The Chartis Forum

Points to Consider

How Does Your Physician Enterprise Measure Up? Viewing Your Physician Enterprise as a Critical Strategic Business Unit

Strategic Business Units are expected to perform efficiently and contribute to a system’s overall financial performance. Failure to recognize the physician enterprise as a Strategic Business Unit and to understand and address lagging physician enterprise performance is no longer an option for most health systems. Facing mounting losses from ever-larger employed medical groups, diminished value of downstream revenues and an unforgiving economic environment, health systems can no longer sustain under-performing medical groups. Organizations must move past complacency and reticence in accepting losses as inevitable or the ‘cost of doing business’ and begin to view their physician enterprise as a critical Strategic Business Unit and major contributor to overall health system financial performance.

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