Biju Davis, Senior Vice President, Engineering, Model N highlights that analytics predict clinical risks and personalise treatment plans, leading to better patient care and reduced costs
We observe that the convergence of AI, automation and analytics is revolutionising healthcare. AI algorithms analyse radiological and pathological images to detect illnesses early. Automated drug delivery systems ensure precise medication dosing and adherence, improving patient outcomes. Analytics predict clinical risks and personalise treatment plans, leading to better patient care and reduced costs.
Now, this powerful trio is transforming revenue management for medtech. Traditional revenue management in medtech has been plagued by manual tasks, siloed data, and reactive decision-making, which has often led to missed opportunities, inefficient pricing and ultimately, lost revenue. AI-powered tools analyse vast amounts of data to identify under-billed services and optimise coding practices, maximising reimbursements. Automation streamlines administrative tasks, freeing up staff to focus on revenue-generating activities. Advanced analytics predict patient payment behaviour, enabling proactive collection strategies and reducing bad debt. By leveraging AI, automation and analytics, medtech can not only improve patient care but also achieve sustainable financial growth. This innovative approach paves the way for a future where healthcare is both effective and financially sound.
Leveraging technology for revenue opportunities
Repetitive tasks like claims processing, coding and billing are being automated, freeing up valuable human resources for more strategic endeavours. It not only improves efficiency but also reduces errors and ensures faster reimbursements. Automation is widely regarded as a productive tool by both employees and leaders. In a recent survey, over 90 per cent of workers reported that automation solutions improved their productivity, while 85 per cent affirmed that these tools fostered collaboration within their teams. Furthermore, nearly 90 per cent expressed confidence in automation solutions to facilitate error-free productivity and expedite decision-making processes.
The integration of cutting-edge technologies within the medtech sector offers a host of advantages. By employing improved pricing strategies and optimising resource allocation, medtech companies can experience substantial growth in revenue. Faster reimbursements ensure a steady influx of funds. With the automation of routine tasks, such as administrative duties and data processing, alongside streamlining processes, the operational costs will come down. Minimising errors further contributes to cost reduction by mitigating the need for corrective actions. The next major benefit from leveraging data-driven insights enables more informed decision-making across various aspects of the business. Whether it’s refining product development strategies, fine-tuning marketing approaches or enhancing overall business performance, access to comprehensive analytics guides medtech firms towards optimal choices. Through personalised pricing models, streamlined operations and the introduction of innovative solutions, medtech companies can differentiate themselves within the market, attracting customers and securing market share.
Integrating new technologies with medtech
Robotic process automation offers the lowest barrier to entry, but companies are placing a higher emphasis on advanced analytics and AI. Hi-tech is more likely to use robotic process automation to support its revenue management processes than its counterparts in life sciences.
Companies can purchase a proven industry solution to ensure their revenue optimisation and compliance applications remain on the cutting edge. A survey shows that 66 per cent of the executives prefer a mix of in-house and adaptable external solutions, seven per cent prefer a tailor-made external solution, while the remaining rely solely on in-house development. The heavy reliance on homegrown solutions and a hybrid mix of technologies could be a contributing factor to the lack of confidence in internal data quality.
Integrating new technologies with existing systems can be complex and costly. Companies must ensure a seamless data flow and avoid creating new silos. The healthcare industry handles sensitive patient data, so robust cybersecurity measures are crucial to protect privacy and comply with regulations. And finally, using these technologies effectively requires skilled data analysts, AI specialists and change management experts. Identifying and attracting these individuals can be challenging.
Introducing a centralised approach to revenue management
While regional variations in healthcare systems and regulations exist, a growing trend towards unified revenue management solutions is emerging. It allows companies to track performance across different locations, compare strategies and identify best practices for broader implementation. The centralised approach facilitates strategic planning, enables knowledge sharing and ultimately leads to improved performance across the board.
Revenue management applications become more consistent across regions. Of the companies responding to the survey that have global operations, less than 10 per cent always use the same applications and technology across all regions. The most common approach taken by nearly three-quarters of companies with operations in multiple countries is to use the same solutions with some exceptions. It is marked change from last year, when nearly 50 per cent of respondents indicated that each of their regions relied on different revenue management solutions.
So why do companies use different applications? The most common explanation is that solutions cannot effectively handle different geographical process variations and compliance requirements. To a lesser extent, reasons for using certain technologies are related to how technology decisions are made. Regional ownership can drive different technology decisions for different areas. Regardless of the underlying reason, using diverse technology can hinder a company’s ability to understand performance and trends on a global scale, and ultimately, devise and execute strategies to optimise revenue across the organisation.
Shaping the future of healthcare
The shift towards cutting-edge technologies in medtech revenue management is a fundamental transformation with significant implications for the future of the industry. By embracing automation, AI, and advanced analytics, medtech companies can unlock new levels of efficiency, optimise pricing and ultimately drive sustainable business growth. As technology continues to evolve, so will its impact on revenue management, shaping the future of the healthcare landscape in the future.
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