Bob currently leads the implementation and ongoing support of the CORUS Suite with a team of finance and technical professionals. Prior to joining Health Catalyst in 2016, he led the design of a home-grown advanced activity-based costing system as a Lead Financial Analyst at UPMC after working in multiple departments through UPMC’s Finance Management Rotation (FMR) program. He was born in England, grew up in southeast Michigan, and became a US citizen in 2011. Bob has a degree in Finance from Penn State University and currently lives in Pittsburgh with his wife and 1-year old daughter.
13 – The Case for Advanced Activity-Based Costing: How Cost Accounting Technology Must Evolve to Meet the Future of Value-Based Care (Panel) (Innovation, Financial; Course Level-Advanced)
As organizations adapt to the new reimbursement landscape, there is one area that is alarmingly overlooked — the measurement of health system costs. The foundation of most health system costing is based on an outdated methodology that relies on inaccurate charge-master-assigned values. Long-accepted in the fee-for-service reimbursement world, this approach exposes you to massive insolvency risk. In the value-based reimbursement world, health systems must know their true costs to succeed.
Enter the new activity-based costing: a breakthrough methodology that allows health systems to accurately measure and assess their true costs. Supported by advanced extrapolation technologies, this methodology can place you far ahead of competitors in the value-based care market. But be careful! Not all activity-based costing is created equal (despite marketing claims to the contrary). Come learn from our panel of speakers from forward-thinking organizations that have already started to implement the new activity-based costing. Discussions may touch on questions such as:
- How are you preparing for value-based care and capitated payment models?
- Why should advanced costing improvements be a significant component of that preparation?
- What are the current costing tools on the market, and why do they potentially lead to bad decision making? Why are these tools not up to par?
- While many are claiming activity-based costing, what approach is really necessary to achieve the reality of activity-based costing?
- How does a more advanced costing system change your ability to make decisions? What are some specific examples of ways your decision making improved since you implemented advanced costing?
- What benefits do you envision in the future as a result of switching to activity-based costing? What competitive advantages do you see as a result?