BUSI 710 - Module 4 - Project D.docx

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Running head: HEALTHCARE M&A MODEL 1 Healthcare M&A model: Supporting the switch from fee-for-service to value-based care delivery. Liberty University
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HEALTHCARE M&A MODEL 2 Problem Statement The general problem to be addressed is that the mergers and acquisition (M&A) model in the healthcare industry’s provider level, has not generated the impact on the quality of patient experience and the care delivery cost expected. Healthcare providers continue to struggle through higher operating costs and lower patient experience survey results. Bauer [Gre18] states that for such a connection to take effect, providers need to adjust their operations and put patient engagement at the center of it. According to Okpala [Pau18], the healthcare of tomorrow requires a more robust and innovative way to mitigate the rising cost of care delivery. A focus on an M&A model which supports capability-building tends to outperform the industry’s current consolidation or diversification [Bob11]. The specific problem to be addressed is that the current model of horizontal provider mergers and acquisitions had not acted as a catalyst between care quality and delivery cost. According to recent research from Gallup Inc., as of 2016, 30.7% of the household income relates to healthcare costs [Gal18]. The current M&A model has saturated the local markets with operations that do not increase the availability and affordability of healthcare. Research Questions This qualitative research examines the post-merger impact on cost and patient experience in the local community. The effectiveness of the merger is the result of the patient’s feedback based on their perception of variation in the quality of care delivery, as well as out-of-pocket costs. The resulting entity wants to achieve increased patient satisfaction results, to continue realizing top-line growth.
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  • Fall '19
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  • Bauer, Journal of Healthcare, Gallup Inc.

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