Rethinking Financial Forecasting in Healthcare
In hospitals across the U.S., thousands of hours are spent each year creating a budget that is typically tens of millions of dollars off the mark and cast aside almost as soon as it is submitted.
As the leading hospital planning software, StrataJazz® helps organizations shift to a more advanced, agile process, using financial planning methods like rolling forecasting in healthcare. Assess how receding volumes, new payment models, and increasing costs will impact your profitability. Proactively respond to change and identify improvement opportunities, with access to more timely and accurate monthly projections and financial performance statistics.
Use rolling forecasting in healthcare to respond to change
Quickly, accurately, and efficiently model and analyze new opportunities and risks in your financial planning by using rolling forecasting in healthcare and a forecasting software.
StrataJazz assesses how receding volumes, new payment models, and increasing costs will impact your profitability. Proactively respond to change and identify improvement opportunities, with access to more timely and accurate monthly projections and financial performance statistics.
Quickly Respond to Opportunities and Risks
Leverage a library of forecasting algorithms to drive your baseline plan, so you can spend your time modeling and analyzing new opportunities and risks.
Plan in Days Not Months
Update the forecast in days, whether on a monthly, quarterly or as needed basis with streamlined rolling forecast models.
Improve Accuracy
Improve your organization’s planning over time by providing automated lookback analyses to identify the most accurate methodologies.
How does the traditional budget present challenges for hospital finance teams?
Planning and budgeting for hospitals and healthcare delivery systems is badly broken
In hospitals across the U.S., thousands of hours are spent each year creating a budget that is typically tens of millions of dollars off the mark and cast aside almost as soon as it is submitted. Rather than helping to control costs and build strategic alignment, the budget is viewed as a distraction, providing little to no value and even negatively impacting performance.
The typical large healthcare delivery system spends four to six months and up to 20,000 hours building their annual budget. Senior executives and financial managers devote up to 30 percent of their overall time throughout the course of the year to this process. But 66 percent of healthcare chief financial officers say their organization’s budget is irrelevant within the first three months, due to built-in inaccuracies and the difficulty of adjusting the plan to changing conditions.
Today, as healthcare providers face a volatile environment, they will need to adopt more advanced planning methodologies to react quickly and optimize performance.
What can hospital finance leaders do to adopt more advanced planning?
Adopt advanced planning methods like rolling forecasting
By adopting advanced planning methods like rolling forecasting, organizations can more quickly, accurately, and efficiently model and analyze new opportunities and risks in their financial planning.
StrataJazz® assesses how a volatile healthcare environment with receding volumes, new payment models and increasing costs will impact your organization’s profitability. Using the tool and advanced planning methods, your hospital can respond to change, providing more timely and accurate monthly projections and financial performance statistics while identifying opportunities for improvement.
tangible benefits
Leveraging Rolling Forecasting has helped healthcare organizations