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Capacity Planner: Preparing Hospitals with Predictive Analytics

In 2005, what did the retail, energy, transportation, and banking industries have in common?

However, the healthcare industry had yet to take advantage of data analytics in the same way. That’s when the founders of Capacity Planner (originally called Emendo), realized the enormous opportunity that a predictive analytics program could have for hospitals.


The company was founded in New Zealand, and enables hospitals to accurately forecast daily patient demand, maximize capacity, improve resource alignment, and provide safe care—even during periods of unexpected demand. Using past performance to predict the future, the program analyzes data at a granular level. Hospitals are given a forecast for the coming year, and the model updates in real time as new data is received. Plans are fine-tuned right up to the time of care. Everything from staffing needs to beds and other resources are planned for, along with specific forecasts for specialty service lines.

 

“The healthcare system across the world has been in crisis for some time. Hospitals feel the pressure to reduce costs and improve quality of care, while dealing with the daily load of serving patients,” said Mark Figgitt, executive director, HSTM Group New Zealand, who has been with Capacity Planner for five years. “We are a change agent. If there is no change, you see the same patterns repeated. We not only provide the tools and information to facilitate positive transformation, we also provide the consultants to help facilitate the change.”


Achieving the Quadruple Aim

Capacity Planner’s model addresses the healthcare system’s “quadruple aim” to enhance patient experience, improve quality, reduce costs, and improve the work life of healthcare staff. For example, quality is improved when clinicians are treating patients within their specialty, not pulled into other departments just to fill a hole in the schedule. Patients are happier when their care is quick and efficient. Reducing the length of hospital stays is essential to reducing costs. And clinicians want to practice medicine to the best of their ability. With the right use of data, all of this can be achieved.

 

In the decade after its founding, Capacity Planner benefited from the proliferation of technology. During this time, electronic health records and other complementary technologies were widely adopted and provided a wealth of data to produce predictions. As consumer brands such as Microsoft and Amazon normalized the use of AI and data prediction, more people understood its potential.

 

Pandemic Response

COVID-19, one of the largest healthcare challenges of this generation, proved to be a test for how well the program could prepare hospitals for the unexpected. Hospitals using Capacity Planner quickly identified COVID-19 patients, and accurately aligned patient demand with staffing and resources.

Since hospitals have reopened to non-COVID cases, they are dealing with a backlog of patients needing procedures and limited availability. Capacity Planner uses theatre schedules along with predictive capabilities to build plans to manage these demands and get people through the door.

 

An International Footprint

U.S.-based McKesson Corporation purchased Capacity Planner in 2012, and the company went on to join Change Healthcare in 2017 before HealthStream purchased it in 2020.

 

Capacity Planner is an international company with presence not only in New Zealand and the U.S., but also in Australia and Canada, so the recent acquisition expands HealthStream’s footprint to new territories.

 

“HealthStream is genuinely interested in advocating for nurses and making a difference,” said Figgitt. “That has always been paramount in our philosophy as well – it needs to start with people. That really fits in with the culture of our company and New Zealanders. Kiwis are ambitious and hardworking, but most of all, we are a caring people. We want to attract employees who buy into our long-term goals. I think the two companies are very similar in that way.”

 

“Capacity Planner has advanced groundbreaking data programs for more than 15 years, and we are excited to further the company’s reach as we integrate it with our holistic workflow and staffing solutions,” said Scott McQuigg, senior vice president, HealthStream Scheduling and Capacity Management Group.