Revenue cycle functions health systems outsource most

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More than two-thirds of revenue cycle leaders surveyed said they are using a third-party vendor to support accounts receivable follow-up and collections, according to an April 7 report from Guidehouse. 

Guidehouse and the Healthcare Financial Management Association surveyed 191 provider executives in late 2025 about their challenges and investments in revenue cycle management. 

The report said that while providers are using outside vendors for a variety of revenue cycle functions, “improving reimbursement speed and accuracy remains a top motivator for seeking third-party services.”

Here are the five most common revenue cycle components leaders said that are being partially or fully managed by third-party vendors:

  1. Accounts receivable follow‑up and collections: 66.7%
  2. Coding (e.g., facility, professional, inpatient, or outpatient): 50%
  3. Denial management and appeals: 39.2%
  4. Billing management and claims editing: 29.4%
  5. Eligibility and prior authorization (financial clearance): 17.6%

Read the full report here

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