Clinical Authority, Revenue Maximization, and Process Improvement Recommendations
Instructions
Case Scenario Analysis: you have been hired in the CAO's newly created position (Chief Administrative Officer) for a regional medical center. The responsibilities have been broken away from the COO (Chief Operational Officer) to focus primarily on all business and revenue generation activities.
The hospital is a nonprofit. The services provided within the hospital include cardiac rehabilitation, emergency department, radiology, pediatrics, same-day surgery, a retail pharmacy, ophthalmology and optical, oncology, limited physical rehabilitation, and physical therapy, patient education, substance abuse, renal dialysis, and obstetrics. The Joint Commission accredits the hospital with recertification in 2 years.
There are 30-35 full-time physicians and 10 mid-level providers (nurse practitioners and physician assistants). These professionals are not employees of the hospital but are affiliated with a contracted provider group.
The following specialties are located within the hospital: family medicine, radiology, emergency medicine, obstetrics and gynecology, internal medicine, ophthalmology, cardiology, diagnostic radiology, pediatrics, general surgery, and orthopedic surgery. Other specialty physicians are contracted with the state's largest medical center and teaching facility on a limited basis located about 100 miles away.
You are a member of the hospital's executive management team (Chief Executive Officer, Chief Operational Officer, Chief of the Clinical Staff (medical and nursing), Chief Information Officer, Chief Compliance Officer, and Chief Quality and Risk Management Officer, and legal counsel).
The CEO has appointed you to examine the current billing processes within the hospital to maximize reimbursements and submit a comprehensive analysis back to her with your findings and specific actions to address each one from an administrative viewpoint. You learned early that the CEO is thorough and bases her decisions on collaboration, data, facts, and legal authority with the two primary objectives of high-quality care, minimizing risk to the organization.
Your initial assessment determined an unanticipated element of concern regarding the coordination and processes between the clinical providers (physicians and midlevel providers) and the administration. The Chief of the Clinical Staff was excellent in addressing the clinical care provided; however, there was limited collaborative oversight to maximize revenue generation activities nor clinical and regulatory oversight at the executive level. You further determined the following:
The hiring and credentialing processes were seemingly sufficient and compliant with state and accreditation requirements; however, the credentialing process for traveling specialists was different from those of the full-time affiliated staff.
Inconsistent medical record documentation and, subsequently, billing practices, particularly by specialty with cardiology, orthopedic surgery, oncology, and emergency medicine along with traveling specialties.
The scope of care was, at times, extended beyond qualifications and credentials when there was a lack of specialists available for consultation or treatment. While it was initially thought to be isolated to mid-level providers, it extended into other physician specialties.
The clinical governance was inconsistent and typically ad hoc with limited review and enforcement of bylaws, peer reviews, or other federal regulatory requirements.
No medical malpractice claims were within the past 5 years.
TASK(S): Upon initial conversation with the CEO, she asked you to compose an inclusive memorandum of record back to her to address the following:
An examination into the role of clinical authority and its direct alignment to the business of healthcare for this hospital.
For each area you identified, propose collaborative solutions and process improvements the executive management team could move forward with based on current legal authority in your state (please research your state's requirements to incorporate into the case study) and compliance. In the recommendations, she is requesting a multidisciplinary team approach, so include – by hospital position – those at the hospital's senior and middle management levels you would recommend on the team.
Finally, present a proposal for clinical management and clinical governance, whether directly under the CMO, jointly between the CMO and CAO, or something different.
While a memorandum can be in any professional format, it is expected that content is original, founded in best practices, and scopes of care with all external authors had APA citation to the sources in the body and on the last page with an APA reference list.
To: Chief Executive Officer
From: Chief Administrative Officer
Date: April 16, 2023
Subject: Clinical Authority, Revenue Maximization, and Process Improvement Recommendations – An In-Depth Analysis
Esteemed CEO,
As per your esteemed request, I have been diligently examining the intricate and convoluted nature of the clinical authority and its indubitably essential alignment with the healthcare business of our prestigious regional medical center. In this comprehensive memorandum, I shall elucidate the multifarious areas of concern that have come to my attention and propose various collaborative solutions and process improvements grounded in our state's legal requirements and compliance. Furthermore, I shall present a proposal for clinical management and governance that considers the multifaceted and interdisciplinary team approach.
* Areas of Concern
With its labyrinthine nature, our healthcare system has unveiled several areas of concern that merit our attention. Firstly, the credentialing process for traveling specialists appears to deviate from the established process for full-time affiliated staff, resulting in inconsistency. This was supported by hospital records showing issues with our credentialing systems. Secondly, medical record documentation and billing practices exhibit a disconcerting inconsistency, particularly within cardiology, orthopedic surgery, oncology, emergency medicine, and traveling specialties. Thirdly, the scope of care occasionally transcends qualifications and credentials when specialists are unavailable for consultation or treatment, a phenomenon that regrettably extends to both mid-level providers and physician specialties. Lastly, clinical governance must be more consistent and ad hoc, characterized by limited review and enforcement of bylaws, peer reviews, and other federal regulatory requirements.
* Proposed Collaborative Solutions and Process Improvements
In line with the abovementioned issues, here are some of our proposed collaborative solutions and process improvements that could apply to our organization.
For the credentialing process, it is crucial to establish uniformity and consistency by implementing a standardized process for all providers, including traveling specialists. Collaboration between the Chief Compliance Officer, Chief of the Clinical Staff, and Legal Counsel is vital in designing this new credentialing process, ensuring adherence to state and accreditation requirements.
Regarding medical record documentation and billing practices, introducing a comprehensive training program for all clinical providers is paramount, particularly in the identified specialties. A multidisciplinary team, comprising the Chief Information Officer, Chief Quality and Risk Management Officer, and representatives from each specialty, should oversee and enforce documentation and billing standards scrupulously.
In terms of the scope of care, developing and enforcing unambiguous guidelines is crucial to ensure that providers stay within the bounds of their qualifications and credentials (Green et al., 2019). In collaboration with the Legal Counsel, the Chief of the Clinical Staff should spearhead this effort, incorporating valuable input from the Chief Compliance Officer and all clinical specialties.
Lastly, a structure encompassing regular review and enforcement of bylaws, peer reviews, and federal regulatory requirements is indispensable to establish consistent and robust clinical governance. A Clinical Governance Committee must be formed, led by the Chief of the Clinical Staff, featuring representation from the Chief Administrative Officer, Chief Quality and Risk Management Officer, Legal Counsel, and representatives from each clinical specialty.
* Proposal for Clinical Management and Clinical Governance:
Considering the identified concerns, I propose a joint clinical management and governance model steered by the Chief of the Clinical Staff and the Chief Administrative Officer. This model shall ensure that the clinical and administrative aspects of the hospital are closely aligned and that both sides are working collaboratively to maximize revenue generation activities while maintaining high-quality care and minimizing risks.<...