A lot of work and time goes into creating a revenue cycle partnership. Regardless of how well implementation and transition went, the yardstick by which everything is measured is the impact to revenue and costs. Consistent reporting by your partner allows CFOs to better manage already narrow margins under value-based reimbursement. And if you can work together to demonstrate savings by externalizing revenue cycle management (RCM), you can confidently devote more of your resources to your organization’s core capabilities.
These final steps of our Roadmap to Partnership series drive home the importance of measuring how the RCM partner is managing processes and how well both sides can overcome obstacles to keep revenue management on an upward trend. (See previous posts in blog series: intro, steps 1–3, steps 4–6 and steps 7–9.)
Step 10 – Measure, monitor performance and results.
After the transition to an RCM partner, CFOs need to monitor performance. The solution partner should keep track of previously agreed upon metrics and report data based on previously agreed upon timing and methods in the service agreements. Metric dashboards are valuable resources for health system leaders. The RCM partner should provide regular views into patient access, coding and documentation improvement, billing, compliance and collections — all based on the health system leaders’ need to know.
Step 11 – Continuously work together to improve results and manage/remove obstacles.
Health systems and RCM partners share in the benefits of a successful collaboration, and each should continually look to the other for improvements. Using performance, quality and training feedback loops, they can take steps to improve upon success metrics and see that the new normal is better than conditions prior to the transition. Expect surprises to pop up. As partners who share incentives, both sides should jointly manage and remove obstacles that get in the way of upward movement of the provider’s revenue cycle.
Embracing an external revenue cycle solution can be time- and resource-consuming, but the results can be well worth it. Letting a solution partner focus on making the investments in creating world-class revenue cycles means health system leaders can put their energies toward better patient care.
For more information or to view the full Roadmap to Partnership white paper, click here.
About the Author:
Le Anne Trachok, Chief Strategy Officer
Le Anne Trachok leads enterprise strategy and innovation with a focus on understanding client needs, industry trends and new opportunities. Her team is responsible for solution design that encompasses services, technologies, content and analytics to improve financial performance and the patient experience for hospitals and health systems. Trachok also oversees and champions Optum360’s brand and culture.
With more than 20 years of experience in revenue cycle management and hospital advisory services, Trachok previously led Dignity Health’s revenue cycle function. Prior to that, she served in leadership positions at Arthur Andersen, UCLA Medical Center, and Tenet Healthcare.
Trachok holds a master’s degree from the University of Notre Dame’s Mendoza School of Business and a Bachelor of Arts degree in business administration from Washington & Jefferson College.