Many hospitals and healthcare systems may be not-for-profit, but that doesn’t mean they don’t want a healthy bottom line. Healthcare organizations are laser-focused on return on investment (ROI) these days as they deal with increasing competition, increasing patient demands, and rapid changes in technology.
The patient and employee experience are both top-of-mind for healthcare leaders because they understand that focusing on these two stakeholder segments can help boost their success. Importantly, patient experience isn’t just about survey scores—it’s also about creating a culture of excellence that drives financial performance.
The Financial Impact of Patient Experience
Studies support a clear correlation between patient satisfaction and hospital profitability. For instance, Accenture research indicates that providing a superior patient experience can positively impact the bottom line. “A superior customer experience doesn’t just strengthen patient engagement it also correlates to 50 percent higher hospital margins,” they say.
But, because both patient and employee experience are key drivers of success in the healthcare industry, healthcare executives shouldn’t just be focused on financial results. They also need to be sharply focused on both employees and patients. Without talented, engaged, and productive employees the patient experience will suffer. Without a positive patient experience word-of-mouth and return visits will take a hit.
A multi-faceted focus on both the employee and patient experience is required to drive positive results.
Here are some key areas of focus.
Communication
Communication breakdowns can impact employee satisfaction, patient care, result in errors, and ultimately diminish healthcare outcomes. Improving communication between healthcare providers and patients is a must for healthcare organizations.
Clear, compassionate communication helps to build positive relationships and trust—both necessary to ensure that patients understand and follow their treatment plans. Strong communication also boosts the odds that patients will reach out when they have questions and concerns.
The Digital Patient Experience
Today, the digital patient experience can’t be ignored. It’s part and parcel of the overall patient experience. Used effectively, digital tools can provide better access and response times for patients and boost productivity for healthcare professionals.
Digital tools can be used for self-scheduling, billing processes, timely answers to questions, and much more. But meeting patient experience for digital interactions is essential to maintain competitiveness.
Too often, though, these interactions don’t provide the value and efficiency that patients demand. Patients expect your digital services to be as accessible to use and responsive as their experiences with other brands and services—from shopping on Amazon, to interacting with their financial service providers.
I was recently talking with the CEO of a healthcare organization who shared her experience with online scheduling. “After multiple attempts, I gave up,” she said. “It was 10 PM and I wanted to make an appointment, but our system didn’t work. I had to call the clinic manager the next day to make the appointment. And that is what our patients are encountering every day. We get constant complaints that result in more phone calls,” she added.
Measuring the ROI Impacts of Patient Experience Initiatives
Your ability to effectively measure the ROI of patient experiences can help you identify, and replicate, areas where you’re excelling—and help you root out and address service breakdowns.
It’s crucial to have quantifiable data that demonstrates the impact of patient experience on financial outcomes. Some metrics to monitor include:
- HCHAPS scores and impact on reimbursement rates.
- Patient retention rates.
- Patient referrals.
- Readmission rates.
- Revenue per adjusted patient day.
- Net margin and return on assets (ROA).
When healthcare organizations prioritize patient experiences they’re not just doing the right thing for their patients, they’re also securing the financial future of their organizations.
Are you ready to transform the patient experience and boost your bottom line? We can help.
Tags: Communication, employee communication, financial impact, healthcare CFO, healthcare finance, Patient Experience, return on investment, ROI
