The latest issue of the National Hospital Flash Report covers these and other key performance metrics.
Key Takeaways
- Hospital performance dipped in July as outpatient activity softened. Operating margin and operating room minutes fell month-over-month, likely due to seasonality of elective surgeries. As more care shifts to outpatient settings, hospitals may see greater impact of outpatient volume fluctuations on overall performance.
- Payer mix pressures persisted. Bad debt and charity care rose significantly in July year-over-year, reflecting continued payer mix erosion. As pressure from these trends mounts, hospitals may need to redesign their financial and operational strategies for future sustainability.
- Observation days fell, potentially signaling shifting operating dynamics. Observation days dropped month-over-month, while discharges increased, and average length of stay declined. This may potentially be an early signal of greater focus on clinical documentation and utilization management, sharpening how hospitals classify and code patients. Accurate management of patient classification and utilization is becoming increasingly important as hospitals’ operating environment continues to rapidly evolve.
To view more insights on trends affecting hospitals and steps you can consider taking to address them, download the latest issue of the National Hospital Flash Report.
