As a healthcare provider you are confronted with the challenge of competing profitably in an industry where reimbursements are becoming more complex and margins are shrinking. Leading organizations are finding ways to ensure they are not leaving money on the table, which could be caused by missing charges, inadequate coding or clinical documentation, or the use of inefficient paper charge capture that slows the revenue cycle.
According to the 2016 Revenue Cycle Management Report, a survey of 2,000 independent physician practices and 200 hospital-based physician practices by Black Book Market Research, the profit margins of healthcare provider organizations continues to be negatively affected by traditional patient billing solutions.
To begin, many organizations are unprepared for value-driven care. The survey found that 9 in 10 practices are financially and technologically unprepared to provide value-based healthcare to their patients — which is a significant and increasing payment trend, especially among hospitals. What’s more, despite the added emphasis on compliance and risk management, many physicians characterized themselves as “not tech savvy,” adding that the investment in hardware, applications, and training is too expensive for many small practices.
There is nothing more elemental to healthcare than a physician’s treatment of a patient. As much as the industry continues to evolve, this essential interaction has never been more integral to the overall delivery of quality care. But while patient care will always be the number one goal for physicians, today’s declining reimbursements and tighter margins means the revenue cycle must be prioritized as well. If a practice’s financial health fails, it can’t keep its doors open to take care of the patients.