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Clinical Integration: A New Model for Cost-Effective Health Care

Two health systems that make it work

The Advisory Board Co.
Tue, 09/13/2011 - 11:43
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In our current health care environment, hospitals face increasing urgency to strengthen relationships with physicians. Among the concerns are an aging population driving increased demand for health care (as well as a growing Medicare population), reimbursement reductions and changes, and physician shortages in key specialties. In this environment, it is more critical than ever that hospitals engage physicians to enhance health care quality while also improving efficiency and cutting costs across all care settings.

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To achieve these goals, physician organizations at leading systems such as Covenant Health System, a member of St. Joseph Health System based in Orange, California, and Memorial Hermann Healthcare System of Houston, have developed clinical integration (CI) programs. These can serve as a bridge for hospitals to join the Medicare Shared Savings Program after first developing accountable care capabilities through contracts with private payers and local employers.

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