Question:
I would like to know if
we will be provided with a patient/provider mix of STHN in order to make an
analysis on that.
Answer:
STHN is a start-up organization, so it would
have limited experience with payor mix. The area is both poor and aged, so you
can reasonably assume that the member organizations serve a heavier than average
Medicare and Medicaid mix. If you feel
this information is important to arrive at your recommendation, then as part of
your research, examine the patient/provider mix in the member organizations
listed for that region.
Question:
Will you provide us
with an income statement and balance sheet?
Answer:
Review the
resources provided with the case. Keep in mind that STHN is in start-up mode.
It has had capital contributions from the members to get started. The members
will need to make additional capital contributions based on the business plan.
That is why re-looking at the assumptions and strategy is so important…if the
costs of care are higher than expected the members will have to contribute more
capital. That is also why the payment model is so important. A current income
statement and balance sheet would do little to inform your thinking. If you feel
that you need more detail, then as part of your research you can explore income
statements and balance sheets for comparable organizations and make reasonable
assumptions based on that research.
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