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BDC Advisors Article in HFM Magazine Focuses on Steps Needed to Improve Employed Medical Performance

Physician services are becoming a core component of all health system business models as the voluntary staff model is on the road to extinction. Building high performing health system medical groups requires empowering physician leaders to share reins of power and implementing an increasingly sophisticated model for physician employment MIAMI, Nov. 16, 2017 /PRNewswire/ — Little by little a huge and perhaps not well recognized change is sweeping the healthcare market. Virtually every U.S. health system is now in the physician business. According to a new article “Improving Medical Group Performance as Markets Transition to Value,” published this month in hfm Magazine of the Healthcare Financial Management Association, by BDC Advisors’ Bill Eggbeer and David Fairchild, M.D., this change means that employed physicians services are now a core component of most health systems’ business models.

The authors point out the percentage of hospital employed physicians has increased from 26% in 2012 to over 40% today, compelling all health systems to absorb physicians into their business model. Development of collaborative team-based care models, where physician expertise is maximally utilized for patient benefits, will be an essential part of an effective business model of the future. In addition, new governance and Dyad management models will provide employed physicians with meaningful opportunities to participate in governance and have a voice in operations.

In the article, the authors review lessons learned from the experience of high performing medical groups such as Palo Alto Foundation Medical Group, WellSpan Health in York, Pennsylvania, and the Dallas-based Baylor Scott & White Health, who have effectively utilized new management models, creating an environment where physician leaders can lead “with gratitude and being professionally supportive,” a market’s move along the journey to full value reimbursement.

Eggbeer and Fairchild conclude that building a high functioning physician enterprise will become a core strategy and key to driving revenue, cost, and competitive edge for the high performing health system of the future.

BDC Advisors is a national healthcare strategy consulting firm that transforms and grows healthcare organizations in the value-based market. Established in 1990, the firm’s services include health enterprise strategy, payer/provider innovation, provider network development, organization design and development, population health, and strategic pricing and cost repositioning.

Media Contact: Dudley Morris, 312-286-4865,


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