Business of EM: Benefits of Physician Ownership
Business of EM: Benefits of Physician Ownership
When taking over a new ED or making the transition from employees to an independent group, emergency physicians must choose a strategy about how best to organize and staff the enterprise. Most emergency groups today are structured around either independent contractor relationships, physician employees, or owner-partner physicians.
Evaluating the benefits and drawbacks of each approach, within the context of the group’s needs and circumstances, is key to selecting the most appropriate business model. That said, emergency groups that follow the physician ownership path typically enjoy the widest range of advantages over the long term.
With a properly structured physician-owned group, individual physician incentives and group mission are aligned, workforce stability is maximized, and continuity in hospital relationships is enhanced. Given the complexities associated with this approach, however, some physicians elect to enlist qualified third-party practice managers and billing vendors to assist in establishing and operating the business.
Introduction
When taking over a new ED or making the transition from employees to an independent group, emergency physicians must choose a strategy about how best to organize and staff the enterprise. Most emergency groups today are structured around either independent contractor relationships, physician employees, or owner-partner physicians.
Evaluating the benefits and drawbacks of each approach, within the context of the group’s needs and circumstances, is key to selecting the most appropriate business model. That said, emergency groups that follow the physician ownership path typically enjoy the widest range of advantages over the long term.
With a properly structured physician-owned group, individual physician incentives and group mission are aligned, workforce stability is maximized, and continuity in hospital relationships is enhanced. Given the complexities associated with this approach, however, some physicians elect to enlist qualified third-party practice managers and billing vendors to assist in establishing and operating the business.
