RCM includes key functions like verifying patient eligibility, medical coding, claims processing, and collections, aiming to ensure smooth revenue flow. Effective RCM helps reduce claim denials, optimize reimbursements, and improve cash flow, enabling providers to focus more on patient care. It also involves compliance with regulations such as HIPAA to maintain data privacy and security. Ultimately, a robust RCM process supports financial stability and enhances operational efficiency in healthcare organizations.