Medical Practice’s Financial Stability During CrisisJanuary 19, 2021
Medical practices of all sizes have felt the tremendous impact of the global pandemic on their revenues. Practices are struggling to stay afloat and we fear that it might just be the beginning. According to the Medical Group Management Association (MGMA) survey, revenues of medical practices were cut in half at the start of the pandemic. It also showed that patient volume declined to an average of 60 percent.
How to Achieve Financial Stability
Medical billing experts and industry leaders shared their best ways to remain financially and operationally stable during the pandemic at the MGMA’s Medical Practice Excellence Conference last October 24-27, 2020. The main theme of the conference was revenue cycle management and financial survival of practices. They emphasized the importance of optimizing revenue capture and reimbursement to offset losses. Check out the three strategies on how you can stay afloat financially and regain your losses from the pandemic.
1. Ensure Optimal Productivity
Carol Wanke, vice president of post-acute revenue cycle and managed care operations of Sharp Healthcare, shared tips on how to increase productivity via KPI and workflow monitoring. They use granular data on employee productivity to ensure outstanding work and to keep the staff motivated. They focus on finding new and innovative ways for employee motivation and recognition to boost morale.
The CFO of Graves-Gilbert Clinic, Steven Sinclair, also highlights the role of productivity for their success in maintaining financial stability. They are the only independent medical practice to attain MGMA’s Better Performer status in 2020. The MGMA data also shows that practices can boost their productivity by keeping a standard of performance for employees, investing in facilities, and staff.
2. Adaptive Leadership
The pandemic emphasized the need for great leadership. If you don’t do well under pressure and adapt to change, then your practice will suffer. The need for adaptive leadership with a good initiative and the ability to think outside the box has never been more important. According to Sparrow Hospitals Alan Vierling, MSN, adaptive leadership is effective in the sense that it can establish a singular vision or set priorities straight. For example, finding ways to ensure top safety for all nurses and staff. He also added that effective leadership will always communicate and remain visible.
3. Smart Use of Physical Space and Technology
The pandemic brought new healthcare normal to the world. There are now social distancing requirements for every establishment and an emphasis on the use of Telehealth. Practices are looking for new ways to use their locations smartly and delivering effective alternative care. You need to set the right mix of remote and in-person services for your clinic. Workflows will be recreated, adapting more to technological advancements.
Tap Into Our Expertise
At 5 Star Medical Billing, we offer the highest level of performance for high-quality medical billing. Let us help you during these dire times.