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Who's minding the charge description master?
1Kathleen D. Schaum & Associates, Inc, Lake Worth, Florida, USA. kathleendschaum@bellsouth.net
Advances in Skin & Wound Care
|October 22, 2011
Summary
Maintaining the Charge Description Master (CDM) requires a collaborative team effort. This includes wound care technical staff, billing, finance, and IT departments working with the CDM coordinator to ensure accurate coding and charges for wound care services.
Area of Science:
- Healthcare Administration
- Medical Billing and Coding
- Wound Care Management
Background:
- The Charge Description Master (CDM) is a critical financial and data management tool in hospitals.
- Effective CDM maintenance is essential for accurate billing, revenue cycle management, and compliance.
- Wound care departments have unique coding and cost structures that must be accurately reflected in the CDM.
Purpose of the Study:
- To outline the essential components and collaborative processes required for maintaining a hospital's CDM, specifically focusing on the wound care department.
- To emphasize the roles and responsibilities of various hospital departments in ensuring the accuracy and completeness of the CDM.
- To provide guidance on the regular updates and maintenance procedures for the wound care department's CDM.
Main Methods:
- Establishing a multidisciplinary team including wound care technical staff, billing, finance, and information technology.
- Defining clear roles for each department in providing and verifying data for the CDM.
- Utilizing a CDM coordinator and standardized change request forms for updates and annual maintenance.
Main Results:
- Accurate HCPCS codes, CPT codes, product descriptions, and costs for all wound care procedures, services, supplies, drugs, and biologics are essential.
- Billing department ensures correct revenue codes per payer, while finance assigns consistent hospital charges based on wound care costs.
- Information technology department implements the necessary system changes, guided by the CDM coordinator and departmental input.
Conclusions:
- A collaborative, team-based approach is vital for effective CDM maintenance in wound care.
- Regular communication and standardized procedures between departments and the CDM coordinator ensure data integrity.
- Proactive annual maintenance and continuous updates throughout the year are necessary to reflect changes in wound care offerings and costs.
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