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IBM SUBSIDIARY SIGNS ITS FIRST HEALTH CARE INDUSTRY OUTSOURCING AGREEMENT

 IBM SUBSIDIARY SIGNS ITS FIRST HEALTH CARE INDUSTRY
 OUTSOURCING AGREEMENT
 TARRYTOWN, N.Y., June 4 /PRNewswire/ -- The Integrated Systems Solutions Corporation (ISSC), a wholly owned subsidiary of IBM Corporation (NYSE: IBM), today announced the signing of its first outsourcing agreement in the health care industry.
 Under the long-term agreement, ISSC will provide a broad range of information systems support and services to two major Santa Clara Valley health care organizations. They are the El Camino Hospital of Mountain View, Calif., a nonprofit district hospital, and Health Dimensions Incorporated of San Jose, Calif., an integrated health care system that includes four hospitals, home care and primary physicians' services.
 ISSC will assume responsibility for the joint data center operations as well as the data network support for the health care organizations' hospitals and clinics. The contract is designed to enhance service to patients and health care professionals, provide the benefits of technological change, and allow the hospital organizations to accurately forecast future technology costs. As a result, they also expect to reduce expenses.
 "Our agreement with El Camino Hospital and Health Dimensions Incorporated demonstrates our commitment to provide customers with services solutions customized to meet their unique requirements," said Dennie M. Welsh, IBM vice president and president of ISSC. "We are particularly delighted with this opportunity to expand our business relationships with our customers in the health care industry."
 "This partnership will enable us to focus undivided attention on health care issues, while ISSC will ensure that we are at the forefront of information systems technology," said John Reiber, chief financial officer, El Camino Hospital.
 "By having ISSC handle our information systems needs, we will derive both immediate and long-term financial and business benefits," said Les Wong, vice president for finance, Health Dimensions Incorporated.
 "Progressive solutions, like outsourcing with ISSC, will become more common as the health care industry continues to actively seek out cost- effective alternatives that support the quality delivery of health care services," said Mikelle Streicher of Fleming Associates Ltd., Portland, Ore., the health care information systems consultant who guided the hospitals through the outsourcing process.
 "Information systems products and delivery methods are integral to today's hospitals and to bedside health care providers," said Streicher. "ISSC displayed great flexibility and tremendous effort to prove their commitment in meeting the hospitals' unique and demanding information systems needs."
 ISSC's facility in Boulder, Colo., will be used to carry out the hospitals' information processing and network operations.
 -0- 6/4/92
 /CONTACT: John Clark of IBM, 914-642-5409; Jean Altman of El Camino Hospital, 415-940-7194; or Candy Roney of Health Dimensions, 408-999-7119/
 (IBM) CO: IBM Corporation; El Camino Hospital; Health Dimensions Incorporated ST: New York, California, Colorado IN: CPR HEA SU:


GK -- NY019 -- 7001 06/04/92 11:23 EDT
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Publication:PR Newswire
Date:Jun 4, 1992
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