Published On: Mon, Feb 17th, 2020


With the current economic crisis affecting many counties, finances are becoming tighter by the day. Also, there is tremendous pressure for healthcare facilities to provide quality services at affordable rates. Therefore, to remain competitive, effective, efficient, and maintain it’s bottom-line, healthcare facilities are embracing outsourcing services as a cost-saving solution.

Outsourcing of the non-core functions has helped healthcare facilities achieve maximum staff efficiency, productivity and gain patient satisfaction. During the outsourcing process, some operations are assigned to external companies or vendors. These companies have the relevant expertise and experience to perform the assigned tasks.

One of the most common healthcare outsourcing services offered by external companies is in the billing system. By doing this, medical practitioners focus more on important operations like proper patient care and clinical diagnosis.

There are various reasons why a medical facility will outsource services. Some of them include:

Enhanced Profitability 

By outsourcing some medical operations, medical institutions can significantly bring down operation costs and save a lot of money by utilizing local resources. By doing so, the facility increases its profit margins substantially; all by outsourcing low-cost infrastructure and manpower.


Allows Access to Talented Professionals

Apart from the increase in profit margins, outsourcing allows medical facilities to hire skilled personnel who are ready to take on various responsibilities bestowed upon them. The professionalism, qualification, and experience these experts possess are crucial in the medical sector as it is a people-driven industry.

The reason being, patient satisfaction highly depends on how medical practitioners and other staff members relate to the patients. For it to be successful, customization in terms of healthcare services rendering is needed. 

Improved Focus on Patient Care

Outsourcing helps to unburden medical practitioners from various tiresome administrative tasks. Take, for example, the billing process which can be overwhelming. When coding is left to medical practitioners, mistakes like upcoding or undercoding can happen.  

However, by outsourcing, medical practitioners can focus more on patient needs and how to deliver quality care.

Decrease in Staff Hiring and Training Costs

The recruiting process can cumbersome and physically draining. What’s more, it is costly. The best thing about outsourcing is that the additional costs incurred during the recruitment and training will be handled by the outsourcing company. This significantly brings down your hiring costs. 

Furthermore, the hiring, training and retention of the excess employees are solely taken care of by the outsourcing company.

Better Patient Experience and Engagement

Since the recruitment process of the non-core tasks will be handled by the outsourcing company, medical practitioners will concentrate to a greater extent on caring for the patients and thereby improving how services are offered and patient satisfaction. 

Reduced Administration Overheads 

Administrative overheads such as front office management and hospital supplies make up a large amount of the costs incurred and therefore, should be very well managed. By outsourcing such operations, unnecessary expenditure may significantly be brought down. The amount saved could be used for further investments and to improve core services for better patient experiences.

Author: Biswajit Rakshit

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