eValuate: What can it do for you?

When financial management and operational teams in a laboratory are not aligned, several problems can arise, impacting the overall efficiency, effectiveness, and regulatory compliance. A gap between finance and operations may lead to poor communication, making it challenging for both teams to understand the perspectives and constraints of the other. This miscommunication can exacerbate issues and hinder problem-solving efforts.

Bridging the gap with eValuate

As a laboratory cost management solution based on accurate cost, revenue, and profit-per-test calculations, eValuate can play a significant role in addressing the alignment of financial management and the operational team. eValuate can assist in bridging this gap by addressing the following issues:

Financial Budgets

Budgetary misalignment can arise when the financial goals are not in sync with the operational objectives and requirements. For instance, resource allocations that do not align with operational needs may lead to over- or underfunding. eValuate provides a detailed breakdown of costs associated with each test, allowing all stakeholders to understand the financial implications of each test and the impact of every expense. A clear cost-per-test can align budgets more accurately with operational needs.

Resource Utilization

Productivity and cost-effectiveness will be affected by overlaps or gaps in resource allocations.

Identify improvement areas or adopt better-performing processes through internal comparative analysis of the cost-per-test at all your testing facilities.

Performance Measures

A lack of understanding between finance and operations may lead to unrealistic performance measures if, for instance, finance does not consider certain practical aspects of the current laboratory workflow or quality requirements.

eValuate can detail why a specific clinical discipline only achieved a certain profit percentage by analyzing the impact of every cost on a discipline and its related tests. This detailed analysis can ensure that performance measures consider the financial and operational aspects, leading to realistic targets aligning with organizational goals.

Organizational Strategy

With a lack of collaboration disconnected strategies may emerge, leading to conflicting priorities and reducing the agility of a laboratory to adapt to change or to pursue long-term goals effectively. The way that eValuate structures and presents your financial data will allow all stakeholders to collaborate effectively to develop strategies. Visually tracking cost and revenue trends on any level of your organization, you can create projections and manage expectations, leading to aligned and balanced financial and operational goals.

Quality Assurance

The laboratory-specific requirement of quality, not just of services rendered but also of quality control demanded by regulatory requirements, adds another layer of often-overlooked costs. Inadequate funding or resource allocation may compromise compliance with these standards. Using a standardized classification of different cost types and subtypes, eValuate can report on and detail the cost of quality control. You can comparatively validate these costs across your various testing facilities.

Employee Engagement

Lack of alignment can cause confusion among employees about expectations and goals, leading to demotivation or dissatisfaction when financial constraints hinder their ability to meet operational targets. By providing visibility into the profitability of specific services and tests, eValuate can help foster a transparent work environment, with both sides able to see and understand the needs of the other.

Conclusion

eValuate bridges the gap between finance and operations, often found in laboratories. Based on reliably repeatable cost, revenue, and profit-per-test calculations, eValuate will provide insights and clarity to inform decision-making, align financial and operational goals, and promote effective and transparent laboratory cost management.