News Briefs: Hospital outsourcing on the increase

News Briefs: Hospital outsourcing on the increase

The outsourcing budgets of health care organizations will increase by 30% by 2003, according to a survey released by VHA Inc. and Michael F. Corbett & Associates.

The survey found that in 2001 the health care industry used approximately 17% of its budget on outsourcing. That number was expected to grow to 22% by 2003, a 30% increase. Thirty percent of survey respondents said they outsource hospital support services, followed by information technology (22%), finance and capital functions (22%), and clinical operations (11%).

Respondents cited lack of internal resources and potential reduction in operating costs as the main reasons for outsourcing.