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Healthcare facilities can cut costs by assessing their revenue cycle for opportunities to optimize processes and workforce. Ensure your technology is optimized and used to the fullest of its capabilities. Improve supply chain, streamline management structures and improve patient throughput.

Traditionally, the revenue cycle is viewed as a linear progression that follows a patient's related clinical and financial record through an overall process. The Front typically covers patient registration and financial clearance. The Middle is typically reserved for clinical documentation processes such as Coding, CDI and HIM functions and the Back focuses on billing and collecting outstanding amounts to various groups (e.g. Insurance companies or patients). Each of these areas contain functions, sub functions and nuanced roles. However, rarely do any of these processes occur in a silo and are interconnected, thus creating more of a "web" rather than simply "moving through the front, middle and back". It's also important to note that patient consumerism is playing a bigger role in healthcare which is disrupting the traditional revenue cycle view.

The most important stage of the revenue cycle is the one that isn't working well. Almost all processes are interrelated and problem areas can have effects across the revenue cycle. It's important to identify the root cause of revenue cycle issues and then find the most efficient way to address those issues. Sometimes the answer is simply better adherence to existing policies and procedures or a quick "refresher" training. Sometimes it's about finding a partner who can augment your existing team and directly work components of the revenue cycle.

The range of best practices depend on the revenue cycle function in question, but generally hospitals should staff according to the productivity levels and volume for their organization to minimize uninsured patients, lower DNFC, maximize collections, decrease AR days, and ensure regulatory compliance. If this can't be achieved with local resources or if the cost to collect is too high, then health care organizations should consider partnering with an experienced revenue cycle management firm that can tailor a solution to meet their specific needs.