Florian Otto is CEO & cofounder of Cedar, an enterprise healthcare engagement platform that improves the consumer financial journey.
The last several years have been tumultuous for the healthcare industry. Providers are continuing to face challenging profit margins, increased costs, staffing shortages and burnout. At the same time, consumers are demanding better experiences and greater transparency.
In my conversations with customers and partners, leaders in healthcare are constantly thinking about how to grow and remain competitive amidst these financial challenges while also providing the best possible care for their patients. Even as these healthcare organizations navigate new (and existing) challenges, there is an underlying optimism toward the future.
I believe that we need to find the right combination of regulations and technology to get us there. In order to achieve this, I see three main areas where I believe technology and regulation can help: price transparency, automated administration and improving customer experience (CX).
Price Transparency’s Tipping Point
Price transparency continues to make headlines, but I don’t think it is always for the right reasons. I often find that medical billing rules and regulations are falling short of creating real change. One report cited that only a quarter of hospitals are actually compliant with federal rules, and compliance is often not as robust as it could be. And the reality is that it is unlikely we’ll see additional measures or legislation to help improve price transparency in 2023.
The government-issued rules make sense, but the current state medical billing is complicated and slow to change. True transparency can only be achieved if the information provided is usable and actionable, and with all these regulations it is vital that we do not lose focus on what really matters: the patient. It’s not enough to just comply with the rulings if your system is not easily accessible and understandable to the consumer. Instead, choose tools that can decrease confusion and deliver straightforward answers that the consumer needs.
Automated Administration
We’re seeing ChatGPT splashed across every tech-focused headline, and healthcare is no exception. The potential is unmistakable, with opportunities ranging from supplying physicians with a summarized patient record ahead of an appointment to drafting letters for prior authorizations or insurance claims.
While some of these technology applications feel far off or unwieldy, I see a massive opportunity for administrative automation to help providers increase productivity, reduce expenses and improve patient engagement.
Many aspects of the healthcare consumer experience remain manual, including call reminders to confirm appointments, bill resolution and administrative paperwork—creating unfortunate points of friction that would be unthinkable when booking a flight or shopping online. AI-powered technology can power more of the consumer experience while slashing operational costs and labor inefficiencies.
An interesting example is Spotify, which just released a new AI “DJ” that can deliver a curated lineup of new tracks and artists, as well as commentary based on your music preferences. While we probably don’t need personalized playlists for visiting the doctor or paying a medical bill, I think these same principles can be applied in a healthcare setting. AI-powered recommendations for specialty providers, financial assistance options or even parking directions can free up employees to focus on the in-person experience when patients seek care.
What’s more, consumers are happier when they are empowered to manage their own digital health journeys. My company’s internal research team found that patients would rather be reminded about a bill by a machine, not a person. When the person you check in with at the front desk brings up a bill, it can feel like they are a debt collector versus a supportive member of your clinical experience. So not only does automation support efficiency and long-term cost savings, but consumers often prefer it.
CX: The Difference In Customer Loyalty
Healthcare consumers are looking for the same exceptional experience they’ve come to expect from their appointments, now with their pre and post-visit interactions as well. And smart providers are taking note. According to Harvard Business Review, healthcare executives are citing the enhancement of customer experience (CX) as a key priority.
For many consumers, the end-to-end administrative experience can mean the difference between loyalty and finding a new doctor. In fact, 35% of consumers say they will switch (or have switched) healthcare providers because of a poor digital experience. Getting that experience right means the healthcare ecosystem must put them at the center.
I am seeing providers recognize the inefficiencies of their working relationships with other stakeholders along the care continuum and the toll it takes on their patients (and their business). They are evolving their view of the consumer relationship and expanding their technology stacks with engagement platforms that allow them to integrate data—leading to better collaboration with payers, HSAs and more.
Overcoming Hurdles
Hospitals and health systems are facing another year of financial challenges, forcing providers to reevaluate everything—from their expenses and processes to regulatory needs and technology partnerships. That’s why, taken together, I believe smart regulations and technology solutions can offer cleaner, more transparent and cost-efficient healthcare experiences. In turn, providers can strike the right balance between revenue recovery and building patient loyalty for sustained success.
Forbes Business Council is the foremost growth and networking organization for business owners and leaders. Do I qualify?
Read the full article here
