What is a Revenue Budget Assumptions Model for Healthcare Providers?

Revenue Assumption input forms are considered budget drivers and are often used by budget managers to automatically calculate revenue amounts for the healthcare provider. Key functionality in this type of form allows the user to enter items such as rates and estimated patient volume. Rate examples are: Inpatient, Outpatient, Commercial, Medicare and Medicaid. You will find an example of this type of form below.

Purpose of Revenue Assumption Forms

Hospitals and clinics use Revenue Assumption Forms to streamline and automate their revenue budget. When used as part of good business practices in a Financial Planning & Analysis (FP&A) department, an organization can improve its revenue planning process, as well as, reduce the chances that budgets become static and where adaptation to changing circumstances are time consuming.

Revenue Assumption Form Example

Here is an example of a Revenue Budget Assumption form for a healthcare provider.

Revenue Budget Assumptions for Healthcare Providers Example

Revenue Budget Assumptions for Healthcare Providers Example

You can find hundreds of additional examples here.

Who Uses This Type of Form?

The typical users of this type of form are: Budget Managers, analysts and CFOs.

Other Forms Often Used in Conjunction with Revenue Assumption Forms

Progressive Financial Planning & Analysis (FP&A) Departments sometimes use several different Revenue Assumption Forms, along with the rest of their budget model and other management and control tools.

Where Does the Data for Analysis Originate From?

The Actual (historical transactions) data typically comes from enterprise resource planning (ERP) systems like: Microsoft Dynamics 365 (D365) Finance, Microsoft Dynamics 365 Business Central (D365 BC), Microsoft Dynamics AX, Microsoft Dynamics NAV, Microsoft Dynamics GP, Microsoft Dynamics SL, Sage Intacct, Sage 100, Sage 300, Sage 500, Sage X3, SAP Business One, SAP ByDesign, Acumatica, Netsuite and others.

In analyses where budgets or forecasts are used, the planning data most often originates from in-house Excel spreadsheet models or from professional corporate performance management (CPM/EPM) solutions.

What Tools are Typically used for Reporting, Planning and Dashboards?

Examples of business software used with the data and ERPs mentioned above are:

  • Native ERP report writers and query tools
  • Spreadsheets (for example Microsoft Excel)
  • Corporate Performance Management (CPM) tools (for example Solver)
  • Dashboards (for example Microsoft Power BI and Tableau)

Corporate Performance Management (CPM) Cloud Solutions and More Examples