SOURCE: NaviSite, Inc.

April 01, 2008 11:49 ET

NaviSite Tops Healthcare Application Solutions Provider List

Recent Study by KLAS Ranks NaviSite #1 Among Application Hosting Providers

ANDOVER, MA--(Marketwire - April 1, 2008) - NaviSite, Inc. (NASDAQ: NAVI), a leading provider of enterprise application solutions, today announced that it has earned the highest rating in a KLAS study that identifies the best application hosting providers for the healthcare industry (www.klasresearch.com), based on provider feedback. KLAS is a market intelligence firm that independently monitors supplier performance through the active participation of thousands of healthcare provider organizations.

NaviSite, including its wholly-owned subsidiary netASPx, LLC, was rated first among a survey of healthcare providers who were asked to evaluate the best application hosting firms. With a long list of healthcare-related customers, NaviSite provides an integrated solution through the management of back-office systems and applications, enabling providers to concentrate resources on delivering their core healthcare expertise.

The study was conducted to help healthcare providers gain a better understanding of the application hosting market and to investigate the successes and challenges they face in managing their core and financial applications. Healthcare organizations were asked about their plans to renew with their IT vendors, whether their service had improved, and whether they were getting value for the money. The overwhelming majority answered favorably to these questions and indicated they were getting more for their money. The findings support an accelerating trend in healthcare organizations to enlist the services of trusted third-party application providers.

"Healthcare providers are changing the way they think about applications in two ways: They are beginning to separate the operational aspects from application usage, and the fear of outsourcing core systems appears to have dropped below a threshold that previously prevented even consideration for outsourcing," said Michael K. Smith, Report Author for KLAS Enterprises. "Those that have led the trail to deep clinical and financial adoption know of the energy and resources necessary to get and keep the system up and running. Today, they have a much deeper desire to apply their resources to effective use of the application and are much more willing to leave the operational aspects to someone else."

"We're proud of NaviSite's solid track record of service to the healthcare industry," said Nasir Cochinwala, Senior Vice President of Professional Services, NaviSite, Inc. "Our success has been built on expertise in a broad range of application services complemented by a strong portfolio of managed technologies and services. The KLAS study validates our approach, which has been to help customers in the healthcare industry by solving their challenges with IT complexity, cost and compliance."

NaviSite offers a full range of IT services to the healthcare industry from application management, development and implementation to infrastructure services such as complex hosting, data and security management. An Oracle Certified Advantage Partner, NaviSite manages the Oracle E-Business Suite along with PeopleSoft Enterprise and Siebel, in addition to Lawson and Kronos. NaviSite provides integrated, end-to-end solutions for healthcare, including a virtual server platform, which is specifically designed to deliver a high-performance, flexible IT environment that rapidly scales and enables mid-market organizations to quickly seize new market opportunities.

About KLAS

KLAS is the only research firm that specializes in monitoring and reporting the performance of healthcare's information technology (HIT) vendors. KLAS' mission is to improve HIT delivery, by independently measuring vendor performance for the benefit of our healthcare provider partners, consultants, investors, and vendors. Working together with executives from over 4500 hospitals and over 2500 clinics, KLAS delivers timely reports, trends, and statistics, which provide a solid overview of vendor performance in the HIT industry. KLAS measures performance of software, professional services, and medical equipment vendors. For more information, go to www.KLASresearch.com, email marketing@KLASresearch.com, or call 1-800-920-4109 to speak with a KLAS representative.

About NaviSite

NaviSite is a leading provider of application solutions and hosting services. More than 1,500 customers depend on NaviSite for application development, implementation and management on its web infrastructure platforms in 18 state-of-the-art data centers supported by more than 700 professionals. NaviSite provides customized and scalable solutions leveraging its broad range of application development capabilities, packaged software implementation expertise, deep portfolio of best in class technologies and a full suite of web-hosting and internet infrastructure options. For more information, please visit www.navisite.com.

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