Who: The Ohio State University Wexner Medical Center (OSUWMC)
What: An agreement to outsource small balance accounts receivable to Professional Medical Services
The Ohio State University Wexner Medical Center has been in operation since 1834 and currently employees 16,820 workers. There are six hospitals associated with the organization, which means efficiency is a high priority. There is one centralized accounts receivable department tasked with managing all reimbursements and other accounting matters. Given the high volume of accounts associated with this operation, it became increasingly difficult to manage everything, particularly low balance accounts.
Mark Tennant, the Manager of Patient Financial Services, explained in an interview that his organization lacked the necessary internal resources to focus on both large, high priority accounts and outstanding small balance accounts (less than $5,000) in an efficient manner. Over time, small balance accounts continued to grow and became too much of a burden for one organization to handle. For over five years, OSUWMC outsourced to a collections agency, but that was an ineffective relationship.
“They were an outdated agency that wasn’t compatible with our systems,” Tennant explained. “There was not good interfacing.”
Because reimbursements and AR are such important components of the health care financial process, the potential ramifications were severe if it did not get fixed. A change in management was possible.
OSUWMC contacted Professional Medical Services about a potential partnership. Shortly after, we sent an RFP for an agreement to work with the organization and neutralize the burden caused by low balance accounts. The conversations centered around OSUWMC, their needs and the solutions that best fit their environment. Our adaptability allowed us to present them with a solution that worked best for both sides.
Knowing the volatility of OSUWMC’s situation, it was important to ensure a quick and efficient implementation. Not only did our staff possess the knowledge to understand OSUWMC’s environment, we enforced best practices throughout the process so the entire implementation and training procedure was quick and easy.
“Training went well,” Tennant said. “PMS was familiar with our business systems so there was somewhat seamless transition. I would estimate we were up and running in 60 days.”
OSUWMC was able to reduce the amount of outstanding AR accounts and increase reimbursements, two of the biggest challenges at the organization. Not only were the OSUWMC staff able to alleviate the burden of these types of accounts, they were able to concentrate on more pressing matters, such as their high balances. Ultimately, this relationship helped manage both account types.
The Professional Medical Services Benefit
At PMS, we don’t just work for you, we work with you. Our systems are designed to accommodate the needs of your organization and establish a collaborative relationship that benefits both parties. That’s what we were able to do with OSUWMC. We were able to quickly recognize exactly what they needed and provide that assistance in a seamless manner. We maintain our partnership today and have ensured that OSUWMC’s accounts receivable department still operates efficiently and that reimbursements continue to increase. Our relationship has been so successful that OSUWMC is considering matching other departments, such as the University Reference LAB accounts receivable, with our services.