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Physician Network Development


Teaching hospital in a large urban area


To assist the hospital to broaden its network of aligned physicians, in a very competitive and evolving healthcare environment. Physicians in the region typically did not have a strong sense of an institutional “home,” and competitors were also seeking to align physicians more tightly.


Veralon targeted about 30 practices based on physician admitting patterns and input from hospital administrative and physician leadership. We reached out to these practices, exploring their interest in a possible affiliation, with a range of options including possible teaching opportunities, space and equipment leases, practice acquisition and other possibilities. Our discussions often focused on educating physicians who were not accustomed to considering new business arrangements about how the hospital could offer support, and where it was constrained in doing so.


Where physicians expressed interest in a relationship with the client, Veralon developed the documents, such as practice assessments, compensation or business modeling, or term sheets, required to create the specific relationship in which each was interested. The results of the process were consummated deals of different types with about 15 physicians.