When working with an independent contractor, businesses typically require documentation of work performed. Some examples include activity sheets, log sheets, or time sheets. This documentation is then used to determine the amount paid to the independent contractor. A promoter is paid based on the number of people seen per day, while a medical coder is paid per chart, and higher pay for more complex charts. Meanwhile, a consultant is paid per diem plus travel costs.
To process this paperwork, the independent contractor will write out an activity sheet, then fax or scan and email to the contracting company. Alternatively, the independent contractor will email a Word document or Excel spreadsheet. The staff at the contracting company then has to receive and verify the documentation, and may also have to tally the activity totals. For example, a medical coding company may have to tally the number of charts processed, and tally counts by chart length. Next, these counts have to be approved by management. If any information is missing, the staff must contact the independent contractor to fill in the missing information. Finally, the invoice amount from the subcontractor to the contracting company is entered into the accounting system. If there are any discrepancies, the entire process must be started over from the beginning.
Our customized solution confronts and overcomes all of these obstacles, while speeding up the entire process. First, independent contractors submit their invoices via an online web form. This form checks all of the data, so no incorrect information can be submitted. The form also does not allow for incomplete submissions, so all required data must be entered. Next, the data is fed to a central document management server, which automatically tallies the activity counts, and emails the management with a report. Since all counts are computed automatically, only minimal verification is necessary. Once approved, the server connects to the accounting system and generates the invoices from the independent contractors.
The increase in efficiency, and return on investment for this Accelerated Solution is significant. As the number of independent contractors increases, so does the ROI. Past implementations of this solution have generated ROI up to 400%, and one business owner said “This system has saved me at least 40 hours per month.”