« Posts

Physician Enterprise Optimization

by Rudd Kierstead, Principal
and Robert F. Hill, Jr., Principal

Open PDF file >

Prior to the pandemic, we learned something quite surprising.  In a Veralon survey, only 42% of respondents viewed the financial losses on employed physician enterprises as “unacceptable” or a “major priority.”

Perhaps “surprising” is too tame a description.  We were “shocked.”  At the time of our survey, the level of losses typically varied between $150,000-$200,000 per employed physician, and that’s before the pandemic.  As system-level finances are stressed, losses in the employed physician enterprise will likely be scrutinized.

Financial losses are not the only pain point. The graphic below depicts pain points from the perspective of both the health system and the physician enterprise, as well as some overlapping pain points that are felt by both. To optimize physician enterprise performance, these pain points must be addressed, and incentives and goals must be aligned.

Let us know if you would like to discuss how to address these pain points.

Contact the authors:
Rudd Kierstead, Principal, rkierstead@veralon.com
Robert F. Hill, Jr., Principal, rhill@veralon.com