As the CFO of a hospital or healthcare organization, you understand the substantial financial burden facing the healthcare industry. From cumbersome pre-authorization processes to ever-changing government regulations, inefficiencies account for up to $200 billion in annual spending.
While many hospitals face an uphill battle, others have discovered that outsourced accounting can improve profitability, scale operations for long-term success, and elevate the patient experience.
This article will discuss how outsourced accounting lowers overall expenses, averts HR challenges, drastically reduces inefficiencies, and helps hospitals maintain superior service levels. While there are many reasons to outsource accounting and use cloud-based technology, the ones outlined in this article will revolutionize healthcare for generations to come.
#1: Uncover Gaps and Develop a Plan of Action
It’s impossible to transform your organization without knowing the root cause of the problem. Hospitals are complex systems and departments are often siloed, leading to breakdowns in communication and further exacerbating inefficiencies. Establishing a baseline of current issues facing the organization requires hospital leaders to address inefficiencies across the board.
With outsourced accounting, your organization gains access to a suite of financial services, including automation and cloud-based technology. The right software allows you to quickly identify organizational challenges and prioritize initiatives according to the impact on your bottom line.
You can harness the power of accounting technology to help you:
- Identify and fix the most costly inefficiencies
- Drastically lower human error
- Reduce overhead and recruiting costs
- Automate medical billings and streamline insurance reimbursements
- Increase accuracy of cash flow projections
- Easily navigate and adapt to changing government regulations
- Achieve operational and strategic objectives faster
With a full-service, high-quality outsourced accounting firm, you can identify the issues impacting your bottom line, develop a plan of action to assess them according to priority, and make significant gains in profitability and patient experience.
#2: Minimize the Burden of Industry and Government Regulations
One of the most expensive inefficiencies hospitals deal with is ever-changing government regulations. Navigating coding changes, maintaining hospital chargemaster processes, and complying with state and federal regulations requires constant oversight. Furthermore, human error and administrative waste threaten to crush your organization’s bottom line.
Hospitals that partner with a high-quality outsourced accounting service free up internal resources, minimize human error, decrease misstatements, and lessen the likelihood of governmental audits. With an outsourced account receivable team, you’ll be able to focus on your core competencies, reduce the inherent risk in regulatory compliance, increase profitability and scale your organization to new heights.
#3: Improve Financial Outcomes
As the CFO of a hospital or healthcare organization, you are responsible for much more than finance. If you’re like many CFOs we work with, you must cut costs, elevate the patient experience, enhance staffing efficiencies, and optimize revenue. One of the best ways to improve your financial outcome and gain a competitive advantage is to rely on a high-quality, full-service outsourced accounting partner.
With an outsourced accounting partner, your organization leverages a team of dedicated professionals and cutting-edge technology solutions focused on accounting, human resources, and administration. This allows your hospital to recover revenue quickly, reduce account receivable days, and empower your staff to work smarter and more productively.
Outsourced accounting frees up your resources and allows you to focus on creating a truly customer-centric organization. For most CFOs, this translates to an enhanced patient experience, soaring patient engagement rates, and the ability to deliver world-class service to the community at large.
#4: Enhance Scalability at Your Organization
Hospital executives and CFOs are opting to leverage cloud-based software solutions that automate administrative tasks. With outsourced accounting, AI and other technological advances offer a way to reduce administrative waste and ascend to the next level.
As your outsourced accounting provider, we rely on leading software partners and comprehensive solutions to help your organization manage staffing processes, track time and labor hours, and optimize your workforce.
When you turnover high-touch tasks to a fully automated platform, your organization gains substantial efficiencies, catapulting cost savings, and increasing your ability to scale.
In addition to scaling, other benefits include:
- Ability to categorize revenue correctly
- Increased visibility into employee performance
- Improvements in employee satisfaction
- Massive reduction in paperwork and administration waste
- Enhances data security
- Recover underpayments easily
- Lowers denial rates
- Offers clinicians more time to build relationships with patients
- Enhances the patient experience and the patient financial experience (PFE)
With outsourced accounting, CFOs and controllers can rightsize operations, enhance decision-making processes and scale to the next level.
#5: Maintain Your Competitive Advantage
The revenue cycle process at your hospital or healthcare organization is the cornerstone of the organization’s financial stability. Unfortunately, there are many opportunities for revenue cycle waste within the hospital management system.
These inefficiencies lead to an ever-mounting ceiling of bad debt, continually rising costs, sky-high denial rates, and other financial crises.
When you’re focused on battling inefficiencies and putting out financial fires, you lack the time and resources needed to drive your organization forward in a competitive market. Outsourced accounting allows you to regain control and steer your organization towards a financially sound future.
While it takes time to implement new software solutions and bring an outsourced accounting services team on board, the gains greatly outweigh the challenges. Hospitals that embrace technological advances enjoy lower operational costs, improved cash flow, and increased productivity. As a result, outsourced accounting is quickly becoming the competitive advantage the healthcare industry relies on to improve profitability, scale operations, and elevate the patient experience.
See how Lavoie CPA can support your hospital or healthcare organization’s needs.
Contact us at 704-644-0235.