An Outsourcing Success Story

A psychiatry clinic in Texas was having a very harddictation system whereby the physician could start
time documenting medical reports and records. Mostdictating straightaway either via a cell phone/mobile
of the reports were handwritten with the legibility ofphone or through any landline phone connection. Thirdly,
the reports such that even the physicians' owntechnical staff could have this toll-free dial-in dictation
secretaries could not decipher them. Besides the timesystem up and running within half an hour of receiving
wasted on writing the reports by hand and thean E-mail request from the client. Fourthly, the
expense of photocopying them for patients andphysicians were also offered the option of utilizing a
referring physicians, the clinic was facing problems withbrand new digital Dictaphone that would be provided to
getting these reports ready on time.them free of cost. They were also shown how to log
The backlog of reports to be delivered was piling upinto the Indian company's secure file transfer protocol
and was reaching alarming proportions. Auditing of theserver to upload their dictations and how this whole
records was proving to be a huge problem. The clinicprocess could be automated with the use of software
administration desired streamlining and moving towardsthat would also be provided to them free of cost.
a paperless office to address HIPAA regulations andFifthly, the physicians were also told that they could
improve operational efficiency. Also, the stakeholdersaccess the Indian company's exclusive online physician
(patients, referring physicians, government agencies,portal wherever they were, using a PDA or
and billing office) wanted to implement an electronicBlackberry. They could also view, edit (if necessary),
medical records system, and this led them toand E-sign the transcripts, and they could also fax or
reevaluate their existing operational processes.E-mail the transcripts to their patients or the insurance
Having the records transcribed locally by medicalcompanies. Lastly, the clinic was offered a one-week
transcriptionists in the US was an expensive affair asfree trial where different doctors were asked to
the average rate charged by American medicaldictate files. The clinic was delighted to see that what
transcriptionists was about $15 an hour. Recruitinghad been such a cumbersome process all these years
in-house transcription staff was a Herculean task as itwas done in such a simple and cost-effective way by
involved a lot of formalities and huge cost implications.the Indian company. The Indian company was then
It worked out to about 40 cents per line to get aentrusted with the task of handling the entire
report transcribed using in-house staff.transcription process starting with capturing the
As more than 50% of the physicians were ESLdictation, transcribing the reports, editing them, quality
(English second language) dictators, most Americancontrol checks, and delivery of the final transcription
medical transcriptionists were not too keen to take onreports.
these jobs. This was when the clinic decided toThe clinic's physicians realized that outsourcing
outsource the work to India where the same job couldimproved time-to-chart (TTC) metrics, that they could
be done at about $5 an hour or at 8.5 cents per line.concentrate on patient care instead of documentation,
After contacting and reviewing many vendors, thisthat insurance companies were billed sooner, and that
clinic approached an Indian medical transcriptionthey themselves received payment sooner. Moreover,
company having its office in California and requestedelectronic medical record management facilitated
them to assist in streamlining their existingeasier audit of healthcare facilities which is one of the
infrastructure. The Indian company deputed two of itsUS government's objectives.
outsourcing consultants to do a comprehensiveStaying competitive is the most critical aspect in
investigation of the existing infrastructure with specifictoday's business world. Harnessing technology and
reference to time-to-chart metrics, a critical analysis ofglobal sourcing of talent is the mantra of success. With
the need for creating and maintaining electronic patientnil-to-minimal investment, a paperless office can be
records, the need for a web-based documentestablished in a healthcare facility and HIPAA
management system, and a cost-benefit evaluation ofcompliance ensured. A transition from a stage where
maintaining electronic patient records. The consultantsmedical reports are handwritten to a stage where
identified many critical areas and their repercussions onprocesses are done electronically can be done
the day-to-day functioning of the clinic. Specifically,smoothly and without any hassles when there is a
time-to-chart issues lead to cascading effects onto thededicated team working on it.
entire chain of healthcare, patient care, and providerOutsourcing makes good business sense especially
accounts receivable management, thereby leading towhen profitability is taken into account, all businesses
poor business performance of the physicians' practiceprimarily being run with the profit motive in mind.
and affecting the profitability of the clinic itself.Thomas L. Friedman said that in this twenty-first
The Indian consultants made severalcentury, the world is flat. Nowhere is this truer than in
recommendations. Firstly, they opined that the job ofthe field of medical transcription where a physician can
transcribing psychiatry files be done by an exclusivedictate a report at noon in the USA, have it transcribed
team of medical transcriptionists who were welland edited in India an hour or so later, uploaded to his
versed with psychiatry because they felt thatoffice almost immediately, and find the report ready for
transcribing psychiatry files was a specialist job.him to sign before he leaves for the day.
Secondly, they offered the use of a toll-free dial-in