Explain with citation from text above. A. Do these two groups share the same values? One
Fantastic news! We've Found the answer you've been seeking!
Question:
Explain with citation from text above.
A. Do these two groups share the same values? One must wonder if in their early merger discussion did they ever discuss what the values were that they were bringing to the table?
B. Consider the structure of the groups and how they differ in decision making? Compensation?
Transcribed Image Text:
The Reddington Medical Group was a two-hundred-and-twenty-person multispecialty group practice in the northeast. Established for over sixty years, the group had evolved to be a well-respected organization and for thirty years had actually operated its own health maintenance organization that was recognized as an early standard for delivering high-quality care in a region that was not known for closed panel HMOs. In the early 1990s, the medical group decided to sell the managed care plan to an insurance company and operate as a more traditional medical group as it expanded with satellite clinics and its own free-standing surgicenter. In recent years, similar to other parts of the country, hospitals and academic medical centers had begun to acquire medical practices and also began to merge with each other. As a result, the physicians at Reddington felt increasing pressure whether to merge with one of these larger organizations or to decide to continue to grow themselves and stay independent. In 2014, a very large independent primary care practice of some 80 physicians consisting of family practitioners, internists, and pedi- atricians approached the leadership group at Reddington regarding a possible merger. The Hawley Medical Associates had wanted to know about the possibilities of exploring a relationship or engaging in a stronger relationship if a merger was not possible. Preliminary discussion indicated that both groups felt the landscape for practices necessitated the need to scale up for survival. Exploring further talks was fruitful. The Reddington Group The Reddington Group, established sixty years ago, had a board of directors consisting of 10 individuals of whom four were community members. A CMO was a physician appointed for a five-year term, and the current CEO was recruited from outside the organization. This individual had come from a major group practice on the west coast. The management team was highly skilled, most with MBAs. The CFO had formerly been a financial executive at a major health care system in Nashville but had returned to the northeast for family reasons. In recent years, the group had made significant investments in technology, and to support the conversion, the clinical staff were trained to convert. As a result, even the oldest physicians in the group were now comfortable with the use of the EHR system, and the group had achieved a patient registration and utilization of 63% last quarter on the portal. This metric was closely monitored. There was an attempt across the satellites to have a uniformity of patient experience and a brand presence, although on some of the patient surveys, some individuals said that they felt as if they were in "a department store" and it felt a little too "mechanical." At a recent quarterly meeting, the doctors asked the marketing director to try to get a better understanding of what such sentiments meant. The physicians in the group have been relatively stable over the years. Doctors have a productivity formula as it is an incentive-based compensation system. However, factored into compensation are patient satisfaction scores. This issue has been a point of contention with some members of the medical staff who feel it is at odds with trying to be productive in that you can inflate your score, but it can sometimes be at the expense of providing quality medicine. The Hawley Medical Group The Hawley Medical Group was formed approximately in the late 1960s by a group of primary care physicians. Six physicians had left aca- demic medicine in Boston and decided they wanted to start a practice that was less hierarchical in its structure, would provide the highest quality, patient-centered environment, where the clinicians in the group would all have a voice. Over the years, this philosophy remained and all the clinicians operate almost as a cooperative in terms of their major strategic decision-making after they have been with the group for three years, although initially, once a person was hired, they participated in group decision-making. Physicians are compensated based on a straight compensation plus bonus based on the group's margin. The straight compensation is on years employed. The same plan is in place for other staff. While the group has four satellite offices, each office has its own identity in terms of how it positions itself. Patients often remark, "I like the feel of the XYZ site," or "The W location is so mellow," and the Hawley Medical Group believes that's what gives the group its uniqueness. The result of this management approach is a high retention rate in its staff, some of whom have been with the group for over thirty to thirty-five years. In facing the decision to join any group or organization, Dr. Philip Murton said the group met for over a year and a half, and he described it as a "religious or spiritual conversion" for the group to come to this decision point. Nevertheless, he said all realized if the group were to survive, they needed to change with the times. The Reddington Medical Group was a two-hundred-and-twenty-person multispecialty group practice in the northeast. Established for over sixty years, the group had evolved to be a well-respected organization and for thirty years had actually operated its own health maintenance organization that was recognized as an early standard for delivering high-quality care in a region that was not known for closed panel HMOs. In the early 1990s, the medical group decided to sell the managed care plan to an insurance company and operate as a more traditional medical group as it expanded with satellite clinics and its own free-standing surgicenter. In recent years, similar to other parts of the country, hospitals and academic medical centers had begun to acquire medical practices and also began to merge with each other. As a result, the physicians at Reddington felt increasing pressure whether to merge with one of these larger organizations or to decide to continue to grow themselves and stay independent. In 2014, a very large independent primary care practice of some 80 physicians consisting of family practitioners, internists, and pedi- atricians approached the leadership group at Reddington regarding a possible merger. The Hawley Medical Associates had wanted to know about the possibilities of exploring a relationship or engaging in a stronger relationship if a merger was not possible. Preliminary discussion indicated that both groups felt the landscape for practices necessitated the need to scale up for survival. Exploring further talks was fruitful. The Reddington Group The Reddington Group, established sixty years ago, had a board of directors consisting of 10 individuals of whom four were community members. A CMO was a physician appointed for a five-year term, and the current CEO was recruited from outside the organization. This individual had come from a major group practice on the west coast. The management team was highly skilled, most with MBAs. The CFO had formerly been a financial executive at a major health care system in Nashville but had returned to the northeast for family reasons. In recent years, the group had made significant investments in technology, and to support the conversion, the clinical staff were trained to convert. As a result, even the oldest physicians in the group were now comfortable with the use of the EHR system, and the group had achieved a patient registration and utilization of 63% last quarter on the portal. This metric was closely monitored. There was an attempt across the satellites to have a uniformity of patient experience and a brand presence, although on some of the patient surveys, some individuals said that they felt as if they were in "a department store" and it felt a little too "mechanical." At a recent quarterly meeting, the doctors asked the marketing director to try to get a better understanding of what such sentiments meant. The physicians in the group have been relatively stable over the years. Doctors have a productivity formula as it is an incentive-based compensation system. However, factored into compensation are patient satisfaction scores. This issue has been a point of contention with some members of the medical staff who feel it is at odds with trying to be productive in that you can inflate your score, but it can sometimes be at the expense of providing quality medicine. The Hawley Medical Group The Hawley Medical Group was formed approximately in the late 1960s by a group of primary care physicians. Six physicians had left aca- demic medicine in Boston and decided they wanted to start a practice that was less hierarchical in its structure, would provide the highest quality, patient-centered environment, where the clinicians in the group would all have a voice. Over the years, this philosophy remained and all the clinicians operate almost as a cooperative in terms of their major strategic decision-making after they have been with the group for three years, although initially, once a person was hired, they participated in group decision-making. Physicians are compensated based on a straight compensation plus bonus based on the group's margin. The straight compensation is on years employed. The same plan is in place for other staff. While the group has four satellite offices, each office has its own identity in terms of how it positions itself. Patients often remark, "I like the feel of the XYZ site," or "The W location is so mellow," and the Hawley Medical Group believes that's what gives the group its uniqueness. The result of this management approach is a high retention rate in its staff, some of whom have been with the group for over thirty to thirty-five years. In facing the decision to join any group or organization, Dr. Philip Murton said the group met for over a year and a half, and he described it as a "religious or spiritual conversion" for the group to come to this decision point. Nevertheless, he said all realized if the group were to survive, they needed to change with the times.
Expert Answer:
Answer rating: 100% (QA)
Answer Based on the provided information here are the key points regarding the Reddington Medical Gr... View the full answer
Related Book For
Auditing Cases An Interactive Learning Approach
ISBN: 978-0132423502
4th Edition
Authors: Steven M Glover, Douglas F Prawitt
Posted Date:
Students also viewed these marketing questions
-
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
-
Read the case study "Southwest Airlines," found in Part 2 of your textbook. Review the "Guide to Case Analysis" found on pp. CA1 - CA11 of your textbook. (This guide follows the last case in the...
-
Three Zero Coupon Bonds (ZCB) are issued on the market. They each have face value of 100 and maturity, respectively, of 1 year, 3 years and 4 years. Assume the first bond is sold for 99.01, the...
-
The accounts and related balances of Labelle Systems Ltd. are arranged in no particular order. Required 1. Prepare the company's classified balance sheet in report format at June 30, 2014. 2. Compute...
-
Suppose a large spherical object, such as a planet, with radius R and mass M has a narrow tunnel passing diametrically through it. A particle of mass m is inside the tunnel at a distance x R from...
-
Discuss the various dimensions and measures of value.
-
Ausley Acoustics recorded the following transactions during October 2014. a. Received $ 1,500 cash from customer for three months of service beginning October 1, 2014, and ending December 31, 2014....
-
Consider the following financial statement information for the Newk Corporation: Item Inventory Accounts receivable Accounts payable Credit sales Beginning $ 11,000 6,000 Ending $ 12,000 6,300 8,200...
-
The trial balance of Rosiak Fashion Center contained the following accounts at November 30, the end of the companys fiscal year. Adjustment data: 1. Supplies on hand totaled 2,100. 2. Depreciation is...
-
Is there a way to ask for the user to first input their username for their computer and have that user name replace /random/ so that this directory will work regardless of who uses it?
-
Give a definition of total quality management (TQM) and some of its uses.
-
Visit yelp.com and tripadvisor.com. Discuss the impact of the existence of these websites on organizations that provide good and poor levels of service.
-
The following items were received as court awards and damages during 2019. All should be included in ordinary income for 2019 by the taxpayer who received them except: a. Compensation for lost wages...
-
A trust can have the following taxable yearend: a. September 30 b. June 30 c. December 31 d. March 31
-
Which of the following items are deductible to the estate? a. Property taxes accrued at death on decedents home, held in a qualified joint tenancy. b. Interest accrued during estate administration on...
-
The director of a hospital wishes to estimate the mean number of people who are admitted to the emergency room during a 24-hour period. The director randomly selects 36 different 24-hour periods and...
-
Why do CPA firms sometimes use a combination of positive and negative confirmations on the same audit?
-
Burlingham Bees, an independent, minor league baseball team, competes in the Northwest Coast League. The team finished in second place in 2008 with an 87-57 record. The Bees 2008 cumulative season...
-
Ted is an audit manager with a national public accounting firm and one of his clients is Easy Clean, Co. Easy Clean provides industrial and domestic carpet steam-cleaning services. This is the first...
-
On January 24, 2008, Socit Gnrale, Frances second largest bank announced the largest trading loss in history, a staggering 4.9 billion Euro ($7.2 billion U.S.), which it blamed on a single rogue...
-
Top Catch Ltd purchased 2 refrigerated display units, to display fresh fish, on 1 January 2023 for \($23\) 000 per unit or total cost of \($46\) 000. The refrigerated display units will be...
-
On 2 January 2024, Omega Ltd purchased, by exchanging \($420\) 000 cash and a \($250\) 000, 12%, 18-month finance company loan, assets with the following independently determined appraised values....
-
Over a 5-year period, Eureka Ltd completed the following transactions affecting non-current assets in financial years ending 30 June. The company uses straight-line depreciation on all depreciable...
Study smarter with the SolutionInn App