As PHOs and other similar organizations grow and meet their initial goals, they often find themselves needing large amounts of capital in order to take the organization to the next level. Some of these systems are looking to get this capital by partnering with publicly traded physician practice management companies (PPMC). Finding the right PPMC to partner with is largely a matter of weighing strengths and weaknesses so that the PPMC's strengths fill in the PHO's weaknesses and vice versa.
Putting together a physician practice group and then creating the management and administrative structure for that practice to financially succeed is one of the greatest challenges health systems face today. The marriage can work, experts tell Managed Care Strategies, but only with innovation and careful attention to details such as physician compensation design, governance issues, and methods for resolving conflict resolution.
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