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Operations

Operational guidance for HME and home health businesses, from inventory and logistics to workflow and efficiency.

  • Georgia Payment Problems Ongoing

    Atlanta Soon after Dallas-based Affiliated Computer Systems (ACS) took over HIPAA-compliant electronic processing of Georgia Medicaid claims last year, massive payment processing difficulties ensued — and today the problem still isn’t resolved, according to the Georgia Association of Medical Equipment Services (GAMES). Since last April, Medicaid reimbursements have followed a complicated prospective payment system, said Jason Rogers, GAMES president and vice president of Athens, Ga.-based Care Medical. ACS paid providers a weekly amount based on an average of payments they received during the 12 weeks before April 1, 2003. Earlier this year, the state “stopped paying the prospective payments despite [the fact that current] claim payments were not up [to] previous levels,” Rogers said. He said the state is now withholding half the amount of…
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  • Earning Your Credentials

    I hope that you have read the February and March 2004 issues of HomeCare magazine very carefully. Among a series of articles advising providers on doing business in these changing times, the importance of accreditation is clearly described. Now, I want to play the Devil’s Advocate. Do we need accreditation? The meaning of accreditation is that someone (of authority) has sanctioned or provided credentials or certification that the recipient has met or complied with specific standards. At a Medtrade Spring panel discussion in Las Vegas, several of the industry’s accrediting organizations made presentations re-viewing their individual programs and respective benefits. What is interesting is that all of these programs have one common thread: They show DME/HME dealers ways to run their businesses more efficiently, and…
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  • A Reason to Raise Your Voice

    Civic engagement is the cornerstone of our society. A 20th century politician once said, “there can be no daily democracy without daily citizenship.” However, for those of us in the home care industry, our daily lives are consumed with serving our patients’ needs and meeting the payroll for our employees, and the world in Washington seems far removed from these very important tasks. When you add to that the overwhelming perception of power, influence and money in Washington, D.C., it is easy to become ambivalent about your role in democracy and to question your ability to make a difference. I would like to offer another perspective on the HME provider’s role in democracy. Despite the old adage of “politics as usual,” the political landscape in…
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  • Get Ready, Get Set

    Remember the saying “look to your left, look to your right, one of you …?” Today, that sentence can be finished with “… will be in a competitive bidding area in 2007.” An alternative ending is “… two of you will be in competitive bidding in 2009.” That’s right, one out of three providers in 2007, and two out of three in 2009. A couple of weeks ago the following message was in my e-mail inbox: “I run a smooth HME respiratory business. Dropping around 8 percent to the bottom line. $2.2 million in annual revenue. Does your group have a strategy in the competitive bidding arena?” The address indicated that this forward-thinking provider is located in one of the country’s 10 largest metropolitan statistical…
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  • The Account Assessment

    Documentation, reporting, tracking — all items on the salesperson’s “I don’t want to do list.” Just getting a salesperson to complete a weekly call report is a challenge for most managers. They just don’t want to do the paperwork! But the need for completing a comprehensive account assessment is vital to understanding your accounts and tracking the progress of these relationships. As you develop each account assessment, include these 10 basic items: Account assessments must be a work in progress, and these items are only the beginning. You should also include other information, such as tracking the payment sources for the services your client provides. These may be the same financial sources you will need to use for payment for your products. Note any new…
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  • 2004 Reimbursement Survey

    To remain profitable in the new Medicare era — with closer scrutiny of K0011 claims, slowed payment of non-HIPAA-compliant claims (which CMS says soon it won’t accept at all) and coming cuts across a string of bread-and-butter products in 2005 — it’s more important than ever that claims are clean and that reimbursement practices are efficient. To find out where home medical equipment providers stand in denials and appeals, days sales outstanding (DSO), staffing and more, HomeCare fielded the magazine’s annual reimbursement survey — our fifth — to a randomly selected group of domestic subscribers asking about their reimbursement procedures. Providers of all types and sizes responded, and the results of this year’s survey are based on answers from 281 of your peers throughout the…
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  • Sell the Outcomes

    Competition among providers is offering professional referral sources increasing choices, so you should anticipate the concerns of case managers, social workers and continuing care coordinators who are looking for the ideal place to send patients. By helping these sources make appropriate decisions for their clients, you will attract and keep their attention. Ask yourself, for instance, why a social worker should call you. What difference do you make in the lives of particular clients with specific medical problems? Can you qualify your difference from all others in your community? Hospitals, rehab centers and pharmaceutical companies are becoming involved in understanding and tracking outcomes. Now it is our turn to develop outcome information that can be used as a selling and marketing tool, surpassing those mugs…
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  • A Fresh Approach

    Running a successful HME and attracting referral sources is challenging, but it doesn’t have to be brain surgery. “I think ordering oxygen should be as easy as ordering a pizza,” says Jason Seeley, the 29-year-old vice president of Columbus, Ohio-based DASCO Home Medical Equipment. DASCO runs its HME business on simple philosophies and a youthful spirit that have been parlayed into measurable growth. The company has seven locations throughout Ohio, and the 7,500-square-foot main office in Columbus currently is undergoing an expansion to 16,000 square feet. The company reported more than $10 million in revenue for 2003, and Seeley says that’s a 30 percent increase over sales in 2002, when the sales team he implemented began putting the young man’s business strategy to work. DASCO…
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  • Trimming the Fat, Expanding Sales

    If obesity were a virus, we would be facing a modern-day plague. As I was driving to work the other day, a commentator on the radio announced that 68 percent of the American public is overweight, which makes me wonder, is being overweight a reflection of the times? Sometimes I get the feeling we are a nation of hedonists, and the only comfort we seek is self-gratification. I love reading that the fast food entrepreneurs are responsible. Are they? They aren’t taking people by the hand and dragging them in for their hamburgers, chicken sandwiches, fries and other inexpensive gastronomical delights. They are merchants, same as you, and they are only filling a niche. As a DME dealer interested in the welfare of your clientele,…
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  • A Sink or Swim Culture

    About 25 years ago, I would set sail into the murky backwaters of the Louisiana bayou to satisfy an unusual culinary habit. A fearless frog hunter, I sat in the front of the boat with a spotlight while someone else drove. The spotlight reflected brightly off the throat and belly of a frog. As long as the light was in its eyes, it wouldn’t move, even as the sound of the motor got closer. When we were in reach, it was easy to grab the frog with one hand while shinning the light in its eyes with the other. Frogs react to light in much the same way that providers who concentrate on K0011 sales reacted to the so-called clarification of power wheelchair reimbursement. Some…
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  • A Business Tune-Up Checklist

    There are several essential steps for home care businesses to take in order to get ready for working under provisions of the Medicare Prescription Drug, Improvement and Modernization Act (MMA). Whether these preparations will be a re-evaluation of standard procedures providers already have in place or something entirely new, they are essential for continuing success in the changed environment of HME. Reward employees for finding better ways to bill, deliver, warehouse and receive, etc. The corporate culture needs to reward those who take appropriate risks, even if they fail, especially when the failure provides a valuable lesson. Wallace Weeks is founder and president of The Weeks Group Inc., a Melbourne, Fla.-based strategy consulting firm. He can be reached at 321/752-4514 or by e-mail at [email protected].
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  • Dare to Soar

    The majority of my life is spent on airplanes visiting HME providers throughout the United States, Puerto Rico and the Virgin Islands. As I fly from place to place, I see many similarities among these providers. The primary attribute I always notice and admire is the love and care that they give their patients. Most independent providers started their companies because of a personal experience with a loved one, or the love they have for helping others. Does this change just because a few laws change or reimbursement is cut? Absolutely not! New provisions in the Medicare Prescription Drug, Improvement, and Modernization Act, have made this a time of uncertainty for the home medical equipment industry. But HME providers have experienced many ups and downs…
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