February, 2014

“Radiology departments were considered a significant revenue stream; now they’re a cost center.” without a greater exploration of benchmarking data that can help identify broader trends among competing healthcare providers; without more longitudinal thinking from vendors on interoperability issues, the industry will continue to stagnate.

“The majority of hospitals and health systems are seeing a flattening of their inpatient volumes,” said Jeff Jones, a managing director for Huron Consulting Group. “Some are beginning to see a sustained decline." With so many major Healthcare IDN's experiencing dramatic revenue decreases costs, both operational and capital expenditures are being cut. If you aren't providing cost savings solutions to your healthcare customers you won't be in business much longer.

"Now a new online direct contracting service called aptitude is attempting a similar coup, letting hospitals and other healthcare organizations negotiate with suppliers in an attempt to speed up the contracting process and reduce costs." The Irving, Texas-based company, which is owned by Novation, one of the nation’s largest group purchasing organizations, brings more transparency to both the buyer and seller, said Kirchenbauer. Aptitude has a database that covers about 40 percent of products bought and sold in U.S. healthcare, so “we are able to tell buyers whether their spend is contemporary with the market … And when they receive a bit back, we can tell them whether that offer is competitive with the kinds of prices that the supplier offers to other customers ….”

In retrospect how wrong they were...

Barr introduces readers to broad cultural issues surrounding health care policy, such as access, affordability, and quality. He discusses specific elements of U.S. health care, including insurance, especially Medicare and Medicaid, the shift to for-profit managed care, the pharmaceutical industry, issues of long-term care, the plight of the uninsured, medical errors, and nursing shortages. The latest edition of this widely adopted text updates the description and discussion of key sectors of America’s health care system in light of the Affordable Care Act.

The survey also finds that because of the tax:

•   75% deferred, cancelled, or reduced investments and employee compensation.

•   Over 30% said they cut research and development.

•   Nearly 10% said they moved or expanded manufacturing outside the United States.

Tenet continues to expand its imaging centers and is now expanding by buying and building urgent-care centers, free-standing emergency rooms and physician clinics. It also will add surgery centers in current locations and those where it doesn't yet have a presence.

In what could be a bellwether for healthcare under ACA, Community Health Systems has seen a major downturn in admissions and revenue. CHS, a Fortune 500 company, is the largest non-urban hospital owner. CHS operates 206 hospitals in 29 states.