TEN STEPS NOT-FOR-PROFIT HEALTHCARE ORGANIZATIONS SHOULD TAKE IN 2015
Many health care providers experienced modest improvement in 2014 as patient volumes improved and cost adjustments took hold. But they must navigate transformation in the delivery of care and how it is compensated, along with the ongoing effects of health care reform legislation (PPACA). In response to the changing industry landscape, health care organizations have engaged in M&As and other strategic activities, and have made difficult management decisions.
Mercer’s dedicated health care investment consulting practice, which partners with health care institutions to integrate investment strategy with operating and financial objectives, has identified 10 investment steps not-for-profit healthcare organizations should take in 2015.
“As healthcare organizations plan for 2015, Mercer advocates a process that incorporates the need for investment assets to enhance balance sheet strength, fund capital investment needs, support operating budgets, and maintain debt covenants,” said Michael Ancell, Mercer senior consultant and national segment leader for healthcare investments. “Based on experience working with many institutions in the healthcare industry, we believe ten areas should be the focus of attention in the year ahead.”