Question

Why is increasing rates or charges for services provided in health care not a good model for improving the bottom line?

Answer 1

Hospital todayface many challanges including an economic recession, increases in uninsured care and growing competition for outpatient services. However there are still many steps hospitals can take to increase their probablity amid these economic conditions. Industry experts says that hospitals wishing to increase their probablity can focus on two ,key areas - reducing cost and increasing reimbursement. Here are 10 best practices for increasing hospitalprofitability by reducing costs and increasing revenue and reimbursement.

1) Reduce staffing costs by using data to drive staffing decesions.

2)Reduce supply costs by better managing vendors.

3) Ensure that your OR is utilized by physicians.

4) Involve physicians in cost reduction efforts.

5) Consider outsourcing the management of some services.

6) Consider partnering with local physicians to reduce competition for outpatient cases.

7)Grow case volume by attracting new physicians to your facility.

8)Consider adding profitable service lines.

9) Considering hiring hospitalist to manage impatient care.

10)Renegotiate managed care contracts.