LOUISVILLE, Colo., May 6 Accounts payable automation in healthcare, one of the most promising opportunities for hospitals to reduce expenses and reallocate resources to more strategic and patient-facing activities, will be the topic of a breakout session at the upcoming IAPP FUSION 2010 Annual Forum and Expo. Prashanth Rao, product manager at GHX, will lead the session, entitled "Best-in-Class Invoicing in Healthcare," at 9:45 a.m. on Wednesday, May 12, at the Gaylord Texan Resort and Convention Center in Grapevine, Texas.
The session will highlight some of the challenges facing healthcare providers today as they look for administrative cost reductions to help them deal with a reduction in reimbursements. For many healthcare providers, 90 percent of the costs associated with invoices are tied to manual processing. By eliminating the need for manual data entry and accelerating invoice approval, hospitals can reduce invoice processing costs by more than 80 percent, improve productivity and optimize cash flow.
The session also will delve into what best-in-class invoicing in healthcare looks like, using an example of a healthcare provider's experience with the GHX OnDemand AP(SM) solution, which makes it possible for hospitals to receive 100 percent of their invoices electronically, even from suppliers who do not currently support electronic invoicing.
A recent study conducted by PayStream Advisors, which provides independent research and automation assessments for financial automation technology, found that more than 70 percent of hospitals still receive more than 80 percent of their invoices in paper form.
Electronic invoices help reduce error rates by eliminating the need for manual data entry and can cut invoice processing time in half for AP staff, approvers and end users, the PayStream Advisors study found. In addition, the study showed that invoice automation accelerates invoice approval, which can reduce late-payment penalties and help hospitals capture a higher percentage of early-payment discounts.
A recent white paper by GHX takes an in-depth look at AP optimization and the benefits that can be achieved.
As the business hub for healthcare, Global Healthcare Exchange, LLC (GHX) enables healthcare providers and suppliers in North America and Europe to reduce costs and improve margins by automating processes, reducing operating expenses and increasing knowledge-based decision making. Products and services include trading partner connectivity, order and contract management and validation, data synchronization, sales force automation and business intelligence. Equity owners of GHX are Abbott Exchange, Inc.; AmerisourceBergen Corp.; Baxter Healthcare Corp.; B. Braun Medical Inc.; BD; Boston Scientific Corp.; Cardinal Health, Inc.; Covidien; C.R. Bard, Inc.; Fisher Scientific International, Inc.; GE Healthcare; HCA; Johnson & Johnson Health Care Systems Inc.; McKesson Corp.; Medtronic USA, Inc.; Owens & Minor; Premier, Inc.; Siemens; University HealthSystem Consortium; and VHA Inc. For more information, visit www.ghx.com.