As anesthesia practices review the past year and plan ahead, analyzing core data and metrics retrospectively can shape future strategies and drive greater success.
A Jan.13 blog post by Coronis Health highlights key indicators to guide anesthesia practices by examining past performance, challenges and opportunities. Based on data from five Coronis clients, the analysis identifies areas for improvement to ensure practice sustainability beyond 2025.
Four takeaways:
- An assessment of revenue across diverse practices revealed varied outcomes, with two practices experiencing increases, two remaining flat and one suffering a significant decline. On average, the annual collections saw a positive change of 1.45%. This suggests that increased collections aren't universal, underscoring the need for practices to focus on overall financial viability beyond raw revenue. Practice collections, while important, should also not be the only measurement to assess financial viability.
- Staffing remains a pivotal expense due to a national shortage of anesthesia providers, creating recruitment and retention challenges. It should be regarded as the most significant indicator of expense. As staffing dynamics evolve, maintaining competitive compensation becomes crucial. This plays a significant role in negotiations with hospitals and stipulating appropriate stipends. Monitoring staffing levels in regards to transition or turnover can help in predicting significant changes in cost and profitability. The timing of new provider arrivals typically peaks in the third quarter.
- Practices must scrutinize the profitability of each service line and new venues. While expanding service offerings, it's crucial that each contributes to profitability, in order to avoid financial strain from unprofitable ventures. Taking market information into account and utilizing market research to create an informed approach is critical.
- Tracking provider productivity is vital, especially as practices expand. An increase in anesthetizing locations may lead to a decline in billed units per clinical day, impacting subsidy calculations. Despite favorable shifts from $39.65 to $40.20 in collections per billed unit, enhancements in unit yield can be negated by decreased productivity. It's critical for practices expanding into outpatient venues to ensure these additions bolster overall profitability rather than dilute existing resources.