challenge

The client, a managed healthcare organization and licensed HMO with approximately 160,000 members, was reeling following a disastrous financial year — $14.2 million in the red — and the departure of their CFO.

Badly understaffed and somewhere in the middle of a mismanaged technology upgrade, the client turned to the interim leadership experts at Tatum to restore them to health. 

tatum solution

Tatum immediately recognized that restaffing, reorganizing and retraining the client's finance department were top priorities after coming on board. From there, focus areas included:

  • overhauling the monthly closing process to ensure key financial statements were delivered to stakeholders on time 
  • introducing actuarial and forecasting models that aligned with healthcare industry best practices
  • building a new, high-performing medical economics team 
  • rolling out a reporting structure for the board of directors that provided far greater visibility into results 

outcome

The healthcare talent experts at Tatum sourced and hired financial leadership to resuscitate a struggling managed healthcare organization. The results speak for themselves:

  • spearheaded the client's remarkable one-year turnaround — from $14.2 million in the red to $8 million in the black 
  • delivered more than $34 million in year-over-year revenue growth by negotiating actuarially adequate premium rates with Medicaid
  • rescued a stalled external audit and completed it ahead of schedule  
  • submitted operating and capital budgets for the next fiscal year, which quickly met with approval from C-suite leaders and board members alike

Discover why today's best-in-class healthcare organizations trust Tatum with all of their executive leadership needs. Meet our team — and let us know how we can help. 

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