Strategic Alliances
Strategic alliances can take many forms, both formal and informal, for mutual benefit of the businesses involved. Trading or sharing of resources, tools and skills are common, as are contracting/subcontracting arrangements that build the capacity of an organization in some form or fashion (assuring adequate raw materials, supplies, technology, educational resources, etc.). More formal strategic alliances would include vertical and horizontal growth/consolidation through mergers and acquisitions.
In health care, providers often enter into strategic alliances not only for the benefit of the partners but also for the wellbeing of patients and communities. However, strategic alliances such as mergers, acquisitions and …show more content…
This is especially critical in a merger or acquisition scenario as these arrangements undergo both state and federal anti-trust review processes before they can be finalized. According to Bradley (2013), CMS also requires the following prerequisites for ACOs:
(1) a formal legal structure that allows the ACO to receive and distribute payments for shared savings; (2) a leadership and management structure that includes clinical and administrative processes; (3) processes to promote evidence-based medicine and patient engagement; (4) reporting on quality and cost measures; and (5) coordinated care for beneficiaries. (p. 298)
The formation of a strategic alliance can be both a lengthy and expensive process, so all parties must strive to determine, as early as possible, if there are any insurmountable …show more content…
In health care, the term customer should be viewed as much broader and can include direct and indirect beneficiaries of services provided. In a hospital, patients are the most easily recognized customers, but there are numerous internal and external customers who are not necessarily the actual consumers of services. These include, but are not limited to:
• physicians, to whom it is critical that adequate facilities, technologies, and staffing be available to care for their patients and carry out their orders for treatment
• other providers of step-down and specialty services that rely on the hospital to facilitate smooth transitions of care
• family members of patients who expect the best treatments available
• the community at large, which expects the hospital will meet access and availability needs for hospital based care when needs arise
• payors (including health plans, state and federal government, which expect all of the above and that the hospital compliantly deliver safe, efficient and effective service to
Strategic alliances can take many forms, both formal and informal, for mutual benefit of the businesses involved. Trading or sharing of resources, tools and skills are common, as are contracting/subcontracting arrangements that build the capacity of an organization in some form or fashion (assuring adequate raw materials, supplies, technology, educational resources, etc.). More formal strategic alliances would include vertical and horizontal growth/consolidation through mergers and acquisitions.
In health care, providers often enter into strategic alliances not only for the benefit of the partners but also for the wellbeing of patients and communities. However, strategic alliances such as mergers, acquisitions and …show more content…
This is especially critical in a merger or acquisition scenario as these arrangements undergo both state and federal anti-trust review processes before they can be finalized. According to Bradley (2013), CMS also requires the following prerequisites for ACOs:
(1) a formal legal structure that allows the ACO to receive and distribute payments for shared savings; (2) a leadership and management structure that includes clinical and administrative processes; (3) processes to promote evidence-based medicine and patient engagement; (4) reporting on quality and cost measures; and (5) coordinated care for beneficiaries. (p. 298)
The formation of a strategic alliance can be both a lengthy and expensive process, so all parties must strive to determine, as early as possible, if there are any insurmountable …show more content…
In health care, the term customer should be viewed as much broader and can include direct and indirect beneficiaries of services provided. In a hospital, patients are the most easily recognized customers, but there are numerous internal and external customers who are not necessarily the actual consumers of services. These include, but are not limited to:
• physicians, to whom it is critical that adequate facilities, technologies, and staffing be available to care for their patients and carry out their orders for treatment
• other providers of step-down and specialty services that rely on the hospital to facilitate smooth transitions of care
• family members of patients who expect the best treatments available
• the community at large, which expects the hospital will meet access and availability needs for hospital based care when needs arise
• payors (including health plans, state and federal government, which expect all of the above and that the hospital compliantly deliver safe, efficient and effective service to