Kenny Spitler, senior vice president – development for HealthMark Partners, describes a decision an ASC made that improved profitability and a decision by an ASC that hindered it.
Improved profitability: "One decision that a physician-owned and operated ASC made that improved profitability was to bring in a corporate partner. The ever changing reimbursement scenario was too much for them to keep track, yet the new partnership provided a managed care expert to maximize fee schedules with many insurance carriers. Additionally, the GPO that came with the corporate partner shaved 10 percent off the supply costs which immediately added to the bottom line."
Hindered profitability: "One decision that an ASC failed to make was to offer ownership to a high-volume producer. He eventually took his business away from the practice and to another surgery center where ownership was offered. Additionally, they did not reduce their staff which was covering the departing doctor's case volume, which consequently put them in a negative cash flow situation."
Learn more about HealthMark Partners.
Read more about improving an ASC's profitability:
- 21 Ways to Make and Save Money in Surgery Centers
- 4 Initiatives That Doubled Physician Distributions: Upper Cumberland Physicians Surgery Center
- 5 Best Specialties for ASCs Now
Improved profitability: "One decision that a physician-owned and operated ASC made that improved profitability was to bring in a corporate partner. The ever changing reimbursement scenario was too much for them to keep track, yet the new partnership provided a managed care expert to maximize fee schedules with many insurance carriers. Additionally, the GPO that came with the corporate partner shaved 10 percent off the supply costs which immediately added to the bottom line."
Hindered profitability: "One decision that an ASC failed to make was to offer ownership to a high-volume producer. He eventually took his business away from the practice and to another surgery center where ownership was offered. Additionally, they did not reduce their staff which was covering the departing doctor's case volume, which consequently put them in a negative cash flow situation."
Learn more about HealthMark Partners.
Read more about improving an ASC's profitability:
- 21 Ways to Make and Save Money in Surgery Centers
- 4 Initiatives That Doubled Physician Distributions: Upper Cumberland Physicians Surgery Center
- 5 Best Specialties for ASCs Now