Beyond the hospital walls: Post-acute care opportunities and strategies
With the move to value-based care, post-acute assets and capabilities will become a more integral part of any action plan.
Manage costs
How do I improve our operational processes and get value out of our acquisitions?
To prepare for expansion, you should have a strategic approach to cost management and margin enhancement. Whether you’re growing within your market or improving operational performance, look to our Fit for Growth team. We’ll help you respond to changing healthcare market conditions, be more competitive, improve your operational processes, and align cost structures so you’re prepared for progress. Our Fit for Growth team focuses on more than cost reduction—we help you align your costs to support your strategy.
How PwC can help
Cost-cutting alone is no longer enough to propel organizations to sustained prosperity and growth. A strategic approach to streamline and transform your business will differentiate you from competitors and help exceed customers’ new expectations. A leaner organization frees up new opportunities to support your unique culture, capabilities and ambitions that drive performance.
Who we help
Our cost-management services benefit payors, providers and new entrants. We also work with research institutes, medical manufacturers, pharmacy providers, health services organizations and life sciences companies to achieve sustainable margin improvement for their organizations.
Client: Health system
Issue
Facing increasing pricing pressures, a large health system sought a deep evaluation of its cost structure to maintain strong future margin, create a cost-effective and value-based future state operating model and support its strategic vision.
Impact
- Identified $500-700m of potential improvement opportunities.
- Redesigned administrative functions to attain an estimated 30% ($300m) cost savings within 36 months.
Source: PwC Final Report 2014
Client: Academic medical center
Issue
An academic medical center recognized that upcoming reimbursement and regulatory reforms will necessitate more efficient operations to maintain success and support a healthy operating margin.
Impact
- Identified targeted margin improvement goals including $270m in annual savings.
- Recommended a new system-wide operating model for an additional $153m.
- Redesigned clinical care delivery model by service line.
Source: PwC Final Report 2013
Insights
Vital signs: What to consider before launching a provider-sponsored health plan
Half of US health systems are contemplating owning a health plan. What should they consider before launching a provider-sponsored health plan in the New Health Economy?
Go big or go home: Accelerating the rollout of bundled healthcare
Bundled healthcare holds the promise to transform the healthcare system, improving patient outcomes and reducing costs.
