As I Researched And Analyzed The Case Of California’S Sutter

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As I researched and analyzed the case of California’s Sutter Health System, I find the common accounting flaws many healthcare organizations have made and continue to make within the healthcare industry. In this paper, I will transfer the knowledge I gained throughout this class and incorporate that knowledge to deliberate an educated opinion on Sutter’s Health history, financial accounting complexities they faced, the remedy to their solution and the results they achieved by overhauling their collections system. Based on my research I will include my informed opinion of the approach used by Sutter Health; in my conclusion, I will validate the accounting techniques and state alternative approaches that could have been taken by Sutter…show more content…
So where did they go off the mark?
Challenges within Sutter Health’s Previous Workflow Framework
Although Sutter Health was rapidly expanding, they did not have the financial framework to support their collections department. Managers and medical personnel were not able to access financial documents that were critical to collection operations, and managers and patient care services, resulting in delayed reports. Often reports would not be generated until the end of the month. Another complication with the previous accounting system used by Sutter Health was it did not support the requirements managers necessitated, and lacked detailed financial data. The central business office (CBO) was also unable to access financial information transferred by departments within the network which is a huge problem as the CBO controls accounts receivable and accounts receivable generates revenue for the organization to make a profit.
Patient Financial Services Department’s serve a vital function in any organization; it is apparent the role of the Patient Financial Services Department was critical at Sutter Health. From experience, I gained throughout the healthcare field; Patient Services Personnel Departments may consist of front-end personnel such as registration staff or intake specialist and back-end personnel, department supervisor’s and/or managers. Back-end personnel includes patient check-out specialist/discharger, coding specialist, billing
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