In the wake of the coronavirus (COVID-19) pandemic, the healthcare industry has dramatically transformed worldwide. In this rapidly changing environment, it can be difficult to update your healthcare business’ processes to ensure they are remaining efficient, even at such unprecedented times.
One area of your healthcare business that may be suffering as a result of the pandemic is its finances. A report from the American Hospital Association indicates that financial losses due to the crisis are extremely pervasive; from July through December 2020, the nation’s hospitals and health systems were expected to experience roughly $120.5 billion in financial losses, mainly due to lower patient volumes.
There are, however, experts that can help mitigate some of the consequences. Chief financial officers (CFOs), particularly those who specialize in the healthcare sector (often known as healthcare CFOs) provide valuable insight into areas for cost savings and future growth. CFOs, especially healthcare CFOs, also remain updated on key trends to watch for in their client’s industry, and factor these into their financial recommendations. According to CFO Strategies LLC, hiring a CFO from an external company can ensure you reap a host of other benefits. Here are three ways outsourcing a CFO can help your healthcare business even in the midst of a global pandemic.
While you may know the ins and outs of your business and your industry very well, CFOs bring a fresh and unique point of view to the table. Given that they are on the outside looking in, they will be more likely to spot any gaps in your current financial plans or expense patterns. They will then be more equipped to provide you with impartial advice on solutions you can utilize to fill those gaps and improve your organization’s financial operations.
When you outsource to an external CFO, you can pick and choose which services you require from that specialist. This means that you can customize your service plan to only include services you need, which can reduce your expenses. You’ll then be able to reallocate the money you save towards other resources and operations within your business.
Wider Range of Expertise
Many CFOs have worked with a wide array of clients across various sectors, which means they have observed certain strategies in a different industry that could be transferable to the healthcare industry. Outsourcing your CFO functions can provide a well-rounded level of expertise that may be difficult to find internally.
Managing your healthcare business’ finances can be a tricky and overwhelming process even in the best of times. Naturally, it becomes all the more challenging amid a global pandemic like COVID-19. However, there are resources at your disposal that can greatly facilitate the process of navigating the ever-changing healthcare landscape. Clearly, one of the most valuable resources is a seasoned CFO. When you outsource your CFO operations, you reap a host of benefits for your healthcare business that will ultimately help you thrive even during COVID-19.