Four Proven Ways to Improve Surgical Profitability with TDABC and Benchmarking
By Avant-garde Health
Hospitals’ Financial Challenges
As inflation persists and interest rates and labor costs continue to rise, US hospitals face increasing financial challenges. Meanwhile, reimbursement levels from public and private payers have yet to catch up with inflation, and payment delays and denials are growing, putting additional pressure on hospital revenue. As a consequence, some hospitals have been hit with credit downgrades or resorted to staff layoffs to stay afloat. According to the latest Kaufman Hall’s National Hospital Flash Report on a sample of 900 US hospitals, operating margins showed a sign of improvement in the last several months but they were sitting at “razor-thin, near-zero levels, putting hospitals in a vulnerable position should a recession or new public health emergency materialize.”