At the 2011 Orthopedic, Spine and Pain Management-Driven ASC Conference in Chicago, Allen Fine, senior vice president and chief strategy and operations officer at The New York Eye & Ear Infirmary, and Jimbo Cross, vice president of acquisitions and development at ASCOA, jointly led a roundtable discussion regarding trends and factors that drive successful hospital-ASC joint ventures.
The Eye & Ear Infirmary is a teaching hospital with three core specialties: ophthalmology, ENT and plastics. The hospital began developing multi-specialty ASCs (geared toward orthopedics and neurology, among other specialties) to generate additional revenue streams and provide physicians with equity opportunities. The Eye & Ear Infirmary sought the expertise of a third-party ASC management company in its ventures.
Mr. Cross added the healthcare industry is beginning to see much more activity geared toward hospital-ASC joint ventures. When a joint venture with a hospital and management company makes sense, the benefits abound. Hospital partners are critical in renegotiating contracts with payors, and physician-owners do not have to feel they are losing the hospital as an important referral source, he said.
Looking down the line, Mr. Cross added hospital-ASC joint ventures may become even more critical as the uncertainty over accountable care organizations begins to clear up.
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The Eye & Ear Infirmary is a teaching hospital with three core specialties: ophthalmology, ENT and plastics. The hospital began developing multi-specialty ASCs (geared toward orthopedics and neurology, among other specialties) to generate additional revenue streams and provide physicians with equity opportunities. The Eye & Ear Infirmary sought the expertise of a third-party ASC management company in its ventures.
Mr. Cross added the healthcare industry is beginning to see much more activity geared toward hospital-ASC joint ventures. When a joint venture with a hospital and management company makes sense, the benefits abound. Hospital partners are critical in renegotiating contracts with payors, and physician-owners do not have to feel they are losing the hospital as an important referral source, he said.
Looking down the line, Mr. Cross added hospital-ASC joint ventures may become even more critical as the uncertainty over accountable care organizations begins to clear up.
Related Articles on Joint Ventures:
Key Issues Plaguing Physician-Hospital Joint Ventures
Michigan Surgeons, Hospitals Form Joint Venture to Co-Manage Surgical Services
7 Critical Areas of Focus for a Successful Turnaround of a Physician/Hospital Joint-Venture ASC