Many healthcare organizations are looking to replace their revenue cycle management systems, or are assessing a possible transition, according to a new survey from Black Book Market Research.
Black Book surveyed more than 5,000 management and user level RCM clients of the three main components of end-to-end revenue cycle: patient access management, health information processing and post-encounter process.
Here are eight survey results.
1. Eighty-five percent of provider organizations, hospitals and physician practices are looking to replace their RCM systems, or are assessing a possible transition.
2. Black Book's survey found that RCM transition activities in the third quarter of 2016 are being coordinated through advisors and consultants at 29 percent of U.S. hospitals. Of those providers, 71 percent have not selected end-to-end technology vendors to move toward value-based reimbursements.
3. Seventy percent of medical group practices working with consultants on accountable care reimbursement strategies are thining about outsourcing RCM in 2017 as they also look at technology vendors and estimate the financial brunt, according to the survey.
4. Ninety-three percent of health organization CFOs report they need to eliminate RCM, financial and coding technology vendors that are not producing a return on investment by end of year. In the fourth quarter of 2015, that measure was 79 percent.
5. Ninety-four percent of CFOs believe transformed RCM processes will allow them to become more efficient and positively impact their organization's financial health.
6. However, 48 percent of CFOs are concerned their organizational budgets will not allow them to acquire the end-to-end RCM system their organizations most require in 2017, according to the survey.
7. Healthcare providers spent more than $10.3 billion in the 12 months ending June 2016 on combined end-to-end and bold-on RCM technology, software and outsourced services solutions. Based on survey findings, Black Book estimates that number will increase to $11.9 billion by end of the second quarter of 2018.
8. Still, roughly a third (32 percent) of all U.S. hospitals that predicated they would replace their RCM solutions in 2016 have failed to initiate a sustainable end-to-end RCM plan, according to the survey.
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