Cost Saving Measures for Any Medical Practice
Posted on July 21st, 2010 in general | No Comments »
There was a time when the practice of medicine seemed almost recession proof. If you are facing the cash-flow woes of most physicians, then you know that is indeed not the case. Perhaps family practices have been hit the hardest by the current economy and recent “healthcare crisis”, but even the most exclusive practices have been forced to do more – with less.
There are many ways the medical office, as with any business, can “trim the fat” without compromising patient care. Here are few methods to streamline — to improve the bottom line.
The unfortunate truth of the matter is, with reimbursements being cut – the only way to improve your revenue is to see more patients. But if you do not do that efficiently you will do more harm than good. One of the best ways to streamline a practice today is to implement an EMR. It is understandable that in an article about “saving money” it is hard to justify that kind of investment. But EMRs do eventually pay for themselves, admittedly with a protracted payback. On the other hand, if you already have an EMR in place, and many practices do – insist that you are using it to its fullest extent. Be sure you and your staff understand every function that your system is capable of – you will likely be surprised at how much time can be saved by using all of the features that already exist in your EMR.
Consider implementing automatic patient reminder service if that is not part of your EMR. If you do not have an EMR, such services are not a huge investment, and can make a big difference in your income.
Billing
One of the best ways for any medical office to save time and money is to think about outsourcing medical billing. Taking the weight of dealing with billing off of your in-house staff frees them up to concentrate on core competencies, and otherwise make your office run more smoothly, or affords you the opportunity to save money by cutting staff.
Perhaps the best reason to use an outside billing service however is that they are most likely much better at collections than your in-house accounting staff.
Medical billing companies only make money if they are successful. It is in their own best interest to aggressively pursue your past-due accounts. Also, outsourced medical billing services have to be up on the latest regulations regarding bill collection and changes in billing codes- this is their primary business, not yours.
General Money Saving Tips
These may seem obvious but consider:
• If you pay for your heat and electricity in the office, install a setback thermostat; they cut utility bills in the office as well as at home!
• Buy office supplies and other non-medical supplies in bulk from one of the large “warehouse stores” such as Costco. If you work in a medical building, and if you do not do so already, consider ordering supplies with other practices.
• Try renegotiating your lease with your landlord – in these times he or she may be willing to lower the rent, rather than risk an empty office space.
• Speaking of space, are you using yours as efficiently as possible? Could you rent out part of your space to an income-generating partner or ancillary service provider?
• Put off any unnecessary purchases of big-ticket items, or office improvements. If you do have to buy something, look for quality used equipment rather than new.
It is impossible for any medical practice to thrive today without being proactive about the cost of doing business.

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