Many senior finance executives are not fully prepared to manage the financial impact of evolving business conditions in today’s healthcare environment, according to a survey by strategic and financial consulting firm Kaufman Hall.
The survey, conducted in September and October, asked CFOs, vice presidents of finance, directors of finance, and other senior finance executives more than 20 questions to gauge performance management progress and trends. Participants represented more than 160 U.S. hospitals, health systems, and other healthcare organizations.
1. Only 13 percent of respondents said their organizations are very prepared to manage evolving payment and delivery models with the financial planning processes and tools now available.
2. Additionally, only 23 percent said they are very confident that their teams can quickly and easily adjust to strategies and plans.
3. Ninety-six percent of respondents said they believe their organizations should be making greater efforts to leverage financial and operational data as part of decision-making.
4. Cost reduction and management is the biggest priority for senior finance executives this year, followed by predicting and managing changing payment models.
5. Along those lines, more than half of respondents cited the following as top improvement priorities for financial planning and analysis:
- Cost management and efficiency
- Reporting and analysis to support decision-making
- Operational budgeting and forecasting
- Profitability measurement across specific dimensions