Healthcare Systems

Introduction The Fargo, North Dakota healthcare mart is served by galore(postnominal) antithetic physicians and hospitals. This nation includes an eastern North Dakota and a band of westbound Minnesota. St. Luke’s Hospital and the Fargo Clinic are both major(ip) players in this region. St. Luke’s was a community not-for-profit hospital, and the Fargo Clinic was two check for-profit corporations. Until recently, they train been operating as separate entities. In 1986, they create a partnership and proceeded to direct separately but to a lower place the vocation name of MeritCare. This was done to position both of the companies for next growth, fusion, or expansion. As of January 1, 1993, the restructured nonprofit organization had been puzzle outing as one. The appointed merger date was set for July 1, 1993. It is felt that the merger ordain allow both organizations to cut costs and summation constancy by eliminating duplication of facilities and services, increasing oerall efficiency, and providing better economies of scale. The crowning(prenominal) object of the merger will be to provide an integrated, cost-effective trunk of care that will be appealing to the market they operate within.

Background The Fargo-Moorhead Metro Area that these facilities serve had a 1990 cosmos of oer 150,000. The total market eye socket includes another 215,000 persons. Medicare, aristocratic Cross/Blue Shield along with other established forms of health insurance, dominates the payor market. HMO’s and PPO’s make up l ess than five percent of the market. The t! otal market area has 14.6% of the population over 65, which is higher than the national average. This number should function explain the importance of the Medicare market. The Fargo Clinic, in 1993, had 250 physicians in 30 locations. v of these are larger clinics, with the rest being smaller community-based facilities. They had over a million patient visits in 1992, with over half coming from...If you want to get a full essay, install up it on our website: OrderCustomPaper.com

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