Alejandro Fernandez, CEO of San Diego-based Synergy Orthopedic Specialists, joined Becker's to discuss the importance of ASC ownership as the healthcare industry becomes increasingly consolidated.
Question In an increasingly consolidating healthcare industry, why is ownership stake so important?
Editor's note: This response was edited lightly for brevity and clarity.
Alejandro Fernandez:
- Control and decision-making: Owning a stake in an ASC gives individuals or groups greater control over strategic decisions.
- Financial returns: Ownership stake in the ASC can offer additional returns, and as the entity grows and becomes more successful, owners may benefit from increased profitability, dividends or the ability to sell their stake at a higher value. This can be particularly valuable in a consolidating industry where larger healthcare systems and private equity firms acquire smaller ASC.
- Alignment of interests: When individuals or groups have an ownership stake in an ASC, their interests become directly aligned with the success and performance of the organization. This alignment can foster a sense of commitment, dedication, and accountability among the owners, which can positively impact the overall performance and quality of care delivered.
- Influence and market positioning: The ASC ownership will give the group a stronger voice and influence within its local healthcare market. It can enhance their credibility and reputation, facilitate networking and collaboration opportunities, and enable them to participate in industry-wide discussions and initiatives.