Research reveals that the cost of patient care in the United States has exceeded the annual inflation rate by up to three times. Patients who cannot afford to be treated in top-tier healthcare facilities opt to visit more affordable facilities or purchase over-the-counter medication. The only hope for healthcare facilities that want to meet their financial targets is to reduce overhead costs. Fortunately, most of these costs are avoidable. Let’s dig into some of the ways hospitals can cut overhead costs.

Single out costs that don’t add value to patient care

High budgets are not the only reason your overhead costs go through the roof. There are numerous unnecessary costs that you could eliminate to reduce your budget and improve patient care quality. For instance, you could save money on electric bills by installing solar panels or setting your water heater to run only during business hours.

Prioritize the health of your staff

Your hospital will soon become severely understaffed if your staff members fall ill regularly and need time off work. Working at a hospital can also become quite stressful, meaning your employees need to be in tip-top shape to ensure everything runs smoothly. An excellent way to reduce overhead expenses would be to educate your staff members on the importance of regular checkups and leading a healthy lifestyle.

Invest in modern equipment

Doctors and nurses need a steady supply of clean linen, scrubs, and industrial paper towels. However, these supplies cost money, especially when used wastefully. A great way to reduce overhead costs would be to embrace modern technology. For instance, you could automate the distribution of linen, scrubs, and industrial paper towels to authorized personnel to stretch out your supplies a little longer. Fresh and clean scrubs will also reduce the risk of infection around the hospital.

Keep accurate records

Overhead expenses account for a huge percentage of your hospital budget. Your finances can easily get out of hand when you don’t have a good grip on small expenses such as shipping costs and supplies. Therefore, we suggest you take the time to segregate your overhead costs into several categories, such as clinical and non-clinical. It would also be best to keep accurate and consistent records and ensure that the files are up to date.

Check for leaks and faulty restroom facilities

Did you know that a faucet that leaks ten drops per minute could waste one gallon of water per day? Your toilets could also be wasting too much water when they flush, causing your water bills to skyrocket. We suggest replacing your restroom facilities with low water flow models to reduce the amount of water the washrooms consume. Efficient restroom facilities also reduce the cost of maintenance as they remain in good shape for longer

Bottom line

By reducing your overhead costs and focusing on high-value expenses, you increase your competitive edge and offer better care to your patients. Another obvious advantage of cutting on overhead costs is saving some extra bucks that you could reinvest or put into better use. We hope this article has steered you in the right direction