Process Excellence – Cost Savings and ROI in Health Care

According to a new Association for Information and Image Management (“AIIM”) of Silver Spring, MD study, the enterprise is not taking maximum advantage of business process management concepts.

Surprisingly, only 3% of companies felt that they had achieved “process excellence.” AIIM Vice President and report co-author, Carl Frappaolo states: “This is disappointing … Despite decades of market attention on process excellence—from the manufacturing industry, into the world of “knowledge workers”, and across all industries—it’s been a long, slow journey, and many have yet to embark on the journey. The damage lies in the fact that processes are the core of any functioning organization.”

Some of the benefits of process excellence initiatives include:

  • Customer retention and satisfaction, as well as better competitive advantage are directly linked to use of business-process management practices.
  • ROI via change. According to Tower Group, business that make changes based on Business Process Modeling (BPM), will see visible ROI from improved and faster operations, better employee productivity, and the ability to reach strategic objectives.
  • Efficiency gains by mapping and gapping. Simply mapping and closing the process gaps between current practices and those desired can provide 30% of the operational efficiency that a company gains through the BPM initiative.


Important ingredients for operational efficiency include:

  • Business and IT Alignment – Business, technology, strategies, and resources must be aligned to achieve results.
  • Best-Practices Measurement – Metrics, methods, and frameworks to help you know that change management is helping to achieve business goals.
  • Process Change and Innovation – Enabling the transition up the ladder of competency to CMM, ITIL or other measures fundamentally means working with people and helping them see a better way to work..
  • Extending Intellectual Capital – Intellectual capital is the real wealth of organizations and this is the bottom line with Business Process Modeling (BPM) – managing people more effectively for Organizational Excellence.
  • Management’s commitment and leadership are key drivers for successful BPM. Technology can’t replace this.

Is your company taking advantage of business process management concepts and reaching toward excellence?

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Michael F. Arrigo

Michael Arrigo, an expert witness, and healthcare executive, brings four decades of experience in the software, financial services, and healthcare industries. In 2000, Mr. Arrigo founded No World Borders, a healthcare data, regulations, and economics firm with clients in the pharmaceutical, medical device, hospital, surgical center, physician group, diagnostic imaging, genetic testing, health I.T., and health insurance markets. His expertise spans the federal health programs Medicare and Medicaid and private insurance. He advises Medicare Advantage Organizations that provide health insurance under Part C of the Medicare Act. Mr. Arrigo serves as an expert witness regarding medical coding and billing, fraud damages, and electronic health record software for the U.S. Department of Justice. He has valued well over $1 billion in medical billings in personal injury liens, malpractice, and insurance fraud cases. The U.S. Court of Appeals considered Mr. Arrigo's opinion regarding loss amounts, vacating, and remanding sentencing in a fraud case. Mr. Arrigo provides expertise in the Medicare Secondary Payer Act, Medicare LCDs, anti-trust litigation, medical intellectual property and trade secrets, HIPAA privacy, health care electronic claim data Standards, physician compensation, Anti-Kickback Statute, Stark law, the Affordable Care Act, False Claims Act, and the ARRA HITECH Act. Arrigo advises investors on merger and acquisition (M&A) diligence in the healthcare industry on transactions cumulatively valued at over $1 billion. Mr. Arrigo spent over ten years in Silicon Valley software firms in roles from Product Manager to CEO. He was product manager for a leading-edge database technology joint venture that became commercialized as Microsoft SQL Server, Vice President of Marketing for a software company when it grew from under $2 million in revenue to a $50 million acquisition by a company now merged into Cincom Systems, hired by private equity investors to serve as Vice President of Marketing for a secure email software company until its acquisition and multi $million investor exit by a company now merged into Axway Software S.A. (Euronext: AXW.PA), and CEO of one of the first cloud-based billing software companies, licensing its technology to Citrix Systems (NASDAQ: CTXS). Later, before entering the healthcare industry, he joined Fortune 500 company Fidelity National Financial (NYSE: FNF) as a Vice President, overseeing eCommerce solutions for the mortgage banking industry. While serving as a Vice President at Fortune 500 company First American Financial (NYSE: FAF), he oversaw eCommerce and regulatory compliance technology initiatives for the top ten mortgage banks and led the Sarbanes Oxley Act Section 302 internal controls I.T. audit for the company, supporting Section 404 of the Sarbanes Oxley Act. Mr. Arrigo earned his Bachelor of Science in Business Administration from the University of Southern California. Before that, he studied computer science, statistics, and economics at the University of California, Irvine. His post-graduate studies include biomedical ethics at Harvard Medical School, biomedical informatics at Stanford Medical School, blockchain and crypto-economics at the Massachusetts Institute of Technology, and training as a Certified Professional Medical Auditor (CPMA). Mr. Arrigo is qualified to serve as a director due to his experience in healthcare data, regulations, and economics, his leadership roles in software and financial services public companies, and his healthcare M&A diligence and public company regulatory experience. Mr. Arrigo is quoted in The Wall Street Journal, Fortune Magazine, Kaiser Health News, Consumer Affairs, National Public Radio (NPR), NBC News Houston, USA Today / Milwaukee Journal Sentinel, Medical Economics, Capitol ForumThe Daily Beast, the Lund Report, Inside Higher Ed, New England Psychologist, and other press and media outlets. He authored a peer-reviewed article regarding clinical documentation quality to support accurate medical coding, billing, and good patient care, published by Healthcare Financial Management Association (HFMA) and published in Healthcare I.T. News. Mr. Arrigo serves as a member of the board of directors of a publicly traded company in the healthcare and data analytics industry, where his duties include: member, audit committee; chair, compensation committee; member, special committee.

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