Mergers in health care: avoiding divorce IDS style

The recent flurry of merger activity in the healthcare industry has given rise to a significant number of integration efforts. Unfortunately, some of these "marriages" will end in "divorce." Reasons for failure can be found in four critical dimensions of integration: structural, operational, clinical, and informational. Each dimension has its associated pitfalls, and every merger confronts clearly identifiable risks. By taking steps to mitigate such risks, merging organizations can improve the chances the merger will succeed. If the merger does fail, measures taken prior to the merger, such as including an escape clause in the merger contract, can help avoid problems in dividing operational assets, physicians practices, and information assets.