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Structuring managed care joint ventures.

L Williams1

  • 1Sidley & Austin, Chicago, IL, USA.

Healthcare Financial Management : Journal of the Healthcare Financial Management Association
|July 7, 1995
PubMed
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Joint ventures for managed care contracts require careful planning. Understanding governance, operational, legal, and political factors is crucial for success and avoiding contract issues.

Area of Science:

  • Healthcare Management
  • Health Law
  • Health Policy

Background:

  • Healthcare providers increasingly form joint ventures to navigate complex managed care contracting.
  • Securing managed care contracts presents significant governance, operational, legal, and political challenges.

Purpose of the Study:

  • To highlight the critical considerations for healthcare providers entering joint ventures for managed care contracts.
  • To emphasize the importance of comprehensive planning to mitigate risks associated with these ventures.

Main Methods:

  • This study is a conceptual analysis based on existing literature and industry best practices.
  • It synthesizes key issues in healthcare joint venture formation and managed care contracting.

Main Results:

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  • Successful joint ventures necessitate a thorough understanding of governance structures and operational integration.
  • Addressing legal and political landscapes proactively is essential for contract negotiation and compliance.
  • Inadequate planning can lead to contract disputes and legal violations.

Conclusions:

  • Strategic planning across governance, operations, legal, and political domains is paramount for effective joint ventures in managed care.
  • Thorough preparation ensures that joint ventures achieve their objectives and maintain regulatory compliance.