Practice Notes

From medical group 'subsidy' to 'investment,' use your data to flip the script

by Hamza Hasan and Rachel Woods

With median net investment of just over $200,000 per physician, health system executives are keeping a close watch on medical group financial and operational performance—and that's why many progressive medical group leaders are starting to reframe the conversation around medical group subsidy.

See the data on net investment benchmarks by specialty

How to redefine the conversation

These executives are using performance data to show their health system the institutional support that the medical group provides as a partner in meeting the strategic goals of the enterprise. But to make this cultural change, medical group leaders need to do two things:

  1. Demonstrate that the medical group is a high performer on key financial and operational indicators; and

  2. Use data to uncover opportunities to inflect performance in areas such as provider productivity, care team efficiency, and overall net investment.

The challenge is that medical groups often lack the data they need to show how specific performance indicators at their organization compare with national benchmarks or with the indicators of other groups that have similar size, structure, and strategy. 

Get our national benchmarking data for today—and help contribute for tomorrow

That's where the Medical Group Strategy Council can help. Every two years, we collect data from health system-employed medical groups to create an interactive online tool that provides members with national benchmarks on key financial and operational performance metrics. Data is collected at a granular level to account for structural, financial, and strategic differences between groups, which allows for a true, apples-to-apples comparison of metrics including net investment per physician, medical group revenue, provider expense, and group overhead. Looking for even more specific data? We also allow users to segment data by medical group size, specialty, and geography for even greater comparability.

The Council recently launched data collection for our 2019 Medical Group Benchmarking Initiative and would like to invite your group to participate. All medical groups that participate in data collection will receive a detailed, custom benchmarking report with expert insights and analysis that highlight group performance compared with national averages and areas of opportunity. Medical group leaders have used these custom reports to accurately measure performance against their peers and understand the nuanced insights into areas for improvement within their practices.

Don't miss out on the opportunity to receive a custom performance analysis and have your medical group's data included in this national data set! 

 

Find (and fix) what's wrong with your medical group's culture

Join us on Tuesday, Feb. 26 to learn how to identify weaknesses in your medical group's culture—and improve them—using our diagnostic tool.

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Six keys to implement innovation across the medical group

In today's market, medical group-led innovation is not just nice to have, it is vital for groups to solve their most pressing business challenges. Successful innovators balance preparation and execution.

Just like fly fishers need the right equipment and skills to reel in the big one, medical group leaders need to know when to pursue innovation and how to implement and scale innovation beyond pilots.

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