This is an excerpt from a member-only article. To read the article in its entirety, please login or subscribe.

With the expected reconfiguration of diagnosis-related groups (DRG) by the CMS, the healthcare industry is on the eve of a seismic change in hospital revenue reimbursement. The new configuration is a modification to the Inpatient Prospective Payment System (IPPS). Surprisingly, other than running the numbers and issuing a cursory first-pass analysis, many hospitals and health systems are not undergoing the kind of in-depth review and evaluation that the IPPS merit. Healthcare leaders need to recognize that much of their world is about to change-prompting a veritable paradigm shift in long-range planning considerations.