CFOs clamor for RCM upgrades
June 18, 2014 in Medical Technology
While the revenue cycle management system has been focused on clinicals, chief financial officers are saying their hospitals’ financial infrastructure needs are more important.
In a Black Book survey mining CFOs’ assessments of hospital financial administrative needs and naming the top-performing vendors of financial software and services, 86 percent of hospital respondents said the “needs” of CFOs are currently more important than most clinical and patient quality “wants.”
[See also: Revenue cycle poised for big rethinking]
Black Book Market Research surveyed CFOs, finance vice presidents, controllers and other financial and business managers of 566 hospital and inpatient organizations between January and June of this year.
“Trends in Medicare reimbursement, declining inpatient volumes, rising expenses and bad debt have most hospitals across the country struggling to avoid a financial stability crisis,” said Doug Brown, managing partner of Black Book Market Research, in a press release announcing the survey results. Because of these pressures, CFOs are recognizing that something must be done soon to update financial technologies.
Some of the survey findings:
[See also: RCM market expected to grow by leaps]
- 54 percent of hospital CFOs believe they must leverage next generation financial system technologies, including software and outsourced services, to keep their hospitals solvent.
- 80 percent of CFOs at hospitals with operating margins that support long-term viability say they have initiated RCM transformations successfully and are targeting 2015 capital expenditures to support their success with plans to upgrade tools such as dashboards, analytics and business intelligence, population health, physician portals, patient engagement solutions and more acquisitions.
- 84 percent of struggling hospitals are putting investments in population health, analytics, physician practice acquisitions and recruitment and patient engagement solutions on hold.
- 93 percent of hospitals with continuing negative operating margins say that in the next year they are prioritizing capital investments in coding, value-based support software, collections and RCM outsourcing.
The vendors ranked among the top of financial services based on client experience include 3M Health Information Systems, Allscripts EPSi, Conifer Health Solutions, Kaufman Hall, Nuance, Transunion Healthcare and Truven Health Analytics. Go here for more.