Why do Offshore Outsourcing Engagements Fail?

Posted by Ecareindia on February 2nd, 2015

Offshore medical billing has been a cost saver for several medical billing companies in the US healthcare industry. It has not only helped with AR/denial management, but also provided excellent revenue cycle solutions to the clients. However, not all US based outsourced medical billing companies that partner with an offshore medical billing company succeed in their partnerships. On analyzing, it was found that such offshore outsourcing engagements failed mainly due to lack of due-diligence, reference checks, certification/compliance checks, by the US based outsourced medical billing companies. Let us focus on how they can overcome such problems and succeed in this competitive healthcare industry:

Importance of Due-diligence: Performing a due-diligence process is highly essential for US medical billing companies before they partner with a particular offshore vendor. The process involves doing a thorough background check on potential offshore medical billing vendors. The fiscal status is checked by reviewing the size of the vendor and years of experience in the business. It allows outsourced medical billing companies to learn about the offshore vendor’s financial health, expertise and manpower capabilities before signing a partnership.

Reference Checks: The sustainability of offshore medical billing companies can be scrutinized by doing reference checks from their current clients. It will let US based outsourced medical billing companies learn how well an offshore vendor would perform during tough situations. The reference checks can also answer several questions for them since the current client would have experienced the capabilities of the vendor in similar situations.

Certification & Compliance Checks: It is always good to inspect if an offshore medical billing company is compliant with HIPAA standards before signing partnership. Reputed offshore medical billing companies operating in India will usually have ISO certifications. Outsourced medical billing companies can check these certifications and even get copies of them to check the validity of the certifications and how long they have had the certification.

Quality Checks: The medical coding specialists working for offshore vendors must be well trained and shrewd in handling challenges. The US medical billing companies can check if these coding specialists are AAPC or AHIMA certified to ensure that quality of Coding is at acceptable levels.

Client Engagement: There should always be a good engagement between the outsourcing medical billing company and the offshore medical billing vendor. Every aspect should be clearly addressed and analyzed by both parties before putting things into action. Miscommunications and improper transition of work processes, can lead to offshore outsourcing engagement failures.

Many offshore medical billing companies that claim they have exceptional expertise in the medical billing field, lack even the basic infrastructure and requirements. Instead of relying on their false statements and promises, it is always safe for US based outsourced medical billing companies to perform all the aforementioned checks on offshore vendors they are planning to partner with and if possible also make a visit to the offices to physically inspect the security and business capabilities.

About e-care India:

e-care India has 15 years of experience in the healthcare billing industry. e-care’s 3 offshore medical billing delivery centers have been providing end-to-end healthcare outsourcing services and revenue cycle solutions seamlessly to more than 35 clients. e-care India, is a highly acclaimed offshore medical billing company in India that is HIPAA compliant, ISO 27001:2005 for Information Security and Management Systems, and ISO 9001:2008 certified for its processes.

To know more about e-care and its services, log on to www.ecareindia.com.

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Joined: June 20th, 2011
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