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Affiliated practices can boost patient referrals.

D B Arbitman, P H King

    Healthcare Financial Management : Journal of the Healthcare Financial Management Association
    |July 8, 1990
    PubMed
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    A hospital acquired retiring physicians' practices to enhance care delivery. This strategy integrated younger doctors into an established group practice, supported by hospital capital and services.

    Area of Science:

    • Healthcare Management
    • Physician Practice Acquisition
    • Care Delivery Systems

    Background:

    • Hospitals are exploring strategies to strengthen care delivery systems.
    • Acquiring established physician practices is a potential model for integration.
    • Physician retirement creates opportunities for practice transition.

    Purpose of the Study:

    • To describe a hospital's initiative to acquire physician practices.
    • To outline the structure of an affiliated group practice model.
    • To detail the support mechanisms provided by the hospital.

    Main Methods:

    • A hospital initiated the acquisition of existing physician practices.
    • An affiliated group practice was established, led by an experienced physician.

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  • The hospital provided capital and operational support services.

    • Main Results:

    • The hospital successfully acquired physician practices nearing retirement.
    • An integrated group practice model was implemented, fostering collaboration between senior and junior physicians.
    • The hospital's capital investment and support services facilitated the transition.

    Conclusions:

    • Acquiring physician practices can be a viable strategy for hospitals to bolster their care delivery.
    • The affiliated group practice model, with mentorship, supports physician integration and continuity of care.
    • Hospital-provided capital and services are crucial for the success of such practice acquisitions.