Financial Auditing
Problem: The military
healthcare financial system is completely different now than
it was ten, or even five years ago. Commanders and their resource
managers must deal with capitated financing methodologies,
new accounting systems, accrual funding, and the “risks” of
referred private sector care. The last few years have also
seen increased pressure by Congress to ensure DHP funds are
properly accounted for and spent wisely. To be successful in
this complex environment is a challenge for MTFs since they
must face the reality of financial management staffs with limited
management experience, deployments, and the general lack of
time to analyze costs.
Solution: Collectively,
STI’s financial
management consultants have 100 years of experience within the
MHS, including experience at both the MTF and the Intermediate
Command levels. As recognized experts in the field, our consultants
have the uncanny ability of helping to identify previously “lost” funds
available to the MTF. This is done through a detailed analysis
of financial data, workload indicators, revenue generation, private
sector care referral patterns, and other pertinent documents.
Simply put, we provide practical guidance on the most effective
ways to manage the MTF budget and save DHP dollars…period!
Value: STI’s financial management
analysis at 15 MTFs at one Intermediate Command yielded savings
of approximately $8M during one fiscal year. At a large medical
center, STI identified approximately $3M in efficiencies through
a detailed analysis of cost data. At two separate MTFs, STI identified
$2.6M in accounting errors. Finally, “hands-on” training
was provided to more than 50 resource managers and budget analysts.
Resource Management
Problem: The military healthcare financial
system continues to evolve and optimization of reimbursements
has never been more important. This increases the pressure for
MTF Commanders to ensure all reimbursements are identified and
collected. Resource Managers also must look at how reimbursements
fit into the overall financial program. Unfortunately, MTF Commanders
and Resource Managers lack the information systems and trained
staff to ensure all required actions is actually occurring. This
is where STI can help.
Solution: Our consultants have years
of experience managing reimbursements at both and MTF and higher
headquarters level. We will examine all facets of each reimbursement
program (TPC, MAC, MSA) and report program deficiencies. We will
specifically review: correct patient appointment scheduling and
end-of-day processing; coding accuracy; effectiveness of identification
and collection of other health insurance data; ensure complete,
accurate, and timely billing is being accomplished; and examine
the effectiveness of Accounts Receivable management. If needed,
we will develop metrics and provide training to your staff.
Value: Through an evaluation of the complete
revenue cycle, it is possible to identify savings across all
components of the medical reimbursement system. Results of past
consulting visits include:
Several million dollars in billable
opportunities
Validation
of staffing requirements needed to manage non-TPC reimbursement
programs
Identifying
the impact proposed medical service changes would have on collection
efforts
Recommendations to improve cost accounting.
Business Intelligence
Problem: Commanders
at all levels make resource and financial management decisions
on a daily basis. Often, these decisions are based on two elements – current
financial and workload data. This data is often not accurate
due to accounting errors, use of non-standardized processes,
inattention to detail, or the use of aged data from headquarters.
Unfortunately, this data is all that is available to senior managers
who may not realize the data is faulty. They may extrapolate
the analytical results into a local framework. This data can
force MTFs in a reactionary mode towards changing market and
patient population trends, with negative financial consequences.
Solution: Through
a data analysis capability that has been honed through ten
years of support for the Health Program Analysis and Evaluation
(HPA&E) directorate, along with the top DoD financial analysis
consulting group in the industry, STI can help managers at
all levels identify good data from bad and then make better
use of this data for critical operational decisions. With these
skills, STI can identify valuable data sets, validate and process
the data, and help Commanders use this data. STI delivers results
in report format, a business object application that operates
on a data cube, spreadsheets, or in any form that the client
desires.
Value: With
this data analysis capability, MTFs can collect the best available
data and then have it translated directly into a frame of reference
that simplifies decision making. STI can improve the data and
data use on multiple levels. STI can tailor services to meet
the needs of the MTF and provide the tools that allow interaction
with the data to improve the quality of decisions. In either
case, STI will bring the latest analytical data into a format
that allows decision makers to predict market trends and make
budgetary accommodations early.
For more information, please contact Kenyatta Jenkins
at 301.933.8310 x303or send an e-mail to jenkinsk@stic2.com.
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