“Bridging the Gap”: The Virtual Leadership Option That Can Benefit Rural Hospitals

Rural hospitals are grappling with the urgent issues of aging technology and escalating security concerns. The healthcare industry has witnessed a 12.4 percent cost surge from 2021 to 2023, surpassing the 5.2 percent increase in Medicare reimbursement.

This financial gap is propelling hospitals to make tough decisions between maintaining patient care and investing in cybersecurity and advanced technology. In this critical scenario, rural hospital leaders must swiftly reconsider their technology strategies, including the potential outsourcing of CIO and CISO roles to dedicated partners or executives.

This strategic move can bring fresh perspectives, specialized expertise, and cost-effective solutions, helping healthcare organizations adapt their approaches to their unique needs and circumstances, a topic we will explore further.

Virtual CIOs & CISOs

Many rural hospitals and small-to-medium healthcare organizations have an IT director/manager, often stepping up from help desk roles. And while these individuals may excel at day-to-day operations, they may lack a strategic vision for today’s complex technology and cybersecurity landscape. This is where a fractional or virtual (vCIO/CISO) can be a valuable addition.

A virtual CIO/CISO brings a wealth of strategic experience and oversight to organizations that can only justify a part-time executive-level technology or security position. By exploring this model, healthcare providers gain access to seasoned professionals who can balance IT needs with robust cybersecurity measures. This expertise can prove invaluable when navigating the intricate world of cyber insurance applications and ensuring compliance with privacy mandates.

Moreover, this leader will introduce a critical system of checks and balances between IT operations and security protocols, elevating the organization’s overall technological resilience. For rural hospitals striving to maximize resources, vCIO/CISO service is a cost-effective path to top-tier technology and cybersecurity leadership.

Outsourcing dilemma

Some argue that outsourcing technology and cybersecurity leadership can leave hospitals vulnerable, as external entities must fully grasp hospital operation’s complexities. They believe organizations need an in-house expert to manage their unique needs. As such, organizations may explore Managed Service Providers (MSPs) offering vCIO/CISO services to identify and address cybersecurity risks. While these services provide key resources, they have potential conflicts of interest. MSPs might highlight issues mainly to sell their solutions.

vCIO/CISO Structure

When considering virtual leadership for technology and security, you must decide whether to hire a single vCIO or separate the roles into a vCIO and vCISO. Organizations typically follow one of three models for the CIO’s role in security:

1. The CIO takes full responsibility for security.
2. The CIO oversees infrastructure, while a CISO handles security and reports to the CIO.
3. The CIO manages infrastructure, a CISO handles security, but the CISO reports to another executive.

Each model has its strengths and challenges. The first centralizes authority, the second creates a transparent chain of command within all technology, and the third offers the most independence for security decisions, but may complicate communication between IT and security teams.

In conclusion, engaging a vCIO, vCISO, or both can be transformative for rural hospitals with limited resources and evolving technological needs. These virtual leaders offer enterprise-level expertise, bridging the gap between outdated systems and modern security requirements. They can create targeted strategies to maximize budgets, ensure regulatory compliance, and implement robust cybersecurity measures.

This piece was written by David Chou, a senior digital healthcare executive with more than two decades of industry experience, including leadership roles with Cleveland Clinic, Children’s Mercy Hospital, Harris Health System, and University of Mississippi Medical Center.