For some practices, negotiating an EHR purchase will be the first large software purchase in which you will participate. This document provides some things to keep in mind as you enter contract negotiations.
Key Concept
The cost of the software is not the only “big ticket” item. A contract will normally need to address the following:
1. Software price
2. Installation (including hardware, training, implementation consulting)
3. Maintenance/Support
As with all negotiations, the more data you get, the better prepared you are for making a good deal.
Software Considerations
1. Ensure that the version you will be receiving is the version used in demos; if you have elected to install a “beta” version identify the additional support level required.
2. How is the software licensed? Licensing can be per user, per concurrent user (how many users are on the system at one time), or per CPU.
3. Does the cost of the software include versions that may be released during your implementation?
4. Does the cost of the software include future versions of the software and for how long a time period?
Installation Considerations
1. If the vendor is re-selling the computers to your practice, will they be responsible for their setup and configuration?
2. What are the major milestones and deliverables and how are these tied to payment? Are there penalties on either side if dates are not met?
3. Is the implementation based on flat fee or on an estimated number of hours? If more or less hours are required, how is that cost negotiated?
4. What third party software applications are required and/or recommended? Who will be responsible for their implementation?
5. How does training take place, e.g., on-site or at the vendor’s headquarters?
6. What level of support is available at go-live? How long is this support? Is it included as a separate cost from implementation?
Maintenance/Support Considerations
1. How is maintenance billed, e.g., monthly, yearly, or per user? What is included in maintenance? Is there 24-hour in-person support? This is sometimes called a service level agreement.
2. Does maintenance include update of all external databases, e.g., drug databases, knowledge databases? How are these updates managed?