As a hospital or system executive, one of the key metrics you likely track is the patient volume seen in your emergency department (ED). Like many hospitals, however, you've likely been experiencing patient volume declines over the past several months or quarters. What is behind this trend, and what can you do about it?
Historical Trends
The Centers for Disease Control (CDC), which houses and tracks the largest database of longitudinal healthcare utilization statistics, indicates that (ED) volumes started changing their growth trajectory around 2014/2015, which is consistent with the experience of emergency medicine groups, hospitals and systems. Throughout the 1990s and the early 2000s, ED volumes grew. From 2013 to 2014, there was an increase in utilization of roughly 8%, the last time aggregate volumes increased. From 2014 to 2015, there was a 3% decline. While nationwide data isn't yet available for 2016 through the present, anecdotal reports indicate that ED volume is still trending downward, and some research indicates this may be due to the proliferation of alternatives sites of care.
Assessing Your Own Situation
While many believe the shift to alternative sites of care may be good for healthcare overall, ED patient volume declines in the short term represent lost revenue to hospitals. This is compounded by the fact that the ED accounts for more than one-half of all hospital admissions.
It is important to note that these are broad trends that may not be applicable to all hospitals, as some EDs have been reporting patient volume increases. But for those that are experiencing declines, different reasons may be applicable from one hospital to the next, even within the same system or geographic market, so it is critical for your leadership team to identify potential causes and outline a strategy to stop, or at least slow, further unnecessary declines. Some factors to consider:
- Has your overall community seen a decline in population or a demographic shift?
- Have your hospital and local payers been actively educating your market on alternatives to the ED?
- Have large, local employers switched to HDHPs?
- Has there been an increase in urgent care centers, free-standing EDs, retail clinics and after-hours primary care options in your area, and/or more aggressive marketing of existing ones?
- Have you been losing volume to a competing hospital within or near your community?
Best Practices for Preventing Loss of Market Share
Based on your responses to the prior questions, each cause of volume decline requires its own strategy. If you have been losing volume to a competing hospital, the good news is it's something that can be corrected with the right strategy and ED partner. Some recommended best practices include:
1. Conduct a market analysis to identify perceptions of your ED/hospital compared with others.
2. Conduct a deep dive analysis of your ED metrics, looking for these warning signs that often drive patients to competing facilities:
- Excessive usage of locum tenens providers and inconsistent staffing
- High door-to-provider times and door-to-bed times
- Patients left without being seen/without treatment higher than 2%
- High throughput times for both admitted and discharged patients
- Poor clinical quality measures, including core measure compliance, adherence to established clinical pathways, and consistent ordering patterns
- Poor or declining patient experience scores
- Poor relationships between the ED providers and nursing staff/medical staff
3. Work with your current ED management partner on a plan to improve the above metrics to position your hospital as the facility of choice within your community.
If your ED is not performing optimally and your current group is unable or unwilling to make the changes necessary for success, patients will go elsewhere, and you are putting your ED volume—and thus revenue—at risk.
Download the white paper for a deeper assessment of the reasons of volume declines.
For a confidential assessment of your ED performance, contact [email protected].