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3 ways to build a better hospital budget

Featured in a new success story, Kaleida Health (Buffalo, New York, USA) recently used Allscripts EPSiTM to save more than $20 million in one year – while still maintaining a high quality of care. The organization, one of the largest in Western New York, needed to reduce overall spending to remain competitive. Kaleida Health turned to EPSi, which provides clients integrated budgeting, financial decision support and long-range financial planning, helping to improve patient outcomes while reducing costs and maximizing revenues. Kaleida Health used three methods to identify total cost opportunities throughout the organization: 1)      Break up the budget process. The team at Kaleida Health examined each service line individually, determining the utilization and per-patient cost targets. “Breaking it into smaller pieces made it more actionable,” said Kaleida Health Senior Director of Decision Support Christine Lanza. 2)      Develop a strategic approach. […]

As health care moves away from fee-for-service to value-based care models, hospitals need better tools to compete. We recently published two eBooks, one about the key trends defining a new healthcare marketplace and one about the importance of critical analytics. You may be asking yourself: Does my hospital have the financial analytics capabilities to succeed? Take this quiz and see. 1. The CMIO asks for a cost report on readmissions, organized by diagnosis and physician. Can you give it to her? 2. You suspect one physician is underperforming on profitability. Can you compare his performance with others in his peer group and drill into the data to determine clinical or operational improvements to course correct? 3. Before ordering a knee replacement device, a physician asks if you have any comparative cost to outcomes data to help negotiate with the vendor. […]

Believe it or not, processes such as budgeting, cost accounting and strategic planning should make life easier. They should simplify the staggering complexity that healthcare organizations face today. Unfortunately, they are often disconnected from each other and lack analytics, limiting their effectiveness. They should all work together in a single system. This approach is the only way for healthcare organizations to evaluate true financial performance and plan for the future. Clients have turned to Allscripts EPSiTM for integrated performance management. Here’s how three organizations have used the solution: 1.        Recovered $4.5 million in underpayments Robert Wood Johnson University Hospital (New Brunswick, NJ, U.S.A.) recovered $4.5 million in underpayments its first two years of using the EPSi Product Line Analysis Contract Modeling tool. That includes recurring annual savings of at least $1.5 million. With EPSi, RWJUH better understands the […]

Robert Wood Johnson University Hospital (RWJUH) in New Brunswick, NJ, has an integrated view of its finances and operations with Allscripts EPSiTM. The organization recovered $4.5 million in underpayments its first two years of using EPSi’s Product Line Analysis Contract Modeling tool. You can read more in a recent case study. Prior to implementing the Allscripts EPSi modules Cost Manager, Product Line Analyst and Enterprise Management Dashboard in September 2011, RWJUH had limited financial and patient data reporting capabilities. Before EPSi “There was always a level of skepticism with our reports back then,” said RWJUH senior financial analyst, Michael Piagentini. “Is that the true fully-loaded cost for that service? It was hard to know for sure.” This uncertainty was particularly difficult when RWJUH negotiated contacts with payers. Contract modeling saves the day at the negotiating table Contract negotiations between healthcare […]