Merger Of Hospital A And B.

The hospitals will be able to benefit from this merger by increase their revenues as a starter. The main source of profits for hospitals is the physicians because they are the ones that admit patients, referral, and use the services that the hospital’s provide such as labs and tests. Without the physicians’ help, the hospitals will not be able to provide their services. Second, this merge will increase the hospital control over the market. Many hospitals are known for their physicians and their researchers for example, M.D Anderson is number one hospital for cancer care, while Memorial Herman is ranked number 2 for rehabilitation care. So, having the best physicians will increase the hospital’s leverage. Third, the hospital will be able to

Omnicare, Inc., (NYSE: OCR) and CVS Health Corporation (NYSE: CVS), are two competitive firms in different industries. A press release announces that “CVS Health and Omnicare sign a definitive agreement for CVS Health to acquire Omnicare” ("CVS Health and Omnicare Sign a Definitive Agreement for CVS Health to Acquire Omnicare," 2015). The purpose of this paper is to discuss the merger of CVS and Omnicare. First, the paper describes the principal firms in the merger and the industry in which each operates. Secondly, the paper discusses the incentives to consolidate from the viewpoints of each firm. Thirdly, the writer explains the competitive environment in the industry and how it benefits the firms and society.

This paper will show the ratio computations to Patton-Fuller Community Hospital. From these computations, taken from the Unaudited and Audited Reports from 2009 and 2008, Team E will address significant changes, if any occurred, and address what Patton-Fuller Community Hospital plans are within the next year to five years regarding any changes. In closing this paper will address the reasons that our team agrees or disagrees with the CEO’s report presented to the Board.

Mergers have become normal practice in the health care industry by creating a larger hospital system that provides broader services with the focus on lowering healthcare cost and being economically profitable with keeping in line with regulatory guidance. A merger happens when two or more organizations agree to join together and become one organization. One or more organizations essentially must dissolve for this to happen. Sometimes both organizations dissolve and take on a completely new name as in this case of the merging of the two competing hospitals. (McClure, n.d.) Hospitals along with health systems are following the same trend to merge with other hospitals, this movement has continue to gain momentum and appears to be the future trend in the health care industry due to high operating hospital cost. In a survey done in 2012 regarding hospital maintaining independence only 13% plan not to align with other hospitals or health care systems, while the other 87% plan some type of merger with another hospital or health care system. (Hospital Mergers and Acquisitions, 2013)

The healthcare has had some major changes in the last 5 years. The health care system closed two of its older facilities to make room for a newly built hospital. One of the South facilities that closed has left a major gap in city coverage. Residents of the southern area are now more likely to use their competitor’s facility in that area. The systems main campus in the downtown area is in need of many

There are a number of technologies that can be applied in the process of meeting the mandated requirements that will have some impacts of a merged healthcare organization. There are a number of technologies that are required to monitor the operations carried out in most of the merged healthcare systems. Some of the systems include CCTV systems that are meant to monitor the activities of different people who work in different departments in the organization (Buerhaus, Staiger, & Auerbach, 2009). The CCTV systems will also make sure that all the personnel who are given access to the central data repository center are those individuals who are allowed to carry such operations are no intruders access these systems (Lazakidou, 2016).

Hospital Alliances or merger is rapidly growing in the health care industry. Hospitals could use merger or acquisition for acquiring a larger market share in any prevailing financial circumstance. Strategic alliances are arrangement between two or more organizations for the purpose of ongoing cooperation and mutual gain/risk sharing (Burns, Bradley & Weiner (2012). Joint ventures, mergers and other arrangements between providers are most often intended to re-align the interests of the individual providers with the consumer and public policy goals for a less costly, more efficient, high quality, accessible - and above all else, coordinated - health care system. Organizations form alliances with the expected return or benefit of improved financial

PSHMC before the merger happened. In addition, Penn State staff benefits were better before the

Harvard Pilgrim Health Care was recognized as one of the best medical assistance provider. They had one of the best team of professionals. They had simultaneously won many awards for their best services offered in clinical practices. By the 1990s, they were stuck in an eccentric dilemma. Harvard Pilgrim Health Care wanted to expand their services with the growing trends and getting their projects within time but they were not only short on human but financial resources as well. The healthcare industry was growing on a very fast pace and it required Harvard Pilgrim to grow with it but unfortunately they did not have enough resources that sealed their growth.

Therefore, this could be a major problem with staff’s seniority. What happens if John Doe has 15 years at King Memorial Hospital and Jane Doe has 15 years at Johnson Pike Hospital and they perform the same job? Johnson Pike Hospital has a contract for 5 years with King Memorial to provide quality of care without duplication. This scenario will cause dissension to occur between staff members which will affect the quality of care being provided. Consequently, the only option is for layoffs to occur to correct the overstaffing that resulted in the merger. However, if the two hospitals merge for profit only and maintain both hospitals, each hospital would maintain their staff. Consequently, the plan to increase the profits may take a little longer and could be risky financially of the viability of the two facility co-existing separately. Consequently, for all of these possible scenarios of the effects of mergers, it is so important to analyze all the parameters thoroughly before undertaking a business

The health industry has witnessed this October the merger of two major health insurance firms, which are Aetna and Humana Inc. Humana shareholders approved this October 19 the Aetna acquisition offer of an amount of $37 billion in cash and stock. Aetna would pay around $230 per share, what represents a premium of 23% from the closing stock price of July, when the offer has been made. This deal will allow Aetna to become the largest provider of Medicare plan for the elderly. For the context, Aetna is the third biggest health insurer in the US in term of revenue while Humana is the fourth biggest company.

According to Dale Carnegie (2011), every individual has an innate need to feel important (Carnegie, 2011) . Individuals who feel important feel good about themselves. One way to achieve this is a merger process is for nursing leaders to recognize and acknowledge every employee’s excellent performance and positive contribution . Additionally, nursing leaders must make employees feel that they are a part of an organization that shares the same mission, vision and values. This is achieved by giving each employee a sense of purpose while acknowledging their important role in the company operations. This process gives them some sense of control amid uncertainty of the merger. This connection serves as a strong source of motivation

Healthcare systems in the United States function in an increasingly competitive and complex industry due to the nation’s ever-changing healthcare policies. The community-based and public service oriented not-for-profit hospitals are continually navigating these burdensome regulatory requirements and finding ways to align their strategies with the need to survive. With the goal to preserve and strengthen community services, augment financial sustainability, improve operational effectiveness, and expand sources of capital growth; one such strategy considered in this case study is the merger of two independent not-for-profit entities into a single, consolidated health system.

This paper will provide an analysis of the health services industry’s opportunity for mergers. First, this paper will suggest the key financial drivers that most likely will cause health care organizations to merge. Next, it will determine the evaluation criteria that a financial analyst would use to evaluate the financial performance of the organization post-merger, and identify the determinants that the analyst would use to decide whether or not the merger generated favorable financial results for the organization. Furthermore, this paper will determine the key factors that will drive the financial planning process for most organizations in the post-merger phase, and thoroughly examine the related impact to the organization’s process. Also, it will create an argument to assert that the financial planning process is of high value to a health care organization. Finally, this paper will predict the financial stability of the health care industry over the next five years.

Maintaining the human needs of the staff members in the merger would entail keeping the employees informed about the organizational changes brought about by the merger. This would mean applying an effective communication strategy that keeps the employees well informed as members of the team. Mainly, during interdepartmental mergers, the nurse leader must build a communication plan throughout the merger process. In this case, the nurse leader clearly communicates details about the merger to every stakeholder affected by the change, including employees, patients, and vendors (Dessler, 2011). Implementing proper channels of communication will facilitate sharing of information between stakeholders, consequently reducing conflict, improves