Feasibility requirements group 3 compiled

HEALTH SELF-INSURANCE & CONCULTING GROUP

FEASIBILITY REQUIREMENTS & ANALYSIS REPORT

NOVEMBER 2, 2015 |IST 654 GROUP 3|MENTOR: KSHITIJ CHUG

Weekly Group Meeting Time: 3-4pm|Day: Wednesday| Venue: Bird Library

GROUP 3 HEALTH SELF-INSURANCE & CONCULTING GROUP

1

RACI CHART

Project Mentor: Kshitij Chug

Project Team Members:

Barakat Adeola Adeyemi

Dhanraj Amin

Jash Mohinish Mehta

Kirti Singhani

Vignesh Chandramouli

Project Integrator: Dhanraj Amin

TASKS RESPONSIBLE ACCOUNTABLE CONSULTED INFORMED Candidate

Matrix

Jash All Group Member Kshitij, Dhanraj,

Kirti, Vignesh,

Barakat

Professor

Cost

Feasibility

Dhanraj All Group Member Kshitij, Dhanraj,

Kirti, Vignesh,

Barakat

Professor

Operational

Feasibility

& Schedule

Feasibility

Kirti All Group Member Kshitij, Dhanraj,

Kirti, Vignesh,

Barakat

Professor

Technical

Feasibility

& Cultural

Feasibility

Vignesh All Group Member Kshitij, Dhanraj,

Kirti, Vignesh,

Barakat

Professor

Legal

Feasibility

Barakat All Group Member Kshitij, Dhanraj,

Kirti, Vignesh,

Barakat

Professor


2

TABLE OF CONTENTS Overview………………………………………………………………………………………………………………...3

Feasibility Analysis

Operational Feasibility…………………………………………………………………………….……4

Political and Cultural Feasibility………………………………………………………….………..5

Technical Feasibility…………………………………………………………………………………….5-7

Economic Feasibility…………………………………………………………………………………….7-11

Schedule Feasibility……………………………………………………………………………………..11-12

Legal Feasibility……………………………………………………………………………………………12-13

Candidate Matrix……………………………………………………………………………………………..……..14-16


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OVERVIEW

Health Self-Insurance and Consulting Group (SICG) offer many health services to a wide-range

of clients. SICG’s Self-Insurance plans and Consulting Services offer clients and partners the

best customized, flexible and value driven experience. SICG has partnered with health care

providers (with lowest 1 percent readmission rates), pharmacies, and wellness centers who are

patient-centered healthcare organizations; as well as top IT Software development firms to

design customized applications tailored to the specific needs of our clients.

The Proposed IT System Tracker for Wellness Initiatives

Because SICG is a value-driven organization, the process of tracking the success of wellness

initiatives delivered by the partnering groups has to be automated. In order to achieve this, SICG

has initiated the design of an automated IT system to track various wellness initiatives and their

success rate in terms of patient participation, satisfaction and engagement.

Both online and offline channels will be used for data collection and for reaching out to

customers:

- Seminars - Webinars - Surveys - Live-chat - Direct feedback forms from on-site wellness programs - Data collected from tracker apps

A website will be launched in order to give access to the system tracker initiatives.

Users can RSVP/sign-up to a wellness initiative online. Online sign-up serves as a way to track

attendance interest.

The following are feasibilities which should be addressed for the successful implementation of

the proposed system:

1. Operational Feasibility

2. Cultural Feasibility

3. Technical Feasibility

4. Economic Feasibility

5. Schedule Feasibility

6. Legal Feasibility


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OPERATIONAL FEASIBILITY

Operational feasibility is the measure of how well a proposed system solves the problems, how

would it take advantages of the opportunities identified during problem analysis, scope definition

phases and how it fulfills the system requirements. In case of Wellness Tracking System of HSICG,

operational feasibility talks about how well the new system can justify the needs and issues of

the current system in order to better capture the success of the wellness activities and the client

engagement, participation and satisfaction.

The emails sent to the client will be auto generated, using the new system.

The data entered will be via the clients through a e-form.

The attendance will be tracked using login id for webinars, e-card swiping for the seminars

and other sessions.

The health alerts will be checked automatically every week for the patient who attends

these activities.

The data entry will be done by the clients via a registration page and the page will be

made in such a way that it checks for error before the client can submit the details.

This information will be in a centralized database, and can be accessed by the staff using

their login details.

The feedback form will be electronically sent to the client after the seminar and will be

stored in the database.

The new system will have all the information stored in a centralized data base with copies

as backup

Each department can login to the system with their codes and access the information they

need

If the database is centralized, then there are very low chances of inconsistencies and

format of the data

The data will be directly entered by the client and checked by the system for errors.


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CULTURAL FEASIBILITY

Cultural feasibility is to check the acceptance and adaptability of the team due to the proposed system. It can be measured in terms of how the new system will impact the organizational culture and politics of the organization. Problem: Difficulty in interacting with various stakeholders due to difference in the work culture Solution: For effective functioning, it’s important that the SICG employees and other stakeholders work harmoniously. Problem: Difficulty in introducing the automated system for tracking as the team would have been used to the current system and communication flow for a long time. Solution: By making the system user friendly and providing various training to get used to the new system would resolve the opposition to the current system. Problem: Difficulty in learning the new system by the age group of the employees, as older people might take time to learn or would avoid the new system. Solution: By introducing training seminars and sessions for using the new system and providing a handbook for training the employees.

Political Feasibility:

Political feasibility is used to predict the result of the new system on the policy perspective inspecting the actors, occasions and environment in strategy process. Problem: In order to maintain secure access, the system provides user access control. Hence, there could breach in access due to political reasons. Solution: Special team to handle sensitive information and there by maintaining user access controls based on the role of the user Problem: No team or employee can manipulate the RSVP response to plan an event they proposed Solution: All teams would be judged based on their performance in the firm and maintaining access controls is vital to restrict the access in changing the data. Problem: Key stakeholders could impede the development of the current system although they are not be part of the tracking team Solution: To have inclusive discussions with all the stakeholders and power houses of the organization to consider their views before implementing the system


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TECHNICAL FEASIBILITY

Assessing technical feasibility is to evaluate whether the new system will perform the desired

functionality and whether an organization has the resources build the proposed system. The

technical feasibility analysis help to address whether the technology required for the system

exists, how difficult it is to develop, and whether the organization has SME in that technology.

Software Requirements:

Web browser: Edge, Google Chrome (Android Support), Safari, Firefox

Database Software: Oracle SQL, Microsoft SQL

Administrative Software: MS Office Suite, Primavera, Confluence, Share point

App Servers: JBOSS, Tomcat

IDE: Eclipse, NetBeans

Security: Login Authentication for every user

Transition Environment Requirements:

Environments: Development (Dev), Test, User Acceptance Test (UAT) and Production (Prod)

Deployment Tool: Microsoft Deployment Kit

Hardware Requirements:

Operating System: Win 7 and above

System Architecture: 32 bit, 64 bit

OS Architecture: 32 bit, 64 bit

RAM Frequency: 1600 MHz

System Memory: 1 GB and above


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Cache: 1 MB

Processor: Dual core

Technical Team:

3 Software Developers

1 Tester

1 Business Analyst

3 Subject Matter Experts

2 DB Developer


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ECONOMIC FEASIBILITY Costs Analysis Development Costs

Personnel No of

employees Estimated

hours Hourly

rate Cost Responsibility

Business Analyst 1 120 $45.00 $5,400.00

Communicate system requirements to the development team and manage deliverables

Programmer 2 160 $40.00 $6,400.00 Design and develop system as per the requirements

GUI Designer 1 160 $40.00 $6,400.00 Design interfaces and manage user accessibility to the system

Database developer 1 160 $45.00 $7,200.00

Design and implement a relational database for the system

$25,400.00

Resource Cost Description

Software $4,500.00

Server software, analysis and reporting software leasing cost per year

Storage $4,000.00 Storage mechanism and hardware leased as per need

$8,500.00

Total Development Cost $33,900.00

Maintenance Costs

Resource Rate Estimated

Hours (yearly) Cost Description

Network Administrator $20.00 40/mo*12=$480 $9,600.00

Time taken by the system manager to update software and system monitoring

Repairs - - $4,000.00 Hardware upgrade or procurement (if needed)

$13,600.00


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Benefits Analysis Future System implementation benefits are as follows:

Process Current State Future State

Resource Cost/month Resource Cost/month

Data entry 30 minutes per

sheet

0.5*3*5*25*22

= $4125

30 minutes per

page

0.5*5*25*22

=$1375

Data consolidation 60 minutes per

sheet

1*3*5*25*22

=$8250

- $0

Report generation 30 minutes per

report

0.5*6*25*22

=$1650

- $0

Send wellness activity

information emails

6 minutes per

email

0.1*5*25*22

=$275

- $0

Send wellness initiative

success reports

3 minutes per

email

0.05*6*25*22

=$165

- $0

Description Value

Number of billed hours per day 8 hrs

Average hourly rate of employee $25

Extra time per day 5 hrs

Extra time charge $5 additional per hour

Average number of working days in a month 22

Number of activities per month 5

Number of sheets per activity 3

Number of reports generated per month 6


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Measure Monthly Savings

Savings (yearly) Description

Data entry $2,750.00 $33,000.00 The savings derived from having to enter data on multiple sheets compared to a single interface

Data consolidation $4,125.00 $49,500.00

The savings derived from having to consolidate data from multiple sheets compared to none

Report generation $1,650.00 $19,800.00

The savings derived from having to generate the report manually

Send Emails/ Reports $440.00 $5,280.00

The savings derived form having to send email reports and other information

$107,580.00

Payback Analysis

Cash Flow Description Year 0 Year 1 Year 2 Year 3 Year 4

Development Cost ($33,900.00)

Operation and Maintenance Cost $0.00 ($13,600.00) ($16,320.00) ($19,584.00) ($23,500.80)

Discount factor for 12% 1 0.893 0.797 0.712 0.636

Time adjusted cost $0.00 ($12,144.80) ($13,007.04) ($13,943.81) ($14,946.51)

Cumulative time adjusted cost ($33,900.00) ($46,044.80) ($59,051.84) ($72,995.65) ($87,942.16)

Benefits derived from the operation $0.00 $107,580.00 $129,096.00 $154,915.20 $185,898.24

Discount factor of 12% 1 0.893 0.797 0.712 0.636

Time adjusted benefits $0.00 $96,068.94 $102,889.51 $110,299.62 $118,231.28

Cumulative time adjusted benefits $0.00 $96,068.94 $198,958.45 $309,258.07 $427,489.36

Cumulative lifetime adjusted costs and benefits ($33,900.00) $50,024.14 $139,906.61 $236,262.43 $339,547.20


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Net Present Value Analysis

Cash Flow Description Year 0 Year 1 Year 2 Year 3 Year 4

Development Cost ($33,900.00)

Operation and Maintenance Cost $0.00 ($13,600.00) ($16,320.00) ($19,584.00) ($23,500.80)

Discount factor for 12% 1 0.893 0.797 0.712 0.636

Present Value of annual costs $0.00 ($12,144.80) ($13,007.04) ($13,943.81) ($14,946.51)

Total present value of lifetime costs ($54,042.16)

Benefits derived from the operation $0.00 $107,580.00 $129,096.00 $154,915.20 $185,898.24

Discount factor of 12% 1 0.893 0.797 0.712 0.636

Present value of annual benefits $0.00 $96,068.94 $102,889.51 $110,299.62 $118,231.28

Total present value of lifetime benefits $427,489.36

Net present value of this alternative $373,447.20

Return on Investment (ROI) Analysis

Estimated Lifetime benefits $427,489.36

Estimated Lifetime Costs ($54,042.16)

Lifetime ROI 691%

Summary for the proposed system

Payback Period 1 year

NPV $373,447.20

Lifetime ROI 691%

Annual ROI 173%

Conclusion Assuming 12% discount rate, the system has a positive net present value of $373,447 and a lifetime ROI of up to 691% in a period of 4 years. In addition the automated wellness activity tracking system has a payback period of one year. Hence, it is an economically feasible investment.


12

SCHEDULE FEASIBILITY

Schedule Feasibility determines if the given project can be completed successfully within the

given deadline with the currently available technology. It helps us understand if the deadline is

reasonable one or not. It is one of the most important aspect of the project, cause any delay in

the schedule can cause a huge loss to the business.

The proposed system is the one that requires a web portal for tracking of the wellness

initiatives for the client which would typically take anywhere from 5-7 months. The project can

be divide into the following phases;

Phase No Phase Duration Deliverables

1 Planning 1-2 weeks Project Scope

Business Proposal

Data flow chart and Swim-lane diagram

2 Requirement

Gathering and

Analysis

2-3 weeks BRD

PIECES analysis

Feasibility Analysis

3 Design 4-5 weeks DFD

ERD

Use case diagram

Algorithm with pseudo code

4 Implementation 10-12 weeks User Interface

Database creation

Interactive Interface

5 Testing 9-11 weeks Testing plan

Testing phase 1

Testing phase 2

Test result document

6 Deployment and

training

3-4 weeks User manual

Training document

System document


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LEGAL FEASIBILITY

This is a measure of how well a solution can be implemented within existing legal/contractual obligations. Legal Feasibility is used to determine whether the proposed system conflicts with the legal requirements. The Wellness Activity System Tracker will abide by the following Legal Laws on Health Insurance and Data Privacy policies. Understanding Health Information Privacy The Health Insurance Portability and Accountability Act of 1996 (HIPAA) Privacy Rule provides federal protections for individual identifiable health information held by covered entities and their business associates and gives patients an array of rights with respect to that information. At the same time, this Privacy Rule is balanced so that it permits the disclosure of health information needed for patient care and other important purposes.

In this regard, the SICG’s wellness tracker system will require confidential patient health

data from other medical systems. Hence, it is permitted under this act that there can be

disclosure of health information when needed, but strictly for patient care in other

important areas.

There are several data entry/collection points in the proposed SICG wellness system

where HIPPA’s privacy rule might be violated. These are:

o During data transfer and collection from the medical information system tracker,

o Data transfer from the value-based care system tracker and

o Data transfer from the patient engagement system tracker.

Data transfer process from these sources can create a loop-hole for any party to access

patient data. SICG shall ensure that patient’s privacy is treated top priority hence, data

collection from external system shall be done through a secure portal.

Since the tracker is also targeted towards boosting patient’s participation, SICG’s

proposed system shall ensure that patients are willingly participating in our wellness

activities. Legal binding agreements (terms and conditions on website) will be produced

to show that patients understand the program’s requirements and have given their

consent for participation and engagement in wellness activities.

Data Protection and Privacy Health Information: HIPAA specifies permissible uses and disclosures of Protected Health Information (PHI), mandates that HIPAA-covered entities provide individuals with a privacy


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notice and other rights, regulates covered entities’ use of service providers (health partners or associates) and sets forth extensive information security safeguards relevant to electronic PHI. SICG’S wellness tracker will be dealing extensively with a lot of electronic Protected Health Information, hence the absence of PHI compliance documents by SICG’s legal team might lead to violation of HIPAA’s acts. SICG shall develop compliance policies and procedures for the protection of electronic Protected Health Information and abide by them. Data Security The Health Information Technology for Economic and Clinical Health Act’s (HITECH Act) information security breach provisions apply in the health-care context, governing both HIPAA-covered entities and non-HIPAA covered entities. Unlike the state breach notification laws, the obligation to notify as a result of an information security breach under the HITECH Act falls on any HIPAA covered entity that ‘accesses, maintains, retains, modifies, records, stores, destroys, or otherwise holds, uses, or discloses unsecured PHI. Any HIPAA covered entity that processes unsecured Protected Health Information (PHI) must notify affected individuals in the event of a breach, whether the covered entity owns the data or not. In general, The HIPAA requires (with some exceptions) covered entities to:

Use, request and disclose the minimum amount of PHI necessary to complete a transaction

(HIPAA Privacy Rule).

Implement data security procedures, protocols and polices at administrative, technical, physical

and organizational levels to protect data (HIPAA Security Rule).

Comply with certain uniform standards established for certain electronic transactions (HIPAA

Transactions Rule).

SICG’s wellness tracker group will develop a security protection and breach procedure in

order to adhere to the HITECH security policy. In the event of a security breach, every

affected patient whose information might have been hacked must be notified accordingly.

Launching a website for patients to sign up and participate in online wellness activities is a

major part of the proposed SICG wellness system. Hence, there will be verification and

validation of user credentials. There might be a security breach such as SQL injection to the

online portal during login and verification process. The legal responsibility here is to include

in the contract for SICG wellness website development team that all patient’s username and

passwords must be secured through encryption or hashing of login credentials.

In conclusion, Health Self-insurance and Consulting Group shall abide by the Legal Laws on Health Insurance and Data Privacy policies, HIPPA’s acts and the PHI data protection policies. This will ensure that SICG’s proposed system does not conflict with any health legal requirements and also to prevent legal implications in general.


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CANDIDATE MATRIX Weighting Parameters Existing

System

Build In-

house

Purchase

COTS

Operational

Feasibility

15% IT infrastructure

supported

NO

YES

YES

Automated

sending of emails

NO

YES

YES

Automated

receiving of emails

NO

YES

YES

Business

Intelligence and

Data Mining

supported

NO

YES

YES

Score: 0 Score: 100 Score: 100

Cultural

Feasibility

10% Work culture

issues with key

partners

High in

existence

due to the

fact of

manual data

sharing and

collaboration

Low in

existence

due to the

fact data

sharing and

collaboration

is automated

Low in

existence

due to the

fact data

sharing and

collaboration

is automated

Work culture

issues with

outhouse

consultancy firm

Doesn’t Exist

as the

current

system is not

made by any

consultancy

firm

Doesn’t Exist

as the in-

house future

system will

not be made

by any

consultancy

firm

High in

existence

because the

outside

consultancy

firm may

face cultural

issues with

HCG or vice

versa

Internal Work

culture issues

High in

existence

because

cross

functional

teams have

to work

together in

Very Low in

existence as

the

collaboration

and team

work is

reduced due

to the fact

Very Low in

existence as

the

collaboration

and team

work is

reduced due

to the fact


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order to plan

and track

wellness

activities.

that the new

system will

be fully

automated.

that the new

system will

be fully

automated.

Score: 83

Score: 93

Score:

Technical

Feasibility

20% Existence of

automated data

entry

NO

YES

YES

Existence of

automated email

sending and

tracking

NO

YES

YES

Existence of web

portals

NO

YES

YES

Existence of Apps

Existence of

NO

YES

YES

Database

developers

NO

YES

YES

Existence of Web

developers

NO

YES

YES

Existence of

Security

Algorithms

NO

YES

YES

Existence of

Maintenance

infrastructure

NO

NO

NO


Economic

Feasibility

20% Human Staff

Salary

VERY HIGH

VERY LOW

VERY LOW

Website/App

Maintenance

Server

Maintenance

NA

NA

HIGH

HIGH

HIGH

HIGH


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Database

Maintenance

VERY HIGH HIGH HIGH

Consultancy

Fees

NA

NA

VERY HIGH

Break Even

point

NA

1-2 YEARS

1-2 YEARS

Future

Benefits

VERY LOW

VERY HIGH

HIGH


Schedule

Feasibility

15% TIMELINE NA

Between 6

MONTHS TO

1 YEAR

Between 1-2

years


Legal

Feasibility

20% Data privacy

legal issues

Exist

Doesn’t Exist

Doesn’t Exist

Data

protection

legal issues

Exist

Doesn’t Exist

Doesn’t Exist


WEIGHTED

SCORE

100

%

60.25 89.75 69.83

Hence, the weighted score shows that developing this project in- house is the best option.

Data & Analytics

Feasibility requirements group 3 compiled