CHICAGO--(BUSINESS WIRE)--The shift from fee-for-service to a value-based healthcare model has challenged many not-for-profit hospital boards to consider mergers, acquisitions, joint ventures and other alliances as a means to thrive in the new healthcare landscape.
“Key Questions Non-Profit Hospital Boards Must Ask”
“While going it alone is not always a viable option, non-profit boards need to weigh many factors before plunging their hospital into a partnership,” said Shane Goss, senior director, Huron Financial.
Last year, 10 not-for-profit hospitals entered into agreements that changed the ownership of more than 160 institutions, according to Modern Healthcare’s 19th annual M&A report. Huron Financial created a list of Key Questions that boards should ask when evaluating the pros and cons of mergers and acquisitions:
- Does our financial position allow us to continue operating independently?
- If not, will performance improvements alone bring financial stability?
- Will an affiliation allow the hospital to fulfill its mission and retain its vision and values?
- What are our investment attributes that will allow us to negotiate from a position of strength and obtain the best deal possible?
- Who are potential affiliation partners and what are their strengths and weaknesses?
“Long-term financial stability is a possibility in this market, but it’s the result of an honest self-assessment and exacting due diligence,” said Goss. “Hospitals that put in the time and vet all possibilities will be most likely to make the shift unscathed.”
To read the full briefing, “Key Questions Non-Profit Hospital Boards Must Ask,” visit: http://www.huronconsultinggroup.com/Insights/Perspective/Financial/Key_Questions_Hospital.aspx.
If you are interested in speaking with Shane Goss, please contact:
Jennifer Frost Hennagir
About Huron Financial
Huron Financial provides financial advisory, restructuring and turnaround, interim management, valuation, forensic and litigation, and operational improvement consulting services to companies in transition, boards of directors and investors and lenders. Our consultants provide senior level involvement and extensive industry experience to drive results. Our experienced leadership, management depth and flexible staffing model allow us to efficiently lead projects ranging from middle market to large company assignments.
About Huron Consulting Group
Huron Consulting Group helps clients in diverse industries improve performance, reduce costs, leverage technology, process and review large amounts of complex data, address regulatory changes, recover from distress and stimulate growth. Our professionals employ their expertise in administration, management, finance, operations, strategy and technology to provide our clients with specialized analyses and customized advice and solutions that are tailored to address each client's particular challenges and opportunities to deliver sustainable and measurable results. The Company provides consulting services to a wide variety of both financially sound and distressed organizations, including healthcare organizations, leading academic institutions, Fortune 500 companies, governmental entities and law firms. Huron has worked with more than 95 of the top 100 research universities, more than 400 corporate general counsel, and more than 385 hospitals and academic medical centers. Learn more at www.huronconsultinggroup.com.