Effective revenue cycle management (RCM) is the most important factor when it comes to maintaining the financial health of any healthcare setting; let that be a clinic, family practice, hospital, or a pain management center. The RCM system manages all payments and sales generation as well as claims processing, submission and follow-up. Many hospitals and other health systems rely on outsourcing agencies such as medical billing and coding companies for more efficient and quick revenue cycle management.
A recent report from Market Research Engine predicts that the global Revenue Cycle Management Market will exceed US$ 45.52 Billion by 2022 at a CAGR of 12.1% during the forecast period 2016-2022. Before going on to the details of the market, let us briefly look at what RCM involves. Efficient revenue cycle management would focus on reducing the number of denied medical claims, improving the quality of information, and speeding up explanation of benefits reconciliation. Agencies providing RCM services offer robust solutions to streamline health systems’ revenue management processes and maintain accurate medical and financial records. Typically, denials and rejections of claims are the result of inaccurate insurance eligibility verification. Appropriate verification by an experienced medical billing company ensures that a patient is eligible for all services before they are provided. Effectively managed revenue ensures lesser accounts receivable and reduced medical billing complications, thus making a healthcare practice more efficient and responsive in terms of operational changes and growth.
According to the Market Research Engine report, key factors that drive the market growth include:
- Improved investments made by personal players
- Speeding Explanation of Benefits (EOB) resolution
- Improved superiority of information
- Automation of processes
- Growth in demand for cloud-based RCM solutions
- Streamlined denial management
However, certain factors that are expected to restrain the market growth include:
- Developing economies that have loopholes in infrastructure
- High rate of deployment
- Security of data
- Incorporation of RCM solutions within healthcare organizations
- Lack of IT professionals.
The report divides this global market on the basis of product, type, delivery mode, end user and region. Based on product segmentation it covers software and service. Under types of segmentation it covers integrated and standalone type. Based on delivery mode it covers on-premise, web based and cloud based segments. End users of the market include physician offices, diagnostic laboratories, hospitals and others.
Based on geography, the market covers various regions such as North America, Europe, Asia Pacific, Latin America, Middle East and Africa. Each geography market is further segmented to provide market revenue for select countries such as the U.S., Canada, U.K. Germany, China, Japan, India, Brazil, and GCC countries.
This report is significant because:
- It provides an overview of the global market for RCM and related technologies.
- Analyzes global market trends with data from 2013, estimates for 2014 and 2015, and projections of CAGRs (compound annual growth rates) through 2022.
- Identifies new market opportunities and targeted promotional plans for Global Revenue Cycle Management Market.
- Provides comprehensive company profiles of major industry players.
- Discusses research and development, as well as the demand for new products and new applications.
Market Research Engine’s report titled “Revenue Cycle Management Market By Product Analysis (Software, Services); By Type Analysis (Integrated, Standalone); By Delivery mode Analysis (On-Premise, Web-based, Cloud-based); By End User Analysis (Physician office, Diagnostic Laboratories, Hospitals) and By Regional Analysis – Global Forecast by 2016 – 2022” gives a clear insight into the global and regional markets for Global RCM Market and highlights the reasons for variations in the growth of the industry in certain regions. Key players profiled in the report include Cerner Corporation (U.S.), McKesson Corporation (U.S.), Allscripts (U.S.), eClinicalWorks, Inc. (U.S.), Quest Diagnostics (U.S.), The SSI Groups, Inc. (U.S.), Kareo Inc. (U.S.) and GE Healthcare (U.K.).