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Reducing Expenses Is an Urgent Necessity for Hospitals

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As a hospital executive, your focus is, and always has been, providing the best patient care while optimizing your bottom line. You’re likely facing lost revenue due to cancelled surgeries, increased safety equipment and procedures, and significant hikes in liability insurance and other related costs. All is not lost, however. There is a simple decision you can feel empowered to make now.

Reducing rates and fees on fixed and recurring expenses can drive direct, bottom-line impacts for hospitals, making it a fast and efficient way to offset lost revenue and increase profitability. We recommend a deep dive into operational costs like medical waste removal, telecom services, corporate insurance policies, hospital maintenance contracts, property tax assessments, medical supplies, and even your bank fees. Before you consider your next service or staff member cut, it’s imperative to ensure your operational costs are as low as they can be.

Of course, your finance and operations teams are focusing on the extensive list of new mandates and processes to keep your teams and patients safe. Auditing the elevator maintenance contract, pest control bill, and hundreds of pages of telecom invoices, for example, will not be on the top of their list right now. However, these reviews can yield significant bottom line impacts that should not be ignored.

This may seem daunting as you’re on the front lines dealing with the day-to-day operations of the hospital. The best use of your time is to engage a third party cost reduction expert who charges only a percentage of savings to review your monthly bills and negotiate behind the scenes, without changing your vendors or disrupting operations or service levels.

Focusing on operational efficiencies and reducing expenses is the fastest way to offset lost revenue without increasing patient services or reducing headcount. Reducing recurring costs will help you boost EBITDA and stabilize your bottom line. The sooner you get started, the sooner you’ll reap the rewards.

 

SIB Fixed Cost Reduction finds savings for 98% of our clients, often decreasing expenses by 20-40%. We analyze and reduce costs in areas like telecom, waste, medical supplies, bank fees, insurance, property tax, maintenance contracts and dozens of other spend areas, without changing your vendors or service levels. We only need a month of invoices to get started (remotely and behind the scenes) and we only charge a percentage of savings after the savings are realized. There is no capital expenditure and if we don’t find savings, there is absolutely no cost for our review. Email Dan Kaufman at dkaufman@aboutsib.com or visit www.aboutsib.com to get started.


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