When it comes to asset and equipment management in your healthcare system, the thought of having to replace critical machines can be daunting. While there are certainly benefits to bringing in brand-new equipment, there are drawbacks that can affect the overall stability of your healthcare system.
Construction and infrastructure disruption are primary factors as they can cause interruptions and obstacles in daily patient care. Replacement projects can take months, because they can include electrical reconfiguration or even full-scale construction. Cash flow, of course, is also a concern, as replacing equipment may not be financially feasible for a healthcare system, especially if you are considering replacing multiple machines, big ticket items like MRI scanners, or tackling full departments at once.
Finally, staffing and retraining are considerations if you’re replacing equipment, as your teams will need to be trained on new assets and become proficient to maintain daily workflows.
Fortunately, in today’s world, decision makers have more options available than just equipment replacement. With technology advancing at a faster rate than ever before, hardware can now adapt to new advancements in software. In light of that, healthcare systems should consider the prospects of advanced upgrades to extend the life of equipment. Advanced upgrades can be an advantageous way to plan for capital investments and also minimize interruptions to daily operations.
Signs an upgrade is necessary
When assessing equipment performance and care capacity, there are key indicators that signal assets are prime for advanced technology updates.
The first and most important consideration is patient need and the overall entitlement to care. Is the equipment doing what is required when it comes to caring for patients and performing consistently and reliably?
Similarly, evaluate the relationship that your clinicians have with the equipment. Even if the equipment is meeting care needs, are clinicians having to spend more time working around issues with the machines? If so, this circumvention is only a short-term solution and will ultimately need to be addressed.
Finally, is your CIO or IT team concerned about the security of the equipment? Some older equipment with outdated operating systems can be more susceptible to breaches or inability to access and share information appropriately.
Choosing upgrade over replacement
Once you and your team have determined the equipment performance needs improvement, you’ll need to decide whether an advanced technology upgrade such as an MR Lift where the magnet is kept but the software and casings are replaced or a full replacement is the best course of action. The following factors should be considered by your full team—ideally through some weighted rubric system—to arrive at the more appropriate approach.
Cost and available capital
Equipment replacement is a long-term investment and a significant capital expenditure, however, sometimes, it can’t be avoided. For example, there are very common cases where a newly built facility is 10 or 15 years old and now needs to upgrade or replace all of its equipment since it’s all at the same place in the lifecycle. Even the best lifecycle planning may not account for the capital needed to replace all of the equipment.
In this case, decision makers need to prioritize new equipment purchases, usually on the grounds of either department need, equipment usage, or the advancement of technology in a certain field versus another.
Construction and workflow Interruption
As previously mentioned, a full replacement often means significant interruptions to care or the environment in which care is delivered. In contrast, a technology upgrade—while still requiring some hardware installations in some cases—does not include construction or major disruption. While a replacement can take months to complete, advanced upgrades can be completed in a week or two in many cases.
Equipment replacements can also interrupt care when staff training is required. Upgrades typically require little training, therefore, they allow for a smoother transition, at least for the short term.
Forward and backward compatibility
Because of the speed of technological advancements, hardware is now often designed to be more compatible with new software updates. In many cases, software and technology upgrades can unlock new features and functionality in the same piece of hardware.
A prime example of this is cybersecurity. Even with an older machine, newer software can make the information and operation of the machine more secure. This can also be the case in clinical operation, where imaging quality or other functionality improves with new software.
Therefore, when considering whether to replace or to upgrade, ask yourself if an upgrade can give you the new capabilities you are seeking. If the answer is yes, an upgrade could be the path that meets your needs at this time.
Regulatory and compliance
Regulatory measures are built into new equipment installation, but are they built into technology upgrades? Decision makers can rest assured that advanced upgrades to equipment are subject to the same regulations as new equipment, so compliance is addressed even when you don’t opt for new equipment.
Serviceability and continuity
One of the considerations of upgrading versus replacing is the short-term and long-term trade-off. Upgrades can be financially responsible, but it’s important to know the timeline of the upgrade and how long it will be until you will need another upgrade or a full replacement.
In this review process, it’s critical to ask if the upgrade will extend the life of the equipment. After the upgrade, it’s important to continue to ask where you’re at in the equipment lifecycle so you can be prepared for the next decision you’ll have to make on your machines.
When is replacement the right decision?
While there are many benefits of upgrades, equipment does need to be replaced eventually. If the above five considerations don’t lead you to choose an upgrade as a favorable solution, then it’s likely time to replace your equipment.
Bring the team together
This article can be used by decision makers and their teams as a framework for determining your approach to lifecycle planning. The key, however, is to bring in each of the important stakeholders to give their unique perspective. This includes IT, clinical care, regulatory, service, and anyone who is affected by the equipment.
By taking into account these vital considerations and using repeatable, rubric-style decision-making, teams can arrive at the appropriate, data-driven solutions for lifecycle planning, whether it be upgrading or replacing the machines.
