Physician Practice

Outsourcing work now a norm for physician practices

Physician Practice Insider, May 16, 2017

The rapid pace of change in healthcare has made it difficult for many practices to keep up with administrative tasks related to billing, claims, EHRs, and quality reporting—prompting many to outsource jobs to third-party vendors. And while most practices try to avoid the expense of farming work out, the complexity of some tasks makes it more efficient and cost-effective to hire an outside vendor rather than risk overwhelming their own employees.

It’s not something that every practice is doing, but it’s becoming more common in an era where burnout rates among physicians are reaching all-time highs, driven in large part by the demands of nonclinical work.

“There’s more work farmed out now than ever before because the volume of nonclinical work has exploded in the past five to 10 years,” says Nick Fabrizio, PhD, FACHE, a principal consultant with the Medical Management Group Association. “The increasing complexity of billing and quality reporting have made it more time-consuming and expensive for practices to handle on their own.”

Consultants and analysts say there’s no set formula for outsourcing, since employees at every practice have different skill sets and aptitudes and not all practices need outside help.

This article was originally published in Physician Practice Perspectives. Subscribers can read the full article in the April 2017 issue.

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