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Valley Children’s Home Care Cuts DSO by 58%!

Valley Children’s Home Care Cuts DSO by 58% with Mediware home infusion software.



Valley Children’s Hospital now gets paid by Medicaid in two
weeks instead of four months!

Since Valley Children’s Home Care went live with Mediware infusion software, the company has turned revenue into cash with significant reductions in days sales outstanding (DSO). The software has greatly helped Valley Children’s
Hospital get paid faster and regulate cash flow, all while streamlining billing processes.

With Mediware home infusion software, Valley Children’s has:

  • Reduced DSO through state Medicaid payer
  • Accessed 100% electronic billing
  • Streamlined billing processes and regulated cash flow

Turning revenue to cash in record time

Before Mediware software, Valley Children’s Home Care, which serves 10 counties in central California, had a difficult time managing Medicaid claims. With the addition of the Mediware platform to the overall business model, Valley Children’s Hospital has been able to increase its overall revenue exponentially through improved reimbursement compensation.

Mary Lou Pease, the billing manager at Valley Children’s Home Care, notes that before using Mediware software, “DSO averaged around 120 days, which created a very large backlog of unpaid claims and claims not billed.” Now, she says, “our DSO averages 48 to 58 days, which is better than average in this industry, specifically where the main payer is state Medicaid. We have reduced our aged accounts receivable over 365 days, which is less than 1%, and our over-180 runs 8% to 9%, which is extremely exceptional.” Pease adds that Mediware infusion software has “enabled our cash to become newer, our claims get paid more quickly, and we’ve increased efficiency by streamlining our overall processes,” she explains.

Improving reimbursement through electronic billing

“The billing features are phenomenal!” says Pease. “We are 100% electronic—even our nursing charges.” Prior to using Mediware software, the team relied on paper claims, which took 60-120 days to get paid. This increased reimbursement time drastically. With electronic claims, Valley Children’s Hospital now gets paid in 2 weeks!

About Valley Children’s Hospital

Valley Children’s Hospital is the only dedicated pediatric provider facility between Los Angeles and San Francisco.
With a medical staff of more than 550 physicians and 356 licensed beds, Valley Children’s Hospital is one of the
largest hospitals of its type in the nation. The hospital has also received the Magnet Nursing designation, the Beacon
Award for Critical Care Excellence, and is accredited by the Joint Commission.

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