3.3 Evaluate the impact of digital health on the healthcare system

1. What is digital health?

Digital health is the use of digital technologies and data to support health and healthcare delivery. It includes services used by healthcare workers and tools used by individuals. These can include:

Digital health is not simply the electronic version of paper records. Its real purpose is to improve how the healthcare system works by making health information easier to collect, access, share and use. This means digital health should be judged by whether it actually improves care, safety, access and efficiency, not just by whether technology is present.

A key idea is interoperability. This means different digital systems can share health information securely, accurately and in a way that is useful during care. This is important because digital health is most valuable when information can move with the individual across different services rather than staying trapped in one organisation or one software system.

Example: A person sees a GP, is sent to hospital, and later picks up medicine from a pharmacy. If each service can see the same allergy list, medication history and discharge summary, care is more connected. If they cannot, the person may have to repeat everything and there is a greater chance of error.

Digital health matters most when it improves outcomes the healthcare system values.

Overall, digital health has strong value when it improves the flow of information and supports better decisions, but its impact depends on how well systems work together in practice.

2. What services exist?

2.1 Telehealth

Telehealth is a consultation by phone or video instead of face-to-face. It expanded quickly during COVID-19 and is now a common way to access care.

Telehealth is often successful for:

• follow-up appointments and routine care
• specialist access when travel is difficult
• supporting continuity of care when someone cannot attend in person

Its main strength is access. It can reduce travel time, missed work, transport barriers and waiting, which makes healthcare more convenient and, in many situations, more equitable. However, this benefit is not universal. Telehealth is less suitable when a physical examination, urgent treatment or hands-on assessment is needed.

Example: A person living several hours from the nearest specialist may be able to attend a 15-minute video review instead of taking a full day off work to travel. In this situation, telehealth clearly improves access. By contrast, a person with severe abdominal pain may still need face-to-face assessment because the doctor may need to examine them physically.

2.2 My Health Record

Electronic health records store health information digitally. They include local records used by hospitals and clinics, and broader systems designed to support information-sharing.

In Australia, My Health Record is a national system designed to help individuals and authorised healthcare workers access key health information across different services. Shared records may include medicines, allergies, immunisations, test results, discharge summaries and specialist letters.

Its value is greatest when the information is current, accurate and easy to locate during care. If important information is missing or difficult to find, the system becomes less useful, even if the technology itself is available.

Example: If a person arrives at hospital and staff can immediately see their current medicines and a recent discharge summary, treatment can begin more safely. If those details have not been uploaded or are outdated, the digital record may not prevent delays or mistakes.

2.3 Other common digital health services

Other common digital health services include:

• Electronic prescribing (e-prescribing): prescriptions are sent digitally, which can reduce handwriting errors and make medicine collection more convenient
• Electronic referrals and secure messaging between organisations: allows GPs to send referrals, reports and results more quickly and securely than fax or post
• Apps, wearables and remote monitoring tools: can help individuals track health data such as blood glucose, heart rate or symptoms over time
• Online portals, reminders and automated communication: can allow people to book appointments, view results or receive reminders by SMS or email

These services show that digital health is broader than telehealth alone. Some tools mainly improve communication between providers, while others increase individual involvement in healthcare. Their usefulness, however, depends on whether they are reliable, easy to use and linked to actual care rather than just collecting data for its own sake.

Example: A smartwatch that records heart rate is not automatically useful healthcare. It becomes more useful when that information helps identify a pattern, such as repeated irregular heart rhythms, and that information can then be reviewed by a clinician.

3. To what extent has digital health been successful in connecting health information?

Digital health has been successful to a moderate extent in connecting health information across Australia. It has improved how information is stored, accessed and shared, particularly through services such as telehealth, electronic health records, electronic prescribing, secure messaging and My Health Record. These systems make it easier for health professionals to access key information such as medications, allergies, referrals, discharge summaries and test results, which can strengthen continuity of care when a person moves between a GP, specialist, pharmacy and hospital.

A major success of digital health is that it has reduced some of the problems caused by isolated paper-based or local record systems. Instead of information staying within one clinic or one provider, digital systems make it more possible for relevant health information to follow the individual. This can support faster clinical decisions, reduce repeated questioning and lower the chance of duplicated tests or administrative delays. Telehealth has also improved access to consultations, especially for people in rural and remote areas or those who face barriers to in-person care.

Some of the clearest areas of success include:

• faster access to important clinical information
• improved continuity of care across different services
• fewer delays caused by paper records, faxing or physical transfer of documents
• better access to consultations through telehealth
• more opportunity for individuals to access some of their own health information

However, the success of digital health in truly connecting health information is still uneven. A major limitation is interoperability. Different systems do not always communicate smoothly or display information in a way that is easy to use. A hospital, general practice, pharmacy and allied health service may all hold useful information, but if their systems are not well linked, care can still remain fragmented. This means digital health has improved the possibility of connected care more than it has guaranteed it.

Example: A patient may have blood test results in one system, medication records in another, and specialist letters in a third. Even though all the information is digital, the clinician may still need to log into multiple systems or make phone calls. The information exists, but it is not fully connected.

Its effectiveness also depends on the quality of the information being shared. Digital systems are only helpful if records are current, accurate, complete and easy to find. If information is missing, outdated or poorly organised, clinicians may still need to rely on separate phone calls, repeated history-taking or extra paperwork. Privacy and security protections are essential, but if access settings are confusing or inconsistent, they can also make information-sharing less effective in practice.

Overall, digital health has been partly successful in connecting health information. It has created important infrastructure and delivered genuine improvements, but the system is still not seamless across the whole healthcare network.

4. What challenges and opportunities does digital health provide for individuals and organisations?

Digital health creates both opportunities and challenges for individuals and organisations. It can improve access, efficiency and participation in care, but it can also create issues around equity, privacy, cost and system compatibility. This means its impact should be viewed as beneficial but conditional, rather than automatically positive in every setting.

4.1 Individuals

For individuals, digital health can improve access, convenience and involvement in personal healthcare. Telehealth can make appointments easier to attend, especially for people who live far from services, have mobility limitations or need routine follow-up care. Digital tools such as patient portals, apps, wearables and remote monitoring devices can also give individuals more access to their own health information. This can help people manage chronic conditions, monitor medication, track symptoms and build stronger health literacy by engaging more directly with their care.

The main opportunities for individuals include:

• easier access to healthcare services
• more convenience and flexibility
• more direct access to personal health information
• better support for self-monitoring and ongoing management
• stronger potential for informed decision-making

These opportunities are significant because they can make healthcare more person-centred. Individuals may feel more informed and more involved rather than being passive recipients of care.

At the same time, digital health creates important challenges for individuals. The biggest issue is equity. Not everyone has reliable internet access, suitable devices, private spaces for consultations or the digital skills needed to use online systems confidently. This means digital health may reduce barriers for some people while creating new barriers for others. Some individuals may also find clinical results or app-generated information difficult to understand without explanation, which can lead to confusion or anxiety. In addition, concerns about privacy and security may reduce trust if people are unsure who can access their data or how it is being stored.

Example: An online portal may help one person quickly check their test results and book an appointment. For another person with limited internet access or low digital confidence, the same system may make care harder to access rather than easier.

4.2 Organisations

For organisations, digital health offers major opportunities to improve coordination, efficiency and quality of care. Information can be transferred more quickly between services, which can strengthen referrals, discharge planning, medication management and follow-up care. Better access to shared information can also improve patient safety, because clinicians are more likely to see allergies, current medicines and recent results before making decisions. At a broader level, digital systems can support service planning, monitoring and evaluation by giving organisations more usable data about patient needs and service demand.

The main opportunities for organisations include:

• improved coordination between providers
• faster communication and information-sharing
• improved patient safety
• less duplication of paperwork and administration
• better planning through access to digital data

These are important advantages because they can improve the way the healthcare system functions as a whole, not just the experience of one individual patient.

However, organisations also face major challenges. Digital systems can be expensive to introduce, maintain and update. Costs often include software, hardware, staff training, technical support and cybersecurity. New systems can also disrupt workflows, especially during implementation, and staff may need significant support to use them efficiently and accurately. Organisations also carry serious responsibility for protecting sensitive health information from breaches or cyber attacks. Even when one organisation has strong digital infrastructure, the benefits are reduced if surrounding services use incompatible systems.

Example: A hospital may introduce a new digital medication chart that improves safety inside that hospital. But if local GPs, pharmacies or aged care services cannot easily receive or use the same information, the improvement stays partly isolated.

Overall, digital health creates real opportunities for both individuals and organisations, but those opportunities are strongest when systems are accessible, secure, well supported and able to work together.