iSOFT

iSOFT
Industry Healthcare IT
Products Healthcare Software Applications
Website http://www.isofthealth.com

iSOFT is an international supplier of software applications for the healthcare sector. Its products are used by an estimated 13,000 organisations in 40 countries for managing patient information and healthcare services. Its headquarters are in Sydney, Australia.

iSOFT was founded in 1996 as a business group within accounting group, KPMG and bought out of the Group in 1999. In 2000, iSOFT had a successful listing on the London Stock Exchange.

iSOFT became part of the IBA Health Group following a merger completed in October 2007. The IBA Health Group has since changed its name to iSOFT Group to build on the goodwill associated with one of the world's leading health IT brands, iSOFT.  iSOFT announced on 24 March 2011 that trading in its shares would be suspended pending a corporate announcement. Subsequently on 4 April, the company announced that it was recommending a cash offer from CSC.

Contents

Accountancy irregularities

In the summer of 2004 the Guardian newspaper saw a confidential report suggesting questionable accounting practices in iSOFT tracing back to 2002.[1] iSOFT sought[2] and obtained an injunction against the paper preventing publication of the story, and a Parliamentary Written Question was answered by the government saying that they had no plans to look into the matter.[3]

The leaked confidential report had been commissioned prior to a merger between itself and its rival Torex[4] and had raised sufficient concerns within Torex that it was only rescued by the personal assurance of Sir Digby Jones, then Director-General of the CBI and non-executive director of iSOFT.

Following profits warnings in January 2006 and June 2006 due to changes in its accounting policy, the resignation of its chief executive, the announcement of losses of £344m for the year to April 2006, extensive delays to its already overdue LORENZO product[5] and the pulling out of one its two main customers, Accenture, from the NHS government contract in September, and the opening of an investigation by the Financial Services Authority, the gagging order against the newspaper was lifted in October.[1]

In January 2010, the FSA confirmed that they had begun legal proceedings against the four directors[6] who were involved in the irregularities. In March, the AADB excluded Ian Storey, former financial controller, from membership of his professional body ICAEW.[7]

Sale of company

Software problems

iSOFT's flagship product LORENZO has been dogged by a number of issues mainly centred on delays to delivery schedules[10] and questions over its suitability for the purpose it was intended.[11][12] As a result of continuous delays and quality issues, Singhealth, one of iSOFT's three early adopters abandoned plans to wait for delivery of LORENZO and opted to return to i.Clinical Manager's heritage product and deployed Sunrise Clinical Manager from Eclipsys instead.

In November 2009, the government admitted that despite the challenges a handful of sites had gone live with Lorenzo, although there were only 174 regular users.[1] A week later, Gary Cohen claimed that LORENZO would be live at 25 trusts in 2010,[2] despite the history of problems.

Less than three months later, NHS trusts trying to install Lorenzo reported delays or deferred the installation of Lorenzo.[3][4][5]

iSOFT History

News items

See also

External links

References

  1. ^ a b "Memorandum submitted by Ian Griffiths and Simon Bowers, The Guardian". Public Accounts Committee - House of Commons. 26 March 2007. http://www.parliament.the-stationery-office.co.uk/pa/cm200607/cmselect/cmpubacc/390/6062640.htm. 
  2. ^ Fletcher, Firchard (22 August 2004). "Isoft goes to court over leak to press". The Times. http://business.timesonline.co.uk/tol/business/industry_sectors/technology/article473319.ece. 
  3. ^ John Hutton MP (14 September 2004). "Health - NHS Information Technology". TheyWorkForYou.com. http://www.theyworkforyou.com/wrans/?id=2004-09-14.187360.h. 
  4. ^ Hopkins, Nic (23 July 2003). "Torex and iSoft unveil £700m merger plan". The Times. http://business.timesonline.co.uk/tol/business/article847686.ece. 
  5. ^ "Lorenzo stalled at Morecambe Bay". E-Health-Insider. 21 October 2008. http://www.e-health-insider.com/news/4252/lorenzo_stalled_at_morecambe_bay. 
  6. ^ Hoeksma, Jon (6 January 2010). "Former iSOFT directors face court". e-Health-Insider.com. http://www.e-health-insider.com/News/5521/former_isoft_directors_face_court. 
  7. ^ Former iSoft FC excluded from the ICAEW after AADB probe, Accountancy Age, 22 March 2010
  8. ^ "guardianmemorandum"
  9. ^ iSOFT board approves IBA Health takeover
  10. ^ Fernandez, Joe (19 June 2008). "Lorenzo slipped 'months ago' say reports". e-Health-Insider. http://www.e-health-insider.com/News/3869/lorenzo_slipped_'months_ago'_say_reports. 
  11. ^ "'No believable plan' for completion of iSoft Lorenzo". e-Health-Insider. 21 August 2006. http://www.e-health-insider.com/News/2080/'no_believable_plan'_for_completion_of_isoft_lorenzo. 
  12. ^ McCue, Andy (21 August 2006). ""No believable plan" for key NHS IT software". silicon.com. http://www.silicon.com/publicsector/0,3800010403,39161655,00.htm.