Get the E-newsletter
As health systems adjust their real estate holdings to increase access to services, improve patient care, and lower costs, the physical environment of health care is shifting. Although hospital construction accounts for the majority of industry projects, according to a recent Colliers International research report, 83 percent of 283 projects in 2016 focused on expansion of existing facilities instead of building new ones.a
Value-based care with a focus on population health and the rise of consumerism have altered healthcare delivery, leading to new real estate strategies that include enhancing hospital facilities and building outpatient centers or smaller-scale micro-hospitals. The migration from inpatient to outpatient care, which has been taking place over the past 20 years, has contributed to a decrease in the national occupancy rate for hospitals from 77 percent to 61 percent since 1980, according to data from the Medicare Payment Advisory Commission.
In response, healthcare organizations have developed locations that are easier for patients to access. “Being able to locate many, varied services, including physician services and ancillary services that are necessary to manage populations in one location, provides an advantage when you care for patients—patients want convenience,” says Peter Schoch, MD, vice president for value-based care and payment at SSM Health St Louis.
The transition to value is a key driver, with healthcare organizations exploring ways to keep populations healthier and control costs by reducing unnecessary utilization such as hospital admissions and readmissions. This approach has influenced efforts to define the most appropriate care setting while aligning inpatient and outpatient services.
Organizations thus are looking outside the walls of hospitals. “We’re seeing organizations completely rethink how they are going to deliver care and where it is going to be delivered,” says Carole Faig, U.S. health deputy leader at EY.
To reach patients more efficiently, healthcare organizations have rethought their real estate strategies by expanding, transforming, and building facilities.
Use of off-campus outpatient facilities. In building off-campus facilities that improve access and contribute to a continuum of care, health systems also are seeking to control costs, as outpatient centers often are less expensive to construct and operate than traditional hospitals.
In April of this year, SSM Health opened its third outpatient center in St. Charles, Mo. The 55,700-square-foot, $26 million facility joins SSM Health’s network in St. Charles County, including three hospitals, two urgent care sites, existing outpatient centers in St. Peters and Wentzville, and SSM Health Medical Group.
Given limited space on hospital campuses and the value of the property, the outpatient center presents a less expensive option compared with a similarly sized hospital construction or expansion.
“Patients don’t have to go to the hospital,” says Rachel Donlan, director of strategy and business development with SSM Health St. Charles. “They can access a very convenient outpatient center and get multiple services in one location.”
The new outpatient center in St. Charles offers primary and specialty care services, including an urgent care clinic and advanced imaging services such as MRI, CT, X-ray, ultrasound, mammography, and bone density. The organization also has launched an outpatient palliative care pilot, the first outpatient-based chronic disease management program in the St. Charles network.
UCSF Benioff Children’s Hospital Oakland (Calif.) is working on a 10-year expansion plan that includes a second outpatient center. The new center will include pediatric clinics that offer services such as outpatient rehab, a neurosurgery clinic, surgery offices, cardiology, neurology, dermatology, and ENT as well as the hospital’s clinical lab.
Transforming current facilities. In addition to developing outpatient services, organizations are embarking on projects that improve, expand, and repurpose facilities in a number of areas.
UCSF Benioff Children’s Hospital Oakland plans to shift its NICU and PICU inpatient accommodations from wards to single-patient rooms to improve the care experience, for example.
“You have kids in varying ages all the way up to 18 or 19, and it makes it really difficult when you have a very, very sick kid, and there’s really no privacy and there’s a lot of stress put on the family,” says Doug Nelson, vice president of development, construction, and real estate services. The 38-NICU and 23-PICU bed count will not increase, but the square footage for each space will more than double.
Providence Tarzana Medical Center in Tarzana, Calif., has started an expansion that will cost more than $514 million and feature a new patient wing, enhancements to its NICU and women’s health pavilion, expanded diagnostic and treatment areas, and a new and expanded emergency department (ED).
One of the project’s goals is to improve inpatient services while growing outpatient capabilities. The hospital is repurposing the existing patient wing to serve as ancillary and support space and aims to expand outpatient services such as advanced imaging services and surgery in adjacent office buildings.
“Rather than having a patient come in for ancillary services within the walls of a hospital, most patients—especially for lower-acuity ancillary procedures such as imaging activities—prefer doing that in a more a convenient location, which tends to be more affordable,” says Dale Surowitz, Providence Tarzana Medical Center’s CEO.
Building on a smaller scale. Another strategy that health systems use to increase their reach is building micro-hospitals. Since 2014, Texas-based Baylor, Scott & White Health has built eight micro-hospitals, with a ninth scheduled for completion later in 2017. While meeting licensing and regulatory requirements, these facilities are much smaller in scale, costing between $7 million and $30 million to build.
“We wanted to go into markets close to people’s homes, and it’s a much more cost-efficient strategy to build a micro-hospital than a full-service hospital,” says Jerri Garison, president of Baylor Scott & White Medical Center-Plano and senior vice president of the health system’s East Region. The micro-hospitals typically include six to eight inpatient beds, most ED services, and office space for physicians and primary care specialists.
In addition to improving access to care and controlling costs, health systems are using real estate strategies to support adjustments in healthcare delivery.
In the Health Facilities Management 2016 Hospital Construction Survey, 86 percent of respondents placed high value on patient satisfaction when exploring changes in facilities and services. Moreover, 63 percent involved the community in the conversation surrounding design changes to their facilities.b
“We talked about it every step along the way,” Nelson says of the patient and family feedback process for the UCSF Benioff Children’s Hospital Oakland expansion.
“A lot of thought went into what needs to be in a patient room, what do you expect to see there that you didn’t see, and how can we improve that?” Patients and families wanted quiet, private spaces with areas that afforded the opportunity to rest, contributing to the organization’s decision to transition its NICU and PICU inpatient accommodations from wards to single-patient rooms.
Operating under both fee-for-service and value-based payment models, SSM Health’s outpatient palliative care services in St. Charles reflect a broader population health approach. The new outpatient center offers a convenient, less expensive way for providers to discuss and set expectations for care with patients and their families.
“Many healthcare expenditures at end-of-life are because we haven’t had conversations with patients around how they would like to approach end-of-life,” Schoch says. “Palliative care is our mechanism to do that, and we hope to integrate it completely with our ambulatory settings and inpatient setting.”
Palliative Care Consult
Orders at SSM Health-St. Louis
SSM Health has developed a screening tool for patients who enter the system on an inpatient basis and who might benefit from outpatient palliative care services. Those patients receive an inpatient consult and a follow-up meeting at the new outpatient center. While the outpatient center has been operational for only a few months, SSM Health anticipates that the services offered will help reduce unnecessary hospital admissions and readmissions.
“For those risk-based contracts we’re entering, a key component is keeping patients out of the hospital and at the lowest level of the most appropriate care, and that’s really going to be the outpatient setting,” Donlan says. In addition to growing its outpatient palliative care program across St. Louis, SSM Health aims to expand this care approach to manage other chronic conditions such as diabetes, congestive heart failure, and chronic obstructive pulmonary disease.
Settings such as outpatient centers and micro-hospitals are helping organizations reach more patients at lower costs, reflecting a larger care continuum that relies on a range of facilities to better serve the needs of a population.
“We’re now shifting the paradigm fundamentally to say, ‘You as the provider of care are responsible for the health of this patient,’” says Jacques Mulder, U.S. health sector leader at EY.
“Inpatient settings, outpatient settings, acute care, pharmacy, everything they touch the healthcare system with—in population health, infrastructure is absolutely critical,” Mulder adds.
For Baylor Scott & White, which includes 48 hospitals, more than 1,000 patient care sites, and an estimated 5,500 active physicians, micro-hospitals help extend its reach while also serving as an entry point to another part of the system should the need arise.
“Through our network, we can push people to the more appropriate level of care,” Garison says, referring to the health system’s micro-hospitals, the success of which is measured according to quality metrics and patient satisfaction. “If someone comes in with chest pain and that’s not appropriate at that location, we can transfer to another hospital. It’s our whole system of care that is making us successful.”
In population health management, the tracking and sharing of patient data supports care across visits and facilities, providing an opportunity to identify inefficiencies and examine information across patient populations to plan potential interventions. Organizations have the opportunity to consider the most effective way to deliver this data when redesigning and expanding facilities.
For instance, Providence will be exploring ways to streamline its electronic health records to improve information flow and increase efficiency through its redesigned facilities.
“This project will allow us to have better communication going back and forth between the ambulatory side and the hospital,” Surowitz says.
Real estate strategies must account for Medicare’s site-neutral payment policies, which adjust payment based on the location of off-campus hospital outpatient centers. The rule, which defines such facilities as off-campus if placed more than 250 yards from a hospital, codifies larger payment for hospital-based procedures than for those at off-campus outpatient sites.
By paying lower amounts for services performed in certain structures, site-neutral legislation has challenged organizations to consider location of care as a factor in benchmarking and forecasting. “We figured that into our process,” Providence’s Surowitz says. “We had to plan already that certain services, such as imaging, are not going to be under the hospital umbrella.” The medical center has started discussions with other organizations to consider joint ventures and other types of partnerships to expand outpatient services while controlling costs.
Organizations can be granted exceptions depending on the time frame of construction projects. The construction phase of SSM Health’s third outpatient center in St. Charles began before the rule took effect Nov. 2, 2015, for example, thus exempting the facility from site-neutral payment restrictions.
Nonetheless, SSM Health has incorporated the policy into future planning. “Financial modeling, including any potential impact of site neutrality, and many other factors are taken into account when SSM Health considers investing in new facilities,” Karen Rewerts, regional vice president of finance and CFO for SSM Health St. Louis, says via email.
As organizations strive to achieve the Triple Aim and to incorporate patient feedback in their real estate strategies, the physical environment of care delivery will continue to evolve. “The need to build coliseums where people can gather is no longer the primary driver,” EY’s Mulder says.
Sweeping changes in approach may take some time to implement, especially while fee for service continues to be the dominant form of payment. “That march toward value has been much slower than we anticipated in the industry compared to where we thought we would be at this point,” EY’s Faig says.
Yet changes will continue.
“From an industry-wide perspective, we’re looking to do more with less, and if you believe in value-based care and population health as the direction we’re moving, the goal is to move more of the care we deliver upstream from the hospital,” Schoch says. The SSM Health palliative care model, while utilizing the new outpatient center in St. Charles, also looks to emphasize care in the home to further reduce unnecessary admissions and readmissions.
Additional approaches to care, such as telemedicine, reflect a continued push to meet patients in an easily accessible space in a more cost-effective way. “It’s all a different way to look at a coordinated approach on how we deliver care,” Surowitz says, “from the most effective, efficient and service-oriented perspective where it’s got to be more patient-centered.”
Elizabeth Barker is a digital
communications professional and freelance writer in Chicago.
Quoted in this article: Rachel
Donlan, director, strategy and business development, SSM Health St. Charles;
Carole Faig, U.S. health deputy leader, EY; Jerri Garison, president, Baylor
Scott & White Medical Center-Plano, and vice president, East Region, Baylor
Scott & White Health; Jacques Mulder, leader, U.S. Health Sector, EY; Doug Nelson, vice president, development,
construction, and real estate services, UCSF Benioff Children’s Hospital
Oakland; Karen Rewerts,
regional vice president, finance, and CFO, SSM Health St. Louis; Peter Schoch, MD, vice president, value-based
care and payment, SSM Health St. Louis; Dale Surowitz, CEO, Providence
Tarzana Medical Center.
a. Colliers International, “Despite
Record Occupancy, Areas of Uncertainty Remain for Health Care,” U.S.
Research Report: 2017 Health Care Marketplace, 2017.
b. Hoppszallern, S., Vesley, R.,
and Morgan, J., “2016
Hospital Construction Survey,” Health
Facilities Management, Feb. 3, 2016.
HealthTrust: Optimizing Purchased Services
Andrew Motz, assistant vice president, supply chain consulting at HealthTrust, discusses the value of a data-driven approach when procuring purchased services.
Change Healthcare: Accelerating Revenue Cycle Transformation
Jason Williams, vice president for strategy and business analytics, Change Healthcare, discusses the importance of technology and technology-enabled services in reinventing the revenue cycle.
Ensemble Health Partners: Driving Revenue Cycle Innovation
Judson Ivy, president of Ensemble Health Partners, discusses the value of revenue cycle outsourcing and the importance of selecting the right partner.
Grant Thornton: Facilitating EAM
6 Patient Revenue Cycle Metrics You Should Be Tracking (and How to Improve Your Results)
Patient financial engagement is more challenging than ever – and more critical. With patient responsibility as a percentage of revenue on the rise, providers have seen their billing-related costs and accounts receivable levels increase. If increasing collection yield and reducing costs are a priority for your organization, the metrics outlined in this presentation will provide the framework you need to understand what’s working and what’s not, in order to guide your overall patient financial engagement initiatives and optimize results.
10 Ways to Reduce Patient Statement Volume (and Reduce Costs)
No two patients are the same. Each has a very personal healthcare experience, and each has distinct financial needs and preferences that have an impact on how, when and if they chose to pay their healthcare bill. It’s no longer effective to apply static billing techniques to solve the complex challenge of collecting balances from patients. The need to tailor financial conversations and payment options to individual needs and preferences is critical. This presentation provides 10 recommendations that will not only help you improve payment performance through a more tailored approach, but take control of rising collection costs.
Reduce Patient Balances Sent to Collection Agencies: Approaching New Problems with New Approaches
This white paper, written by Apex Vice President of Solutions and Services, Carrie Romandine, discusses the importance of patient segmentation and messaging specifically related to the patient revenue cycle. Applying strategic messaging that is tailored to each patient type will not only better educate consumers on payment options specific to their billing needs, but it will maximize the amount collected before sending to collections. Further, targeted messaging should be applied across all points of patient interaction (i.e. point of service, customer service, patient statements) and analyzed regularly for maximized results.
The Future of Online Patient Billing Portals
This white paper, written by Apex President Patrick Maurer, discusses methods to increase patient adoption of online payments. Providers are now seeking ways to incrementally collect more payments due from patients as well as speeding up the rate of collections. This white paper shows why patient-centric approaches to online payment portals are important complements to traditional provider-centric approaches.
Payment Portals Can Improve Self-Pay Collections and Support Meaningful Use
Increased electronic engagement between healthcare providers and patients provides significant opportunities for improving revenue cycle metrics and encouraging patients to access EHRs. This article, written by Apex Founder and CEO Brian Kueppers, explores a number of strategies to create synergy between patient billing, online payment portals and electronic health record (EHR) software to realize a high ROI in speed to payment, patient satisfaction and portal adoption for meaningful use.
Large Health System Drives 10% UP (Patient Payments) and 10% DOWN (Billing-related Costs)
Faced with a rising tide of bad debt, a large Southeastern healthcare system was seeing a sharp decline in net patient revenues. The need to improve collections was dire. By integrating critical tools and processes, the health system was able to increase online payments and improve its financial position. Taking a holistic approach increased overall collection yield by 10% while costs came down because the number of statements sent to patients fell by 10%, which equated to a $1.3M annualized improvement in patient cash over a six-month period. This case study explains how.
ICD-10: Managing Performance
With the ICD10 deadline quickly approaching and daily responsibilities not slowing down, final preparations for October 1 require strategic prioritization and laser focus.
Clarity Drives Collections
Read how Gwinnett Medical Center provides clear connections to financial information, offers multiple payment options for patients, and gives onsite staff the ability to collect payments at multiple points throughout the care process.
Orlando Health Gains Insight into Denials, Reduces A/R Days with RelayAnalytics Acuity
Read how Orlando Health was able to perform deeper dives into claims data to help the health system see claim rejections more quickly–even on the front end–and reduce A/R days.
Revenue Cycle Payment Clarity
To maintain fiscal fitness and boost patient satisfaction and loyalty, healthcare providers need visibility into when and how much they will be paid–by whom–and the ability to better navigate obstacles to payment. They need payment clarity. This whitepaper illuminates this concept that is winning fans at forward-thinking hospitals.
Streamlining the Patient Billing Process
Financial services staff are always looking for ways to improve the verification, billing and collections processes, and Munson Healthcare is no different. Read about how they streamlined the billing process to produce cleaner bills on the front end and helped financial services staff collect more than $1 million in additional upfront annual revenue in one year.
Wallace Thomson Hospital Automates to Maximize Limited Resources
Effective revenue cycle management can be a challenge for any hospital, but for smaller providers it is even tougher. Read how Wallace Thomson identified unreimbursed procedures, streamlined claims management, and improved its ability to determine charity eligibility.
7 Steps for Building and Funding Sustainability Projects
Before launching an energy-efficiency initiative, it’s important to build a solid business case and understand the funding options and potential incentives that are available. Healthcare leaders should consider taking the steps outlined in the whitepaper to ease the process of gaining approval, piloting, implementing, and supporting sustainability projects. You will find that investing in sustainability and energy efficiency helps hospitals add cash to their bottom line. Discover how hospitals and health systems have various options for funding energy-efficient and renewable-energy initiatives, depending on their current financial structure and strategy.
Key Capital Considerations for Mergers and Acquisitions
Health care is a dynamic mergers and acquisitions market with numerous hospitals and health systems contemplating or pursuing formal arrangements with other entities. These relationships often pose a strategic benefit, such as enhancing competencies across the continuum, facilitating economies of scale, or giving the participants a competitive advantage in a crowded market. Underpinning any profitable acquisition is a robust capital planning strategy that ensures an organization reserves sufficient funds and efficiently onboards partners that advance the enterprise mission and values.
Key Capital Considerations for Mergers and Acquisitions
The success of healthcare mergers, acquisitions, and other affiliations is predicated in part on available capital, and the need for and sources of funding are considerations present throughout the partnering process, from choosing a partner to evaluating an arrangement’s capital needs to selecting an integration model to finding the right money source to finance the deal. This whitepaper offers several strategies that health system leaders have used to assess and manage capital needs for their growing networks.
Trend Watch: Providers adapt as value-based care moves from hype to reality
Announcements from several commercial payers and the Centers for Medicare and Medicaid Services (CMS) early in 2015 around increased efforts to form value-based contracts with providers seemed to point to an impending rise in risk-based contracting. Rather than wait for disruption from the outside in, health care providers are now making inroads on collaborating with payers on various risk-based contracting models to increase the value of health care from within.
Yuma Regional Medical Center case study
Yuma Regional Medical Center (YRMC) is a not-for-profit hospital serving a population of roughly 200,000 in Yuma and the surrounding communities.
Before becoming a ZirMed client, Yuma was attempting to manually monitor hundreds of thousands of charges which led to significant charge capture leakage. Learn how Yuma & ZirMed worked together to address underlying collections issues at the front end, thus increasing Yuma’s overall bottom line.
Reforming with a New 50-Bed Acute Care Facility
Kindred Hospital Rehabilitation Services works with partners to audit the market and the facility’s role in that market to identify opportunities for improvement. This approach leads to successes; Kindred’s clinical rehab and management expertise complements our partners’ strengths. Every facility and challenge is unique, and requires a full objective analysis.
5-Minute Briefing on Revenue Integrity Through HIM WhitePaper Hospitals FS
As the critical link between patient care and reimbursement, health information enables more complete and accurate revenue capture. This 5-Minute White Paper Briefing shares how to achieve cost-effective revenue integrity by your optimizing HIM systems.
5-Minute Briefing on Accelerating Cash Flow Through HIM WhitePaper Hospitals FS
Speedier cash flow starts with better CDI and coding. This 5-Minute White Paper Briefing explains how providers can improve vital measures of technical and business performance to accelerate cash flow.
5-Minute Briefing on Reducing the Cost of RCM WhitePaper Hospitals FS
Qualified coders are getting harder to come by, and even the most seasoned professional can struggle with the complexity of ICD-10. This 5-Minute White Paper Briefing explains how partnerships can help improve coding and other key RCM operations potentially at a cost savings.
Providers Focus Too Much On Revenue Cycle Management
The point of managing your revenue cycle isn’t just to improve revenue and cash flow. It’s to do those things effectively by consistently following best practices— while spending as little time, money, and energy on them as possible.
Lucille Packard Children’s Hospital Stanford Case Study
How Lucile Packard Children’s Hospital Stanford increased payments received within 45 days by 20% and reduced paper submission claims by 70% by using ZirMed solutions.
Using Predictive Modeling To Detect Meaningful Correlations Across Claims Denials Data
The reasons claims are denied are so varied that managing denials can feel like chasing a thousand different tails. This situation is not surprising given that a hypothetical denial rate of just 5 percent translates to tens of thousands of denied claims per year for large hospitals—where real‐world denial rates often range from 12 to 22 percent. Read about how predictive modeling can detect meaningful correlations across claims denials data.
ZOLL and Emergency Mobile Health Care Case Study
Emergency Mobile Health Care (EMHC) was founded to be and remains an exclusively locally owned and operated emergency medical service organization; today EMHC serves a population of more than a million people in and around Memphis, answering 75,000 calls each year.
Maximizing Medicare Reimbursements White Paper
Since the Physician Quality Reporting Initiative (PQRI) introduction, CMS has paid more than $100 million in bonus payments to participants. However, these bonuses ended in 2015; providers who successfully meet the reporting requirements in 2016 will avoid the 2% negative payment adjustment in 2018, so now is the time to act! Included in this whitepaper are implications of increasing patient responsibility, collections best practices, and collections and internal control solutions.
Denials Deconstructed: Getting Your Claims Paid
Getting paid what your physician deserves—that’s the goal of every biller. Yet even for the best billers, achieving that success can be elusive when denials stand in the way of success, presenting challenges at every turn. Denials aren’t going away, but you can learn techniques to manage and even prevent them.Join practice management expert Elizabeth W. Woodcock, MBA, FACMPE, CPC, to: Discover methods to translate denial data into business intelligence to improve your bottom line, determine staff productivity benchmarks for billers, and recognize common mistakes in denial management.
Automation and Operational Improvement Drive Sustainable Results
Physician practices must improve organizational efficiency to compete in this era of reduced reimbursement and escalating administrative costs.
Revenue Cycle Management Resolves Migration Implementation Issues
Many healthcare organizations are pursuing next-generation health information systems solutions. Learn more about Navigant's work with University of Michigan Health System.
Partnering For Success – Provider Achieves Strength in Stability
The proper implementation of healthcare information technology systems is crucial to an organization’s financial health.
Building a Clinically-Integrated Network
As value-based payment models evolve, providers are challenged to maintain superior clinical outcomes while controlling costs.
Winning in the Post-Acute Marketplace
Read more about factors contributing to the changes in the post-acute marketplace and what it means for manufacturers, physicians, clinicians, patients, and post-acute facilities as they anticipate the transition to the second curve.
Building A Common Vision with Employed Physicians
HSG helped the physicians and executives of St. Claire Regional in Morehead, Kentucky, define their shared vision for how the group would evolve over the next decade. As well as, develop the strategic and operational priorities which refocused and accelerated the group’s evolution.
Practice Performance Improvement
The client was a nine-hospital health system with 14 clinics serving communities in a multi-state market with very limited access to care, poor economic conditions, high unemployment, and a heavy Medicare/Medicaid/uninsured payer mix. In most of these communities, the system was the sole source of care.
Though the clinics were of substantial size (they employed 98 physicians) and comprised of multiple specialists, the physicians functioned as individuals and the practices lacked any real group culture.
Clinical Integration Without Spending a Fortune
Clinical integration can be expensive, but it doesn’t have to be, as this four-step road map for developing a CIN proves. Does it have to cost millions to initiate a clinical integration strategy?
Contrary to popular belief, we have clients who have generated substantial shared savings and a significant ROI over time, without massive investments. Yes, some financial capital is required for resources the CIN providers can’t bring to the table themselves. But the size of that investment can be miniscule relative to the value it produces: improved outcomes and documentation for payers.
Adding Value to Physician Compensation
Today’s concerns about physician compensation are the result of the changing healthcare environment. The transition to value is slow, but finally becoming a reality. Proactive hospitals want to ensure that provider incentives are properly aligned with ever-increasing value-based demands.
This report focuses on the three big questions HSG receives about adding value to physician compensation; Why are organizations redesigning their provider compensation plans? What elements and parameters must be part of successful compensation plans? How are organizations implementing compensation changes?
Effective Revenue Cycle Management in Your Network
Revenue Cycle Management has become an even more complex issue with declining reimbursements, implementation of Electronic Health Records, evolving local carrier determinations (LCD), and payer credentialing [The emphasis on healthcare fraud, abuse and compliance has increased the importance of accuracy of data reporting and claims filing).
The efficiency of a medical practice’s billing operations has critical impact on the financial performance. In many cases, patient billings are the primary revenue source that pays staff salaries, provider compensation and overhead operating cost. Inefficiencies or inaccurate billing will contribute to operating losses.
Succeeding in Value-Based Care
This publication identifies and outlines the necessary characteristics of a fully-functioning clinically integrated network (CIN). What it doesn’t do is detail how hospitals and providers can participate in the value-based care environment during the development process.
One common misconception is that the CIN can’t do anything significant until it has obtained the FTC’s “clinically integrated” stamp of approval. While the network must satisfy the FTC’s definition of clinical integration before single signature contracting for FFS rates and contracts can legally start, hospitals and providers can enjoy three key benefits during the development process.
Therapy: Benefits at All Levels of Care
Nearly half of all Medicare beneficiaries treated in the hospital will need post-acute care services after discharge. For these patients, a stay in an inpatient rehabilitation facility, skilled nursing facility or other post-acute care setting comes between hospital and home.
Does Your Budgeting Process Lack Accountability?
With the proper process, tools, and feedback mechanisms in place, budgeting can be a valuable exercise for organizations while helping hold organizational leaders accountable. Having a proper monthly variance review process is one of the most critical factors in creating a more efficient and accurate budget. Monthly variance reporting puts parameters around what is to be expected during the upcoming budget entry process.
Cost Accounting: the Key to Cost Management and Profitability
Managing the cost of patient care is the top strategic priority of most hospital CFOs today. As healthcare shifts to more data-driven decision making, having clear visibility into key volume, cost and profitability measures across clinical service lines is becoming increasingly important for both long-range and tactical planning activities. In turn, the cost accounting function in healthcare provider organizations is becoming an increasingly important and strategic function. This whitepaper includes five strategies for efficient and accurate cost accounting and service line analytics and keys to overcoming the associated challenges.