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Related Experiment Videos

Survey provides data on practice acquisition activity.

J E Hill1, J Wild

  • 1Physician Services of America, Louisville, KY, USA.

Healthcare Financial Management : Journal of the Healthcare Financial Management Association
|August 6, 1995
PubMed
Summary
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Healthcare organizations are increasingly acquiring physician practices, particularly in primary care. Family practice acquisitions are most common, with the Midwest leading the trend, driven by strategic planning and financial considerations.

Area of Science:

  • Healthcare Management
  • Health Economics
  • Physician Practice Trends

Background:

  • Healthcare organizations are increasingly consolidating through the acquisition of physician practices.
  • Understanding the trends and financial implications of these acquisitions is crucial for strategic planning.

Purpose of the Study:

  • To assess national trends in physician practice acquisitions by healthcare organizations.
  • To gather data on the costs and considerations associated with practice acquisitions and integration.

Main Methods:

  • A national survey was cosponsored by HEALTHCARE FINANCIAL MANAGEMENT and Physician Services of America.
  • Over 5,300 senior financial executives from healthcare organizations and systems were surveyed.

Main Results:

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  • 36% of surveyed organizations reported acquiring practices in the last five years.
  • Primary care practices, especially family physicians and groups, were most frequently acquired.
  • The Midwest region showed the highest activity in family practice acquisitions.

Conclusions:

  • Physician practice acquisition is a significant trend, with primary care as a key focus.
  • Strategic planning, staff communication, compensation negotiation, and productivity management are critical factors in acquisition success.