iLoveBenefits: Industry News Blog

The health care business model is changing

According to a recent report, 18% of physicians have changed their business models to provide certain services. Within that group, those services include the following:

  • Virtual technology: 51%
  • One-stop shopping: 41%
  • Behaviorial health services: 24%
  • Pharmacist services: 19%
  • House calls: 17%
  • Group visits: 9%
  • Other: 11%

Source: “Kaiser Health Tracking Poll: February 2016,” The Henry J. Kaiser Family Foundation, February 25, 2016, http://kff.org/health-reform/poll-finding/kaiser-health-tracking-poll-february-2016/

Health care as a business operation requires business skills

In a recent survey, healthcare executives identified the biggest opportunity for cost savings at their organization as:

  • Improving clinical operations and care delivery performance (71%)
  • Workforce optimization (21%)
  • Supply chain and non-labor cost containment (8%)

Source: “Poll Reveals C-Suite Focus on Clinical Operations,” Huron Healthcare, 2012, http://www.healthcareceoforum.com/news/healthcare-poll-shows-c-suite-focus-on-clinical-operations/

Do you have the healthcare business acumen to adapt to changing business models

40% of healthcare systems viewed their current business model as somewhat sustainable for the next 5 years, versus 53% of health plans and 43% of pharma companies, according to a recent survey.

Source: “KPMG Survey Reveals Major Disconnect Among Healthcare System, Health Plan And Pharma Execs On New Payment Systems,’ KPMG Press Release, August 28, 2012, http://www.kpmg.com/US/en/IssuesAndInsights/ArticlesPublications/Press-Releases/Pages/KPMG-Survey-Reveals-Major-Disconnect-Among-Healthcare-System-Health-Plan-And-Pharma-Execs-On-New-Payment-Systems.aspx

HBA – Healthcare Business Acumen

In a recent survey, 26% of primary care physicians reported poor financial health, including:

  • 81%      of physician practice owners report profits are down from last year
  • 43%      of physician practice owners are having trouble covering their costs
  • 49%      of employed primary care physicians have not had a salary increase in the      last 1 to 2 years
  • 18%      have experienced salary cuts in the last 1 to 2 years
  • 80%      cited a decrease in reimbursements as the top negative financial impact to      their practices, while 71% cited a rise in operating costs

Source: “Struggling Primary Care Physicians Could Undermine Affordable Care Act,” QuantiaMD Press Release, July 31, 2012, https://secure.quantiamd.com/home/pr_struggling_primary_care

 

Healthcare Business Acumen (HBA) www.northstarnetwork.org