Cause for Celebration at ATI

Management and staff at ATI, the nationally-recognized provider of outpatient orthopedic rehabilitations, deserve HIGH- FIVES.  In 2013,  ATI has steadily acquired clinics in key mid-atlantic and midwest states: Delaware, Maryland, Pennsylvania, Illinois, Indiana, Wisconsin.  In fact, over 20 clinics have been added under the ATI banner.  We're pleased... as our former client, MX Physical Therapy, was acquired in January and is part of ATI's growth to date.

Top 10 Healthcare Workplace
Kudos to the Bolingbrook, IL-based organization… for recognition as a Top 10 healthcare company based on results of the yearly WorkplaceDynamics survey.  The survey measures employee satisfaction, engagement, organizational health.  Overall, ATI was ranked #54 of the 872 companies (with 1000+ employees)  participating in the top workplaces programs.  >>Learn more

In the Spring, ATI was also recognized regionally as a top workplace in the Philadelphia and Indianapolis regions, respectively.

As a proud President and CEO, ATI's Dylan Bates noted:

“As we look to the future, and as our company continues to grow, we are even more determined to provide an environment in which our employees can enhance their skills, succeed in the field of their choice, and grow from the positive experience of having excellent outcomes for our patients,” 

Good Job ATI...

Do Well by Doing Good

Community Marketing - it's smart marketing for local businesses… 
It raises your profile and elevates your reputation in the community.  And, that's a good thing if referrals and foot traffic are important.  So, how to?

According to Dr. Roger Levin from the Levin Group...

• Create an annual High-Visibility Event that benefits the community.
• Choose a Good Cause and "Own" it. 
• Involve your entire team to identify a local need and fill it.
• Keep the staff engaged so all have a stake in event success. 

Possibilities:  food drive for local food bank, fundraiser for nonprofit

Make the event memorable and worth repeating year after year:

• Think creatively
• Pay attention to details
• Create a timetable
• Assign responsibilities 
• Meet deadlines  

Enjoy Your event, the community connections and a job well done!

PatientFocus Signs Agreement with Choice Medical

PatientFocus, a healthcare billing company providing enhanced patient billing services, has signed an agreement with Choice Medical, Inc., a specialty distributor of orthopedic, neurosurgical, orthotic and prosthetic product lines. 

The agreement will give Choice Medical patients access to Patient Focus’ suite of patient-pay account management services.  Payment options will include check, credit card, bank draft, Health Savings Account and PayPal.  >>Read more

Hats off to U.S. Physical Therapy…

Forbes recognized the operator of outpatient physical therapy as a Top 100 U.S. small business.  Its #60 ranking is impressive as is its operational footprint - approximately 450 clinics in over 40 states.  Founded in 1990 and currently headquartered in Houston, U.S. Physical Therapy has close to 2000 employees.  

Kudos to other healthcare services companies appearing on the latest Forbes America's Best Small Companies list:  

• Metropolitan Health Networks
• Air Methods
• Bio-Reference Laboratories
• HealthStream
• HMS Holdings
• Ensign Group

Inclusion was based on earnings growth, sales growth, ROE in the past 12 months and over 5 years.
Source:  The Motley Fool

Pay Raise for Physical Therapists?...

Medicare recently released its proposed fees for healthcare professionals scheduled to take effect January 1, 2014.   As expected, there were winners and losers…a few are noted below but Click here to learn how others will be affected.  

Winners
Physical / Occupational therapists… +1%
Family practitioners…+1%
Chiropractors…+2%
ER physicians…+2%
Losers     
Dermatologists…-1 to -2%
Radiologists… -1 to -2%
Pathology specialists…-5%
Radiation therapy centers…-13%

3 Questions to Get Your Business Unstuck

Unsure of your business' next steps?  Glenda Eoyang, author of Adaptive Action:  Leveraging Uncertainty in Your Organization suggests that you start with 3 questions:

1. What is going on around you?  (Helps assess the current state of business affairs.)
2. So, what does this mean? (Helps clarify why it's important.) 
3. Now what do you do? (Set the path but be willing to change course, if necessary.)

Read more>>>

Source:  CEO.com

Retail Clinics Continue to Roll Out

Up 7% percent (as of July 1) - that's the growth of retail clinics year over year, according to Merchant Medicine, a consulting firm in the field of walk-in medicine. 

Impressive…

Today, the total number of retail clinics is over 1400 in 38 states and Washington, D.C.* and the upward trend will continue.  Evidence is the recent announcement by CVS, Minute Clinic's owner, of their plans to double locations by 2016 from 570 to 1000.  

Not surprising…

After all, a Forbes article points to the fact that retail clinics are expected to be a key component of Obamacare when it kicks in next January (2014) -  either through a private health plan operating on an exchange or through Medicaid health insurance programs for the poor.  Read more>> 

Solid ground…

Healthcare's walk-in side must be doing something right.  An editor at Physicians Practice, suggested in a blog post that traditional practices could learn a few things from retail clinics.  During a recent visit, she was impressed with the walk-in's "cleanliness and efficiency in handling patient intake, prescription list, insurance information and payment all by one person."  Another important point, her "care-coordination was equally smooth".    

*Convenient Care Association

Quick Look Back...

A few months ago, the MT Consulting newsletter featured the thoughts of investment banker John Slater from FOCUS.  His article in the March, 2013 FOCUS newsletter pointed to an expected rise in company valuations in 2013.   His words also caught the attention of blogger Billy Frank at Axial, a technology company that offers an online marketplace connecting people, information and capital.  Yesterday’s Axial post recognized Mr. Slater’s words...and those of others in 17 Must-Read M&A Quotes from 1H 2013.  Take a look!

"The next 12-18 months will almost certainly be a highly favorable period for business exits.  If this proves to be a cyclical market top, the next favorable period for businesses owners wishing to sell may not come around before the 2020s.  In 2020 today’s sixty six year old Baby Boomer will be seventy-three and today’s fifty eight year old will be sixty five and studying Medicare options.” ~ John Slater

Infusion Therapy Provider Capitalizes on Growing Market

© Kulty Stock Free Images

Medical Specialties Distributors (MSD), supplier of infusion therapy products and supplies sees a bright future.  With the infusion therapy industry predicted to grow 50% by 2019*, MSD strengthened its position with the recent acquisition of Medical Technology Resources (MTR).  MTR specializes in drug-delivery technology and the billing of infusion products to healthcare providers.   

 "MTR's unique offerings and strong presence in the Midwest enhances our leadership position in the growing home infusion and oncology markets," said James Beck, president and CEO, MSD.  "Over the past three years, we have grown our national footprint through partnerships with multi-site health care providers and strategic relationships with leading manufacturers.  This acquisition is one more step toward our goal of creating a stronger growth platform for MSD.

In 2010, MSD partnered with Water Street Healthcare Partners, a private equity firm that focuses exclusively on the healthcare market.

The U.S. market for infusion therapy devices was valued at just under $1.5 billion in 2012, a 3.2% increase over 2011*. The market includes infusion pumps, intravenous (IV) sets, and needleless connectors (NLCs).  Spurring growth is NLCs and disposable ambulatory infusion pumps (as the number of alternate infusion therapy sites increase).  >>Read more 

* RnR Market Research

Retail Clinics Popular with High Earners

Trending up – that’s what a late 2012 survey report revealed about the use of retail clinics (generally located in drug stores and staffed by nurse practitioners or physican's assistants).   Not a surprise... that the survey publisher attributes the rise in use to convenience of appointment-free services, expanded hours compared to the average physician office and lower costs.  The survey from healthcare market research publisher, Kalorama Information, reported that 21.3% of US adults have visited a retail clinic - up from 10% in 2006.  

Now, Kalorama reports that retail clinics are favored more by higher earning households.   A survey of 2000 adults revealed that “59% of survey participants who said they used retail clinics had a household income of more than $50,000, while only 16 percent had a household income of under $25,000.”  Again, not a big stretch...as higher earners are visiting stores more frequently.  

As chain operators (Walgreen’s, CVS, Wal-mart, etc.) continue to promote their in-store clinics and offer services attractive to this income group (e.g.: camp physicals, weight loss programs), increased retail clinic visits is expected.  >>Read more

Direct Access in All 50

Done deal!  Indiana, with signed legislation, becomes the last state to allow residents to seek physical therapists’ services without a physician referral.  The state chapter of APTA has been working on Direct Access for over 13 years... now a reality beginning July 1st.

Benefits of Direct Access include a patient’s quicker access to care and medical cost reduction.  >>Read more

Plus 2 for The Ensign Group

The Ensign Group, Inc. ended the month of May with two more assisted living facilities under its corporate umbrella.  With operations primarily in the western US, the company now enters California's Central Coast region and complements existing facilities in the greater Salt Lake City-area.

118 Facilities in 11 States 

Last week’s acquisitions continue the company’s expansion of its assisted living base, increasing Ensign’s healthcare facility portfolio to 118 in 11 states.  Ensign group service companies include skilled nursing, rehabilitative care, home health care, hospice care, urgent care in addition to assisted living.

The Ensign subsidiary, Bridgestone Living, Inc. will oversee the transition of the 110-unit Santa Maria Terrace (Santa Maria, CA) and 69-unit Lake Ridge Senior Living (Orem, UT).   

>>Read More about Ensign's California and Utah acquisitions.

The Other Three R's

Remember the three “Rs”? 

While the educational approach to - Reading, (w)Riting and (a)Rithmetic - has changed over the years, I suspect that many of today’s business leaders excelled in one or more of these disciplines.  And, now... there’s another set of “R’s” for them to focus on.

Doug Dickerson, a leadership consultant, outlines the value that all leaders can bring to their teams through...

• Recognition
• Respect
• Reinforcement

John Maxwell, another leadership writer, asserts that you don’t have to be the main leader to make a significant impact on your organization. >>Read more to learn how to add value as a Leader.

“People always move towards someone who increases them and away from someone who decreases them.” ~ John Maxwell

NAPA Nabs Nearby NJAG

North American Partners in Anesthesia known as NAPA and headquartered in the New York metro area didn’t go far to expand its influence. The New Jersey Anesthesia Group (NJAG) recently joined NAPA, the largest anesthesia management company in the U.S.

The New Jersey Anesthesia Group anesthesia practice adds 73 clinicians to NAPA’s operations and 1000 clinicians.  The northern New Jersey-based organization currently provides services to 4 hospitals as well as 12 regional outpatient facilities.  Additionally, NJAG’s pain management division (Total Pain Care) serves northern New Jersey counties, Passaic and Bergen. 

NAPA’s expansion efforts have been aided by the 2011 recapitalization by Moelis Capital Partners.  The NJAG acquisition follows NAPA’s acquisition of two Pennsylvania anesthesia practices last December (2012).

>>Read more

Clinic Efficiency Tips...Worth Repeating

In the words of Dictionary.com:  
ef·fi·cien·cy [ih-fish-uhn-see]:  accomplishment of or ability to accomplish a job with a minimum expenditure of time and effort.

Efficiency...We’re always trying to improve upon it whether at home or work.  The weekly PPS multibriefs newsletter recently offered key efficiency tips for rehab therapy owners - which can clearly be leveraged by other healthcare-related clinics. 

Quick Tips:

1. Establish a process and share with staff & patients
2. Keep traffic flowing.
3. Avoid handoffs:  one focused staffer best.
4. Huddle up.. review daily schedules with staff
5. Create a culture of timeliness.  Respect time of others.
6. Find your groove...what’s your best work style?
7. Get techy.  Today’s devices are time savers.

>>Read more

Start New Managers on Road to Success

© Stock Free Images

It happens in many businesses... management identifies a good employee and promotes them into a leadership role (e.g.:  manager, supervisor, etc.).  While “promoting from within” is a noble practice, there’s more required of management than changing a title and adjusting salary.  

Paul Spiegelman, CEO of BerylHealth suggests that preparation is key to turning a good worker into a great manager. Consider Spiegelman’s “Must-do” list to set your newly promoted leader on the path to success:

• Give them a mentor for a period of time.
• Invest in either internal or external training.
• Guide them in how to be an example to others.
• Teach the difference between management and leadership.
• Check in often to help them with new issues they'll deal with.
• Make sure they enjoy the new role.

>>Read more
Source:  Inc. Magazine

Goldman Investment Forms Resolute Anesthesia

Resolute Anesthesia and Pain Solutions, LLC, was recently formed by a Goldman Sachs Private Capital Investing Group investment in two Florida practices -  Broad Anesthesia Associates and Mid-Florida Anesthesia Associates.  The new physician-led organization is based in Boca Raton, FL, and provides anesthesia and pain management services. 

Currently, Resolute serves 25+ locations in Florida, Missouri, and Illinois.  With Goldman Sachs backing, the company has access to additional capital and management expertise - key to its expansion goal of becoming a national provider of anesthesia and pain solutions. Andrew Barnett, with  experience as former CEO of The Center for Wound Healing, will lead the organization's growth.  >>Read more

Interest in Animal Healthcare Continues

New Owner for Best Friends

Webster Capital, a private equity partnership whose investments include healthcare services will give Best Friends Pet Care a new home.  Brynwood Partners, the seller, will maintain a minority stake in the business.

Best Friends operates 42 centers nationwide (including Walt Disney World Resort) offering pet boarding, grooming, training and veterinary services.  Webster will partner with vet industry expert, Shane Kelly, to extend company’s animal healthcare services – adding six veterinary hospitals adjacent to current Best Friends locations.  >>Read more

Ensuring Healthy and Happy Friends

Other 2013 sector acquisitions:  Perrigo, entered the animal health market with its October, 2012 acquisition of Sergeant's Pet Care Products Inc., maker of flea and tick medicines.  Complementing Sergeant’s is the 2013 planned acquisition of Velcera Inc., another maker of flea and tick medicines sold over the counter.  >>Read more

Acquisition of Teva Pharmaceutical Industries (Shawnee, KS) in early 2013 strengthened German-based BayerDVM HealthCare’s leadership in the companion animal and food animal health industry. Dermatology products and nutraceuticals encompassing joint and gastro-intestinal products for companion animals is part of the acquired product portfolio.   >>Read more 

Heska, a provider of veterinary diagnostic and specialty products acquired roughly 55% of Cuattro Veterinary USA, LLC.  According to Robert Grieve, Heska CEO,

“Digital imaging and the long-term archival of imaging studies in cloud-based data centers is one of the fastest growing segments in veterinary medicine.” 

Cuattro Vet fills this niche with best-in-breed digital radiography, cloud-based PACS, ultrasound and imaging services suite in veterinary medicine.  With Heska’s established and extensive sales network, exposure and placement of the Cuattro Vet systems is greatly enhanced as is revenue and growth potential for Heska. >>Read more

A Different Flavor for EHR...DocuTAP

© Nezezon / Stock Free Images

The latest buzz surounding electronic health record provider, DocuTAP, is the additional venture capital financing for the Sioux Falls company founded in 2000.  The $11.9M injection is earmarked for increased marketing.

What caught my eye is their departure from the “vanilla” EHR varieties.  DocuTAP’s is focusing on one of the fast growing healthcare “flavors du jour” - Urgent Care.  The company appears to know its niche – experiencing significant growth over the last 12 months and consequently, tripling their workforce to support their services. 
"How Sweet!"... for their financial partners, Bluff Point Associates and Bessemer Venture Partners.  Read more

AxelaCare Finds Harvest Home

© Dreamstime Stock Photos

Founded in 2008, AxelaCare has been on a quick pace to becoming one of the country’s leading home infusion therapy providers.  Therapies provided range from immune globulin (IG) therapy to antibiotics and nutrition therapy.  Investment from Excellere Partners in 2010 aided AxelaCare’s innovation and tremendous growth - 30-40% per year.

AxelaCare’s management team and New York-based Harvest Partners, LP recently completed the acquisition of the company from Excellere.  Harvest’s senior managing director, Ira Kleinman noting, 

“The company’s [AxelaCare] investment in processes, technology and people has led to an efficient, scaleable model with opportunity for continued growth as a larger share of the population seeks access to these vital services.”  

Read more