Midwestern Medical Group Integration Journey
I. Problem Statement One mode to achieve the comprehensive healthcare services is through the mergers and acquisitions. However, during the course when the integrated company takes place, there are many challenges that the new company should deal to have concerted mission to achieve the desired goals. Excessive system overhead costs are assigned to Midwestern Medical Group (MMG) in the Midwestern System. $110,000 per physician compared to a benchmark of $50,000 per physician. The medical group was also compelled to provide staff benefits to match benefits provided by the hospitals, benefits that most independent groups did not provide. Concerning this issue, this outline further elaborates
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In addition many of the MMG decisions to expand services that would meet community needs were blocked by the system and fought against at the board level. Policies established by system executives were unclear and contradictory to its practices.
All of the new policies failed and the biggest offenses came from senior leadership as well as the system’s board. Both groups routinely left MMG out of important system and divisional conversations, spoke badly and inappropriately about the MMG management team, and punished MMG leaders when they asserted their “freedom to act” and pursued policies deemed to be in the best interest of the division or its primary
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This condition happens not only in high-technology industry but also in modern healthcare industry where a business or a healthcare provider is focusing on becoming a one-stop shopping healthcare institution.
The situation further suggests that such healthcare institution needs excellent information system, medical technology, clear objectives that ensure the delivery of superior healthcare services, and obviously need comprehensive healthcare service.
In addition, to eliminate conflicts in the Midwestern, Johanson purposely develops the MBS business model to ask hospitals and Midwestern Medical Group (MMG) to resolve their tension and conflict by combining them into a single division. This action is considerable a competitive move as it would put the company to have strong business of Hospitals Clinics divisions.
B. Recommended Strategy
The recommended action for resolving the case at Midwestern is to carry on with the following initiatives:
• Shares the good leadership
• Improve the internal communications in Midwestern
• Conduct reorganization to streamline the business units but increase the effectiveness and efficiency in delivering healthcare services to
The Physician/Hospital alignment model is the teamwork between physicians and hospitals to achieve the common goal of providing quality care to patients (med synergies). Physician/hospital alignment opportunities have come into play more predominantly in recent years due to quality, financial, and regulatory aspects of healthcare reform. Physicians and hospitals are more motivated to align now because the new healthcare reform requires an improvement on key aspects such as quality, cost, and efficiency. Moreover, an increase in patient numbers, a decrease in reimbursements, and a shift among new physician goals and values have contributed to the drive for this alignment. Physician/hospital alignment can be characterized in the range of tactical to transformational. Tactical alignments can include joint ventures, co-management agreements, volunteer medical staff, etc.
Merged businesses can decrease many of their expenses. Cropped marketing budget, lower material cost, redundant employee layoffs, merging the patient’s database lessens the overall business costs. Often, merged business adopts new and innovative technology which may seem costly, but technology actually
After analyzing the Coastal Medical Center, it is apparent that the employees and staff have no conception of the mission, vision, and values of this health care facility. In addition to this lack of structure, CMC has many projects in the midst of production that lack support of a common goal, employees are unsatisfied with their jobs, the two boards lack ability to agree on strategic decisions for the organization,, and the medical center has a dismal reputation when it comes to quality care.
It is enthralling to note that in spite of the advances in healthcare systems, such as our hospital’s ability to provide patients with lower cost, managed One being the Health Maintenance Organizations (HMO), which was first proposed in the 1960s by Dr. Paul Elwood in the "Health Maintenance Strategy”. The HMO concept was created to decrease increasing health care costs and was set in law as the Health Maintenance Organization Act of 1973, after promotion from the Nixon Administration. HMO would, in exchange for a fee, allow members access to employed physicians and facilities. In return, the HMO received market access and could earn federal development funds.
One is quality control. Patients should receive quality of care at all times. For example, there has been many times in healthcare where a patient visits the doctor multiple times for the same condition. Why not provide the patient quality services from the start and send them to an Accountable Care Organization (ACO) for example for optimal follow up care until the issue is resolved. ACO’s once again, are great examples of quality control measures because they use quality reporting and adhere to meaningful use objectives (Devers 2009). The problem is that not all healthcare facilities make full use of quality control measures. Another transferrable business practice that could improve health care is by providing a high scale quality. By this, I simply mean improving the overall patient experience, making them a
Lack of communication between the local, state and federal government agencies played a role in the communication breakdown during
Since the quality of healthcare would not suffer, the only thing to lose through maximizing efficiency is a bunch of waste. Through its administrative simplification advocacy, the American Medical Association (AMA) claims that up to 14% of a physician’s revenue is taken up by administrative waste. The goal of the administrative simplification is to inspire physician practices to use computerized, instantaneous health plan transactions, minimize manual procedures through the claims revenue cycle, while increasing transparency and reducing vagueness with the payment process involving the insurance company. It is the AMA’s hope to push this movement into high gear, getting more practices on board and to eventually see a decline in wasteful and inefficient administrative
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Based on the case study provided: Hospital A, Porter Regional Medical Centre (Hosp. A) & Hospital B Banner Regional Medical Centre and Turner Geriatric Centre (Hosp. B) merged to form a consolidated entity named “Portsmith Regional Medical Centre” (PRMC). Both Hospital A and B were fully accredited hospital, with “state-of- art diagnostic technology” which included MRI and CAT scanners, 24-hour physician staffed emergency centers. Both Hospital A and Hospital B are located in a small community of 60,000 people in southeastern part of Idaho.
Then, the superintendent of curriculum and instruction decide to hold a meeting with the superintendent of business and the two directors. After getting to the real root cause of the issue being about a complaint from a principal at River Valley School, the directors explain that she is never satisfied with the work they attempt to do for her. Furthermore, an issue that occurred with the internet-based library catalog system at that school was with the provider’s server and has since been fixed. The superintendent of business is not happy about the meeting, nor the explanation for the complaint. However, the superintendent of curriculum and instruction is happy that the issue is aired out and
WellStar Health Systems is currently the preeminent and largest health care provider in Metro Atlanta. WellStar Health Systems is a not-for-profit institution that is composed of 5 hospitals and an abundance of physician groups. Physician specialty groups included within WellStar are: ENT, Psychiatry, Endocrinology, Pulmonary Medicine, Infectious Disease, General Surgery, Rehabilitation, Pathology, and Rheumatology. WellStar’s organizational design is composed of internal and external factors that define the organization’s size, organizational structure, and processes. Internal and external factors are the basis for influencing managerial conclusions in decision-making. These factors vary from organization to organization and are the rationale for understanding WellStar’s strengths, weaknesses, opportunities, and threats. Understanding these variables is a necessity for the sake of WellStar’s survival
Health information management involves the practice of maintaining and taking care of health records in hospitals, health insurance companies and other health institutions, by the use of electronic means (McWay 176). Storage of medical information is carried out by health information management and HIT professionals using information systems that suit the needs of these institutions. This paper answers four major questions concerning health information systems.
Although the initial results were appealing, the move had a massive negative impact on the company’s future.
This paper’s brief intent is to identify the policies and procedures currently being developed at Midwest Hospital. It identifies how the company’s Management Committee was formed and how they problem solved and delegated responsibilities. This paper recognizes the hospital’s greatest attributes and their weakest link. Midwest Hospital hired Dr. Herb Davis to help facilitate the development and implementation of resolutions for each issue.
Barton, P.L. (2010). Understanding the U.S. health services system. (4th ed). Chicago, IL: Health Administration Press.