Transcript Document

Overview of RHM SOP Project

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Outline of Discussion

 Provide an overview of the RHM SOP project  Define SOP, standard work (policy vs. procedure)  Understand the importance of SOPs and standard work  Introduce the RHM standard template for SOPs  Understand how to develop a SOP  Understand your role, expectations, deliverables, etc. as part of the RHM SOP project

Objectives of RHM SOP Project

 Improve consistency within branches and across the entire company  Instill operational discipline  Build process literacy throughout the organization  Formalize all core process at branch level and company-wide  Build a central resource of RHM SOPs and policies and procedures

RHM SOP Standardization Project Educational webinar - project kick-off –

entire project team

August 2014 I.D. core processes I.D. core processes Germantown respiratory Identify all core processes 1.

2.

3.

4.

5.

6.

Identify all existing core processes in each area Ensure actual practice matches what is written Edit existing SOP s as needed (if not current/accurate) Identify process that do not currently have a SOP Use standardized template to create draft SOP Develop initial SOP drafts

First few SOP drafts to be reviewed by President

Begin to build SOP “catalog” on Sharepoint Germantown warehouse

(operations)

Two phases- phase 1 for SOPs and Phase 2 for policies Provide examples of completed SOPs to teams/branches – replicate SOPs company-wide Use completed examples as models for continued SOP development by teams throughout RHM Build RHM SOP and P&P online catalog

Sequence of Key Tasks

 Two teams – operations (WH) and respiratory to work with Giles and Ann and identify all core process in their respective areas (title, function)  Initial training/guidance provided to teams  Each teams to develop 2-3 SOPs  Completed SOPs to be reviewed/approved (leadership, branch managers)  Involve other staff in developing THEIR SOPs

Sequence of Events (cont.)

 Teams to identify: −

Which processes do not have a SOP

Which process have outdated a SOP but SOP is

Which process are formalized with a SOP BUT performance/behavior of staff does not align with current SOP

Project Timeline

 6-12 months to complete ALL core processes  Need to complete at least 3 processes per month  We are essentially recording/documenting, and cataloging our processes  Will then complete relevant policies that correspond to SOP as appropriate

Consistent Terminology

1.

Process 2.

Policy 3.

SOP (standard operating procedure) aka “procedure” 3.

Standard work

1. Processes

The specific tasks and activities that have to be carried out

Processes and Daily Work

 Nearly everything we do is part of a process  The entire company is made up of a series of processes  Typical to have at least 10-15 core processes in a HME operation/branch

(intake, documentation, confirmation, on-call, delivery, co-pay, scheduling, dispatch, etc.)

 Many more “sub-processes”

Typical Processes

Warehouse

 Receiving  Inventory management  Shipping  Equipment management  Warehouse housekeeping

Respiratory

 Scheduling  Intake  Confirmation  Patient care (set-ups)  PAP compliance

2. Policy

What

Guidelines or “laws” that drive the processes and procedures – usually stated in more general terms (less detailed). Often describes the “why”

Example – co-pay policy :

we will collect co-payments for all transactions at the point of service or prior to providing service Why: patient payment amounts represent an increasingly lager part of our A/R – helps to improve financial performance if we collect in a timely, consistent manner

3. Procedures

How The

detailed steps required to perform an activity within a process – how we “operationalize” the policy

Standard Operating Procedure

Procedures

 Define the specific instructions necessary to perform a task or part of a Process  Procedures can take the form of: -

A work instruction

-

A quick reference guide SOP – standard operating procedure

Standard Operating Procedure

 RHM will deploy up-to-date and accurate SOPs  Will implement across the entire company  Will use a standard SOP template

SOPs = standard operating procedure Also referred to as Operational Policy Guide

Operational Policy Guide TEMPLATE 1. Title

What is the name of this procedure or specific key activity?

2. Vital Behaviors and Performance Expectations

Vital behaviors

– describe the actual behaviors you expect people to exhibit – what they are supposed to do

Performance expectations

– describe the things that you would like to have measured

3. Purpose (Why)

Why are the behaviors important? How do they impact the revenue cycle? Make sure people can “ see ” what they impact.

4. Operational Definitions

Timely, faster, better, accurate:

All words have to be combined with numbers – what “ timely ” for example, don and consistent means in terms of numbers ’ t just say “ be on time ” or be consistent – define

4. Monitoring Method

What methods/mechanisms do leaders use to ensure adherence to established procedures? Are there specific reports they should be reviewing?

Operational Policy Guide 1.

Title

2. Co-insurance/Co-pay/Non-covered Service Payment Collection

Vital Behaviors and Performance Expectations

All staff having patient contact regarding an order will collect from the patient or patient’s representative the co-insurance, co-pay or payment for non-covered equipment, supplies and services at the time the order is placed or the delivery is made.

           Notify patient or patient’s representative of their cost for the equipment, supplies or service being requested. Document discussion of financial obligation in the Order screen in HMA. Ask for payment by credit/debit card for all telephone orders. Always collect payment from the patient via cash, check or credit card in the Showroom and Repair Service departments. For inpatients at hospitals and other facilities, make best effort to secure payment prior to delivery at the hospital. Print the amount to be collected on the Delivery Ticket when a credit card payment is not obtained over the telephone.

Delivery Technicians, Service Technicians, Respiratory Therapists and other Delivery personnel should not leave a product with the patient without collecting the amount due indicated on the Delivery Ticket.

Exceptions

: Supervisor or Branch Manager approval must be obtained and noted on the Delivery Ticket. Delivery department Supervisor must log the amount to be collected on the Delivery Technician Route sheet and confirm that the payments have been collected when the Delivery Technician turns in the Delivery Tickets.

Print and reconcile the RHM Daily Transmittal Reconciliation report of confirmed tickets and payments daily.

Settle all credit card terminals and online payments daily.

Deposit all checks and cash in the bank daily.

3.

Purpose (Why)

Timely and consistent payment collection is a vital part of managing and reducing the outstanding Accounts Receivable balances and reduces the number of days sales outstanding (dso) in the revenue cycle. Collecting payments at the time the product and/or service is provided eliminates the additional labor and material costs associated with invoicing and collections activities. The company goal is to provide products and services and be paid for them as soon as possible.

Operational Policy Guide

1.

Title

2.

Service Standard Expectation for Delivery Tickets Vital Behaviors and Performance Expectations

Delivery Ticket confirmation is an important part of the revenue cycle Billing Staff. – consistent delivery ticket confirmation is required to ensure a smoother flow and more even distribution of delivery tickets for delivery ticket release and to allow sufficient time for post-confirmation required tasks performed by the An influx of confirmed tickets at End-Of-Month (EOM) creates large batches of tickets and heavy EOM workloads for billing staff. Suspend amount also increases and fluctuates, based on confirmation patterns and payors’ responses to HIVC inquiries.

3.

Operational Definitions

Timely:

 Deliver Technicians (Drivers) are expected to delivery all signed delivery tickets, as soon as their runs are completed or by Monday mornings, before payroll is submitted.   Delivery tickets are confirmed the same day they are brought in. Confirmation “cut-off” time for EOM process day will be no later than 72 hours after the monthly inventory is completed, prior to finalization of the P & L.

Consistent:

   Ticket confirmation is performed daily by Warehouse/Supply Technicians. Warehouse/Supply Technicians will reinforce process to Delivery Technicans that it is the requirement that they adhere to time expectations Staff performs revenue-related tasks daily (processing drug cards, obtaining Rx, CMNs, etc.) and do not ramp up effort at EOM. 5.

Monitoring Method

   HIVC Billing Supervisor will monitor all delivery ticket processing, including assurance that Warehouse/Supply Techs and Delivery Techs are compliant. HIVC Billing Supervisor will create an EOM report for those tickets not billed, due to missing authorizations, with reason(s) stated. This report will also be monitored by the Director of Reimbursement

Standard Work

 Different people working in the same process, doing the same things, doing the work in a similar manner  Key components include trust, fairness, values, and respect - i.e. how people like to be treated by others, both at work and outside of work

Why It Matters

 All of our work is carried out through a series of processes  Processes need to be formalized, documented, standardized, communicated, and monitored  Critical part of financial vitality

Breaking Down the Work

 Work (processes) can be broken down into three basic steps: 

Important steps

Key points about each step within the process

Reasons for each step (the “why”)

Setting the Stage

 Different people approaching similar work in a similar manner  Standard work: –

We “say” what we do

Leaders make sure we do what we say

Accountability

 Leaders ensure that we adhere to SOPs and standard work  Accountability is key  You can’t really hold people accountable – you can only hold them accountable to “something”

Standard work is an agreed-upon set of work procedures that establish the

most reliable

methods and sequences for each process and each worker

Standard Work

– The Foundation

 Without standard work, continuous improvement activities are not manageable  Difficult to improve a process that is random and informal

Presence of Standard Work

 Content, sequence, timing, outcome  Role clarification – no guessing  Key to reducing

variation

in processes

 Errors

Variation = Waste

 Rework  Duplication  Excessive delays and waiting  Handoffs, workarounds

Reducing the “Four Cs”

 Standard work and waste awareness can help reduce: –

Confusion

Chaos

Complexity

Conflict

Critical Success Factors

Who –

clarifying roles

What –

steps, tasks

When –

sequence

How –

the methods and approach

 Why

Process START

Via fax, phone call, e-mail

Referral/order received Confirmation sent to referral that order has been receieved

Confirm via e-mail, page, fax, phone

If order is a “go”, file is created Check same or similar HME Intake/Customer Service Model Referral/order entered into tracking log received

Check /verify any secondary coverage

Verify coverage and eligibility

Does patient reside in service area? Is there a payor/ contract issue?

Do you have a valid Rx with all required elements?

Initial review for acceptance Print forms (EOB, EOC, etc.) Rx reviewed New order is checked (Q/A) prior to contacting patient

Initial data-entry – demographics, payer, referral, order type

Order is entered into system

(within 60 minutes of referral receipt) Note: ALL orders are entered into the system for tracking purposes and marketing opportunities Goal: Zero “no-gos” Due to lack of inventory

Verify inventory availability Complete and send CMN Complete and send CMN

Inform patient of co-pay, cost, status of order, etc

Contact patient Print ticket for delivery/ship Process STOP 1. What is the level of performance at key parts of the intake process? 2. What metrics/methods do you use to monitor/measure performance? Performance Expectations - Intake staff process 10-15 orders each per day - 100% referral confirmation - 100% tracking log entry - All orders entered into system within 60 minutes - 100% complete & accurate at Q/A step - Zero “No-Go” orders due to lack of inventory - 100% check for Same/Similar - Daily reconcile of tracking log with orders entered

Intake Checklist 1. Process Receipt of Referral : (fax, e-mail, phone, walk-in)  Name  Address  Phone number  DOB  HT, WT  Emergency contact  Employer  Diagnosis  Social security number  Drug allergies  Advanced directives ___Yes ___No 2. Process Rx:  Diagnosis noted on Rx  Equipment/supplies noted on Rx  Equipment/supplies appropriate for diagnosis  Oxygen Rx – elements of O 2 Rx complete  Proper signature 3. Process Insurance:  Verify eligibility of primary  Secondary payer?  Determine deductible/co-pay amount  Inform of co-pay amount 4. Prepare Documents:  Print required forms  Print educations material  Estimate of Patient Cost

Job Breakdown Instruction Sheet Job Breakdown Sheet:

Daily Hospital Visits

Unit:

Hospitalists Important Steps Step #1 The Welcome Sit down My name is (AIDET) Key Points Reasons You are not rushed and you have time for the patient Knows who you are

The patient needs to be given hope and wants to be healed

My connection with your referring doc is……..

I have reviewed your information and know how to care for you Here is what I am going to do and why Step #2 The Care Here are the next steps

The patient needs to feel safe and in control

Ask if patient understands the plan Ask for patient’s needs Knows that there is continuity in care Knows that you have the knowledge to make the right and safe decisions Step # 3 The Goodbye

A Few Tips and Key Points

 Some processes will be the same/similar for every location (intake, WH, resp. confirmation, co-co-pay collection, etc.)  Some processes may be more branch-specific  Will focus first on common processes  Branch managers will review completed WH & resp. processes to ensure they “fit” their operation  Many of your processes may already be formalized – just need to convert them using the new template

Expected Outcomes

 Will end up with a central collection of SOPs that apply to all branches  Branches may also have a few SOPs that are more applicable to their operation (branch-specific)  Will also have a central collection of updated policies that apply to entire company  Objective is to increase understanding and formalization of all processes  Promote consistency and maintain operational discipline

Tools & Resources

SOP Template Sample SOP (Orders) Sample SOP (Co-pay collection) Job Breakdown Worksheet Note: Click Here to access the samples and templates

More details and guidance will be provided within the next few days

Assistance Available Chris Calderone [email protected]

734-709-5487

Questions ?