Case Studies in Customer Experience

#13: Patient Volume Dropped

The Plan

After a merger that increased the medical group’s ability to care for more patients, they had high expectations for increased volume and quality of care. The original medical group had a long-time history and was well respected in the medical community and among patients. Referrals were high.

With the merger, office space was reconfigured to give administration more space and additional office staff were hired to handle the anticipated increase in patients. At the same time, the administrative and patient care processes were streamlined to free up physicians, PAs and medical staff from administrative paperwork, enabling them to see more patients and increase billings.

By the second quarter post-merger, new leadership expected to see 15% increase in patient volume and billings, then increases of 20% or more each quarter during the first year.

The Rub

Four months had passed since the merger. First quarter revenue was stable in comparison with historical revenue. Staff were working hard to find their flow and learn the new processes, while having to pick up the slack when two experienced staff members left the practice.

Patient appointments continued at an acceptable pace, but there were grumblings from staff about increased calls from patients seeking status updates on labs and meds. The patient waiting area was abuzz with conversations between patients, medical staff calling patients to exam rooms, and office staff giving check-in instructions to new arrivals.

By the sixth month post-merger, a special mid-quarter review showed a new increase in appointment no-shows and cancellations from a very low 10% to an above-average 19%. Insurance billings had dropped 23% QoQ.

Findings:

  • Office Space: The space was enlarged and configured in an open-concept layout which was attractive in theory. In part, leadership thought this would enhance teamwork and be more efficient with shared printers, equipment, and centralized filing. But in practice, the open concept meant that a large office staff worked in close proximity to each other, creating louder conversation, constant activity, and a general perception by patients of chaos. The open view from the check-in counter allowed patients visibility into staff waiting at the copier, boxes and files piled on the floor awaiting attention, and the general activities of a business office. This was also visible to patients in the waiting room.

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