Majority of doctors look to informal arrangements with hospitals, but not buyouts
More than 40 percent of medical practice executives who responded to a January 2014 survey indicated that they have or are planning to integrate their practice with other healthcare organizations on an informal basis, including clinical integration with a hospital or health system, or forming or joining an accountable care organization, physician/hospital organization or independent practice association.
Only 27 percent of respondents indicated that they have or plan to formally integrate by merging with another physician-owned practice or by selling practice ownership to a hospital or health system.
The Medical Group Management Association conducted its seventh annual “Medical Practice Today: What Members Have to Say” survey between Jan. 2 and Jan. 24. The association invited members via email to participate in a web-based questionnaire in which they rated 28 issues and identified which challenges were most applicable to and intense in their daily work.
“It’s not surprising that medical practices are exploring ways to accommodate patients and combat mounting administrative pressures – and are looking beyond the walls of their organization to do so,” Susan L. Turney, MD, MS, FACP, FACMPE, president and chief executive officer of MGMA, was quoted as saying.
According to 542 respondents, the most applicable and intense challenges of running a group practice include preparing for the transition to ICD-10 diagnosis coding, dealing with rising operating costs, and preparing for reimbursement models that place a greater share of financial risk on the practice. Respondents also cited “engaging patients to improve outcomes” and “leveraging new technologies to enhance patient communications through patient portals, emails, websites and video conferencing” as highly applicable in running a medical practice.
“Medical practice executives and clinicians are teaming to design mechanisms to engage with patients to improve outcomes,” said Turney. “It’s encouraging to see that medical practices are being proactive in this changing environment and leveraging new technologies to respond to patient needs and expectations.”
Physician compensation
Meanwhile, another MGMA survey shows that quality measures continue to be a small yet increasing percentage of total compensation for physicians. According to the MGMA “Physician Compensation and Production Survey: 2014 Report Based on 2013 Data,” primary care physicians (who indicated that they were not part of an accountable care organization or a patient-centered medical home) reported that an average of 5.96 percent of their total compensation was based upon measures of quality. Specialists reported that an average of 5.7 percent of their total compensation was based upon quality metrics. Some specialists, including anesthesiologists, internists and hospitalists, reported that a higher percentage of their total compensation was tied to quality metrics.
Practices also reported that patient satisfaction played a small role in physician compensation. Primary care physicians reported a slight increase in the percentage of compensation tied to patient satisfaction, and specialists reported that an average of 2.31 percent of their compensation was tied to patient satisfaction, compared to 1.61 percent reported in 2012.
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