Hospital Operational Excellence through Value-Based Healthcare
Value is defined as the ratio of a series of patient-centered health outcomes to the total healthcare costs incurred throughout the entire care process. Healthcare expenditures and health outcomes are the two focal points of value-based healthcare, serving as the criteria for assessing whether medical services deliver “value.”
Since the practice of value-based healthcare, which originated in Europe and the United States, was introduced to China in 2016, a series of healthcare reform policies have been promulgated to steer the country toward “value-based healthcare.” These policy-level initiatives range from the renaming of the National Health Commission and the establishment of the National Healthcare Security Administration to the implementation of zero-markup policies for drugs and medical consumables and reforms in payment methods. As the primary providers of medical services, numerous healthcare institutions are also transitioning toward value-based healthcare, striving to offer more cost-effective medical services by reforming hospital operational and management models.
As an IT service provider delivering lean hospital management solutions to nearly 1,000 large healthcare institutions, Beijing Dongruan Wanghai Technology Co., Ltd. (Wanghai Kangxin) has observed that data-driven enhancement of lean hospital operations has become a key strategic direction for hospital development and a fundamental guarantee for advancing value-based care. This trend is driven by the implementation of Diagnosis-Related Group (DRG) payment reforms and the continuous promotion of value-based healthcare concepts in China. In this context, Wanghai Kangxin’s next-generation Hospital Integrated Operations Management System, OES 6.0, was developed and recently launched with significant industry impact.
When discussing the original intent behind the development of OES 6.0, Liang Yunchao, Executive Deputy Director of the Research Institute at Beijing Dongruan Wanghai Technology Co., Ltd., pointed out:
First, healthcare reform is currently in a critical phase. The evolution of health insurance payment methods from volume-based to value-based reimbursement, the elimination of markups on drugs and consumables, and the implementation of performance reforms in public hospitals have significantly impacted the revenue models, cost structures, and patient demographics of public hospitals. Hospitals must now balance medical quality with medical costs. Drugs and consumables have become nominal revenue sources for hospitals, making the economic model reliant on excessive prescriptions, unnecessary tests, and revenue growth through scale expansion and increased service volume unsustainable. Under pressure from both external policies and internal operations, hospitals must undergo a transformation in their operational models.
Second, under the DRG value-based payment model, reducing material costs and enhancing the labor value of medical staff have undoubtedly become critical issues that hospitals must address. Leveraging specialized strengths to select appropriate medical resources, match reasonable pharmaceuticals and consumables, and achieve optimal clinical outcomes, while utilizing big data to provide decision support for operations, is an inevitable choice to ensure the hospital’s sustainable and healthy development in the future.
Third, in the future development of hospital informatization, hospitals should build core competencies centered on medical quality and operational efficiency. All clinical practices must revolve around quality control and operational efficiency. Integrating clinical pathways with activity-based costing models during the care delivery process necessitates refined management of human, financial, and material resources, as well as the application of big data.
To support the development of hospital operational management and meet the requirements of informatization construction, Wanghai Kangxin invested a research and development team of over 300 people. After more than a year of effort, the company completed the R&D and pilot implementation of OES 6.0 in early April 2020 and successfully launched the product. Wanghai Kangxin’s OES 6.0 breaks free from the constraints of traditional HRP (Hospital Resource Planning) business models, extending hospital operational management to the departmental and physician levels. With management granularity refined to the level of diagnosis-related groups (DRGs) and specific disease types, the product aims to help hospitals effectively control costs and improve operational efficiency under the DRG-based payment system.
Dong Jie, General Manager of the Hospital Software Division at Beijing Dongruan Wanghai Technology Co., Ltd., introduced that Wanghai Kangxin OES 6.0 integrates 17 years of practical experience in hospital operational management services. By incorporating new technologies such as semantic parsing, Robotic Process Automation (RPA), and Optical Character Recognition (OCR), the system meets the intelligent service needs of hospital administrators at all levels. It extends integration from within hospitals to external system sharing, thereby establishing a comprehensive layout for smart healthcare.
In terms of "people" management:Added a professional title evaluation function, mainly used to solve various problems such as the inability to monitor and manage customer professional title evaluation processes in real-time, insufficient transparency in the evaluation process, and the inability to share evaluation materials; added total budget control to strengthen hospital bonus budget management for each job series and department.
In terms of “financial” management:Financial management is transitioning toward the integration of business and finance. By implementing lean management practices across budgeting, funds, assets, accounting, and contracts, internal controls are strengthened, cost performance is monitored, and overspending alerts are enabled. The introduction of intelligent reimbursement apps, all-in-one reimbursement kiosks, PC-based intelligent full-receipt recognition and smart form-filling, invoice authentication, and duplicate invoice detection, along with the addition of intelligent reconciliation and bank-hospital platforms, reduces employee reimbursement time and facilitates the transformation of financial personnel from accounting-focused to management-focused roles. In budget management, intelligent tools and methods for comprehensive budgeting and budget expenditure control are employed.
In the management of "materials":It incorporates best-practice templates for material management processes from leading hospitals and embeds specialty-specific material management scenarios, with a focus on ensuring that hospital supply chains achieve the “Five Excellences” (excellence in selection, procurement, supply, management, and evaluation) to enable intelligent clinical supply chain management.
On Cost and DRG Management:Based on DRG group cost consumption, the hospital leverages relevant data for management and decision-making to identify cost control points, achieving a balance between medical quality and cost-effectiveness, and realizing deep integration of DRG, performance bonuses, and costs across all business operations. The specialty- and disease-specific operational system, centered on costs and DRGs, incorporates a built-in knowledge base of over 20,000 medical record quality control entries, pioneering a new “knowledge base + product tools” model.
It is understood that Wanghai Kangxin OES 6.0 can provide diversified solutions for different medical entities.
For the management of hospital groups, OES6.0 supports a financial shared services model, enabling unified resource allocation for job positions through a resource pool. This effectively mitigates inefficiencies and financial security risks arising from dispersed personnel.
For private healthcare groups, their subsidiary hospitals are often scattered across various regions in China. Even under the same brand, human resources, material assets, capital, and costs operate independently at each hospital, failing to leverage the advantages of group integration. In response, Beijing Dongruan Wanghai Technology Co., Ltd. is comprehensively advancing the cloud migration of its existing products. By adopting a SaaS model based on a cloud platform, it enables interconnectivity and data sharing, thereby reducing deployment costs for healthcare groups and improving decision-making efficiency.
Currently, the Wanghai Kangxin OES 6.0 system has achieved favorable outcomes in pilot applications at multiple large public hospitals.
As OES 6.0 continues to mature, the development of Wanghai Kangxin’s OES 6.1 upgrade has been scheduled. According to Liang Yunchao, as customers delve deeper into product usage, new requirements will inevitably emerge. Wanghai Kangxin will consistently uphold its spirit of innovation, continuously updating and iterating its products to meet evolving customer needs with new features and offerings, thereby solidifying its competitive advantage in the industry.