Health systems are adjusting their scale and size for contracting strength with insurers, access to capital or cost-efficiencies, according to an article on the Health Facilities Management website.
Virtually every health system has been employing or acquiring primary care physicians or established group practices and have inherited a facilities that may not meet their needs.
This has led to a proliferation of real estate obligations for health systems that are generally managed on an ad hoc basis without a full understanding of the financial risk or how they fit into an overall market strategy for the delivery of care, the article said.
A plan for these properties and a plan for growth should be part of every system’s strategic initiative.
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