Maun-Lemke Speaking and Consulting was retained by a skilled nursing organization to enhance revenue. The 9-month project involved one facility with 328 licensed beds. This Revenue Growth Initiative utilized our proven A.R.M.S. revenue enhancement process. The components of the A.R.M.S. process include:
- Building Teams to work on the Initiative
- A written and Team-signed 12-Week Plan with goals
- Weekly reporting on the process for continuous feedback to the Team on the effort
In addition, the Maun-Lemke consultants were available for live visits, phone conferences, Skype and email correspondence with the facility Teams during implementation of their 12-Week Plans.
The successful results of this Revenue Initiative are as follows:
- Growth of 24 total Medicare
- The Medicare rate increased by $35/day
- 24 additional x $560 rate = $4,900,000 additional generated revenue
- Rate increase of $35/day, total of 36 Medicare: $35 x 36 = $460,000 in rate increase revenue
- Overall total census growth of 23
- Assuming a 30% profit margin on the Medicare top line revenue, that would equate to a total profit of $1,470,000 on the $4,900,000 top line plus $460,000 in Medicare rate increase for a net profit of $1,930,000
- “0” deficiency survey during project time period
In addition, there were substantial improvements in clinical systems, customer service, branding and positive marketing on a continuous and self-sustaining basis.