Home Page > Business Intelligence > Answering Practice Leaders’ Common Questions about Financial Health Part 2: Tips for Leveraging Analytics

Answering Practice Leaders’ Common Questions about Financial Health Part 2: Tips for Leveraging Analytics

Tax Season ImageIn my last post, I introduced our new series addressing the questions we commonly hear from practice leaders. One of the most frequently discussed topics isn’t really a surprise: two out of three healthcare leaders surveyed said it’s a top priority.

That topic is analytics. As practices are called to measure value and contain costs, developing an analytics program has become an imperative. It presents a unique set of challenges, though. How do you make the right investment in analytics technology, and how can you make sure you truly derive value from your analytics program? In this year alone, the average hospital is spending $1.9 million on analytics, but such budgets aren’t a luxury for the vast majority of provider organizations.

Most importantly, the hallmark of a successful analytics program is actionable data. Whether you’re tracking one metric or 20, you need more than pretty dashboards and charts to improve practice performance. You need data that shows you exactly where you’re having problems so that you can understand what’s broken within your processes.

So, what does an actionable analytics program look like? As an example, consider the denials process. If your analytics program is integrated with your claims management tools, you should be able to identify a common denials program and then drill down to see exactly what claims are causing it. An actionable analytics program also involves team members, not just leadership. If the tool is integrated with the claims team’s workflow, for instance, they can have hands-on involvement viewing the data and making necessary changes.

Analytics is a complex topic that impacts many components of a practice’s financial health, so stay tuned for more information in our next post. To learn more about the importance of leveraging actionable data, download this free one-hour webinar recording, presented by Frank Cohen: Improve Profitability with Revenue Cycle Analytics.