Start of Main Content

Revenue Cycle Management (RCM)

What is revenue cycle management (RCM)?

Revenue cycle management (RCM) is the process companies use to document generated earnings, payments and claims processing from patient services. RCM tracks revenue from patients from their initial appointment or encounter and ends when all claims and patient payments are collected.  

EHR systems are an important tool for revenue cycle management because they help streamline strategies to improve efficiency and accuracy. In addition, there are solutions specifically for value-based reimbursements and fee-for-service claims that maximize RCM strategy.  

Why is revenue cycle management (RCM) important to healthcare?

RCM is important because it lets healthcare providers record and monitor critical financial information, increasing the likelihood of spotting revenue leakage. It also ensures healthcare organizations maintain profitability. Additionally, RCM can increase visibility to financial data and enhance processes.