This document discusses ways for home care agencies to prepare financially for difficult times. It recommends updating the strategic plan, conducting an organizational assessment to find inefficiencies, outsourcing coding to avoid errors and delays, considering interim management if a key leader leaves, and updating systems with modern technology to cut costs and boost productivity. Outsourcing certain tasks to experienced consultants can help agencies weather financial storms.

1. Can
Your
Home
Care
Agency
Weather
a
Financial
Storm?
Even
the
best-­‐managed
home
health
agencies
experience
ups
and
downs.
Whether
it’s
due
to
an
economic
downturn
or
because
some
large
clients
decided
to
take
their
business
elsewhere,
you
need
to
have
a
plan
in
place
to
make
sure
you
can
weather
the
storm.
This,
of
course,
includes
having
cash
reserves
available
to
cover
payroll,
expenses,
and
operations.
But
aside
from
keeping
enough
cash
in
the
bank,
there
are
many
other
things
you
can
start
doing
today
to
save
money
and
improve
financial
stability.
Update
Your
Strategic
Plan
If
you
haven’t
updated
your
strategic
plan
within
the
past
six
months,
it’s
time
to
revisit
it.
The
home
care
industry
is
rapidly
changing
and
doing
the
same
old
thing
just
isn’t
an
option.
Be
proactive
to
understand
your
clients’
evolving
needs
and
then
begin
offering
services
to
address
those
needs.
Creating
and
regularly
reviewing
a
strategic
plan
is
also
important
to
ensure
your
agency
is
headed
in
the
right
direction,
meets
revenue
goals,
keeps
customers
happy,
and
continues
to
operate
smoothly
when
those
rainy
days
inevitably
come.
Perform
an
Organizational
Assessment
Conducting
an
in-­‐depth
organizational
assessment
is
another
integral
part
of
putting
your
financial
house
in
order.
Typically
performed
by
a
home
care
consultant,
an
organizational
assessment
uncovers
potential
risks
and
areas
of
the
business
that
cause
unnecessary
waste.
The
comprehensive
review
will
include
an
examination
of
your
operations,
recruiting
practices,
education
and
training
programs,
compliance
with
industry
regulations,
succession
plans,
policies
and
procedures,
systems,
and
other
areas
that
can
reduce
costs
and
maximize
productivity.
Outsource
Coding
Inaccurate
ICD-­‐9
coding
results
in
costly
reimbursement
delays,
lost
revenue,
and
insurance
denials—
all
of
which
are
avoidable
when
your
coding
is
100
percent
error-­‐free.
To
avoid
the
hassle
and
increase
reimbursement,
many
home
care
agencies
choose
to
outsource
their
ICD-­‐9
coding.
Outsourcing
coding
ensures
you
stay
compliant
with
regulations,
eliminate
the
errors
that
cause
payment
delays,
increase

2. cash
flow
and
revenue,
and
reduce
operational
and
labor
costs
so
employees
can
focus
on
servicing
your
customers.
Consider
Interim
Management
When
a
key
member
of
your
team
unexpectedly
leaves
or
any
other
disruption
threatens
your
business—when
lightning
strikes—you
have
to
be
able
to
quickly
recover
with
a
plan
that
keeps
your
agency
on
the
right
track.
Interim
management
is
an
ideal
solution
in
these
situations
because
an
experienced
home
care
consultant
can
quickly
step
in
to
fill
the
role,
and
even
lead
the
search
for
a
full-­‐time
replacement.
Update
Your
Systems
You
may
be
surprised
by
how
much
money
you’re
needlessly
wasting
because
of
inefficient
systems.
Rather
than
use
outdated
software
or
obsolete
devices,
invest
in
up-­‐to-­‐date
technology
that
will
grow
with
your
business
and
provide
a
high
ROI.
Better
technology
and
systems
can
improve
accounting
accuracy,
increase
employee
productivity,
ensure
compliance
with
industry
regulations,
and
help
you
stay
competitive
in
this
ever-­‐evolving
industry.
The
experienced
home
care
consultants
at
Kenyon
HomeCare
Consulting
can
evaluate
your
systems,
perform
an
organizational
assessment,
manage
your
ICD-­‐9
coding,
and
help
develop
the
strategic
plan
your
agency
needs
to
keep
moving
forward.
Schedule
an
appointment
at
www.KenyonHCC.com
with
one
of
our
consultants
to
see
how
our
services
can
help
you
save
for
a
rainy
day.