Monitor and Keep Track of Payer and Patient Collections

Key performance indicators are metrics that help leaders and decision makers of the healthcare industry evaluate their organization’s performance and financial health. There are many metrics to look at for analyzing various departments of a healthcare organization but there are some key metrics or performance indicators that industry leaders use for evaluation. This blog aims to look at five such KPIs.

Key financial indicators help CFOs to compare their healthcare organization’s performance to other such organizations. ‘To effectively track healthcare revenue cycle performance, healthcare organizations should develop key performance indicators (KPIs)’, advises Sandra Wolf skill, Director of Healthcare Finance Policy and Revenue Cycle MAP at the Healthcare Financial Management Association (HFMA).She mentions in her article that some of the high-performing organizations have net days in AR between 28 and 36 days, whereas net days in A/R of 50 was considered a great number.

1. Days Cash On Hand

2. Operating margin or operating profit margin percentage

3. Net days in Accounts Receivable

4. Cash Collection as a percentage of net patient services revenue

5. Claims denial rate

Read More Information Click Here 

Help the CFO Keep Track of the Healthcare Organizations Performance Blogs

10 Proven Strategies For Hospital CFOs To Increase Revenue Cycle And Operational Efficiency

 Hospital CFOs Struggle to Keep Up With the Time

Here’s what 2016 taught healthcare CFOs and revenue cycle directors about RCM and compliance auditing

 12 Models Physicians are Practicing For 2016 [Infographic]

6 tactics to succeed for ACO readiness [Infographic]

Healthcare CFOs: Evolving roles and responsibilities

ACO’s – A Step Towards A Healthy World!!!

Medicare, The White Elephant We Cannot Get Rid Of

INFOGRAPHICS: Deloitte 2013 Survey Throws Light on Physician Beliefs

Improve Profitability and Reduce Cost-To-Collect

Healthcare organizations have many functional areas to work upon, but the
two main areas that affect the hospital’s sustenance are billing and
collections. Billing influences a hospital’s revenue for the future and
collections impact the financial health of the organization.

There are some aspects of healthcare financial management if reworked and technologically updated, it can multiply the prospects of success in billing
and collections.

An article on Becker’s Hospital Review discusses how a six-hospital health system that serves more than 2 million patients per year uses a customizable
online financial engagement platform to evaluate billing process issues
and find solutions for the same.

This financial engagement platform is one of the hundreds of products
 available that help hospitals prevent billing and/or collection bottlenecks.

Billing and collection bottlenecks:

Information Technology

Operational budgeting or forecasting

Streamlining patient access functions

Improving physician productivity

Implementing a collections module

Outdated fee schedule

Coding audits

Achieving economies of scale by externalizing RCM functions

Billing vendors not meeting the SLAs

Losing the common thread with RCM vendors

1. Information Technology (IT)

Information technology has been enabling healthcare organizations to
restructure staffing models, speed up billing process, increase collections
and also communicate with patients quickly and efficiently.
IT has been indirectly responsible for securing steady and good inflow of
revenues. Using a good billing software or a collections module or
an EHR that has some part of the billing process integrated into
 it can increase the efficiency of billing cycles. Read More