Examine the EHR Cost-Benefit Analysis table (found under 1: Overview & Resources along with this activity document) and answer the following questions.

1. In what year of implementation are the benefits of the eMAR projected to outweigh the costs?
2. By year 5, what is the projected annual benefit of the eMAR?
3. Look at the productivity loss line item and explain in words what is anticipated for the loss of productivity during the first five years of the eMAR implementation. Explain why you think this will be the case.

Initial Cost Year 1 Year 2 Year 3 Year 4 Year 5 Total $1600 $1600 $1600 $1600 $1600 $1600 $3400 $1500 $6600 $1500 $1500 $1500 $1500 $1500 $6600 $11,200 $13,100 $13,100 $14,300 $13,619 $3100 $2812 $9700 $8379 $3100 $2550 $3100 $2429 $46,400 $42,900 $3000 $2700 Costs Software license (annual) Implementation Support Hardware (refresh every 3 years) Productivity loss Annual costs Present value of annual costs* Benefits Chart pull savings Transcription savings Prevention of adverse drug events Drug savings Laboratory savings Radiology savings Charge capture improvement Billing error decrease Annual benefits Present value of annual benefits Net benefit (cost) Present value of net benefit (cost)* * Assumes a 5% discount rate. $3000 $2700 $2200 $16,400 $3000 $2700 $2200 $16,400 $3000 $2700 $2200 $16,400 $2400 $8300 $7700 $7600 $50,300 $41,382 $47,200 $38,832 $3000 $2700 $2200 $16,400 $2400 $8300 $7700 $7600 $50,300 $39,411 $47,200 $36,982 $(13,100) $(13,100) $5700 $5429 $(8600) $(8190) $24,300 $22,041 $21,200 $19,229 $24,300 $20,991 $14,600 $12,612 $154,900 $129,300 $108,500 $86,400