The Revenue Cycle Management Technology Adoption Model (RCMTAM) is a five-phase, peer-reviewed framework from the Healthcare Financial Management Association and FinThrive that assesses the operational performance and maturity of revenue cycle technology within a hospital or healthcare system. This model serves as the industry’s first data-driven benchmarking tool designed to guide revenue management leaders as they modernize technology.
It establishes new industry metrics and links technology adoption to financial results to help revenue cycle leaders build customizable roadmaps for their organizations.
RCMTAM is vendor and EHR agnostic. This ensures that healthcare organizations can tailor digital modernization plans regardless of their current revenue cycle management vendor landscape. Key features of RCMTAM include:
- A five-phase model designed to help healthcare systems assess their current state of RCM technology maturity.
- Financial benchmarks to measure an organization’s performance against peers in the highest stages of the model.
- Ability to correlate RCM technology adoption with financial performance.
- A personalized organizational roadmap, tailored to the unique needs and objectives of each organization.
HFMA and FinThrive aren’t the only organizations with technology adoption models. HIMSS for example, parent company of Healthcare IT newsoffers models such as EMRAM for electronic medical records, AMAM for analytics maturity and INFRAM for infrastructure adoption. (.)
Kim Waters is a key consulting advisor at CereCore, which provides IT and application support, technical professional and managed services, strategic IT consulting and advisory services, and EHR consulting to hospitals and healthcare systems. Waters consults with hospitals on revenue cycle technology strategies and is responsible for assisting clients with strategic planning, governance and program development frameworks necessary to align and implement key initiatives.
Waters speaks RCMTAM fluently. So, Healthcare IT news sat down with her for a deep dive.
Q. How does revenue cycle technology stack analysis work using RCMTAM?
A. Although RCMTAM can be completed directly through HFMA’s website, CereCore offers a two-day RCMTAM assessment and on-site performance readout to facilitate discussions about current people, processes and technology.
We facilitate discussions with revenue cycle teams about the use and effectiveness of the technology being deployed, from patient access to mid-cycle, to back office, to analytics and automation. This allows for a comprehensive overview of RCM technology.
Teams often have different perspectives on a technology’s effectiveness and satisfaction based on how they interact with the tool at their stage of the revenue cycle. During these discussions, key pain points are surfaced and considered when developing the final modernization roadmap.
The RCMTAM assessment typically includes collaborative discussions, evaluation from multiple perspectives, performance analysis, and identification of pain points. This structured approach lays the foundation for a customized RCMTAM assessment, ensuring that the resulting modernization strategy addresses the organization’s unique revenue cycle management needs and challenges.
The collected insights are then synthesized and presented to key stakeholders. This is designed to create alignment and provide a comprehensive view of the organization’s RCM technology status.
First, a presentation of the organization’s current maturity stage on the RCMTAM scale. This includes a process overview, a three-year modernization roadmap, benchmark comparison, and discussion and alignment.
By providing these comprehensive insights and promoting meaningful discussions, the on-site assessment process sets the stage for informed decision-making and strategic planning in technology adoption. It enables healthcare organizations to move forward with a clear, data-driven strategy for optimizing their revenue cycle through targeted technology investments and process improvements.
Q. You say that RCMTAM has proven to be a strategic assessment tool for healthcare systems. Give a specific example of where it has been proven.
A. Initial analysis shows that the majority (42%) of healthcare systems are in Phase 1 of the RCMTAM, indicating that there is significant opportunity for improvement and transformation in RCM technology adoption. According to internal estimates, the average healthcare system uses more than 30 vendors for RCM functions.
With hundreds of vendors on the industry’s “RCM Companies to Know” lists, there are an inordinate number of technologies for finance leaders to consider. Here are three specific examples of results using RCMTAM.
First, the consolidation of providers into the Pennsylvania Mountains Hospital Alliance. RCMTAM enables a framework for application rationalization and vendor consolidation across the entire revenue cycle. The insights gained have helped this organization evaluate current supplier relationships and identify opportunities for consolidation or expansion. This has led to more strategic partnerships and potentially better negotiating positions with technology suppliers.
Second, prioritizing and planning to modernize technology at Surgery Partners. At CereCore we use RCMTAM as an opportunity to bring together finance, clinical and IT teams to ensure continuity, effective change management and reliable information management. At Surgery Partners, alignment between teams that impact the revenue cycle has been critical to optimizing financial results through targeted technology investments.
And third, supporting technology transformation at all maturity levels at the University of California San Diego. New leaders entering organizations have found the RCMTAM to be a valuable assessment that allows them to quickly gain insight into the existing use and effectiveness of technology and processes within their organization. They used the exercise to identify areas of performance and where changes need to be made, and to determine where new applications can improve efficiency and effectiveness.
Q. What value do healthcare systems gain from generating new data insights when using the RCMTAM model?
A. RCMTAM provides a valuable tool for healthcare systems to assess and prioritize RCM technology modernization initiatives. The model’s structured approach serves as a compass for healthcare systems to navigate the complex terrain of technological modernization.
By unlocking new data-driven insights, RCMTAM also enables revenue cycle leaders to make strategic decisions, streamline operations and improve their financial performance. This framework is especially valuable in today’s healthcare landscape, where increasing financial pressures have made the revenue cycle a top investment priority.
RCMTAM’s ability to generate clear and actionable insights optimizes technology investments, ultimately leading to better financial health and operational efficiency in an increasingly challenging economic environment. Specific value areas include:
- Strategic planning and prioritization
- Optimization of financial performance
- Workflow efficiency and automation
- Framework for continuous improvement
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