In a move announced today GE (GE -1.61%) has entered an agreement to acquire API Healthcare, a "health care workforce management software and analytics solutions provider" for an undisclosed amount. Subject to regulatory approval, the deal is expected to close in the first quarter.
API Healthcare's services are currently used by more than 1,600 hospitals and staffing agencies. It provides solutions for staffing and scheduling, patient classification, talent management, business analytics, and other human resources functions. GE said the acquisition is a part of its Industrial Internet strategy that seeks to invest in innovative business that will add to its existing software, data, and analytics portfolio.
"This acquisition will bring API Healthcare's complementary offerings together with one of the world's leading health care companies to help customers make data-driven decisions on staffing and operations. As the demands of an aging population increase and the greater challenges associated with a changing workforce take hold, operational efficiency has never been more important," said API Healthcare's President and CEO J.P. Fingado in a statement. "We are excited to expand our capabilities and address customers' toughest challenges together with GE."
GE will move API Healthcare's products into its Hospital Operations Management (HOM) portfolio, which currently allows hospitals to access real-time data and ultimately reduce costs and save money. According to GE's press release, API Healthcare was ranked as having the top time and attendance solution for the previous 10 years as well as the top scheduling and staffing solution in 2012 by KLAS, a research firm.
"In addition to clinical systems, hospitals need operational management systems to drive enterprisewide efficiencies, reduce unnecessary costs and enable improved patient care," added GE Healthcare President and CEO, John Dineen, GE Healthcare. "Over the next 5-7 years, we believe sales of these systems will accelerate toward double-digit growth and GE Healthcare will lead the way."
GE noted this acquisition will further allow it to work with hospitals to enhance their asset, patient flow, and workforce optimization schemes, all allowing hospitals to enhance productivity.