Aggresive Strategy | Download a PDF Version of the Case Study |
OVERVIEW
HSG partnered with an independent midwest hospital to develop a health system-level strategic plan at the outset of a new CEO’s tenure. HSG helped the Hospital set an aggressive growth plan that substantially grew Hospital’s market presence and revenues, making it a dominant player in its market.
CLIENT QUICK FACTS
- Based in the Midwest
- 270-bed acute care hospital
- 150+ employed providers
- $316M net revenue
- Client since: 2005
The strategic plan HSG worked on with us was approved in early 2012. We’ve seen a lot of gains from the strategies that were outlined in that plan, and we’ve just engaged HSG to do a refresh of our plan,” says the CEO. “HSG also assisted both our Hospital and partner hospital on a primary care strategy about three years ago to help identify those markets where we had an opportunity.
– HOSPITAL CHIEF EXECUTIVE OFFICER
CHALLENGES
The Hospital faced a difficult position in its market. Based in the Midwest, multiple tertiary health systems existed 30-45 minutes away to the north and had providers drawing volumes out of the Hospital’s market. In addition, several regional players were siphoning volume to the west and south. Hospital had not traditionally
embraced an employment strategy, leaving it under-resourced from a primary care and specialty perspective.
Hospital needed an aggressive strategic plan that would set it on a path to financial sustainability and cement its positioning in the market.
THE PROCESS
THE RESULTS
HSG worked with the hospital leadership to engage its core stakeholders – Board, Administration, Providers and Staff – to gather opinions and build support for growth, as well as establishing a Physicians-Only subcommittee focused on alignment activities and growth.
HSG facilitated multiple steering committee meetings that resulted in a three-year strategic plan, action plans and financial plans.
Revenue and market share went sharply up over the three year plan; provider growth was also substantial over this period, with growth of 50+ employed providers. HSG was retained to renew the plan in 2016, and to advise the organization through strategic affiliations, as well as performance improvement initiatives in 2017.
