HMC’s Rapid Operational Assessment
With half of U.S. hospitals in dire financial trouble, hospital CEOs want to quickly reduce excess costs. In response to this emergency, HMC has created the Rapid Operational Assessment (ROA) to help hospitals find their cost excesses – fast. Within one week of submitting data, hospitals quantify how much excess cost there is, in which departments, and the major causes of excess.
HMC’s (ROA) compares hospitals’ general ledger, payroll numbers, and volumes to peer groups to determine savings opportunities. In one week, the ROA delivers:
- Overall hospital cost position
- Total hospital cost excess
- Total FTE excess
- Excess FTE detail
- Top 10 excess functions
- Complete list of excess functions and their targets
Screen shot of Top 10 excess functions from HMC's online Rapid Operational Assessment (ROA)
With this knowledge of cost position, FTE excess, and functions excess, hospital CEOs know:
- Where to focus cost-cutting energies
- How deep to drill down into the cost structure to find specific drivers of high cost
- A realistic picture of how much cost reductions fill the margin gap required for fiscal health.
Looking for a deeper performance improvement process? HMC offers extensive hospital and healthcare benchmarking. Click here to learn about HMC’s Performance Management Program Benchmark.