Accountable Care Organizations (“ACOs”) receive a substantial portion of their revenue through shared savings programs in which payers pay the ACO a portion of total cost savings generated by member providers through effective care management. The ACOs then distribute part of the shared savings to participating healthcare providers, based on a distribution formula; the remainder […]
If your organization is like most health systems and hospitals, your physician recruitment plan may be based on a less than complete picture of your existing physician base. Many medical staff recruitment plans do not consider the extent to which the organization’s physicians and their patients are making use of the organizations inpatient and ambulatory […]
Physician employment agreements now commonly include compensation for services beyond basic clinical services; they may also provide compensation for medical directorships, teaching, on-call payments, and so on. We have found that physicians transitioning to hospital employment are generally accepting of clinical compensation models that include a base salary coupled with productivity and quality incentives. However, […]
A prudently conducted due diligence effort will surface a comprehensive (and often lengthy) list of potential risks and issues related to the transaction being assessed. However, the implications of these risks will vary widely. In the thick of due diligence, it often seems that finding issues and risks is the ultimate goal. It can be […]
Urgent care is in the investor spotlight. Private equity, venture capital, health insurers, and health systems all want a piece of it, and transaction activity in the industry is high. Despite this flurry of activity, the industry remains largely fragmented, and the size and nature of urgent care companies varies dramatically. This variation, as well […]
Business valuation is as much an art as a science. It not only requires technical knowledge of valuation methodologies, it requires the valuator to have significant judgement and the industry experience to evaluate the entity in the context of a broad understanding of the industry. One area where a valuator must exercise considerable judgement is […]
A parade of headlines announcing record-breaking settlements (chart below) has left healthcare executives, lawyers, consultants, and even physicians wondering if they could be exposed to regulatory or legal action as a result of any of their employment or other physician-hospital alignment arrangements. The government’s incredible return on investment on enforcement actions, as well as a […]
A uniquely Maine curriculum and reserved and subsidized slots for Maine students are just two of many innovations in place at a partnership between Maine’s largest hospital, Maine Medical Center, and Tufts University School of Medicine. Tufts and Maine Medical Center jointly recruit and select students in the co-governed program that awards a combined diploma […]
We recently received the following question from a registered attendee during our ACHE Cluster session, Strategic Planning from Formulation to Action, in San Antonio: In a hospital or health system, how do you broadly engage physicians in the strategic planning process? Physicians are integral to the strategic planning process, and multiple options exist for engaging […]
DGA Partners and Health Strategies & Solutions, healthcare management consulting firms, have merged to form a single consultancy, to be known as Veralon Partners. “This is a merger between equals with many complementary services,” says Daniel M. Grauman, who is Managing Director and CEO of the new firm. “It will allow us to better serve […]