CSC says iSoft deal not just about NHS

CSC says that its planned acquisition of iSoft is not just to shore up its NHS contracts but is about the firm’s international ambitions in healthcare.

Andrew Spence, CSC’s director of healthcare strategic development, told eHealth Insider: “The UK is important and continues to have a pull, but there will not be another national programme in the UK – while it is quite likely that there will be similar programmes in many other countries.

“The UK is a really mature market for us; this deal is really about creating opportunities for us outside the UK. In areas like Europe, Latin America, the Middle East, Australia and even the US we can see fantastic opportunities.”

In an interview with EHI after CSC’s planned acquisition of iSoft was announced, Spence said the acquisition of industry specific Intellectual Property was part of CSC’s wider market strategy. This is a path it has already pursued in financial services and life sciences.

CSC bought health consultants First Consulting Group in the US in 2008 and more recently life sciences software firm ISI in January 2011.

Spence said that although CSC was best known as an IT services and systems integration firm in the NHS: “We’re a full life-cycle provider. Globally, about one third of our business comes from outsourcing; one third from systems integration; and one third from consulting. The National Programme [for IT in the NHS] spans all three.”

Spence went on to promise CSC will not to become a ‘one product shop’ following its acquisition of iSoft. He said the company will offer the products most suitable to customer needs, rather than push a particular product because it owns the IP.

However, he acknowledged that because of its £3 billion local service provider contracts for the North, Midlands and East the company has a strong interest in iSoft’s Lorenzo electronic patient record being widely implemented.

CSC has been trying to get Lorenzo live at four, key “early adopter” trusts in the NME, including University Hospitals of Morecambe Bay NHS Foundation Trust. Its failure to do this to deadlines set by the Department of Health has led to a new deal for the region being stalled.

“We obviously do have a strong interest in trusts taking Lorenzo as it stands,” Spence said. “Some of the functionality we already have is very good and there is more coming.”

The next stage of Lorenzo will include “emergency care, to take out prescribing and day care and in-patient prescribing will follow,” he said.

He added that CSC “does not dictate what functionality trusts take”, but is working with the “fast followers” – those trusts due to take Lorenzo once it is live at the early adopters – to enable them to take the functionality they want.” The CSC director said “a handful of fast followers are so far in detailed deployment activity.”

Spence clarified that CSC does not already own much of the IP of the Lorenzo product family. “ISoft owns all of the IP of Lorenzo, though there are escrow arrangements to ensure we have access to code.”

Turning to the situation in the South, Spence said an announcement on the initial ASCC procurement – for community and mental health systems – is due shortly, “I’m told it’s imminent,” he said.

He refused to comment EHI’s 17 February report that ASCC will be awarded to CSC offering TPP’s SystmOne.