Tuesday, Nov 8, 2022

How to Unlock Operational Efficiency and Save on Administrative Costs

Digitization and consumerism have transformed healthcare in recent years. Add staffing shortages to the mix and many practices are struggling to meet patient expectations and deliver a positive experience.

All sectors are dealing with the “great resignation”, and it’s hitting healthcare hard. Job openings in March were up nearly 50% year over year, according to the latest data from the Bureau of Labor Statistics. The need for more healthcare workers comes at a time when the sector is responding to consumer-centric patient demand and increased competition from consumer businesses.

Practices are looking for ways to reduce repetitive work and allow staff to focus on what they do best. Reportedly, physicians spend more than four hours a day on electronic health records, and, according to McKinsey, administrative spending accounts for roughly $1 trillion of the $4 trillion spent on healthcare each year.

At Rectangle Health, we help providers create the best possible experience for their patients and reduce administrative burden with proven results. We commissioned a study by Hobson & Company to quantify the advantages of our flagship solution, Practice Management Bridge^®.

Among the findings was that the average healthcare organization would recover the cost of Practice Management Bridge in 4.9 months and ultimately generate a return on investment of 165%. Let’s take a look at how the platform unlocks operational efficiency and saves on administrative costs.

Billing management

Digital transformations are happening in many sectors, including healthcare. This has become so important to patients that 35% of bridge millennials and younger patients are willing to switch providers  to access better digital management tools, according to a study by PYMNTS and Rectangle Health. Even as practices adopt these tools, many have multiple, disconnected systems, which add further stress on an overburdened staff. Developed for full interoperability without the need to invest in a new PMS or EHR, Practice Management Bridge seamlessly interfaces with other systems. The multifunctional SaaS solution provides optimization tools like Card on File, pre-authorization forms, recurring payments, online payments, and text-to-pay links. This has created new efficiencies to relieve some of the stress on administrative staff. Our clients reported the potential for a 20% reduction in time spent managing billing as a result of implementing Practice Management Bridge.

Payment collection, posting, and reconciliation

Capturing payment at the point of service is a challenge for many providers and often is the biggest   benefit our clients find when they implement Practice Management Bridge. Getting paid faster, improving cash flows, and increasing revenue are high-priority goals for any practice and these financial objectives become easier using the platform.

Clients reported the potential for a 30% decrease in time spent collecting and posting payments after   implementing Practice Management Bridge and the potential for a 25% reduction in time spent on payment reconciliation. According to one director of revenue cycle, “We no longer spend hours searching for payments that were mis-posted, incorrect, or not even posted. The batch report is easy to read and pulling info is simple.”

Processing manual refunds and mailing checks

Administrators are often burdened by the time-consuming process of producing and mailing paper refund checks. By digitizing this process, the staff saves time, and the patient is refunded faster without having to take the action of cashing a check. Practice Management Bridge enables staff to search for, void, and refund transactions, email a  receipt, and return patients’ payments in only a few clicks. This easy process has made a huge impact with clients, who report the potential for an overwhelming 90% reduction in time spent processing manual refunds and mailing checks. “Before, refunds were manual passing through a few hands for the approval to get a check issued. Now it’s three seconds without requiring paperwork or approval,” said one revenue cycle systems manager that implemented Practice Management Bridge.

With the benefits of an easy-to-use healthcare software solution, the time, money, and effort traditionally spent performing manual tasks like chasing patient payments can be reinvested into the delivery of high-quality care. Healthcare practices and organizations can leverage automation for improved workflows and increased revenue streams at the office, helping to retain valued employees.

By making every day a little easier at the practice, technology platforms allow office workers to feel more empowered to support the provider, build the business, and meet patient expectations. The multitude of digital tools makes Practice Management Bridge a must-have solution for providers  looking to create efficiency for administrative staff and modernize operations for an improved patient experience.

Rectangle Health is a leader in providing digital payment options and other tools that every modern healthcare partner needs. For nearly 30 years we have offered innovative solutions to streamline payment services in a wide variety of healthcare industries. Our industry-leading Practice Management Bridge^® platform reduces friction and creates a seamless payment experience with any existing practice management system. 

Learn more about all the available solutions to meet the ever-evolving needs of your patients by visiting Harbor's landing page for Rectangle Health - click here

Resources

1 (2022, May 3). Table 1. Job openings levels and rates by industry and region, seasonally adjusted. U.S. Bureau of Labor Statistics. Retrieved from https://www.bls.gov/news.release/jolts.t01.htm#:~:text=Health%20care%20and,2%2C027

2.   Payerchin, R. (2022, April 21). Physicians spend 4.5 hours a day on electronic health records. Medical Economics. Retrieved from https://www.medicaleconomics.com/view/physicians-spend-4-5-hours-a-day-on-electronic-health-records

3.   Sahni, N; Mishra, P; Carrus, B; Cutler, D. (2021, October 20). Administrative simplification: How to save a quarter-trillion dollars in US healthcare. McKinsey & Company. Retrieved from https://www.mckinsey.com/industries/healthcare-systems-and-services/our-insights/administrative-simplification-how-to-save-a-quarter-trillion-dollars-in-us-healthcare#:~:text=Of%20the%20nearly%20%244%20trillion%20spent%20on%20healthcare%20annually%20in%20the%20United%20States%2C%20administrative%20spending%20is%20about%20one%2Dquarter%20of%20the%20total%3B%20delivery%20of%20care%20is%20about%20three%2Dquarters.

(2021, July). Connected Healthcare: What Consumers Want From Their Healthcare Customer Experiences. PYMNTS.com. Retrieved from https://www.pymnts.com/study/connected-healthcare-experiences-digital-in-person-medical-visits/