Oracle Corp.’s (NYSE:ORCL) health software, used by the US Department of Veterans Affairs (VA), is facing criticism for failing to meet expectations and improve patient care, according to internal survey data.
The VA, Oracle’s top public client in its health unit, has been renegotiating its $16 billion contract with the company due to concerns over the system’s performance and negative employee feedback.
An internal survey conducted by the VA revealed that fewer than 1 in 5 doctors, nurses, and other health employees believe that Oracle’s software enables them to deliver high-quality care. The survey, part of a recurring review of Oracle’s performance, indicated a trend toward improvement but still showed significant dissatisfaction among users.
Despite Oracle’s acquisition of Cerner, a leading electronic medical records provider, and the subsequent flagship contract with the VA to replace its EHR system, the implementation has been marred by controversy and poor performance. Outages and patient deaths at hospitals where the new software was installed prompted the government to pause the rollout.
The survey, conducted in collaboration with industry analyst KLAS Research, highlighted the VA’s unique challenges compared to other organizations using similar software. While efforts are underway to address user dissatisfaction, including specific trainings and communication plans, significant improvements are still needed.
Oracle, in response, has made thousands of improvements to enhance the performance, reliability, and usability of the system, according to Executive Vice President Ken Glueck. However, the survey findings underscore ongoing concerns about the system’s effectiveness and user satisfaction.
The VA’s ongoing efforts to address user concerns and improve the software’s performance are critical as the department seeks to provide high-quality care to veterans. With billions of dollars invested in the project and pressure from Congress to demonstrate improvement, Oracle faces significant challenges in meeting the VA’s expectations and restoring confidence in its health software.
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