Ace the Certified Disability Management Specialist Exam 2026 – Unlock Your Path to CDMS Success!

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What is an example of "soft savings" in cost savings documentation?

The management of unnecessary home health visits

In the context of cost savings documentation, "soft savings" refers to indirect or non-monetary benefits that contribute to overall efficiency and effectiveness, rather than immediate cash savings. This contrasts with "hard savings," which are quantifiable and can be directly tied to reductions in spending.

The management of unnecessary home health visits exemplifies soft savings because it focuses on optimizing resources and improving patient outcomes without an immediate reduction in costs. By carefully managing these visits, health care providers can enhance patient care, reduce the strain on resources, and potentially prevent complications that could incur higher future costs, thereby achieving long-term benefits rather than short-term financial savings.

In contrast, the other choices tend to represent more direct operational changes or efficiencies that may lead to hard savings or a more structured return on investment. However, the nuanced impact of improving patient care and resource management encapsulates the essence of soft savings, highlighting the importance of balancing cost control with quality of service.

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Implementation of new health protocols

Reduction of therapy sessions

Increased efficiency in administrative tasks

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