With shrinking margins everywhere in the DME business, it is more important than ever that you carefully track all of your inventory and reimbursements, so Tracking DME Performance Metrics is very important for your business.
The days of sloppy monitoring are over, and it’s time to get serious about managing overhead and maximising reimbursement.
Here are four elements of your business that you should be monitoring:
1. Accounts Receivable:
You should always be able to see where your A/R stands at any moment. Monitor outstanding A/R, DSO, bad debt reserve, ageing accounts, denials, and all the other elements critical to getting paid. You should always know when a claim is ready to expire, as there is no excuse for missing deadlines. With the software, built-in alerts ensure you never miss a claim deadline.
2. Inventory Tracking:
How much inventory is sitting in your warehouse? You should always minimise sitting inventory to reduce overhead. Use the software which makes keeping track of inventory easy, but even more important is that you can leverage just-in-time ordering and drop-shipping to reduce carrying costs.
3. Profitability Reporting:
Do you know which products are most profitable for your business? It can be easy to get caught up in customer demand without paying careful attention to product profitability as a driving force in your business. Track which supplies or services are most profitable and try to increase margins wherever possible.
4. Staff Productivity Tracking:
Track your staff’s weekly output. Metrics such as profitability by sales rep or employee productivity output help pinpoint areas for improvement.
Schedule a Strategy Meeting to Know more about on Tracking DME performance metrics.