Contract Management For Healthcare
The majority of transactions within a health organization are subject to contracts. Smart contract management in the healthcare sector plays a crucial role in tipping the scales in favor of providers. It is the gold standard because it increases efficiency without affecting patient care. [Sources: 6]
In solo practitioners, the number of contracts can be breathtaking. In groups of two or more practitioners, the state of practice and contractual obligations can get confused when practitioners make contractual arrangements. [Sources: 1]
Health organizations have several contracts with a number of providers and individual organizations. Studies have shown that several contracts in different industries are lost due to poor management. If these contracts are lost, the problem is the need for an efficient contract management system. [Sources: 4]
Executives and financial managers who want to automate contract management in the healthcare sector make the acquisition of systems and health IT a priority in order to increase earnings. Providers help providers and organizations automate and optimize contract management in the healthcare sector, the survey continues. [Sources: 9]
Healthcare companies know that if they fail to comply with industry rules, the consequences can be severe. Implementing contract management software is just one step they can take to improve their compliance procedures and ensure they comply with industry regulations. In this way, it can help them play by the rules and avoid costly penalties. [Sources: 3]
Partnering with a healthcare contract management system can help you evaluate relationships and use actionable data. Every facet of hospital management is forced to adapt to upheaval. Contracts must reflect current laws and regulations, and many providers use contract management specialists. [Sources: 6]
Request a free demo today to learn more. For more than 20 years, Cobblestone has been providing industry-leading and acclaimed contract management software solutions for many industries, including healthcare. Contract Insights web-enabled, flexible, low-friction and robust solutions have helped thousands of users in small and large organizations in the public and private sectors. [Sources: 10]
The healthcare contract management market will grow rapidly as providers and organizations look for new systems to manage more complex contracts. In fact, the New Market Report predicts that the market will grow from $755 million in 2019 to $1,763 million in 2024, representing an average annual growth rate (CAGR) of 18.5% over that period. [Sources: 9]
Watch the video to get a quick overview of the state-of-the-art functionality of the contract management software. Health organizations can track and monitor line items such as medical devices, drugs, laboratory items, face masks and other PPE products, food and more, as well as manufacturer-related costs. With comprehensive expenditure management in contract management software, users can use contract pricing and contract budget tracking tools. [Sources: 10]
Contract management is an important element of a sound practice management strategy. Due to the number of different types of contracts that healthcare providers conclude, it can be difficult to manage all moving parts. In order to reduce the risks associated with inadequate contract management, health practices should establish written policies and procedures dealing with contract supervision, authorization and review processes, evaluation criteria for contractors and special considerations relating to research and legal review. [Sources: 1]
A health care contract is your traditional contract in the form of two consenting parties: a physician, a health care provider, a managed care organization (MCO), a network sponsored by a provider, a health care preservation organization, and an integrated care system for various health plans. Contracts can be concluded with health care providers, other employees, vendors and more. These contracts focus on the roles and responsibilities of each party and its compliance requirements with state and federal laws. [Sources: 7]
Solutions such as this contract management software provide a secure location for all your contracts, including medical contracts, vendor contracts, construction contracts and more. This allows your legal team and key stakeholders to find contract files and search them for terms, keywords and interests. [Sources: 3]
Efficient CLM-based steps overcome the usual pitfalls of contract management. A streamlined process ensures better execution of the creation, submission, approval and signature of documents. When you have such a workflow, it saves time and money, reduces errors, and delivers consistent results. [Sources: 5]
Effective contract management helps ensure that the hospital meets or exceeds its suppliers “expectations and meets its contracts. If a seller fails to meet its contractual obligations, the hospital can take steps to prevent the same problems from recurring. With this information, the CFO can take corrective action if necessary to minimize the risk posed by a vendor who does not comply with his contract. A key aspect of preparing for an audit is the CFE’s knowledge of how well their hospital performs under its contract and how its vendors perform under its agreements. [Sources: 0]
Sources:
[0]: https://www.beckershospitalreview.com/hospital-management-administration/contract-management-best-practices-avoiding-the-common-mistakes-that-cost-hospitals-millions-of-dollars-annually.html
[1]: https://www.medpro.com/contract-administration-healthcare-practices
[2]: https://www.contractlogix.com/contract-management/improving-contract-management-for-healthcare/
[3]: https://www.contractworks.com/blog/the-importance-of-contract-management-for-healthcare-compliance
[4]: https://sites.google.com/site/healthcarecontractmanagement/best-practices-for-healthcare-contract-management
[5]: https://www.kohosoftware.com/contract-management-in-healthcare-advantages/
[6]: https://www.healthcents.com/resources/blog/best-practices-for-healthcare-contract-management/
[7]: https://www.cogneesol.com/blog/effective-healthcare-contract-management
[8]: https://www.concordnow.com/industry/healthcare/
[9]: https://revcycleintelligence.com/news/manual-healthcare-contract-management-costs-providers-157b-a-year
[10]: https://www.cobblestonesoftware.com/blog/healthcare-contract-management-covid-19
