The industrialization of health care delivery is undoubtedly more prevalent as a result of Obamacare and various market factors. The transition away from private practices to salaried hospital positions is not only enticing, but simply easier for many physicians today. Running any business is challenging, running a private practice is even more challenging today due to market and policy changes. For many physicians the challenge is worth it and many private practices have been cutting costs and even thriving with advisement from practice management companies.
Shifting to larger health care providers also seems to be a slowing trend because of increasingly profitable private practices. But more, the “doctor-buying binge” strategy of larger health care providers is not as profitable as was expected. Analysts forecast that the excessive hiring of physicians will start to decline since the average reported loss for hiring a physician in 2012 was $176,463.
The current health care industry demands that doctors treat not just their patients, but also become in a sense ‘entrepreneurial doctors’ and treat their struggling businesses. Private practices need innovative methods to contain costs, stay organized, and ultimately be more profitable. One practice management company, ADP Advanced MD has helped over 17,000 physicians improve the profitability of their practices and given them the tools for sustainable business success. Private practices are the foundation of the American health care system and they are starting to thrive thanks to these practice management companies as well as to the physicians who are putting up a fight to save their practices.
To read more from Alison click here
To read more from Forbes click here