Practice Partner User Profile -- ROI in a Group Practice

Urology of San Antonio is an 18-physician practice that serves the San Antonio area through six clinical offices, one surgery center, and a centralized business office. Several years ago, the group met to discuss their future financial status. They agreed that in order to maintain or improve profitability, they needed to create revenue from sources other than their existing clinical methods. "We needed to find other things that would generate new streams of revenue," says COO Michael Dermer.

One of the solutions that they planned and undertook was the implementation of an Electronic Medical Record (EMR). The group recognized that this was an investment that would involve the use of human and financial capital. But they also realized that the successful implementation of an EMR would produce positive long-term financial benefits.

The results are striking. Less than one year after EMR implementation, Physicians Practice Digest named Urology of San Antonio the 2002 Practice of the Year in the Financial Category.

In March of 2001, the physicians of Urology of San Antonio decided to purchase and implement an EMR for use in all of their practice and business sites. After a lengthy search, they eventually chose Physician Micro System's Practice Partner Patient Records as their EMR system and Practice Partner Appointment Scheduler as their electronic scheduling system. "Practice Partner had the power and flexibility necessary to accommodate our multi-site clinic and a proven track record of installations at offices similar to ours," explains Dermer.

The group recognized that an EMR implementation would incur initial costs including software, hardware, and implementation expenses. The clinic was very deliberate in their preparation, devoting almost 5 months to system planning and installation. In September 2001, the group went live with Patient Records, using one site as a trial. The remaining offices followed suit on November 1st.

During the following months, the physicians and staff at Urology of San Antonio worked to customize Patient Recordsand ensure everyone gained mastery of the software. "A practice should expect at least a 10% drop in volume during the first month while the physicians and staff adjust," comments lead physician Clayton Hudnall. However, the group chose Practice Partner system because of its ease of use, and steadily became proficient using the software. Within three months of implementing Patient Records, the clinic had increased its number of daily visits. They never looked back. "We basically broke even on patient visits after the first 3-4 months," notes Dr. Hudnall, "after which we were seeing a substantial and consistent increase in patients, without compromising our quality of care."

Prior to implementing Patient Records, Urology of San Antonio was spending $14,000 per month on transcription and waiting two weeks to receive the information. Although the majority of the physicians chose to enter data directly into the system, Patient Records does not force all physicians to completely give up transcription. In this case, transcription costs at the clinic were lowered to $1500 per month, an annual cost savings of $150,000.

Patient Records also produced substantial savings from increased office efficiency. Like many urology practices, the clinic was managing more paperwork than ever, and the inefficiencies of paper charts were becoming increasingly costly. With Patient Records, all patient charts are accessible from any workstation. The physicians now have a portable medical record that they can access from any of their practice sites, hospitals, or homes. As a result, Urology of San Antonio was able to reduce the FTEs required for each provider and save $144,000 annually in labor costs.

The elimination of paper charts also translated into $40,000 annual savings of clerical and mailing supplies. "We were thrilled to eliminate the hassles of paper supplies and mailings," notes Dr. Hudnall. "Now we can fax directly from Practice Partner without ever having to stuff another envelope."

In addition to cost savings, Urology of San Antonio also improved their coding accuracy, thereby boosting revenue. Progress note templates in Patient Records allowed the physicians to create clear and complete documentation for every patient visit. "We feel more confident in our coding, because the progress note templates in Patient Records provide an easy method to thoroughly document all visits." This increased coding confidence has resulted in an additional $360,000 in revenue per year.

Urology of San Antonio anticipates their investment in Practice Partner will produce net returns of $530,000 in each of the next three years. The system paid for itself within ten months. The award-winning physicians and staff at Urology of San Antonio have not only achieved financial success with Practice Partner, but also take pride in the improved quality of patient care and service.

Transcription Savings -- $150,000 annual savings
Labor Savings -- $144,000 annual savings
Paper Supplies Savings -- $40,000 annual savings
Increased Coding Revenue -- $360,000 annual revenue increase
Total Income -- $694,000 annually