Three Keys To Margin Turnaround

This year has seen increasing financial pressure on health and human service provider organizations. This week, the Kaufman Hall's monthly report on health system finances reported that U.S. hospitals and health systems are experiencing some of the worst margins since the beginning of the pandemic—down 50% (see National Hospital Flash Report: August 2022). Increased use of ambulatory care, lower revenue, rising labor expenses, and an end of federal subsidies were identified as contributors to the financial situation.

This is echoed in community-based service provider organizations. For outpatient medical practices, the first half of the year saw . . .