Enhancing Revenue Cycle Performance
In today's rapidly evolving healthcare landscape, organizations strive to optimize their revenue cycle performance to ensure financial stability and sustainability. Revenue cycle assessment plays a crucial role in identifying areas of improvement and developing a roadmap to achieve the desired future state. In the following, we will explore the significance of revenue cycle assessment and the approach taken to conduct a comprehensive evaluation.
What is a Revenue Cycle Assessment?
A revenue cycle assessment involves thoroughly evaluating an organization's current state revenue cycle performance and identifying opportunities for improvement. It encompasses a range of quantitative and qualitative assessments, including data analysis, system configuration review, subject matter expert (SME) interviews, and end-user shadowing. Ultimately, the goal is to uncover trapped value within the revenue cycle and create an improvement roadmap that aligns with the organization's objectives.
WHY INCISIVE CONSULTANTS?
The Right Cost. Incisive completes the revenue cycle assessment at a lower cost because our consultants have the combined operational and technical skillsets that are typically found in at least two separate employees. This allows us to complete assessments more quickly and with a lower headcount.
The Right Impact. Incisive completes the revenue cycle assessment with minimal impact on your IT and operational teams. With our significant technical skills, we will reduce the workload for your IT team. All we need is access to the system and we can pull our own data and reports for analysis, limiting the burden on your existing team.
The Right Approach. With Incisive’s revenue cycle assessment approach, we limit the amount of time required for one-on-one interviews based on our pre-meeting analysis. During the collaboration phase, we come prepared with recommendations and decision points that significantly reduce the responsibility of the operational team to design solutions.
APPROACH TO REVENUE CYCLE ASSESSMENT
To perform an effective revenue cycle assessment, a small team comprised of Incisive Epic and revenue cycle experts is assembled. This team employs a systematic approach to gather information and gain insights into your organization's revenue cycle operations. The assessment process typically involves the following steps:
Quantitative and Qualitative Analysis:
Through meticulous data analysis, the team identifies trends, patterns, and performance indicators related to revenue cycle operations. This analysis helps in benchmarking the organization's performance against industry standards. Additionally, qualitative assessments, such as interviews with SMEs and shadowing end-users, provide valuable perspectives on the existing challenges and potential areas for improvement.
Value Target Setting:
A top-down and bottom-up approach is employed to establish value targets. Our team assigns tangible value to opportunities by quantifying the deviation from industry benchmarks. This enables your organization to understand the potential benefits, such as cash acceleration, revenue uplift, and cost reduction, that can be achieved through improvements in the revenue cycle.
Collaboration and Co-creation:
Collaboration with your organization is vital throughout the assessment process. The team works closely with stakeholders to co-create solutions and develop an improvement roadmap. By involving your stakeholders in the decision-making process, a sense of ownership is fostered, ensuring better buy-in and implementation of the recommended changes.
SOLVING COMMON PROBLEMS
Problem One: Lack of Direction
Solution: The assessment addresses this challenge by compiling an inventory of existing initiatives, outstanding issues, and improvement recommendations. A comprehensive roadmap is then created, prioritizing initiatives that provide quick value gains, enabling organizations to navigate the path to improvement effectively.
Problem Two: Uncertain Opportunity and ROI
Solution: Value targets are instrumental in addressing this issue. By quantifying the potential benefits, your organization gains clarity on the size of the opportunity and the expected return on investment. For instance, deviations from industry benchmarks are translated into actual tangible value, empowering your organization to understand the benefits you can derive from revenue cycle improvements.
Problem Three: Need for Third-Party Audit and Execution Support
Solution: The assessment process involves collaborating with project stakeholders to gain alignment on improvement goals and implementation plans. Acting as a trusted third party, our assessment team provides expertise, audits the proposed plan, and offers support in executing the improvement initiatives.
MEASURING SUCCESS:
The success of a revenue cycle assessment is determined by monitoring key performance metrics, including the following:
Amount of Opportunity Identified: Tracking the extent to which opportunities for improvement have been identified provides insights into the potential benefits your organization can achieve.
Cash Acceleration: Monitoring improvements in cash flow, such as reduced days in accounts receivable or faster payment cycles, demonstrates enhanced revenue cycle performance.
Revenue Uplift: Measuring the impact of revenue cycle enhancements on overall revenue generation helps gauge the effectiveness of the assessment process.
Cost Reduction: Assessing the reduction in costs associated with revenue cycle operations, such as decreased denials or improved billing accuracy.
Our Revenue Cycle services team collaborates with your operations and IT teams to boost net revenue, speed up cash flow, and reduce costs. Together, we strive to help you achieve improved outcomes by implementing complementary changes to your operations and technology. Take the next step by contacting our team today.