Driving practice growth: Outsourced RCM as a catalyst for business expansion

Five years ago, consultants at McKinsey & Co. warned healthcare providers who “want to improve yield must think about revenue cycle management in a whole new way.” In today's dynamic healthcare landscape, physician practices, hospitals, and outpatient clinics face the challenge of optimizing revenue cycles while pursuing growth and caring for patients. Outsourcing Revenue Cycle Management (RCM) services has emerged as a strategic solution, empowering healthcare organizations to enhance financial performance and focus on their core mission. 

By entrusting experts with revenue management responsibilities, organizations can unlock new growth opportunities, innovate, streamline operations, and concentrate on delivering exceptional patient care.

The benefits of outsourcing revenue cycle management

According to RevCycle Intelligence, staffing shortages at payer and provider organizations are also exacerbating revenue cycle challenges. Outsourcing RCM allows healthcare practices to offload the administrative burden of revenue management, freeing up valuable internal resources. With a dedicated team of experts handling billing, coding, and claim processing, medical staff can focus on providing high-quality patient care. 

Time and resources are always a precious commodity, but that is especially true when healthcare practices want to expand services and geographic reach. Outsourced RCM enables executives to redirect their attention to strategic planning, market analysis, and service line development. By leveraging the specialized expertise of RCM partners, healthcare organizations enhance efficiency and improve revenue capture, laying a strong foundation for sustainable growth.

By partnering with RCM experts, organizations can streamline revenue processes, reduce operational inefficiencies, and dedicate more efforts to innovative initiatives that drive business expansion.

Outsourcing RCM: A solution that grows with your firm

A key advantage of outsourcing RCM is its scalability and flexibility. Whether a healthcare practice is a small clinic or a large hospital system, Radiant Healthcare and other providers can adapt their services to meet specific needs and accommodate growth plans. 

Scalability ensures revenue management processes can handle an increasing volume of patients and claims as the practice expands. Additionally, outsourcing RCM allows organizations to access the latest technology and industry best practices, positioning them for success in an ever-evolving healthcare landscape.

3 keys to finding the right partner for outsourcing RCM

A systemic approach is crucial for healthcare executives considering outsourcing revenue cycle management to drive practice growth. 

Firms must thoroughly evaluate potential RCM partners, considering their track record, expertise, and commitment to compliance. 

Healthcare firms also must engage in collaborative discussions to align strategic goals and identify areas where RCM services can add the most value. 

Once you have found a firm that you trust, set clear communication channels and performance metrics at the outset to ensure ongoing success and continuous improvement.

With these pieces in place, results will flow. A multi-specialty pediatric practice with more than 30 Florida locations faced significant RCMt challenges, including inconsistent revenue collection, delays in payment posting, and inadequate patient eligibility verification. By outsourcing RCM to Radiant Healthcare, this practice achieved a 98%+ quality scores for its RCM processes, reduced accounts receivable by four days, and achieved annual run rate savings of more than 11%.

Outsourcing RCM: A catalyst for practice growth

Outsourcing revenue cycle management has become a catalyst for driving practice growth and fueling business expansion in the healthcare industry. By partnering with RCM experts, physician practices, hospitals, and outpatient clinics can navigate the complexities of the industry with confidence, preserving the organization’s ability to provide extraordinary care and positioning the firm for sustainable growth and future success.