Healthcare Revenue Cycle Management

Healthcare revenue cycle management is the process of tracking and analyzing revenue received from patients during the course of their care process. The cycle begins when the first appointments are booked and concludes once the final balance of their cost of care is paid.

Like an accounting process in business, healthcare revenue cycle management considers a range of factors, including what it costs a facility to provide care to the patient. By analyzing these factors alongside the revenue generated during the cycle, care facilities can identify which procedures or methods lead to generating the most revenue.

Once this information is in hand, hospital managers and other decision makers at a care facility can use it to decide where funds can be allocated and how to increase revenue to fund a larger range of services to meet patient needs.

The process of healthcare revenue cycle management can be simplified into three steps: registration, medical coding and medical billing.

Here's a brief explanation of what each step includes:

Medical billing and medical coding both play a critical role in healthcare revenue cycle management, particularly in the second and third steps of the cycle.

Both medical billing and medical coding make the revenue process run more smoothly by having highly trained, dedicated professionals who can properly employ code procedures and input insurance details and finalize bills.