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Essay On Hospital Revenue

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Patient Satisfaction Impacts Revenue The purpose of this paper is to discuss how patient satisfaction impacts hospital revenue. As hospital reimbursements are now closely entwined with patient satisfaction, a patient’s experience affects hospital revenue. With more transparent platforms such as patient experience survey results being publicly available and having a new national value-based purchasing system in effect, it is imperative more than ever to comprehend how such metrics impact a patient’s hospital admission. This paper will focus on how those metrics play a pivotal role on the patient experience and its impact on hospital reimbursement. Traditionally, hospitals have been paid according to patient volume, however, with the…show more content…
Another tool, which stemmed from the ACA, is the Hospital Value-Based Purchasing Program (HVBP), in which CMS rewards hospitals with incentive payments for the quality of care they give to patients. More specifically, CMS withholds participating hospitals’ Medicare payments by a percentage in accordance with law if their performance is not within expected standards. Those reductions are then used to fund value-based incentive payments to hospitals based on their performance in the program and then it applies the net result of the reduction and the incentive as a claim-by-claim adjustment factor to the base operating Medicare severity diagnosis-related group (MS-DRG) payment amount for Medicare fee-for-service claims in the fiscal year associated with the performance period (CMS.gov). Value-based purchasing aims to ultimately improve the delivery of care through its direct financial implications in hopes of adequately being the drive needed to change the culture of healthcare. CMS has raised the bar on quality and patient perception of care, making it vital for hospital organizations to abide by measures that will help secure its reimbursement. In conclusion, with revenue at stake, hospital administrators are constantly looking for strategies to enhance the
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