Choosing between building custom health technology solutions and buying ready-made products is a tough but important choice for healthcare leaders. A report by Senior Fellows Kevin Mahoney and Raina Merchant from Penn Medicine points out key factors:
About 90% of Penn Medicine’s tech comes from outside vendors, but their experience shows that well-made custom tools can meet local needs better if properly supported.
Healthcare systems in the U.S. are different in size, patients they serve, specialty areas, rules they must follow, and how staff are organized. One technology system might not work well for every one.
Making tools in-house lets groups build systems that fit their specific:
For example, adding automated scheduling and follow-up tools lowers wait times and helps patients keep appointments. Penn Medicine’s Virtual Results Clinic shows that these tools work best when made to fit the real daily work and needs of the healthcare group.
Building custom healthcare tools needs a big upfront spend on developing, hardware, and skilled staff such as software engineers and support teams.
Even though the start costs are higher than buying vendor products, the long-term benefits might make up for it:
These points matter a lot for medical offices and hospitals trying to work well while keeping budgets tight.
A new way to handle cost and flexibility is the “Buy, Then Innovate” plan. Instead of fully building everything from scratch, healthcare groups buy core platforms that can then be customized.
Platforms like b.well show this idea by offering:
This approach mixes quick setup and saving costs from vendor products with some flexibility and relevance of custom tools. Hospitals and clinics can adapt these platforms to fit their patients, workflows, or goals while keeping control of costs.
Remote Patient Monitoring (RPM) is an area where custom tech has made a big difference in care and costs. Health Recovery Solutions (HRS) shares real examples of RPM programs that improve patient engagement and health outcomes.
RPM projects have seen results like:
These outcomes come from RPM tools made to work with different EHRs, speed up workflows with real-time data, and offer ongoing clinical monitoring. Automating patient signup and alerts lowers paperwork and helps doctors focus on patients who need care most.
Some hospitals use in-house tools like 3D printing to improve their services. From 2010 to 2019, the number of U.S. hospitals with central 3D labs rose from just three to over 100, according to the American Hospital Association.
3D printing helps hospitals with:
Making these things in-house means less relying on outside suppliers, dealing with supply chain problems better, and having more control over critical medical equipment.
Artificial intelligence (AI) and workflow automation are changing healthcare work today. Companies like Simbo AI focus on AI-powered phone services that help front offices work better.
Custom healthcare technology often uses AI to:
Using AI and automation helps healthcare systems run smoother, make fewer human mistakes, lower patient wait times, and lets clinical staff spend more time with patients. Groups using these tools report better patient satisfaction and lower admin costs.
Healthcare groups focus on interoperability — how well systems share and use data together — as a key must-have when choosing or making technology.
Custom-made solutions usually fit EHR platforms, workflows, and rules better. Smooth integration:
Systems like HRS show that good EHR integration plus clinical tools help patients follow care plans better and improve results.
Healthcare tech spending needs to think beyond the first install and focus on long-term use. This means:
Making tools in-house means dedicating staff and money to these tasks. Vendor products often include support but may limit flexibility.
Using a hybrid method or platforms with no-code and low-code options helps balance control, cost, and staying power.
Custom healthcare technology can help reduce care differences among patients. Off-the-shelf products may not fit language, culture, money issues, or where patients live.
Tailored tools can change how they communicate, use languages, and plan care to better serve all kinds of patients. Groups that build or adjust their own tech can help make sure every patient gets proper and easy-to-access care, which helps lower health differences.
Leaders of U.S. medical offices and hospitals must weigh many factors when choosing to build custom healthcare tools or buy vendor products. In-house development offers:
On the other hand, it costs more at first and needs steady resources over time.
Combining vendor platforms with certain in-house changes — the “Buy, Then Innovate” method — offers a middle way that lowers risk and cost but still gives some control and flexibility.
Technologies like AI-driven office automation, remote patient monitoring, and 3D printing show how custom or mixed approaches can better clinical and office work.
Groups that choose careful innovation have a chance to improve patient satisfaction, cut hospital returns, reduce inefficiencies, and build solid paths for future healthcare.
Health leaders should consider scale, speed, agility, integration with existing systems, interoperability, and long-term investment sustainability.
Off-the-shelf technology allows for rapid implementation across multiple departments, providing a uniform user experience.
Building in-house fosters innovation and allows for tailored solutions that meet specific organizational needs.
Custom solutions can enhance alignment with internal workflows, whereas off-the-shelf products may lack necessary adaptability.
Interoperability ensures seamless data integration and supports efficient clinical workflows, essential for effective patient care.
Sustainability refers to the long-term viability of a solution, factoring in ongoing support, maintenance, and adaptability to future needs.
Penn Medicine’s COVID Watch and Virtual Results Clinic improved patient outcomes by integrating closely with existing systems.
Agility allows health systems to quickly adapt tools to meet emergent needs, which can be crucial in crisis situations.
Equality in care can be impacted by the customization level of solutions, which needs thorough evaluation to meet local needs.
The decision is not merely technical; it encompasses strategic choices that significantly affect patient care, clinician efficiency, and institutional goals.