The demand for NEMT services continues to grow year-over-year and so does the need for qualified transportation providers to find ways to increase ROI
The demand for Non-emergency medical transportation (NEMT) services continues to grow year-over-year and so does the need for qualified transportation providers to find ways to increase their ROI. With the increasing costs of fuel, labor, and vehicles, NEMT transportation providers must find ways to maximize their resources and reduce their operating costs to stay competitive. One way to do this is by utilizing scheduling, dispatching, and billing software to streamline and automate many of the processes involved in your NEMT business. In this blog, we will explore how these software solutions can help your business increase ROI by reducing the number of excess vehicles you need to operate and improving the efficiency of your operations.
Let’s begin with ROI, what is a return on investment? ROI is a measure of the financial performance of a specific investment. It is calculated by dividing the return on investment (revenue) by the cost of the investment. For NEMT providers, ROI can be easily calculated by dividing the revenue generated from NEMT services by the cost of operating a fleet of vehicles. By maximizing your ROI, you can ensure that you are making the most of your resources and maximizing profits.
The top expense for NEMT providers is the cost of owning and operating a fleet of vehicles. By adopting a software solution, transportation providers can reduce the number of excess vehicles, and reduce deadhead and unloaded miles by optimizing routes and schedules. A great example of this is dispatch software that analyzes data such as traffic patterns, patient pick-up and drop-off times and locations, and availability of vehicles to create the most efficient routes for a driver. The results are less time spent on the road with empty vehicles and fewer vehicles needed to complete all the required trips, which allows the transportation provider to obtain more trips from brokers and clinics.
With batch scheduling options, software solutions can optimize and improve efficiency drastically in your day-to-day operations. With real-time data and automated dispatch, dispatchers can quickly and easily assign vehicles to trips, reducing the time and effort required to manually schedule trips. Dispatchers can spend more time focusing on strategic tasks, such as managing patient wait times and ensuring the safety and comfort of patients during transportation.
These processes are time-consuming when done manually and can have a lot of errors such as typos and miscalculations. Automated billing and invoicing solutions help to reduce these errors and generate invoices for you. By allowing invoices to be generated automatically, they can quickly be delivered and speed up the payment process to improve cash flow and reduce the time between service delivery and payment.
Some factors will not have a direct initial impact on your ROI but can nurture long-term clients and income. Software solutions have options for patients and caregivers like patient portals and features such as “Where’s My Ride” that lets the patient see exactly where their driver is. Having real-time updates or access to communication improves the full patient experience and increases customer satisfaction.
Now that we have discussed a few aspects of how a software solution can optimize your operations and increase your ROI, let us look into what makes a good software solution.
Each platform varies greatly and offers several factors you should look in to including how it’s implemented and the specific needs and processes of the business. However, a well-designed software solution should include real-time GPS tracking (geo location), driver management options (including scheduling, training, live performance tracking, real-time scheduling updates), and mobile apps that provide patients and caregivers access to real-time updates on their transportation status.
Maximizing ROI is essential for NEMT transportation providers to remain competitive and profitable in an increasingly challenging market. By utilizing the software solutions that are available to you, you can reduce the number of excess vehicles, deadhead, and unloaded miles that it takes to operate, improve dispatching, automate several business functions such as billing and invoicing, and enhance communication with patients and caregivers. By investing in the right software solution for your business, you can increase your ROI, reduce operating costs, and most importantly stay competitive and ensure the long-term success of your business.
