HCMS Unveils Purple Solution for Obamacare


HCMS Group today unveiled our Purple Solution for the fight over Obamacare between Democrats and Republicans in Washington. We outlined it in a news release: http://www.prnewswire.com/news-releases/we-need-a-purple-solution-for-americas-healthcare-conundrum-300389869.html. Click here for research findings supporting our position, and here to see the elements of the plan.

Our point is that there is a simple, proven solution to the challenges created by the Affordable Care Act. We test-drove and refined it in the state of Wyoming, and we advocate it every day for self-insured employers. We’ve shown that it works to reduce healthcare waste while protecting health.

For more news from HCMS, click here.


Connecting the Dots on STAT: Surging Health Care Costs, Stagnant Economy, Flat Wages


Cheyenne, Wyo., Oct. 10, 2016 – Dr. Hank Gardner, CEO and managing partner of HCMS Group, pointed out the link from healthcare waste to flat wages to economic stagnation in an op-ed column published on the healthcare news website STATLink to downloadable PDF.

He defined healthcare waste as over-treatment by providers, in the form of excessive testing and prescribing, and over-consumption by patients, such as taking and often demanding too many tests and drugs.

The column cited a recent HCMS study of wages and healthcare costs based on 140,000 people in the company’s research reference database. The findings showed how healthcare costs rising at 10 percent or more a year help hold wage increases to 2 percent or less.

“Taking money out of the pockets of consumers is deadly for growth in a consumer-driven economy,” Gardner wrote.

Don’t count on a government fix, he argued. Instead, private, non-government employers can carry out do-it-yourself, market-based healthcare reform. Gardner outlined the HCMS approach involving integrated data, advanced data analytics, incentive alignment, and the 5|50 Solution.

To drive real health care reform, look to what employers are doing


HCMS Group Introduces Waste-Reducing Healthcare Reform Solution


CHEYENNE, Wyo., April 21, 2016 /PRNewswire/ — HCMS Group has introduced a new healthcare reform solution for employers and healthcare providers that is designed to address one of the biggest contributors to soaring medical costs: over-treatment by the health industry and risky over-consumption by patients.

Part of the problem with healthcare waste – over-treatment and over-utilization – is that it’s a $1 trillion elephant in the room that nobody wants to talk about. It’s a touchy subject, because who’s to say what waste is when we’re talking about someone’s health?

HCMS health analytics help answer that question. Focusing on waste is the best way to lower cost while improving health, as 30% of the nation’s $3.2 trillion in annual healthcare spending is wasted on over-consumption and over-treatment, with dangerous narcotic medications topping the list. Waste accounts for 30% to 40% of healthcare costs for many employers, based on HCMS research.

“Most healthcare providers know they over-treat people,” said Dr. Hank Gardner, CEO of HCMS Group, a health information services company based in Cheyenne. “They do it because that’s what patients expect – lots of tests and procedures and prescriptions – and the providers have to worry about customer satisfaction scores.”

Healthcare waste threatens business profitability and puts patients at risk, Dr. Gardner said. The HCMS healthcare reform solution targeting healthcare waste and has been proven effective in bending the healthcare cost curve, with reductions of 10% to 15%.

The 5|50 Solution, HCMS’s solution for healthcare reform, is built on a robust integrated data warehouse assembled for each employer. HCMS provides patent-pending predictive health analytics as an early alert system, health plan overhaul and high-touch clinical prevention focusing on the 5% of the population who account for more than half of medical costs.

Over the past five years, HCMS clients have recorded healthcare cost increases less than half as much as those of other companies in the same industries. HCMS is marketing its healthcare reform solution, and the centerpiece of the campaign is a “Know Your Numbers” explanation of healthcare waste:

  • 5 – The percentage of people who account for more than half of medical spending.
  • 50 – The percentage of healthcare cost that comes from business policy design incentives rather than from disease.
  • 30 – The percentage of spending that is waste and can be reduced while improving health.


Press Release: HCMS Group Becomes First Commercial Tenant of New Green House Data Center in Cheyenne

Press Release: HCMS Group Becomes First Commercial Tenant of New Green House Data Center in Cheyenne


-For Immediate Release-

HCMS Group moves to energy-efficient Green House Data and gains capacity, reliability, and security while exceeding HIPAA requirements.

Cheyenne, WY — HCMS Group recently became the first commercial tenant of Green House Data’s new Cheyenne data center, gaining expansion capacity, greater reliability, and improved security, the two companies jointly announced.

HCMS moved its servers, database storage systems, switches, and routers out of its data center in Cheyenne’s Bank of the West building, where they’ve been since the company began building secure healthcare databases more than a decade ago. The Cheyenne-based company’s Research Reference Database includes information on 4 million people covered by more than 300 employers.

As HCMS rapidly adds clients, the firm needed room to expand, said Mick Simon, the company’s chief technology officer. Green House Data offered several advantages to operating an owned-data center, including improved power system redundancy, access to multiple internet service providers, and heightened physical security compared with what HCMS could provide in a shared office building, he said. Green House Data’s data security also exceeds the requirements of the Health Insurance Portability and Accountability Act, or HIPAA.

Simon cited Green House Data’s willingness to go beyond HIPAA standards and “accommodate what we needed to do on top of standard security measures.”

Green House Data has other attractions, Simon said. The $35 million, 35,000-square-foot installation is designed to dramatically cut energy consumption, using passive and evaporative cooling systems. Green House can obtain as much as 100 percent of its power from renewable sources such as wind. Cheyenne sits astride the main transcontinental fiber optic cable lines in an area with low risks of earthquakes, tornadoes, and hurricanes.

“HCMS is an innovator in healthcare IT, and as a local company we’re thrilled we were able to help them keep their data center business in Wyoming,” said Shawn Mills, president, CEO and founder of Green House Data. “Working with them to understand their needs and those of their clients has helped us to meet and exceed the stringent information privacy and security requirements of the healthcare industry.”

Green House Data is a cloud hosting and co-location services provider with highly energy efficient, green data centers located across the country. The company is a certified VMware service provider, SSAE 16 Type II and HIPAA compliant, as well as a Certified B-Corp and EPA Green Power Partner. Visit http://www.greenhousedata.com to learn more, view demos, or request a free cloud trial.

HCMS Group is a healthcare data technology, research, and clinical prevention services company that provides integrated data warehousing and analytics to employers and healthcare organizations. The company’s 5|50 Solution™ uses the predictive Human Capital Risk Index® (HUI, patent pending) to identify individuals in the 5 percent of patients who account for 50 percent of medical costs. HCMS then helps those people manage complex health situations through the KnovaSolutions clinical prevention service. Visit http://www.hcmsgroup.com to learn more about population and individual health management.


For additional information, please contact:

Bob Simison, HCMS Communications

Wendy Fox, Green House Data Marketing


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To see this press release on PRWeb, please click here.


Dr. Gardner Named Distinguished Alumnus by University of Wyoming


Hank Pic 2Dr. Hank Gardner, the CEO and principal owner of HCMS Group, was recently named a distinguished alumnus by the University of Wyoming, 55 years after he moved on to medical school. He is one of three alumni who will be so recognized during Homecoming festivities in Laramie.

After growing up in rural Western Wyoming, Gardner attended UW on academic and athletic scholarships. He was a 6-foot-2 guard on the school’s 1958 NCAA tournament basketball team while pursuing pre-med studies. He went on to the University of Rochester School of Medicine & Dentistry in upstate New York in 1961, where he graduated with honors in 1965.

Over the course of his career, Gardner has been an Army doctor in Vietnam, a pioneer in the managed care movement in Western New York, a leader in community health initiatives in Detroit, and a healthcare entrepreneur in New York City. He has held academic appointments at the University of Rochester, Wayne State University in Michigan, the Mount Sinai Medical Center in New York and in the UW schools of business and health sciences.

The common threads coming out of this career are the importance of multidisciplinary primary care, an understanding of health as human capital, and the role of economic incentives in managing population health and employer medical benefit programs. He returned to Cheyenne in 1986 to conduct research on those issues and develop business and data-technology solutions for healthcare’s cost and quality problems.

HCMS employs more than 100 data analysts, advanced-degree nurses and pharmacists, computer programmers, and others, with about half of them located in Cheyenne. The State of Wyoming is one of the firm’s oldest clients and most prominent research partners.

“Wyoming is in my blood,” Gardner told UWyo Magazine, a UW alumni publication. He cited Wyoming’s favorable business environment and access to UW for his return to his native state. “Many of my recruits have UW degrees.”

The UW honor goes to individuals who are distinguished in their business, profession, or life work; who exhibit integrity, stature and demonstrated ability; and who reflect and realize the importance of their UW education, according to a statement from the university.

Also named distinguished alumni this year were Dr. Gaurdia Banister, executive director of the Institute for Patient Care at Massachusetts General Hospital in Boston, and the Honorable Dave Freudenthal, the former two-term governor of Wyoming. The university also will confer its Medallion Service Award on Peter and Paula Green Johnson, who launched the Peter M. and Paula Green Johnson Career Center at the College of Business in 2004.

Previous recipients of the distinguished alumni award include W. Edwards Deming, the father of statistical quality control whose research revolutionized manufacturing; Alan K. Simpson, the former Republican U.S. Senator from Wyoming; and former Vice President Dick Cheney.


Dr. Gardner Unveils HUI Risk Index at Stanford MedX Conference


Hank at MedX

STANFORD, California – Dr. Hank Gardner unveiled HCMS Group’s Human Capital Risk Index® (HUI) for the first time before an academic healthcare conference Sept. 6 at Stanford University.

Gardner outlined the unique features of the HUI metric (patent pending) before more than 100 people attending the Stanford School of Medicine’s Medicine X (MedX) conference, billed as “the intersection of medicine and emerging technologies.” His presentation was part of a session on patient-centered healthcare, one of Gardner’s core tenets as founder, CEO, and principal owner of HCMS.

The HUI individual risk index helps address the central problem in healthcare’s cost and quality problems. It is that 5% of the population accounts for more than 50% of medical spending, and more than half of this group’s expenses are for treatments, diagnostic tests, and medications that aren’t needed or are potentially harmful. HCMS Group’s HUI risk index is the only tool that has been developed to identify people before they enter the 5% high-cost group and steer help to them in managing complex medical situations.

Specifically, Gardner showed how the HUI risk index relies on econometric concepts (rather than actuarial or historical records), provides predictive information (rather than lagging data), and centers on the person (rather than disease). He explained that the index is based on comprehensive data including medical, pharmacy, and lost time, and relies on more than 300 weighted risk variables. (To view the presentation, click here.)

Members of the standing-room audience took notes on laptops, photographed Gardner’s slides and sent several tweets quoting his comments. Charles Ornstein, a Pulitzer Prize-winning investigative healthcare reporter with ProPublica who was a keynote speaker at the conference, posted this on Twitter: “The medical system is very good at piling on when you show up with a specific disease,” says Hank Gardner of HCMS Group. The HUI risk index dominated questions after the session.



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