subject: Ways To Improve Medical Practice Profits [print this page] Many medical practices are struggling financially and yet don't need to be. Applying some basic business tactics along with the information that can be gleaned from free practice management software, these offices can turn their finances around and make this year their best year yet.
Follow The Money
Many offices use free practice management applications to improve office efficiency and yet never use the most important practice management tool: reports. The reporting function of these applications is an essential part of running a medical office. They allow managers to get a clear picture of where the money is coming from and where it is going.
What insurance companies are paying the best rates? Which offer the fastest turnaround on claims? Is your staff collecting patient copayments up front? Which patients are in arrears in their accounts? Cutting loose payers who aren't actually paying is a good way to reduce office overhead.
The free practice management tools can also track office expenses. Looking at the budget, offices might be surprised how much they are paying for basic expenses like janitorial, bookkeeping or telephone services. Once you see your biggest expenses you can make plans to cut them.
Set Productivity Goals
People work better when they have concrete and achievable goals to work toward. Simply telling staff to work smarter or harder isn't effective. Managers who don't have clear objectives can't make intelligent decisions.
The reports generated by free practice management software allow the practice to quantify different elements of operation. Once the numbers are there, managers can make decisions about what needs to be improved. Rather than a vague goal like seeing more patients, set a specific target like "Increase average patients per day by 10% within six months."
Back up these concrete goals with bonuses. Even well intentioned workers have a hard time getting motivated without some kind of reward. Performance bonuses make the entire staff part of the solution and encourages them to work as a team.
Use All Of The Tools Available
Most free practice management applications offer a host of services in addition to basic practice management. Some of those services are free and some are not, but all of them will benefit the practice in some way.
Electronic claim filing significantly lowers operating costs over filing paper claims and is preferred by most insurers. E-prescriptions not only save the office money but improve prescription accuracy and patient safety. Eligibility services ensure the office has full information on a patient before services are administered so they can get the reimbursement they deserve.
Efficient offices not only make better profits but can see more patients and arrange appointments more quickly. Start using free practice management tools to not only improve your bottom line but to increase patient satisfaction.
