The healthcare industry is constantly evolving, with it, the Financial Management and Human Resources tasks coupled with managing healthcare groups. We expect trends like tightening Medicare and Medicaid reimbursement payments, rising labor costs, and stricter regulatory compliance requirements to continue impacting providers. New challenges such as adapting to changes in insurance reimbursement structures, integrating AI into operational workflows, shift to value-based care, and workforce shortages will also reshape how providers operate.
As we look ahead, here are the five essential HR and financial tasks you can’t afford to neglect to ensure your practice thrives in the year ahead:
1. Leveraging Tech-Forward Solutions and Data Analytics
Why it’s essential: In 2025, adopting technology and data-driven insights will be critical for healthcare providers to remain competitive and efficient. From financial management to staffing, leveraging technology can reduce operational costs, improve decision-making, and enhance patient care outcomes. Providers who fail to adopt tech-forward solutions risk falling behind in an increasingly digitized healthcare landscape.
Action steps: Leverage Flychain’s integrated financial tools to streamline bookkeeping and gain deeper visibility into your practice’s health with detailed benchmarking data, including contract and expense benchmarking, to measure performance against industry standards. Stitch PEO’s professional employer services complements this as a payroll provider also able to supply turnover, and employee engagement data to optimize staffing levels and reduce turnover. Together, Flychain and Stitch PEO offer tech-forward solutions and actionable insights to enhance both financial and operational efficiency.
2. Strengthen Cash Flow and Optimize Revenue Cycle Management
Why it’s essential: With tightening Medicare and Medicaid reimbursements and rising operational costs, maintaining healthy cash flow is critical to ensuring business continuity. Efficient revenue cycle management (RCM) is key to minimizing payment delays, reducing claims denials, and preventing cash flow disruptions. Poor management of either can lead to payroll issues, delayed payments, or even forced closures.
Action steps: Leverage Flychain’s platform to improve financial visibility into the health of your business, automate bookkeeping, and access fairly priced capital to avoid liquidity crises. Additionally, use Stitch PEO’s network to find qualified revenue cycle and claims specialists or train your staff on the latest billing and coding standards to optimize revenue collection. As Flychain develops its Revenue Cycle Intelligence tools, you’ll also be able to analyze claims data, improve billing efficiency, and forecast reimbursement timelines to stay ahead of potential payment issues.
3. Focus on Employee Engagement and Retention to Combat Staffing Shortages
Why it’s essential: With ongoing workforce shortages in healthcare, retaining engaged and motivated employees is critical to delivering high-quality care and reducing turnover costs. Burnout and lack of engagement are major contributors to staff attrition, especially in sectors like home health and behavioral health.
Action steps: Utilize Stitch PEO’s employee engagement solutions to create a supportive work environment and offer competitive PEO benefit packages that attract and retain talent. Enhanced PEO benefits packages can include offering diverse PEO health insurance plans, ICHRAs, retirement support, mental health support, and other unique benefits, allowing you to customize your offerings and directly address staff priorities. Meanwhile, Flychain’s treasury and savings tool can help practices identify cost-saving opportunities, allowing providers to reinvest those savings into employee development and benefits that keep staff happy and productive. Flychain also offers access to fairly priced capital, helping practices secure funding to grow and hire additional staff as they scale.
4. Conduct Regular Financial Valuations to Prepare for Future Growth or Sale
Why it’s essential: For providers planning to scale or sell their practice, having accurate, up-to-date financial valuations is key to maximizing sale price or securing investment. A disorganized or incomplete financial picture can lower valuation and reduce negotiating power.
Action steps: Use Flychain’s valuation services to assess your practice’s financial health, factoring in profitability, cash flow, and expenses. Stitch PEO can support this process by streamlining HR operations, bringing healthcare practices together to achieve economies of scale, reducing costs, and improving operational efficiency, which can positively impact your practice’s valuation.
5. Ensure Compliance with Tightening Regulatory Standards
Why it’s essential: Increased regulatory scrutiny means providers are at greater risk of audits, penalties, and non-compliance issues. Adhering to evolving regulations is critical to avoid costly fines.
Action steps: Flychain prepares financials in a tax-ready format, ensuring smooth tax filing and helping providers easily assess the financial health of their business through detailed financial reporting, enabling them to stay ahead of potential audits and reporting requirements. Stitch PEO offers compliance support for HR-related regulations, including employee benefits, payroll, and licensing. Stitch PEO’s comprehensive services ensure staffing, employee classifications, and operational processes are aligned with state and federal regulations, reducing administrative burdens and minimizing regulatory risks surrounding labor laws, tax regulations, and healthcare-specific compliance such as HIPAA and STARK.
Looking forward to the new year requires honest reflection on the past. Are your current practices driving your practice toward your goals, or are outdated HR and financial processes holding you back? Some trends are worth embracing, and sometimes, a few adjustments are necessary to keep your practice thriving.
However, focusing on these essential tasks doesn’t mean adding more to your workload. The right partners can help you accomplish more without stretching your resources thin. Flychain and Stitch PEO are built specifically for the healthcare industry, offering affordable, tailored solutions to address these critical HR and financial challenges. With Flychain’s financial toolkit and Stitch’s healthcare PEO expertise, you can be confident that your practice is set up for success in 2025 and beyond.
To learn more about how Flychain can help your healthcare practice financially thrive, visit www.flychain.us or contact info@flychain.us.
For more information on Stitch PEO’s professional employer services, visit www.stitchpeo.com or contact sales@stitchpeo.com.