Keeping your high dollar balances in check can have a huge impact on your A/R and cash flow. The key is to find that sweet spot, where 80% of your outstanding A/R makes up about 20% of the total number of accounts. Simply put, the goal is to touch the least amount of accounts while having the greatest potential to bring in cash, or as the phrase goes, the biggest bang for your buck. But keeping staff focused on resolving those high dollar accounts in the most efficient manner can take creativity.
Here at OS, we run our high dollar ATB’s on the first of each month. The balance amount differs per provider, but we include any balance over $10,000 still open after 30 days from service (include your unbilled to find out why they haven’t gone out yet). A/R Specialists are given reports based on responsibility (alpha split, payer split, etc.) and the reports are worked prior to the 5th of the month. Working these reports early means a greater chance of resolving them within the month.
But therein lies the challenge...often staff do not take the most appropriate action in order to resolve the claim timely and we end up seeing it month after month. To combat this at OS, we created a contest to see who resolves the most high dollar balances – not solely who works them fastest or who touches the most accounts. Each month, we compare the previous month’s report to see which high dollar balances are gone and who collected the most cash. The winner receives the treasured Your Highness Award for the upcoming month.
The (literal) crown that comes with the award is really what everyone will fight for, but other benefits can be presented with the title: casual dress, running staff meetings, bonus PTO, etc.
Whatever the contest or the prize, managing your high dollar claims is one of the most critical A/R tasks to maintain. Technically working them once per month is not enough. The staff who act as true A/R royalty know that if they follow up twice in a month, they double their chances of getting the claim to pay. And for high dollars, that is well work the extra time.
Do you motivate your staff in creative ways? We would love to hear about it! Send us an email at firstname.lastname@example.org.