EHR or PM: How Having Both Can Help Your Practice’s Bottom Line

Streamlining clinical and administrative operations is a key component of a smart growth strategy for successful specialty healthcare practices. A great way to realize those desired operational efficiencies is to invest in the right technology, such as EHR and practice management solutions. Yet, for various reasons, some practices find themselves choosing between an EHR or a PM system — and not both together.

While EHRs and PM software serve different purposes, they work best when integrated together. And a solution that can deliver a complete platform with EHR and PM working as one will create a comprehensive foundation that supports every aspect of a practice. 

"Having a technology platform that seamlessly integrates EHR and practice management functionality contributes to a much more efficient practice capable of achieving higher growth potential,” said David Metcalfe, Chief Technology Officer at Nextech.

EHR vs PM: Their Differences and Functions

Both an EHR and PM help improve practice operations, increase patient engagement, and speed up the payment reconciliation process, but they are two distinct technologies. Let’s explore what makes them unique.

What Is an EHR? 

An electronic health record system (EHR) is a digital record of a patient’s healthcare information. Unlike an EMR, which is an electronic patient chart used by one practice, an EHR is used across providers and practice locations. 

A Cures Act-compliant EHR allows practices to collaborate on patient health records in real time and makes it easy to transfer patient records to other specialists and primary care providers. An EHR should also uphold HIPAA (Health Insurance Portability and Accountability Act) regulations, ensuring practice data is protected. Advanced EHRs also include a patient portal where patients can access their healthcare information.  

What Is Practice Management Software?

Practice management software (PM) lets practices schedule appointments, bill patients and/or insurance providers, and store and update information that’s vital to administrative workflows. It deals with everything other than clinical documentation. If the EHR is the “chief medical officer” of your tech stack, that makes your PM the “chief operating officer.” 

The right PM software helps practice operations run smoother, automating certain parts of the workflow. It also assists financial teams and front desk staff as they book appointments, file insurance claims, and input patient payment information. A robust PM also maintains data privacy for patients, as per HIPAA guidelines, reducing the number of administrative and billing errors.

Key Features of a PM and EHR

Why You Need Both an EHR and PM

To continue scaling your practice, your tech stack shouldn’t neglect either the administrative or clinical side. Instead, administrative and clinical technologies should work together, similar to how clinical and administrative staff collaborate. 

Be aware, prioritizing one system over the other or using disparate EHR and PM solutions has its drawbacks. Disconnected systems can lead to double data entry, communication breakdowns between clinical and administrative teams, and a higher risk of errors in patient records, billing, and scheduling. These inefficiencies slow down workflows, delay reimbursements, and compromise the patient experience. An integrated solution eliminates these friction points.

“Technology should be used in ways that give specialty providers and their teams the freedom to work in the most natural, efficient way. Simplifying their workflow is essential,” Metcalfe said. 

Real-World Benefits of Integrated EHR and PM

To explore the tangible outcomes of an integrated EHR and PM system, let’s explore how integrated technology has impacted five specialty practices. 

Speed Up Workflows

A customizable EHR and PM system can accelerate clinical and administrative workflows by centralizing key functions – such as scheduling, documentation, billing, and reporting – within a single, connected platform. This reduces the need to toggle between systems or manually transfer information, streamlining tasks for both clinical and administrative staff. Clinical work that once took place in an EHR separate from administrative tasks in a PM system now feels like it’s happening all in the same place. Teams can work more efficiently, bottlenecks are removed, and the entire practice can spend more time focused on patient care.

Carolinas Eyecare Physicians, for example, grew their practices quicker once they found an integrated system that worked for clinical and administrative staff. 

Kristin Zinkin, the Vice President of Integration at Carolinas Eyecare Physicians, explained, “All the surgeons at Carolina Eyecare Physicians have very different operating styles, so the customizability of shared templates has been the key for us to start standardizing some of their workflows without hindering them too much. This puts us in a position to scale and grow the practice.”

Reduce Claim Rejections

Integrated EHR and practice management software helps practices improve both speed and accuracy with claims management. Having a unified system ensures that accurate, specialty-specific information flows directly from the point of care in the EHR to the billing team in the PM system — accelerating claims submission, improving first-pass acceptance rates, and ultimately speeding up reimbursement. 

The Eye Associates of Rowan sent claims faster and had fewer rejections once they switched to an integrated PM and EHR solution. Melissa Marr, the practice administrator, said she sent out claims daily because her technology platform was so efficient. “Claims are getting paid within two weeks, and we only have one biller, which is fantastic,” Marr said.

Improve Patient Retention and Lead Capture

An integrated EHR and PM system helps improve patient retention and lead capture by unifying clinical, scheduling, and marketing data in one platform. Practices can deliver more personalized, timely communication – such as automated follow-ups, targeted outreach, and appointment reminders – through the PM system based on a patient’s history and preferences in the EHR. With better visibility into the entire patient journey, staff can more effectively track leads, re-engage inactive patients, and ensure no opportunity falls through the cracks.

Epstein Plastic Surgery switched from separate EHR and PM softwares that lacked speed and cohesion to an integrated solution and quickly saw results. After the switch, patient consults could be completed in one hour, and they converted 20% more leads than before.

Faster Payment Reconciliation and More Profitability

Practices with an integrated system can accelerate payment reconciliation by leveraging real-time visibility into charges, claims, and payments — all within one cohesive platform. Automated charge capture, claim submission, and payment posting reduce manual entry and errors because the clinical EHR data is instantly synced with practice management system, allowing for faster processing and fewer delays. This streamlined financial workflow shortens the revenue cycle and improves cash flow, enabling practices to identify and address underpayments or denials more quickly. As a result, practices can boost operational efficiency and increase overall profitability. 

Salvay Vision experienced a faster billing once they switched to an integrated system. Dr. David M. Salvay explained, “Our rejection rate is down to about 2%. With an integrated solution like this, the codes pass directly from EHR to practice management as soon as I finalize a note. My biller just takes over from there, which means I don’t have to worry about it.”

Grow Your Practice Faster

An integrated EHR and PM saves practices time in many ways – automating routine tasks, reducing administrative burden, and streamlining clinical and operational workflows – which lets their teams focus on growth. With fewer manual processes and less time spent correcting errors or reconciling data across systems, staff and providers can shift their focus to higher-value activities. This increased efficiency enhances day-to-day productivity and empowers the practice to pursue growth opportunities with greater agility.

Motykie Med Spa experienced the time-saving benefits of an integrated system, allowing them to focus on business growth and better serving their patients.

Ethan Reynolds, the spa administrator, said, “We can make an appointment in 15 seconds and as it stacks up, it can save up to 3 hours per week from being on the phone. By the end of the year, it’s 156 hours.” 

When Just an EHR or PM Is Enough

Clinics in health info exchanges, research-focused groups, and clinical trials may only require an EHR. Similarly, PM software may suffice for firms that handle billing for healthcare providers and healthcare consultants helping multiple practices with billing and administration. If your practice falls outside these groups, a seamlessly integrated PM and EHR will benefit your patients and bottom line.

EHRs vs PM by Specialty 

Specialty practices in dermatology, plastic surgery, or ophthalmology and med spas require EHR and PM technology purpose-built to support their deep expertise with customized features that address their unique needs. 

Dermatology

A dermatology-specific system includes PM and EHR templates designed for, and only for, dermatology. Dermatology EHRs also offer features dermatologists require, such as the ability to add images or visuals to patient records.

On the administrative side, dermatology practices are unique since they bill for medically necessary and cosmetic services. Their PM must be able to capture payment options for both, ideally automating billing for cosmetic services and filing insurance claims quickly for other treatments. The right PM will also allow dermatologists to create quotes, packages, memberships, and gift cards for cosmetic services, boosting practice revenue. 

Plastic Surgery

EHR and PM templates tailored to plastic surgery practices enable customized workflows, resulting in fast, efficient plastic surgery consults and hassle-free completion of the day’s administrative tasks.

Alongside customized templates, an integrated EHR and PM designed for plastic surgery offers automated marketing and lead capture features, photo editing and management, and effective integrations with other practice software. Additionally, some integrated systems empower your practice to set up all forms of payments, including recurring transactions and memberships. These features culminate in a friction-free experience for both patients and staff.  

Ophthalmology 

Generic EHRs and PMs don’t support some of the most essential functions of running a successful ophthalmology practice, such as adding visuals to patient charts or tracking stock in a connected retail optical shop. An integrated PM and EHR designed for ophthalmology offers the administrative and clinical templates to suit the specific needs of eyecare.

An ophthalmology-specific EHR and PM provides:

• Options to plug into nationwide referral networks to refer and receive referrals from other specialty practices
• A fast, easy patient intake process
• Performance monitoring specifically for the ophthalmology industry

Med Spas

Med spas maintain a delicate balance between being a medical service provider and a creator of luxury experiences. They require a solution that offers similar functionality to an integrated EHR and PM system and delivers a premium client experience without sacrificing clinical rigor. 

With a technology practice designed for med spas, staff can order labs and track results to help clients with weight loss, hormone therapies, regenerative therapies, and more. These systems also offer streamlined e-prescribing features and best-in-class photo management, with options to share visuals with clients.

A good technology system helps you capitalize on the increased interest in med spa services in recent years with features like automated lead capture and advanced analytics.  

2025 Updates to EHR and PM Solutions

There have been significant advancements in recent years to EHR and PM technology. Consider re-evaluating your current system and how some of these new features and capabilities may benefit your practice:

• Automation for certain administrative and documentation functions thanks to artificial intelligence 
• Advanced analytics and reporting features that provide growth recommendations customized to your practice
• Ability to easily add new providers and practice locations to your EHR and PM system 

Working with an EHR and PM provider at the forefront of innovation can help you take advantage of these recent updates, as well as any other new features that may roll out soon. With integrated, specialty-specific solutions, Nextech helps providers make the most of time-saving technological advancements to deliver even greater patient care. Request a free demo and experience our integrated PM and EHR for yourself.