Revenue Cycle Diagnostic Review

Our Philosophy:
We are a healthcare/practice management consulting organization that focuses directly upon the operations of the hospital revenue cycle, working closely with hospital administration and key business office staff members to improve revenue cycle performance and improve cash flow.

Purpose and Use:
To accurately assess existing problems within the business office and scheduling/registration areas, comparing existing procedures and work flows to leading practice benchmarks to the determine appropriate course of action for accounts receivable reduction and cash flow improvement.

The Business Office Diagnostic Review
The Business Office Diagnostic Review is a two tier approach designed to identify opportunities within the business office and related operations. The first tier is comprised of reviewing and interpreting financial information. The second tier consists of staff and management inter-views.

Tier One - Financial Information Review
Progressive's Associates will request the following information in order to begin their focused review and to prepare information for the second tier of the review:

1. Current organizational structure and staffing for the Business Office and Registration/Scheduling areas
2. Financial Statements for the past two fiscal years
3. Revenue summary by month, for the last two fiscal years (by payor)
4. Cash flow summary by month, for the last two fiscal years (by payor)
5. Bad Debt Information for the past two fiscal years including:
   
   monthly collection agency placements
   monthly recoveries
   monthly collection agency fees
6. Accounts receivable information including the following:
   
   Total accounts receivable by financial class
   Aged trial balance by financial class for billed accounts receivable (debits only)
   Aged trial balance by financial class for credit balance accounts
   In house accounts receivable
   Discharged but not final billed accounts receivable (segregated by less than and greater than hold days)

Tier Two - Focused Interviews/Observation
Progressive Associates will interview management, supervisory and clerical personnel within the auspices of the business office and its related areas. In addition, Progressive Associates will observe the operations and flow of these same areas in order to develop a comprehensive understanding of the "current state" of the operation.

Progressive Associates will also review and observe the operations of the following areas:

1. Pre-registration and registration
2. Central scheduling
3. Utilization management
4. Insurance verification
5. Financial counseling
6. Customer service
7. Billing/claims processing
8. Third party account follow up
9. Self pay collections
10. Cash/contractual adjustment posting
11. Collection agency management

Final Report - Identification of Opportunities and Recommendations
Upon completion of the aforementioned process, Progressive will provide a written report that will include the following information:

1. Potential "one time" financial benefits
2. Potential annual recurring financial benefits
3. Overview/comparison of the current organizational structure to leading practice benchmark organizational structures
4. Pertinent comments relating to current software and outsourcing relationships
5. High-level action steps required to implement the recommendations

For further information regarding this Consulting Diagnostic Tool, or other Progressive Healthcare, Inc. products and services, please contact us at 615-371-9989.