ASPs host software so customers don't have to install and manage it themselves. People access the software from their desktops, and it is typically remotely monitored from a data center. Customers pay outside providers to run everything from complicated enterprise software installations to more common desktop applications, which are often difficult to maintain.

An ASP purchases and licenses best-of-breed enterprise software applications from leading vendors, which they offer to their customers over a secure network. This suite of applications is designed to accommodate the requirements of rapidly growing as well as larger, more mature Healthcare Practices. They enable their customers to avoid the significant upfront licensing, implementation and integration costs and the unpredictable and often-greater ongoing application management costs usually associated with internally operated enterprise application systems. Following the rapid implementation of applications, usually performed for a fixed fee, their customers pay a predictable monthly service fee based largely on the number of applications hosted and total users.

A number of major technology companies have recently jumped into the application service provider (ASP) market, providing a wide range of hosted services, equipment and data center capabilities. While the ASP market is still in its infancy, it is expected to grow to $2 billion by 2003, according to market research firm International Data Corp.

New ASP model nearing completion

According to Spokesperson, Deborah Lind-Jensen, Vice-President of Client Services for Advanced Healthcare Solutions, Inc., the Corporation plans to be live with new ASP model by 4th-Quarter, 2000. "With Medicare plans to transfer to the new X-12 format by January of 2001, a significant number of Providers will be left without a solution. The time to act is now". The ASP will host a comprehensive Medical Management Software and Claims Processing Program. The software programs will have the capability to transmit claims in the new X-12N format. If you would like more information regarding ASP membership or services, contact us.