Hospitals and large medical clinics re-organized their approach to collecting payments long ago by incorporating a management position that is responsible for the entire “revenue cycle”.
For the most part, the definition of Revenue Cycle Management is simple:
- Take steps to assure that you get paid for your services
- Ensure you get paid in a timely manner
The health care revenue cycle starts when the patient calls your office for an appointment and does not end until their account balance is zero.
A strong case can be made that health care delivery organizations of all sizes can benefit from this strategy to better manage all revenue areas, including patient pay.
So, for which areas does this Revenue Cycle Manager/Director/VP have responsibility?
It’s all about putting more resources at the front end to avoid the ‘garbage in, garbage out’ scenario. Some of these steps can be automated by using technology (online forms, EDI, interfaces, etc.).
If you are in a Revenue Cycle leadership position, what tips can you offer to those that are not currently organized this way? (Please comment below)