Client storyA restaurant can charge more for the steak. An imaging center cannot.
Michael Eastman runs imaging at Derry, and he is precise about why efficiency is not optional: payer contracts fix what the practice earns, so labor is the only cost it can influence. This is the story of what he chose and why, recorded in the weeks before the practice went live.
Derry Imaging
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“Labor is one of our highest costs and it’s really the one we really can control. As an imaging center, on the revenue side of things, we have contracts with all of our payers. Those contracts only change so often. So when labor costs go up, when supply costs go up, there’s not a whole lot I can do.”
“It’s not like a restaurant where I can say, okay, this steak dinner used to be $30, I need to charge 40 now because my costs have gone up to offset those costs. My revenue stream is locked in by contract with our payers.”
“It’s not so much that I think the software is going to replace people, but as we grow, we don’t have to add as many people. I don’t see anyone from my staff losing their job, but as we continue to get bigger and grow, they’re able to work more efficiently so they can do more work and not have to hire more people.”
“Everybody’s been on top of what they said they were going to do and they do things when they say they’re going to do them. Compared to other projects we’ve had, that’s been a real change for us. We’re used to project deadlines that don’t get met.”
“It was really neat how much you’re able to pull from the document and get already entered into the system, just from incoming faxes and scanning through the orders. That takes a lot of our time from our staff now, through a manual process.”
Why an imaging center cannot raise its prices.
Michael Eastman is Director of Imaging. His rollout was still underway, so what he describes is the project and what he expects from it.
“Labor is one of our highest costs and it’s really the one we really can control. We have contracts with all of our payers. Those contracts only change so often. So when labor costs go up, when supply costs go up, there’s not a whole lot I can do.”
“It’s not like a restaurant where I can say, okay, this steak dinner used to be $30, I need to charge 40 now because my costs have gone up. My revenue stream is locked in by contract with our payers.”
“It’s not so much that I think the software is going to replace people, but as we grow, we don’t have to add as many people. I don’t see anyone from my staff losing their job.”
“Everybody’s been on top of what they said they were going to do and they do things when they say they’re going to do them. Compared to other projects we’ve had, that’s been a real change for us.”
“It lets us get patients in to be seen sooner, and less time for the patient when they’re at the facility because of all the work that they can do completing information ahead of time for us.”
“It was really neat how much you’re able to pull from the document and get already entered into the system, just from incoming faxes and scanning through the orders. That takes a lot of our time from our staff now.”
costs do
can actually move
proportion to it
You cannot put the price up
Most efficiency stories skip the reason. Michael Eastman does not. An imaging center sells at rates set in advance by contract with its payers, and those contracts move rarely. So when wages rise, or supplies cost more, there is no lever on the revenue side at all: the number the practice is paid for a scan is simply the number.
His illustration is a restaurant, which can look at a $30 steak and decide it is $40 now. A practice cannot. That leaves cost, and within cost it leaves labor, which is both the largest line and the only one that responds to how the work is organized. Which is why software that removes manual steps is not a nice-to-have for a business shaped like this one.
- Rates fixed in advance by payer contract
- Contracts that change only occasionally
- No way to price against rising costs
- Labor: the largest cost, and the only movable one
Sooner appointments, and fewer surprises at the desk
Derry chose the platform for automation across scheduling: patients booking and completing their information before they arrive, which he expects to get people seen sooner and to shorten the time they spend in the building once they are there.
The part he singles out is error-catching. Today a missing detail surfaces when the patient is standing at the desk, at which point the scan may not be able to go ahead. Catching the same problem days earlier turns a canceled appointment into a phone call. And referring providers get their own view, seeing when their patients are scheduled and getting results sooner, which is what makes follow-up appointments land on time.
- Patients completing their information before arrival
- Appointments sooner, and less time spent at the facility
- Missing details caught days ahead instead of at the desk
- Referring providers seeing schedules and results directly
“It’s not so much that I think the software is going to replace people, but as we grow, we don’t have to add as many people.”
Derry Imaging
Reading the order out of the fax
The capability he was most struck by is the least visible: pulling the contents of an incoming fax or order straight into the record, rather than having staff read each one and type it in. He is blunt that this is where his team’s hours go today, and it is a manual process end to end.
He is also candid that Derry has not switched all of this on yet. The AI capabilities are on his list for after go-live, once the core is settled, which is the normal sequence and worth saying plainly rather than implying a practice adopts everything at once.
- Incoming faxes and orders parsed into the record
- The manual reading and retyping his team does today
- AI capabilities planned for after go-live, not before
- A product he describes as constantly updated
Three to four hundred faxes a day, and a search box
Derry went live, and Michael Eastman came back afterwards to describe what it did. The number he puts on the problem is 300 to 400 faxes a day. Before, those arrived first on paper and later as an eFax, which he is careful to say was barely an improvement, because a digital fax was still just a date, a timestamp and a file. Staff opened hundreds of them a day looking for one patient’s order.
Now the contents are read on arrival, so an order is found by patient name or by procedure type instead of by hunting. His example of how far that goes: a typed order arrived with a handwritten ICD-10 code on it, and the diagnosis code was still picked up and attached to the pending appointment. Some referring providers still send handwritten prescriptions, and he says the accuracy on those surprised him.
- 300 to 400 faxes a day
- Paper, then eFax: a file with a timestamp and nothing else
- Staff opening hundreds of files a day to find one order
- Orders now found by patient name or procedure type
- Handwritten ICD-10 codes read off a typed order
Deadlines that were actually met
Because this was recorded mid-project, the thing he can already judge is how the project itself ran, and that is what he is most emphatic about. His baseline is low: he says the practice is used to project deadlines that do not get met and promises about dates that do not hold.
Against that, his verdict is simply that when this team said it would do something, it did it, and did it well. He describes the difference as a real change from other projects they have run. For a director choosing a platform under fixed revenue, that is not a soft benefit: a late implementation is paid for in labor he cannot recover elsewhere.
- A track record of missed deadlines on previous projects
- Commitments met on the dates given
- A platform judged user-friendly for staff and patients alike
- The imaging center and the patient both accounted for
What he was buying and why
fax and order entry,
on the way out
Mike Eastman, on what the fax AI actually did.
He came back after go-live to talk it through on a TechTalks panel: the fax volume, the handwriting, and what his staff stopped doing. Separate series, registration required.
Costs up, prices
fixed?
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