Revenue is defined as the lifeblood of every sector. In addition to identifying a company’s financial results, revenue also provides evidence of its growth.
Businesses need to know how revenue is made, managed, and generated. Using a revenue cycle flowchart can improve your decisions, allocate resources more effectively, and enhance business planning.
In this article, we will dive deeper into the concept of a revenue task flowchart. In this article, we will cover the benefits and key steps required to create a revenue cycle record flow chart.
Table Of Contents
What is meant by revenue cycle management?
The revenue cycle is the mechanism by which a company generates profit from its business operations. It directly impacts cash flow and overall fiscal health. The revenue cycle management process is adopted by companies as a logical approach to improve their revenue. The process involves multiple steps from order to payment. The main objective of RCM is to reduce delays in the process. Revenue cycle management enables companies to improve cash flow and increase production.
How does it work?
Revenue Cycle Management (RCM) is made up of a set of steps that verify the accurate flow of revenues within a company. Here are the major stages of the RCM cycle and how it works:
Taking the client’s order
The revenue cycle begins when a client orders merchandise. This order can be received in a wide variety of ways. For example, the purchaser may place the order through a web page, over the phone, via email, or in person.
Processing the order
After receiving the order, the company starts the fulfillment process. The company prepares the goods for delivery. It involves checking the availability of the items. The company also makes sure that the products meet the established quality requirements.
Billing and invoice preparation
Once the order is processed, the company issues an invoice for the items. The invoice also specifies the individual quantities of the items and the total amount due by the buyer. In addition, invoices include due dates and accepted payment types.
Delivery of Goods and Invoices
Depending on the delivery method, the buyer receives both the goods and the invoices. The shipping service depends on the nature of the business.
Delivery Received by Customer
After receiving the goods, the buyer checks the accuracy of the order. When everything is as expected, the buyer receives the delivery receipt.
Accounts receivable recorded
After delivery is confirmed, the company records the sale in its accounts receivable department. The amount that buyers owe for the goods is represented by accounts receivable.
Payment by Customer
Finally, the buyer makes the payment for the goods received. This payment can be made through several methods. It depends on the payment methods available.

Part 2. Revenue Cycle Management Process Flowchart
Revenue process flowcharts are used by companies to demonstrate key RCM events. These flowcharts provide clarity on the order of events in the revenue generation process. Such flowcharts typically encompass key steps such as receiving customer orders, processing orders, and so on. They also can illustrate any feedback loops or decision points in the revenue cycle process.
Importance of Revenue Cycle Flowcharts
- Flowcharts can be an effective tool to ensure your revenue cycle follows a consistent and uniform pattern at every stage.
- Identifying key revenue drivers and growth opportunities can significantly enhance strategic planning.
- Interpreting the data collected in RCM flowcharts enables informed, data-driven decision-making.
- Implementing improvements in order processing through flowcharting will result in an improved customer experience and increased satisfaction.
- Through revenue cycle process flowcharts, it is possible to clearly define the roles of each individual, providing an effective distribution of tasks.
- In healthcare settings, revenue cycle flowcharts are used to make RCM billing patients more efficient by simplifying the process.
Part 3. Wise Medical Billing – A Smart Choice to Create Revenue Cycle Flowcharts!
Imagine a profitable medical organization facing an increasing number of patients. As the organization grows, so do the complexities of the revenue cycle. Implementing the complex process manually has become a challenge for the finance team, leading to a higher incidence of errors.
Adopting an RCM flowchart emerges as the ideal solution to address this issue, offering a systematic approach to streamlining the revenue cycle. Creating a quality flowchart is essential to ensure that billing is done on time, invoicing is accurate, and payments are made promptly.
In this scenario, having a reliable tool like Wise Medical Billing becomes crucial. WMB is recognized as the ultimate choice for creating revenue cycle flowcharts, providing robust functionality and ease of use. The vast range of templates available makes it easy to describe each step of the procedure in an easily accessible and intuitive manner. Thanks to the drag-and-drop integration, you can edit your flowchart in a matter of seconds, making the process extremely agile.
Every aspect of revenue management is covered by Wise Medical Billing services extensive array of symbols. Wise Medical Billing’s color and theme libraries add a touch of creativity and professionalism to your flowcharts, while also ensuring a visually appealing presentation.
Revenue Cycle Flowchart Examples
Illustrative diagrams provide valuable insights into the journey of complex processes, making them more understandable and manageable. Here are some real-world industry scenarios to help you gain clarity. Let’s take a look:
The RCM process consists of several essential steps to maintain an efficient revenue flow within the company. It all starts with the receipt of orders from customers. The company acknowledges and processes the orders received. When the orders are ready for delivery, the team prepares the billing invoices. The invoices sent to customers detail all the transaction information.
Delivering the inventory to the customer is the next most important step in the procedure. After the order has been delivered to the client, the transaction is entered into the company’s management information system. The company thus updates its financial records. The process ends when the customer makes the payment
Healthcare financial management relies heavily on the effectiveness of the prescription process. The process begins with patient registration. The front desk staff is responsible for gathering all essential details. Next, insurance verification is conducted to confirm the required coverage and eligibility. The patient can then proceed with treatment. After the treatment is completed, the medical service provider submits compensation claims to the insurance company.
After receiving payments from insurance companies, the revenues are posted to the appropriate accounts.
The AR account receives the payment. In the absence of an insurance account, the patient has the alternative of paying directly in cash for the service provided.
The above flowchart represents the RCM process specific to the manufacturing industry. The manufacturing industry is a crucial pillar of the global economy. It shapes the trajectory of companies and societies. In the manufacturing sector, RCM begins the moment a product is conceived. The company looks for sales opportunities by marketing that product. The next step is for the customer to place an order.
The company starts packaging the product. It is then shipped to the address requested by the buyer. The customer then receives both the product and the invoice. Finally, the cycle is completed with the successful processing of the payment.
How to Design a Recipe Flowchart with Wise Medical Billing?
Wise Medical Billing’s user-friendly interface makes creating flowcharts easy and even fun. All you need to do is drag and drop symbols. The all-inclusive menus further simplify the process.
Manually Creating Revenue Flowchart in Wise Medical Billing
Here’s a step-by-step guide to creating a revenue cycle flowchart manually:
Step 1
Download the “WMB” application. Launch it on your system. Sign up for revenue cycle flowchart creation.
Step 2
Choose the “New” option from the left panel. Select the “Basic Flowchart” tab from the main toolbar.
Step 3
To start using a pre-built template, click on the ‘Templates’ option . Enter ‘Revenue Cycle Flowchart’ in the search bar and press Enter. Choose the desired template and proceed
Step 4
Start by drawing the required shapes on the screen initially. Use the drag-and-drop functionality to import symbols easily.
Step 5
To organize your recipe process flowchart, fill in each box with explanatory text. You can edit the text using the quick toolbar.
Step 6
Customize the look of your flowchart by choosing the theme and colors that you like best. To customize, go to the “Design” tab.
Step 7
Click the “Export” icon above to export your revenue cycle flowchart. From the drop-down menu, select your preferred export format.
Creating Revenue Cycle Flowchart with Wise Medical Billing AI
Don’t worry if you don’t have any design experience or don’t know how to align shapes, we’re here to help. Wise Medical Billing offers a one-click flowchart maker to make your work easier. The tool will automatically draw and align shapes. When you input your flowchart requirements, Edraw AI will automatically transform them into a flawless flowchart. Here’s how to do it:
Step 1
Click the blue “Create New” panel to activate the Edraw AI wizard. Choose the “Flowchart” option from the provided tabs.
Step 2
Type your flowchart requirement in the search bar and press “Enter”. Click on the “Go” button to proceed.
Step 3
In just a few seconds, Wise Medical Billing will create a stunning revenue flowchart.
Final Considerations
Businesses can achieve optimal efficiency by leveraging revenue cycle flowcharts, which are valuable resources. By visualizing the entire cycle, bottlenecks in RCM can be identified. These flowcharts enable businesses to tackle the complexities of payment processing more effectively.
Using modern software like WMB makes it easy to create these flowcharts. With its user-friendly features, Wise Medical Billing simplifies your diagramming challenges. This article details the complete process of creating a recipe flowchart with Wise Medical Billing.