Financial keys to success

The Medical Group Management Association’s Feb. 5, 2019, MGMA Stat poll asked healthcare leaders to gauge their practices’ financial performance in the past year. A quarter (25%) reported their performance met budget goals, nearly a third (32%) exceeded their goals and a little more than a third (35%) fell short; the remaining respondents did not have a budget (6%) or were unsure (2%). The poll had 886 applicable responses, and the results are comparable to 2017 & 2018 MGMA Stat polls.

Those who exceeded, fell short or were on target with net revenue goals were asked in a follow-up question to explain why each outcome occurred.

Exceeded

• Improved patient financing options
• Met and exceeded several financial goals for revenue due to cost containment; planned conservatively
• Maximized all billing opportunities; aggressively worked denials; aggressively pursued prior period obligations

On target

• Set spending and income goals at the beginning of fiscal year
• Worked to reduce expenses by improving vendor contracts
• Accurate forecasting and plenty of business

Fell short

• Physician turnover, retirement
• Higher deductibles, more unpaid visits and uninsured patients
• Increased competition, increased expenses, increased requirements, declining reimbursement

In a recent episode of the Industry Insights podcast, MGMA focused on pressing financial issues. To learn strategies on how to address and solve these issues, listen to this podcast. As part of the lineup, MGMA Sr. Editor Craig Wiberg discusses The Financial Conference. Also, we hear from industry experts including Steve Dickens, Sanjay Seth, and Jim Malloy.

Resources to meet revenue cycle goals:

• To make your practice more financially sound and healthy, attend MGMA19 | The Financial Conference.
• MGMA DataDive is an online-based platform with thousands of metrics allowing you to see where your organization is succeeding and where it needs improvement. No matter your organization's size, MGMA DataDive's benchmarks and filters offer comparisons to regional or national competitors' key performance indicators (KPIs) such as provider/staff compensation, operations, costs and revenue. Without this information, your strategy may be based on speculation.
• MGMA Surveys are open for participation. Healthcare professionals across the country rely on data like yours to make crucial decisions, and it’s our privilege to offer the best data to them. But we need your participation! Follow this link, then click the “Participate” icon and follow the instructions.
• MGMA Consulting is the industry leader in creating meaningful change in healthcare, one organization at a time, by offering direct access to the industry’s top experts.

MGMA Stat is a national poll that addresses practice management issues, the impact of new legislation and related topics. Participation is open to all healthcare leaders. Results of other polls and information on how to participate in MGMA Stat are available at: http://www.mgma.com/stat

Authored by MGMA Staff