New Generation Of Financial Information Systems Makes Crunching Numbers Faster And Easier

In what seems like only a few short years, fiscalaccounts during outpatient tax income charge-capture
selective information systems (FIS) have evolvedaudits yielded Sir Thomas More than $10 a million in
from simple, back-office support systems into fullyadditional charges.Furthermore, monthly cash
integrated solutions that can handle everything fromcollections for 2004 exceeded those for 2003 by
payroll to accounts receivable and gross cycle$10.4 , while net taxation between 2001 and 2003
management. But such increased functionality wouldincreased by $44 as a result of improvements in
not be possible without the ability to combinecharge capture, coding, reduced bad debt and
disparate databases into a single source of entropyincremental tax revenue recovery. In addition,
that can be mined at multiple levels.The importanceoperating profitability, during that same period,
of data mining quickly became apparent to corporateimproved by $40 . A focus on reversing the losses
executives at James Edmund Scripps Wellness in Sanincurred during 2000 and 2001 also led to establish a
Diego, who had been working with six separatesystemwide cycle steering committee, as well as
databases before upgrading to a newer variant ofmultidisciplinary teams on the level so that
Dawn Approach Coach/Affected role Fiscal Handler"everybody would be on the same page,".Drake adds
from Boca Raton, Fla.-founded Eclipsys Corp.Edwardthat coordinating the steering committee and teams
Wyllis Scripps currently operates five acute carehelped define how the centralized business office
facilities totaling nearly 1,400 beds, two medicalcould best support the needs of each facility. Those
groups with 14 outpatient clinics, a home healthweekly meetings covered a wide range of topics,
agency and a health plan. Today, yearly revenuesshe says, including coverage, interim and obstacles to
average $1.35 billion, which is a big turnaround from adischarge. But went even further in overhauling its
few years ago when posted operating losses in 2000strategies.It developed a -dedicated claims processing
and 2001 totaling approximately $26 1000000 and $22team within Kaiser's regional claims center in
one thousand thousand and respectively. In an effortPasadena, Calif., which reduced the claims backlog by
to bolster their bottom line, devised a number of key$6. It outsourced unpaid commercial and PPO
strategies, not the least of which was drasticallyoutpatient claims to QuadraMed. "We wanted our
changing their methods of charge andpeople to stay focused on higher-dollar claims,"
reimbursement."A couple of years ago we movedexplains . Drake also says, "We did an awful lot of
away from capitated risk to fee-for-service risk,"work on appeals by working with our payers and
says David Ferdinand Julius Cohn, vice president ofimproving our contracts."There's no question that
patient services. Additionally, since each infirmary hadupgrading to Dawning Memory access Director
been running its own Eclipsys FIS, the organizationPatient role Managing director variation 11.3 improved
made the decision to rise these 13--old systems bythe organization's efficiency in accessing and analyzing
installing an enterprisewide FIS.Realized similar gains indata. A major driver in that rising slope was the EDI
efficiencies, although not all were directly related totransaction set requirements mandated by HIPAA,
the adoption of a new software solution. admits thatsays.Also, needed to streamline its Medicare process,
a significant portion of gain was due to processsince Medicare accounts for about 35 percent to 40
improvements in recovering underpayments frompercent of its business. Due to time constraints
third-party payers."We look at trends by types ofresulting from the HIPAA deadline, was unable to
underpayments and develop strategies to workinstall a Web- edition of the Eclipsys software,
together with our payer partners," he says, addingchoosing instead the character- interpretation that
that collection of underpayments in financial 2003 wascould ruin on a UNIX platform using a cache system,
9 percent above 2002, amounting to More than $15.4says Drake. However, plans are already in the works
meg. The auditing of Thomas More than 100,000to ascent to reading 11.4.