A leading provider of rehabilitation services including physical, occupational, and speech therapies. They employ 12,000 therapists nationwide.
Overview
When a Rehabilitation Provider expanded its geographic footprint, it became difficult to find additional RCM support in a timely manner, and hiring directly became increasingly expensive. Meanwhile, self-pay collections needed improvement but without resources, cashflow constraints worsened.
“When I sat down and calculated the return on investment of hiring someone directly, the margin was so thin after you factor in benefits and everything else. When I calculated the return on investment of going offshore, I said, ' This makes a lot of sense.'" -VP of RCM
Solution
In March 2024, the Rehabilitation Provider partnered with Global Healthcare Resource to build a team of 11 full-time employees (FTEs) performing patient self-pay calls, insurance follow-up, prior authorizations, and insurance verification as an extension of their team.
Full Story
When one Rehabilitation Provider expanded its geographic footprint, it became clear that the company needed additional RCM support. However, finding qualified staff in a timely manner was not easy. In addition, there was a lengthy onboarding process, and it was expensive to hire people directly. Meanwhile, self-pay collections needed improvement, but without resources to address the problem, cashflow constraints worsened.
That’s when the company’s VP of RCM decided to explore RCM outsourcing—and specifically the idea of partnering with a vendor that leverages offshore revenue cycle talent.
“When I sat down and calculated the return on investment of hiring someone directly, the margin was so thin after you factor in benefits and everything else,” he said. “When I calculated the return on investment of going offshore, I said, ‘This makes a lot of sense.’”
In March 2024, the Rehabilitation Provider partnered with Global Healthcare Resource. Global identified exactly what they needed and explained how their strategy could amplify revenue cycle effectiveness using key performance metrics.
“Global was very thorough in terms of maximizing resources and ensuring we got what we needed,” said the Rehabilitation Provider’s VP of RCM. “They were extremely attentive, and it was refreshing to collaborate with them.”
Global currently performs patient self-pay calls, insurance follow-up, prior authorizations, insurance verification, and more. Global’s employees represent approximately 30% of the Rehabilitation Service Provider’s RCM department, and the percentage continues to increase with attrition.
To obtain buy-in for an offshore outsourcing partnership, dispelling myths about RCM outsourcing was a critical first step.
“I was very clear that I did not intend to let go of any internal staff. The reality was that I couldn’t fill open positions,” said the Rehabilitation Provider’s VP of RCM. “I was honest about the fact that as people left, I was going to start filling positions this way.”
It was also paramount to create a healthy dynamic between offshore and direct (onshore) employees. “I made it clear that offshore staff would be treated as members of our team,” he said. “Offshore staff attended department meetings, individual meetings, and one-on-one meetings with managers. We treated them as our own. We didn’t want it to be ‘them’ versus ‘us.’ We wanted to foster a team mentality.”
Results
Improving RCM Effectiveness:
The cost savings of offshore outsourcing meant the Rehabilitation Provider could also create an entirely new department for patient self-pay collections and work more diligently to address return mail—all while remaining budget-neutral. “At the offshore price point, we finally had the resources to address long-standing needs in RCM,” he said. The result? A revenue increase of $500K monthly.
Addressing Healthcare Staffing Shortages:
An immediate benefit of partnering with Global Healthcare Resource was the ability to fill open positions quickly. "I’d tell Global I need three more people for prior authorizations, and they would have three highly qualified professionals in place within 48 hours, ” he said.
As patient volumes continued to grow, the rehab company didn’t need to worry about timely claim submission and payment. “Global was very flexible, especially when we saw shifts in our workloads,” he added.
In addition, the quality of the talent pipeline was unparalleled. “When a Global team member started working with us, they already had a solid understanding of their role and what was expected,” he said.
“They understood healthcare jargon, concepts, and revenue cycle workflows. This was all because of the continuous education Global provided. Global continues to deliver people who are trained and can do the work assigned to them in a thorough, expedient, compliant, ethical manner.”
Cutting Labor Costs:
Leveraging offshore talent also yielded a significant labor cost savings. “Most of the time, if I lost one direct employee, I could replace that person with two offshore employees and still save money,” he said. “That’s in addition to cost savings related to recruitment, training, and technology.”
Looking ahead:
Global Healthcare Resources continues to help the Rehabilitation Provider weather RCM staffing shortages with ease, contain labor costs, and improve patient self-pay collections. “I’m thrilled with the partnership and excited about working with such nice and talented people who are willing to go the extra mile,” he emphasized.