Management Service Organization Agreement

Medical practice management can be defined as „a growing business strategy to help [organizations] overcome the challenges of fluctuating markets and adapt to the ever-changing needs of consumers.“ 1 Medical practice management companies, also known as Management Services Organization (MSO), perform a large number of tasks, including those related to: Physician-owned MsOs can be designed to give established physicians complete clinical autonomy while optimizing operational efficiency through common services. Services may include, for example: does the possession of the professional unit or the provision of services on behalf of such a unit affect the full-time position or the existing medical practice of physicians, if any? It is always important to check for non-competition clauses and other restrictions applicable to employment contracts. Many MSOs also require physicians to enter into a non-compete regime that must be carefully considered. There are many generally accepted approaches, methods and procedures for the assessment of MSOs in the health sector. The choice of approach or method(s) depends primarily on the purpose of the evaluation report and the specific characteristics of the services to be evaluated. The objective and purpose of the order, the standard of value, the values, the availability and reliability of the data must be taken into account by the evaluation analyst in the choice of applicable approaches and methods. The services typically provided by an MSO can be grouped into three main categories of sub-services within each group, as shown in Figure 2 below, 1) strategic and administrative services, 2) clinical or operational program design, and 3) clinical decision support and technology activation service. Incentive for network development: For health systems interested in developing their network of providers, an MSO can be an incentive to attract potential partners. A robust MSO is attractive to the market because it allows the provider to focus on providing a quality clinical service, without any management and management burden.

In addition, effective MSO services for population health and care management can reduce utilization in areas traditionally critical to the cost-effectiveness of the health system or hospital (e.g. B days of hospitalization and hospitalization). As part of cost modelling, organisations should consider the estimated revenue potential resulting from the provision of effective care management services and the organisation`s ability to negotiate with MCOs for higher percentages of membership premiums, reconciling this with the costs of reducing usage under current service fee reimbursement models. Daniel J. Chen, MSF, CVA, is a Senior Financial Analyst at HCC, where he develops opinions on the fair market value and economic suitability of healthcare companies, assets and services. . . .