How to Select an HME Software System

With CMS putting downward pressure on margins, providers continually seek new ways to increase operations efficiency, and maintain billing and accounts receivables. Fortunately, software is the one tool that can help them do all this.

Software reduces costly paper handling, streamlines the back office, and helps providers to reduce DSOs and leverage new efficiencies, such as bar coding and electronic document management.

“A lot of people use homegrown systems or antiquated, five-, 10-, or 15-year package systems that might not have been designed for what they are doing,” says David Siegel, chief operations officer for Nationwide Medical, a provider that uses software to serve more than 9,000 CPAP and BiPaP patients. “We were a classic example of that.”

For providers with older systems using off-the-shelf products such as Quick Books and Excel, or legacy systems created in DOS, selecting a new software system can be daunting. Where to begin?

Get started — now. Do not delay; create a project team that can start investigating options, analyzing costs, and working toward purchasing a new system.
“It’s like breathing; it’s an automatic thing that you know you have to do,” Siegel says. “You wake up half-way through your career and say, ‘You know what, we really need software.’”

Nationwide Medical’s first software system had originally been designed for sleep labs. Siegel says while it gave Nationwide something to use, it became “painfully obvious” that if it wanted to grow its business, it needed something that was HME/DME-specific.

So Siegel immediately began collecting software system brochures, data sheets and demo offers to review his options. He also contacted an IT specialist for a quote on developing a system for his business.

Consider communications capabilities. Successful HME operations require myriad dialog with patients, such as sending them reminders and coordinating deliveries. A solid software solution incorporates tools such as automated calling, interactive voice response and fax and email tools to ensure a smooth, continuous patient dialog.

Ensure it streamlines documentation. A good system should let staff easily retrieve and update patient records while on the phone with patients . To help make informed decisions, staff members need to quickly add and look up coverage information, billing contacts and other reimbursement information.
Look for task automation. Software systems should help providers easily replicate a task they repeat throughout the day. For example, there should be a tool that quickly answers frequently asked patient questions.

Can it improve inventory management? Software that incorporates tools such as bar coding, and profiling and tracking inventory levels will cut dead stock and slash time-consuming manual processes. Furthermore, bar coding can be implemented in other aspects of the business, such as on truck routes to help track and document the delivery of DME.

Training and support are critical. A good software system will offer technical support from knowledgeable staff that understand the HME industry and the provider’s business. For example, a question about billing tools requires that support staff understand the elements of funding. Likewise, the vendor should provide training resources to get staff up to speed on the system, Siegel says. Some vendors will include minimal training and support with the software installation, and then charge for continued training.

Do you want an on-site or off-site system? Today’s HME software can run on the provider’s IT infrastructure, or be accessed via the Internet through a Web browser or special client software. Both have advantages, so determine what’s best for your business. Nationwide went with the Internet-based software system offered by Brightree Inc.

“For us, we have spent our living in places other than IT,” Siegel says. “So going from a homegrown system that we backed up at 5 in the morning every day to an Internet-based system freed us from being tied to our physical office location. They do all the backup on dual servers in different states so you have a higher sense of security than if you had a server in your own office.”

Points to take away:
•    Upgrade right away. If you’ve been hemming and hawing over replacing your software system, then you’ve been missing out on getting a return on your investment. Make your move today.
•    Assemble a project team. They can look at costs, necessary features and other aspects of adopting a new system.
•    Consider the type of system. Should it be online or installed on-site? A large provider might want control over its own system while a smaller provider might prefer a hosted option.
•    Review the features. Make sure the system provides the billing, communications, inventory, and other tools that will help you maximize your business.
•    Have sufficient training and support. This will ensure your team gets the most from your system and quickly resolves any issues.

Learn more:
Visit HME-Business.com’s software solution center at hme-business.com/mcv/sc/computer to read more about HME software options and issues.

This article originally appeared in the July 2008 issue of HME Business.

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