Case study · Healthcare provider

Revenue Cycle Optimization

A machine-learning model found 500+ treatments that were delivered but never billed — and helped file them.

Client

A community hospital in a large healthcare system

Industry

Healthcare provider

Result

20% improvement in operating margin

Capability

Analytic & Consulting Services

The situation

What the client was facing.

The hospital suspected that legitimate treatments had been delivered without claims being submitted to insurers. It wanted to find those unbilled charges and recover the revenue.

  • Missed charges hidden across departments

  • Thousands of diagnosis and charge codes

  • Every claim had to be legitimate

Our approach

How we got there.

Methods used

Machine-learning association modelRoot-cause analysis
  1. 01

    Built a machine-learning association model linking diagnostic codes to CPT charge codes

  2. 02

    Applied it across departments including day surgery, rehab and cardiology

  3. 03

    Flagged cases with a strong association but no charge — e.g. a cataract operation with no lens charge

  4. 04

    Sized missing charges by specialty

  5. 05

    Produced diagnostics and recommendations to prevent future misses

Value created

20%

improvement in operating margin

  • More than 500 cases found where treatment was given but not charged

  • Missing charges segmented by specialty, with root causes

  • Each missing charge validated before filing

  • Filing them increased operating margin by 20%

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