Focusing on the Right Metrics is Critical for HME Businesses
A recent white paper released by Prochant provides useful guidance on how HME providers can focus on the right business metrics to improve profitability.
CHARLOTTE, N.C., March 20, 2019 /PRNewswire-PRWeb/ -- Prochant, a leading provider of home medical equipment (HME) billing and process outsourcing services, today released a new white paper, "Are You Tracking the Right Metrics?" With this paper, Prochant addresses an industry-wide problem – the insufficient tracking of metrics – and shares the metrics that are critical to HME success.
HME providers are facing tough times due to reimbursement cuts, fixed or increasing labor costs, and overworked billing teams. These challenges have left little time to focus on the metrics that matter. Instead, providers often turn to familiar measures such as allowable billing and accounts receivable (A/R) balances to assess if they are meeting their billing goals. These common metrics can lead to common problems.
The white paper explores these problems and offers a solution: tracking key performance indicators (KPIs). Using industry-standard KPIs such as days sales outstanding, 90+ A/R, payment rate, and write-off rate allows providers to measure and track what is most relevant to their decision-making process. The paper provides important insight into each KPI. A high balance of 90+ A/R, for example, outside of normal collections issues can suggest a lack of processes internally to handle adjustments and write-offs – one issue of many that tracking the right KPIs can uncover and improve.
"The KPIs shared in our new white paper are critical to moving your company in the right direction because they offer a deeper understanding of your business and allow you to course-correct when you encounter red flags" says Joey Graham, Executive Vice President and General Manager for Prochant. "Over the past two decades, Prochant has tracked these KPIs as part of our front- and back-office billing processes to help providers become more profitable."
Providers need to track their data for a period of 6-12 months to fully see where their business stands. The paper gives guidelines on how providers can conduct a benchmark analysis, or comparison of their business' current period and trending results against common industry standards.
"Knowing where you stand among your competitors is crucial to knowing where you stand as a business," adds Graham.
The white paper covers:
- Common problems with metrics
- Metrics versus KPIs
- Effective KPIs examples
- HME industry benchmarks
- Plans for improving metrics
Download this white paper for free by visiting https://www.prochant.com/home/kpis-white-paper. To learn more about Prochant, please visit https://www.prochant.com or contact Sarah Tollie at saraht(at)prochant(dot)com. Meet Prochant at booth 435 at the 2019 Medtrade Spring Convention and Expo, April 15-18, at the Mandalay Bay Convention Center in Las Vegas.
About Prochant
Prochant helps HME providers become more profitable by combining superior billing and process outsourcing with highly-skilled specialists. We audit existing front and back-office processes, rapidly implement changes, and conduct proactive analytics to enable providers to consistently exceed industry benchmarks. Headquartered in Charlotte, North Carolina, our clients include leading medical equipment providers and health systems. For more information, please visit https://www.prochant.com or follow us on LinkedIn and Twitter @prochant.
SOURCE Prochant
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