The cost to healthcare providers to improve healthcare outcomes is more than just a line on a balance sheet, a new study has found. It can mean the difference of profitability or not.

A study published in the most recent issue of The Journal of the American Medical Association, “Relationship Between Occurrence of Surgical Complications and Hospital Finances,” unfortunately will be used by healthcare provider critics to further abuse the industry. As we point out today on Forbes.com, “profit” is a dirty word when used in relation to hospitals.

But aside from how this study will be construed by healthcare critics or even consumer media, the authors have done a yeoman’s job untangling what healthcare revenue cycle pros have long known: We are compensated based on how many procedures we perform, not on how well we do them.

What gives revenue cycle professionals many a sleepless night is that many healthcare reforms give the appearance of wanting to improve healthcare outcomes, but in truth are just creating new payment schemes that are designed to reduce expense by federal, state, and local governments. With this study, we can demonstrate what the real costs are of improving quality, and project these conclusions against those new payment models. What we can’t do is improve healthcare outcomes at the expense of healthcare provider viability.

To read the full article on Forbes.com,  just click here.