– PHOs Definitely Worth Another Look, New Data Finds
April 7, 2011: Independent practice
associations (IPAs) and physician hospital organizations (PHOs) have
risen to a prime position in the healthcare provider market, especially
in recent months, according to research by the Managed Care Information
physician organizations were
written off for dead just a few years ago. Impatient for successful
results, hospitals and physicians were shutting down their PHO
partnerships,” said Robert K. Jenkins, MCIC CEO.
IPAs just faded away - just another
healthcare ‘gimmick.’ A failed idea, he added.
So the overall
numbers of physician organizations
has shrunk in terms of numbers of organizations, according to data
analyzed from the research results for the National Directory of
Physician Organizations Database, produced by the MCIC.
the PHOs and IPAs with sharp
leadership stuck with it. And, today they are stronger and importantly
positioned to be significant players in today's changing provider
arena,” Jenkins said.
First the major
IPAs across the country proved
that they were indeed viable. Led by sharp executives and leadership,
patients and health plans and their members came.
"If you build
it they will come."
After a few
battles with the federal trade
commission physician organizations got the FTC's green light for
clinical integration initiatives, he observed.
wave of pay-for-performance programs
reinforced that IPA and PHO member physicians could ramp up their
quality of care measures and patient satisfaction numbers.
Because of the
success of IPAs, our research has
found that there has also been a wave of consolidation further
strengthening their position in the marketplace, Jenkins said.
managed care executives have told us
about what’s shaping today’s market.
Reform...it is changing the
entire playing field; Significant changes in the relationships between
payors, providers and patients due to health reform; tiered networks
that exclude academic medical centers; Continuing movement from
government and payors to P4P programs (heavy emphasis on quality); and,
P4P will be easier for large carriers to implement than any real
payment reform,” were among just a few of the observations
shared by participants in the Managed Care Leadership Survey.
said, “even as rules
governing accountable care organizations have just been proposed by the
Centers for Medicare and Medicaid Services (CMS) physician
organizations in several sections of the country have been
organizations now have as physician
members a major number of the practicing primary care and specialist
physicians in the country.
And, as they
continue to bulk up, physician
organizations are having to upgrade their infrastructure, IT systems,
rising tide does indeed float all
boats; at least the IPA and PHO crafts,” Jenkins observed.
Managed Care Information Center
Directory of Physician Organizations Database
Managed Care Information
Atlantic Ave., Ste. 200, Manasquan, NJ 08736;
(732) 292-1100, www.themcic.com.