Hospice Shared Services — A.K.A. the Trojan Horse in healthcare. The antecedent to a merger. The illusory but over-hyped ‘economies of scale’ that just never seem to materialize.
What Economies of Scale?
Why put all your eggs in one basket? In our experience, hospices outsourcing too many functions into one vendor (i.e. an EMR that also does their billing; or another hospice that will provide ‘back office’ support) puts all the power and leverage into one relationship. It’s too difficult and sticky to unwind that decision once made. And it usually leads to one of two places… either right back where you started, or your agency being the unfortunate target or a more powerful merger partner.
An Alternative Model of Hospice Shared Services
Why put all your eggs into one basket? Can you have your cake and eat it too? We have spent the last couple decades connecting hospices to the right person or company for exactly when and what they need–not for some huge financial incentive–but because it’s the right thing to do. We have always done this. We pride ourselves in knowing the right people for the right situation. In the back of our minds, we’re always chanting, “What’s best for the patient? What’s best for the patient?”
And we’ve all heard the phrase, “But wait, there’s more!” However, with our extensive network of hospices and other service providers, this phrase isn’t just marketing hype.
Are You Even Asking the Right Question?
At the end of the day, what does it take to bring a hospice from a -10% or -20% operating loss to a +10 or +14% profit margin in months, not years?
This is the question every hospice should be asking itself and taking resolute action to answer… or you can just keep forming committees to discuss problems and paying overpriced ‘generic’ consultants who couldn’t run a profitable business if their livelihood depended on it!
Furthermore, inaction where it matters most will eventually bring a hospice to the weaker side of a negotiating table. I’ve seen it too many times in this movement, and it’s both unnecessary and wasteful of talent.
But How Can You Say That With Such Confidence? You’re Just a… CPA?
…or fill in the blank job title or credential. Use whatever excuse makes it comfortable not to take action.
I say this confidently because we’ve peaked under the hood of hundreds of hospice agencies. In rare situations, yes, we’ve helped hospices merge with an acquirer as the CPA firm representing the agency. We’ve gone toe-to-toe with the Big Four and many of the largest accounting firms in deal analysis, knowing that we run a tight ship when it comes to the financials.
But I always feel like these mergers are unnecessary…
In reality, we all love our excuses. Almost as much as we love our entrenched realities. The truth is, taking a hospice to the next level and competing in today’s business-savvy healthcare arena requires more. It requires ‘next-level’ thinking translated into ‘next-level’ action. Ideas are great, but as Andrew Reed of Multi-View, Inc. says:
“How do we make ideas into reality?”-Andrew Reed, CEO, Multi-View, Inc.
How Do We Remain Competitive in the Face of…
…what? Rate cuts? Competition for labor? Regulatory scrutiny? An unexpected leadership vacuum?
If any of these sound like ‘unforeseen circumstances’ then you haven’t been in this space long enough. These are just the price of admission. The ante to a high-stakes game of hospice poker where you’re someone else’s plan to get out of their overpaid or overstaffed executive team. Where egos trump reason, and you either put up or shut up…
But I digress. Of the hundreds of hospices we’ve helped, I still confidently see the small but mighty, the underdogs, the Cinderella Man (and Woman!) hospices beating the Goliaths in quality and financial margin–hands down!
What Are These Shared Services We Hear So Much About?
Maybe I’m on a soapbox. Maybe I need to stop listening to Eye of the Tiger so much. But I don’t like seeing hospices throw in the towel on being the best local provider–every patient, every time–and regularly beating the margins of their larger counterparts.
Blackmor, CPA, offers the best solution in the country for hospice accounting services and industry–specific financial expertise. I only say this with confidence because of the feedback from our family (a.k.a. clients), who tell us they wondered how they got along before they worked with us.
Yes, we do offer those services and because of our commitment to customer service, our clients are raving fans AND our only marketing team…
However, that’s not all we do. Because of our decades of relationship building within the hospice community, we are also able to offer a number of supporting services within a ‘hospice shared services model’ that we call the Hospice Consortium of Excellence.
What Exactly Are Hospice Shared Services?
Through our hospice shared services model that we call the Hospice Consortium of Excellence, we help hospices reach the next level in their clinical and administrative functions. Our referral network of independent SMEs or ‘Subject Matter Experts’ acts just like a hospice agency’s own IDT, triaging problem areas out to the best possible solution provider rather than trying to be the end-all-be-all. This ‘Subject Matter Specialist’ (or Expert) approach allows each provider to continue to focus on their area of excellence and growth within their core strength (i.e. StrengthsFinder/CliftonStrengths ideology).
The main thing is to keep the main thing the main thing.-Stephen Covey
So… What Types of Shared Services Does the Hospice Consortium of Excellence Offer?
Through our network, we can reach out to consult, assist or in some cases replace an existing function within your agency. First, we assess with an open mind toward the most pressing issues your hospice is up against. Only then do we decide what service fits most appropriately.
Introducing: Hospice Subject Matter Experts
If you want to do a complete turnaround with your hospice–leading with quality for every patient, every time–and letting the financial turnaround follow, then look no further than MVI/Multi-View, The Model, and their Magic implementation service.
If you want EMR integration, financial models/pro-formas, BI dashboards, onsite assessments of personnel or systems, a-la-carte accounting services, or just a complete turnkey finance department for your agency that runs less than the MVI Benchmark for finance labor, get in touch with Blackmor, CPA.
Areas of Hospice Subject Matter Specialists
Through our collaborative network of subject matter specialists, our other Consortium members offer services ranging from:
- Census Growth Through Marketing and Relationship Building
- Development Department Growth and Outreach
- Market and Competition Analysis
- Former or Semi-Retired CEOs for Coaching or Interim Leadership
- Interim CFO services or Executive Coaching
- Nationwide Recruitment (Interim & Full-Time)
- Hospice-Specific Staffing and Job Boards
- Billing & Revenue Cycle Management
- Billing and Documentation Audits
- Continuing Education Classes
- Clinical and QAPI Training and Leadership
- Documentation and Compliance Assistance
- Accreditation Preparation and Implementation (CHAP, Jayco, etc.)
Each of our members retains their laser focus on their core competency, giving us the ability to coordinate a ‘plan of care’ for the hospice’s business model rather than forcing every hospice agency to fit a predetermined consulting framework.
Your network is your net worth.-Unknown
Get in touch today at the number below or using the form submission. You have nothing to lose and everything to gain.