Case Studies

Case Study: Interim Management for an Employed Physician Network

Background Our Midwestern hospital client had a rapidly-growing employed physician network. The network was multi-specialty and was deployed to expand the hospital’s footprint in outreach markets. Developing the group culture and increasing physician engagement, however, were becoming increasingly challenging. The group lacked a solid infrastructure and didn’t have sufficient dedicated resources to support the practices […]

Case Study: Ambulatory Strategy with a Focus on Responding to a Larger Competitor Moving Into the Market

Background Our client was an independent, 250+ bed hospital, located 20 minutes from a large metropolitan area in the Midwest.  The hospital was experiencing intense pressure from three tertiary competitors located in the nearby metro area. Each was pursuing an ambulatory strategy that placed physicians, outpatient services, and ancillaries in our client’s primary service area.  […]

Case Study: Defining an Appropriate Affiliation Strategy for an Independent Hospital

Our client, a standalone 200-bed hospital located in the eastern U.S., had experienced reasonable financial success over the last decade as an independent provider in a rural community. Faced with the challenges of reform, an aging facility and an aging medical staff, the board felt it would be wise to explore affiliation options. However, the board lacked a process for strategically identifying what type of affiliation would best position the hospital for the future and who would be the best partner.

Case Study: Alignment Strategy for a Medical Community with Both Employed and Independent Physicians

In 2009, our hospital client — a 175-bed hospital in Southeast– had a largely independent physician base and a handful of employed physicians. There was no alignment strategy to guide its relationships with either group. With HSG’s assistance, the hospital grew the employed group from eight providers to 40 over a three-year period. The resulting downstream revenue turned a -2 percent margin in 2009 to a +4% margin in 2012.

Case Study: Strategic Planning for a Rapidly-Growing Employed Physician Group

The number of physicians employed by a 300+ bed hospital in the Midwest had grown from 30 to 120 over a three-year period. While this growth was driven by a strategic initiative to increase alignment with the community physicians, the group that the physicians were put into lacked any formal infrastructure or identity. As a result, the hospital had a large group of physicians that were essentially operating as independent practices – so much so that many physicians in the group didn’t know who the other physicians in the employed group were.

Case Study: Defining the Tolerance for Subsidies by Specialty within an Employed Physician Group

Background Our client is a community hospital in the Midwest that operates a PHO consisting of 50+ physicians (largely employed, but some independents) across a number of specialties.  With mounting losses on the employed physicians in the PHO, executives within the organization began assessing practice losses by specialty. However, given competing strategic priorities within the organization, […]

Case Study: Compensation Planning for a Tertiary Hospital’s Employed Physician Group with Diverse Specialties

Our client was a 1000+ bed tertiary hospital on the Atlantic Seaboard, which featured a children’s hospital, a level one trauma center, and one of the largest transplant centers in the U.S. This client employed a broad range of specialties, from primary care to transplant surgeons.

Case Study: Primary Care Alignment in a Community Hospital Setting

Our client, a two-hospital system in the Southeast region, lacked a consistent physician alignment strategy, particularly for primary care.

Case Study: Cardiology Co-Management Agreement

Our client was a two-hospital system in the Mid-Atlantic region that was experiencing inefficiencies in their cath lab. The inefficiencies resulted in high costs-per-case, substandard outcomes and lost market share. The lab was used by interventionalists from two different, independent cardiology groups.

Case Study: Performing a Practice Assessment

Over a three-week period, HSG performed a complete audit of an employed physician network consisting of over 120 providers, 90 of which were physicians. It was operating at an annual loss of approximately $18 M.

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