Waterbury Financial Strategies Inc employs a number of ex CFOs who have experience in the medical field and have changed things around. The Company CEO, Rahim Thawer comented that how critical it is to make a change in the healthcare industry due to rising cost of healthcare and the negative cashflow in the hospital. Waterbury Financial Strategies Inc has saved Palmetto Hosiptal $12M annually in costs and also turned their negative income into positive.
Though the evidence strongly supports the need to change the way healthcare services are delivered, very few hospitals are undertaking such initiatives. Those hospitals that are making changes are using best practice models--the most successful approaches and concepts used in other service and commercial industries--to make changes to their organizations.
Hospitals that apply a best practices model to their current operating system and restructure their processes--with a focus on the customer and making selected investments in clinical technology and plant--may be able to reduce their overall costs of providing care by as much as 10 or 20 percent of non-capital operating costs. This cost reduction is achieved through a dramatic reduction in transaction processing and other infrastructure costs.
How can hospitals implement these concepts? They begin by determining the needs of their customers--physicians, patients, and employees. Clinical care requirements and ancillary service utilization and support needs should be studied. Restructuring concepts and the hospital's strategic direction should then be considered in light of this information.
