Key takeaways: The recoupment of COVID-19 Accelerated and Advance Payments (CAAP) Program impacts Medicare reimbursements…
Healthcare organization AdventHealth includes 80,000 providers and staff in physician practices, hospitals, outpatient clinics, skilled nursing facilities, home health agencies, and hospice centers across 12 states. They have nearly 50 hospital campuses and hundreds of care sites in diverse markets throughout these US states. Currently, the health system generates $12 billion in revenue with $8.5 billion in operating expenses. ability to identify at-risk patients, improve their care and document their impact.
AdventHealth Focuses on AP Automation: Projects $1.2 Million in Savings1
AdventHealth is projected to save $1.2 million within 12 to 24 months by implementing the Remitra solution. Due to challenges with manual invoicing, their focus is on optimizing processes, lowering costs, automating accounts payable approval workflows, and utilizing electronic data interchange (EDI) to reduce data match exception rates.
Accounts Payable Challenges Faced by AdventHealth
Across the healthcare industry, up to 70 percent of invoices are paper-based , and up to 85 percent of invoices are paid by check3. A lack of automation and time- consuming manual processes created several challenges for AdventHealth:
High costs associated with paper invoicing processes.
- Low EDI adoption resulting in a large volume of manual processing
- Outdated manual practices and multiple data silos created deficiencies in otherwise modern departments.
- Financial deficits that impacted patient experience and outcomes.
- Invoicing issues caused by poor integration between AP and Enterprise Resource Planning (ERP) systems.
- Rebate breakage and lack of prompt payment resulting in revenue loss.
- Manual reconciliation due to AP inefficiency filling 30 percent of staff time.
AdventHealth is not alone. Across the healthcare industry, organizations have faced a plethora of traditional invoicing pains:
- Processing errors and a high level of discrepancies lead to delays.
- Lack of insight into exposure on a day-to-day basis.
- Re-keying of paper invoices through time-consuming manual processes.
- Delays in invoice processing.
- Financial deficits that affect patient care.
Ceasing the Pain of Traditional Invoicing
There is a solution, and it’s automation. A combination of e-invoicing technology, cloud- based automation tools, easy integration, and an attentive supplier management strategy from Remitra contributed to the success AdventHealth experienced. Here’s how:
- Remitra integrated into their ERP seamlessly resulting in automated corrections on all invoices entering the ERP even those not running through Remitra.
- Remitra provided a customized solution supported by a development team that met the needs addressed by the health system.
- Remitra facilitated the integration of the customer relationship management (CRM) that added purchase order correction logic to inbound invoices. The result was automated correction on all invoices.
- Remitra helped to drastically lower the cost of invoices while reducing staff burden in processing invoices.
- Estimated soft savings of $1,209,338 per year with the solution implementation based on volumes transacted.4
- Remitra decreased the percentage of missing line exceptions on invoices and lowered the number of invoices that require corrections.
- Remitra continues to onboard vendors to the EDI network to facilitate greater levels of electronic transmission.
- Finding untapped savings, AdventHealth could reallocate resources to serve the community better.
This type of platform has to be able to really hit the mark across the board regardless of the Enterprise Resource Planning (ERP), the Electronic Health Record (EHR) or the size of the organization. It has to move us significantly into the future in a much more highly automated fashion. Remitra does that.5
– Marisa Farabaugh,
Chief Supply Chain Officer, AdventHealth
By implementing Remitra, AdventHealth solved the AP problems plaguing the healthcare industry for decades. Find out what Remitra can do for your health organization.