Monday, December 15, 2025

Brookings: Department of Veterans Affairs’ $10B EHR faces long odds

“Department of Veterans Affairs (VA) is finalizing the negotiations for a multi-billion-dollar deal with Cerner to replace its electronic health record (EHR) system. VA has justified this deal as a major step towards interoperability and information exchange, especially now that the Department of Defense (DOD) recently purchased the same software. While I commend VA for its appreciation of the value of interoperability and for taking major steps to achieve it, I believe that VA could have chosen different strategies with lower costs and a much higher chance of success.”

“According to The Standish Group’s report, from 2003 to 2012 only 6.4 percent of federal IT projects with $10 million or more in labor costs succeeded. There are many different reasons for such lackluster performance. Most importantly, what a 2006 Defense Acquisition Performance Assessment report describes as government’s “conspiracy of hope” understates a program’s costs, risks, and technical readiness…”

“The VA’s EHR project is similar to other government IT projects, but judging from this history, the VA project is also very likely to fail. In addition to the usual causes of failure, the VA adds an extra layer of complexity that increases the odds of failure: its personnel show an immense resistance to change…” Read the full article here.

Source: Department of Veterans Affairs’ $10 Billion electronic health record system faces long odds – By Niam Yaraghi, March 15, 2018. Brookings.

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Jackie Gilbert
Jackie Gilbert
Jackie Gilbert is a Content Analyst for FedHealthIT and Author of 'Anything but COVID-19' on the Daily Take Newsletter for G2Xchange Health and FedCiv.

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