Background Your VP of Operations has an inperson meeting with ABC Regional Medical Centers CEO and CFO in 2 days to discuss the Hospitals revenue performance for the 12month service period ending April 30, 2017 (Service Period Under Review). You were tasked with analyzing revenue and volume performance for this period and summarizing your findings into a slide deck for your VP to present to this customer. Youve pulled the attached raw data from NorthStars revenue database. You also obtained a copy of NorthStars proprietary CPT Code reference table (CPT Code Categories). Assignment Using the case study details (below), data set and CPT Code Categories reference table perform the following for the Service Period Under Review (12months ending April 30, 2017): Create a reconciliation of Revenue to Target to determine if ABC Regional Medical Centers Revenue is in a Revenue Shortfall position or a Revenue Sharing position and how much this position is. Use the below metrics to analyze and report on revenue performance. (Note: Analysis should include comparisons to target wherever possible.) o Monthly volume trends (cases and units) o Quarterly revenue trend o Quarterly pay per unit trends o Payor Mix (pie chart form) May 2016 Apr 2017 vs. May 2017 Dec 2017 o Case Mix (pie chart form) May 2016 Apr 2017 vs. May 2017 Dec 2017

Create a slide deck of the above information. Create an executive summary to go along with the slide deck that will serve as a narrative for the Hospitals CEO and CFO. Details for Case Study The Effective Date of NorthStar Anesthesias Service Agreement with ABC Regional Medical Center is May 1, 2013. Below is an excerpt from the Service Agreement Annual Case Volume Target: 3,874 Annual Units Volume Target: 40,542 Contracted Pay Per Unit (PPU): $37.14

1. Case: Procedures (i.e. surgeries) performed at the facility that require anesthesia.

2. Units: Anesthesia procedures are billed in units. The number of units per case varies based on the type of procedure that is performed.

3. Payor: Refers to entities that finance or reimburse the cost of health services. In most cases, this term refers to insurance carriers, other thirdparty payers, health plan sponsors (employers or unions), or the patients themselves.

4. Pay per unit (PPU): Measures how much payors are paying per billed unit.

5. Payor Mix: Number of cases aggregated by Payor. Displayed as totals and percentages.

6. Case Mix: Number of cases aggregated by Case Type. Displayed as totals and percentages

7. CPT Code: Healthcare codes used to categorize the type of procedure that is performed by a

   healthcare provider on a patient.

8. NorthStar CPT Class: NorthStar Anesthesias way of classifying procedures into Case Types (e.g. CSections, General, Orthopedic, Urology etc.).

9. Service Agreement: An executed agreement between a facility and NorthStar Anesthesia to provide anesthesia services at that facility.

10. Revenue: Payments from anesthesia procedures (also referred to as pays).

11. Revenue Shortfall: A position where revenue is lower than targeted revenue for a given period

    as defined in the agreement.

12. Revenue Sharing: A position where revenue is higher than targeted revenue for a given period as defined in the agreement. The amount of revenue over target is usually split between NorthStar and the group (depends on the terms of the service agreement).

13. Revenue Guarantee Cap: The maximum amount that NorthStar Anesthesia can charge the facility for a Revenue Shortfall within a given period as determined in the Service Agreement.