TRANSCEND SERVICES, INC. (NASDAQ: TRCR), a provider of advanced clinical documentation solutions reported a record increase in its sales of first-time outsourced transcription services. Approximately 55% of the value of this year’s sales through September 30 th came from first-time outsourcing, a sharp increase from previous years. To date in 2011 Transcend has hired over 150 hospital employees as healthcare facilities have demonstrated increased comfort and motivation to outsource their employees to Transcend. That number is expected to increase by at least 50 by December 31, 2011.
Larry Gerdes, Chief Executive Officer stated, “We are excited to see the impact of first-time outsourced transcription on our sales this year and were fully prepared for this escalation in services. We knew that if we created a scenario whereby our clients and their in-house medical transcriptionists benefited from outsourcing that we could make a real impact in this space and create a win/win for all parties.”
The industry sites several reasons for the success of transcription outsourcing, including: the demand to cut healthcare costs, the complexities of maintaining internal transcription staff and technology improvements such as the Web that allow quality services to be offered remotely. Permitting companies like Transcend to manage their medical transcription work relieves hospitals of the headaches and overhead costs connected with handling the function internally and allows them to focus their attention on enhancing service and lowering costs.
Transcend sites another reason for their success. Susan McGrogan, Transcend’s President and Chief Operating Officer said, “One of the most significant reasons for our success is our ability to transition medical transcriptionists to Transcend from their hospital employer. When we enter into a new partnership with a hospital, our goal is to retain 100% of the transcriptionist employees. We understand that the transition from a hospital-based position to an external environment can be stressful and Transcend works very closely with each individual to ensure a smooth transition. Employee satisfaction largely impacts the success of the program. If the employees are content, the hospital sees lower costs and improved quality and efficiency.”