How to Create Successful Healthcare Revenue Cycle Flowchart
 Revenue Cycle Management

How to Create Successful Healthcare Revenue Cycle Flowchart

Susan Collins
Susan Collins
August 2, 2023
Last updated on:

August 2, 2023


Read time: 5 mins

Creating a healthcare revenue cycle flowchart can present challenges, making it a moderately difficult task. On the contrary, a successfully designed flowchart requires a deep understanding of the intricacies of the healthcare revenue cycle. It includes multiple stages and stakeholders, identification of all the relevant processes, and mapping their interconnections which demands comprehensive knowledge of financial operations in healthcare settings.

Additionally, gaining access to essential data, such as performance metrics and departmental insights, can be time-consuming and require collaboration with various teams. Therefore, in this blog, we will provide tips on creating a successful healthcare revenue cycle flowchart and other crucial information.

Understanding Healthcare Revenue Cycle Flowchart

The healthcare revenue cycle flowchart visually represents the financial journey of a patient's encounter with a healthcare provider. It starts from registration to final payment and outlines the step-by-step processes involved in billing, coding, claims submission, and reimbursement.

At its core, the flowchart helps healthcare organizations comprehend and optimize their revenue cycle operations. It enables stakeholders to identify inefficiencies, bottlenecks, and potential areas for improvement. The flowchart streamlines financial processes, reduces errors, and enhances overall efficiency by offering a clear and systematic view of the revenue cycle.

Each revenue cycle stage is interconnected, and a well-structured flowchart aids in understanding the dependencies between these stages. It empowers staff to follow standardized procedures, leading to consistent, error-free operations. The flowchart also fosters better communication and collaboration among departments, ultimately leading to faster revenue generation and improved financial health for the healthcare organization.

Understanding and effectively utilizing the healthcare revenue cycle flowchart is crucial for optimizing revenue and ensuring the financial success of healthcare providers.

Understanding Healthcare Revenue Cycle Flowchart
Image 1 - Understanding Healthcare Revenue Cycle Flowchart

Key Elements of A Healthcare Revenue Cycle Flowchart

Understanding the key elements of a flowchart, including symbols, shapes, and connecting arrows, is essential for creating a clear and effective representation of the revenue cycle process:

Symbols and Shapes:

  • Oval: It represents the start and end points of the flowchart. Typically, the "Start" symbol is used to indicate the beginning of the revenue cycle, while the "End" symbol denotes the completion of the process.
  • Rectangle: It represents a process or task within the revenue cycle. Each rectangle corresponds to a specific activity, such as patient registration, coding, billing, and payment posting.
  • Diamond: This symbol represents a decision point or branch in the flowchart. It is used when a choice or condition needs to be evaluated, leading to different paths in the revenue cycle based on the outcome.
  • Parallelogram: It represents input or output in the flowchart. For example, patient information entry or report generation can be shown using this symbol.

Connecting Arrows:

  • Flow Lines/Arrows: It connects various symbols and shapes in the flowchart, indicating the sequence of activities. These arrows show the direction of the flow and guide through the revenue cycle process.
  • Solid Line: It indicates a regular flow from one step to another, following the normal path in the revenue cycle.
  • Dotted Line: These lines represent conditional or optional paths based on decision points. Also, they illustrate alternative routes that depend on specific conditions.

What are the 7 steps of the revenue cycle?
The revenue cycle in the healthcare industry comprises seven fundamental steps such as pre-registration, registration, charge capture, claim submission, payment posting, account receivable and denial management.

Tips on How to Create A Successful Healthcare Revenue Cycle Flowchart

Creating a clear and easy-to-follow flowchart layout is essential to ensure effective communication and understanding among stakeholders. Here are some tips to achieve this:

  • Keep It Simple: Avoid cluttering the flowchart with unnecessary details. Use straightforward symbols and shapes to represent each step in the process.
  • Logical Sequence: Arrange the flowchart elements in a logical sequence that follows the actual order of activities in the revenue cycle. Use connecting arrows to guide readers through the process flow.
  • Consistent Symbols: Use consistent symbols and shapes throughout the flowchart to maintain clarity and coherence. Stick to commonly recognized flowchart symbols to make it easier for readers to interpret.
  • Use White Space: Leave sufficient white space between symbols and connecting arrows to prevent overcrowding. White space helps improve readability and comprehension.
  • Font Size and Style: Use a legible font and assure that the text is easily readable. Use bold or italic fonts for emphasis, but avoid using too many different font styles that can create visual distractions.
  • Color Coding: Consider using color coding to distinguish between different sections or stages of the revenue cycle. However, use colors sparingly to prevent overwhelming the flowchart.
  • Avoid Overlapping Arrows: Ensure that connecting arrows do not overlap or cross each other, as this can create confusion about the flow direction.
  • Include Key Information: Label each symbol or shape with clear and concise descriptions to convey the objective of each step in the revenue cycle.
  • Use a Flowchart Tool: Utilize flowchart software or online tools to create a professional-looking flowchart with predefined symbols and templates. 
Key Performance Metrics in Healthcare Revenue Cycle Flowchart
Image 2 - Key Performance Metrics in Healthcare Revenue Cycle Flowchart

Step-By-Step Guide on How To Implement Revenue Cycle Flowchart Into Workflow

Implementing a new flowchart into the revenue cycle workflow requires careful planning and communication with all stakeholders involved. Here's a step-by-step guide to help you successfully integrate the new flowchart:

  1. Review and Finalize the Flowchart: Ensure the new flowchart accurately represents the optimized revenue cycle process. Validate it with input from key stakeholders to address any potential concerns or improvements.
  2. Inform and Train Staff: Communicate the upcoming changes to everyone involved in the revenue cycle. Provide training sessions to familiarize them with the new flowchart, explaining the rationale behind the changes and the expected benefits.
  3. Identify Key Roles and Responsibilities: Assign roles and responsibilities to specific staff members based on the new flowchart. Clearly define the responsibility of each member and how they should collaborate with others.
  4. Update Standard Operating Procedures (SOPs): Revise existing SOPs or create new ones based on the new flowchart. Document the step-by-step procedures and guidelines to ensure consistency and adherence to the optimized revenue cycle process.
  5. Implement the Flowchart in Real-Life Processes: Start using the new flowchart in actual revenue cycle operations. Monitor the transition closely to identify any challenges or areas requiring further clarification or improvement.
  6. Collect Feedback and Monitor Performance: Seek feedback from staff regarding the flowchart's usability and efficiency. Monitor key performance indicators (KPIs) to assess the impact of the new process on revenue cycle performance.
  7. Address Challenges and Make Adjustments: Analyze feedback and performance data to identify issues or bottlenecks. Address challenges promptly by refining the flowchart or providing additional training where necessary.
  8. Promote Communication and Collaboration: Encourage open communication among staff members throughout the implementation process. Nurture a collaborative environment where team members can discuss concerns and share best practices.
  9. Continuous Improvement: Keep the flowchart under review and continuously seek opportunities to enhance the revenue cycle workflow. Regularly update the flowchart to reflect any process improvements or changes.


A healthcare revenue cycle flowchart is an effective tool for comprehending a healthcare practice's revenue cycle. It helps the organization to visualize and designate more resources to enhance efficiency, profitability and maintain a successful business. 

At Invensis, we help healthcare organizations isolate inefficiencies in their process by utilizing a revenue cycle flowchart that needs improvements. We also help them with advanced, cost-effective solutions to speed up their revenue generation cycle and foster better patient experience. Contact us today to get rid of the inconsistencies in the process with our expert revenue cycle management services

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