Assessment identifies multiple initiatives for improvement and optimization of the revenue cycle
Significant financial issues threatened the fiscal viability of Ohio Valley Medical Center. OVMC needed assistance in identifying causes, implementing new processes, and delivering the training required to optimize revenue cycle performance in a sustainable manner.
Ohio Valley Medical Center deployed re|assess™ complemented by an experienced re|solution BOD to assess staff and staffing levels, provide training and accountability. The re|solution proprietary tools were utilized and left behind for sustainable improvement and success.
Ohio Valley Medical Center, with processes identified and implemented by experienced re|solution staff, improved cash collections and decreased days in AR. During the project, re|solution was assigned $22 million in AR resolving 92%. Combined, the areas identified in the assessment, the AR clean up and DNFB reduction resulted in over $16 million in additional cash for OVMC.
Located in Wheeling, West Virginia, Ohio Valley Medical Center (OVMC) is a 234 bed hospital. This facility partners with nearby East Ohio Regional Hospital (EORH) to provide 364 total beds. OVMC and EORH provide exceptional quality of care and state-of-the-art services to the Ohio Valley community. OVMC also operates the Peterson Rehabilitation Center and runs a two-year hospital based education program, OVMC School of Radiologic Technology.
Established in 1890 as City Hospital, OVMC specializes in intermediate care, physical rehabilitation, and skilled nursing. Its services include cardiology, emergency care, gynecology, neurology, oncology, and psychiatry, as well as home health care. OVMC employs over 1400 people to provide a full range of healthcare to patients of all ages.
Recognizing the Financial Issues
OVMC’s Board of Trustees recognized significant financial issues and moved quickly to determine the causes. re|solution was hired to conduct an organizational assessment and create a plan for success. All areas of the organization and revenue cycle were reviewed. The findings concluded the facility suffered from a lack of strategic direction, insufficient accountability, declining cash, ineffective revenue capture, increasing market competition, rising operating expenses, lack of cost-containment, outdated third-party payment contracts and a lack of physician support. The facility named Lisa Simon the permanent CFO, and she became responsible for executing the turnaround.
OVMC’s Efforts to Reorganize the Revenue Cycle
After a review of the findings, OVMC contracted with re|solution to place a highly experienced IBOD to assist in executing the success plan. The organizational duplicity between OVMC and EORH was eliminated. Accountability, productivity reports and daily monitoring were implemented.
Lisa Simon – CFO for OVMC said, “Executing the success plan was a large undertaking, but re|solution proved to be a responsive partner. Working together we were able to efficiently focus on each area of the revenue cycle. We continue to use the productivity and accountability reports that were implemented to hold our people accountable. The process improvements they implemented have proved to be sustainable over time.”
From Assessment to Implementation to Monitoring OVMC Faced the Challenges with Focused Effort
The OVMC leadership worked closely with re|solution, focusing on each area identified in the assessment to make the necessary improvements. The experienced re|solution IBOD trained and mentored current staff and managed the re|solution team brought on-site to assist in a cash acceleration project. Working with leadership, re|solution provided the resources, skills, and business processes necessary to quickly increase cash performance.
re|solution provided a full scope of revenue cycle services:
- Increased cash flow on accounts over 90 days
- Determined root cause of non-payment; not just denials
- Fixed front end processes; reorganized registration and admissions
- Reduced flow of dollars coming into the over 90-day bucket
- Sampled client areas of concern
- Sampled nationally known areas of concern
- Re-billed retroactively as appropriate
- Fixed chargemaster as needed
- Changed processes going forward
Process improvements were also implemented in the areas of DNFB reduction, Credit Balance clean up and TrDRG.
Training and Measuring Performance Results in Superior Outcomes
Over the course of the engagement, increased cash collections and a reduction of days in AR generated over $16 million in cash for the hospital. OVMC is now operating with profit margins