watch them fly tomorrow 16 Mar 2014 21:20
MIDAS SHARE TIPS: Software firm Ideagen a picture of health as patients' files go on computer
By JOANNE HART, FINANCIAL MAIL ON SUNDAY
PUBLISHED: 22:36, 15 March 2014 | UPDATED: 22:36, 15 March 2014
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The last Labour Government’s ambitious project to put NHS records from every hospital and GP surgery on to a single system was a shambles. It cost more than £10billion, it never worked and it was scrapped by the Coalition.
But hospitals and GP surgeries still urgently need to become more digital, so NHS trusts are being encouraged to adopt IT systems individually as this is faster, simpler and considerably cheaper.
Ideagen is one of a select number of companies to benefit from the approach and the shares, at 33p, should increase significantly over the next two years.
Simple: Staff can access electronic records with ease
Simple: Staff can access electronic records with ease
The company is a fast-growing, AIM-listed software group, which specialises in IT systems for complex or highly regulated sectors, including healthcare, manufacturing, pharmaceuticals, aerospace and defence.
The group is expected to announce two major contracts imminently – Birmingham Children’s Hospital Trust and the Heart of England Trust, which comprises four hospitals and is one of the biggest in the country. Ideagen has already started to implement software systems at other English trusts and more big wins should come through this year and next.
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Other big clients include Airbus, the RAF and BAE Systems, as well as German energy group RWE, which owns npower in the UK.
Ideagen provides software that helps these firms comply with regulatory and safety requirements and it has been gaining new contracts steadily as businesses come under increasing pressure to show they follow correct procedures.
For chief executive David Hornsby, however, NHS trusts offer the greatest potential for growth. Two years ago, the company was chosen as Scotland’s preferred supplier to put patient records online for all 14 Scottish trusts, beating several multinational rivals.
Since then, it has won seven contracts south of the border, including London-based Guys & St Thomas’ and the two trusts in the Midlands.
There are 200 NHS trusts in England, most of which still operate paper-based systems. These generate enormous costs, make life tough for doctors and nurses and can even endanger lives.
Patient information is written up on pieces of paper, put into files and stored in rooms or vaults around the hospital. When a patient returns, staff have to find their files, which is time consuming and inefficient. Big hospitals can employ up 30 porters simply to fetch and carry files, and important paperwork can easily be lost.
Ideagen’s systems enable records to be filed electronically so hospital staff can access them swiftly