The Practice Profitability Index Survey (PPI) is an annual survey that analyzes the operational and financial challenges for physician practices within the US. The third survey, taken in July/August 2015, asked 5,024 physicians to participate.
Here is a summary of the findings of the report.
In previous years, the PPI has found that there is an increase in profitability projects. Now physicians are expecting that their profitability will be relatively the same or declining slightly over the next year.
The survey found that the top threat to physician profitability was reimbursement. Rising costs were also another top challenge as found in the past. However, the third biggest problem has become the transition to ICD-10, which replaced the Affordable Care Act.
According to the survey, 60% of physicians feel they are not ready for ICD-10, which more than half believe is affecting their profitability.
There is a continued resilience among physicians with ownership stakes. While approximately 25% are still looking to make a change in regards to ownership, the number is declining as it has over the past few years. The primary cause for this is due to administrative burdens, profitability challenges and regulatory pressures.
The survey found that physicians are looking at billing processes, optimizing staffing and technology as the key areas to improve their profitability and performance. Physicians are specifically looking at having a stronger core IT system in their operations by capitalizing on innovations. Any new system implemented needs to be versatile and user-friendly and to support their financial, administrative and clinical processes. The main reason for the focus is because there is a lack of integration with their current technology.
Another key finding was the need for physicians to engage and adopt technology to meet growing patient engagement needs, including mobile responsive technology.
What are your thoughts on the findings? What do you consider to be the biggest challenge for physicians?
Let us know in the comments.