Becker's Hospital Review

29 29 CEO/STRATEGY Incoming HCA CEO Sam Hazen on system's future: 4 takeaways By Alyssa Rege I n his first earnings call as in- coming CEO of Nashville, Tenn.- based HCA Healthcare, Sam Hazen discussed the company's performance and explained why the health system will continue to be a fierce competitor in the field under his leadership, the Nashville Busi- ness Journal reported. Here are four takeaways: 1. Mr. Hazen will take the helm of the 179-hospital giant once current CEO and Board Chairman R. Milton Johnson retires Dec. 31. 2. During the third quarter of 2018, HCA reported $11.4 billion in reve- nue. Mr. Hazen cited several reasons for the company's purported growth next year, including positive trends in the company's markets, a larger market share within those markets and a deep pool of management talent, the report stated. 3. Mr. Hazen said the demand for care services in HCA's urban mar- kets is increasing and the company is poised to take advantage of that need because of its extensive ser- vice offerings and size. He said HCA has grown its market share by mak- ing capital investments into its facil- ities and building additional outpa- tient facilities in suburban areas, all while improving patient outcomes. 4. While industry changes will con- tinue to inform the way the compa- ny's operational goals and expec- tations, Mr. Hazen said he expects HCA's patient volume and earnings to increase next year. "As we always do at HCA, we will challenge ourselves to find oppor- tunities to increase performance," he said during the earnings call. n Walmart looks to add health clinics in its parking lots By Ayla Ellison W almart stores in several states are transforming extra parking lot space into "town centers," some of which could include health clinics, ac- cording to Business Insider. "The Walmart Town Center concept is an exciting approach to how we serve our customers by moving beyond the store's four walls and reimagining how we use our unique assets — our existing stores and the surrounding land — to transform how customers experience Walmart," a Walmart spokesperson told Business Insider. Walmart provides details about a few of the new hubs on a website established for the projects. The Atlanta Business Chronicle reported that Walmart is evaluat- ing whether to add health clinics in some of the new "town centers." "We envision a more robust and dynamic shopping experience that combines entertainment venues, curated local food vendors, health and fitness services as well as recreational opportunities in a way that connects and engages with the community," a Walmart spokesperson told Business Insider. Walmart has established its position as a one-stop shop, but the retailer may be redefining what that means by surrounding its stores with a variety of comple- mentary tenants, according to the report. n BCBS of Massachusetts to pay hospitals to keep patients out By Morgan Haefner B lue Cross Blue Shield of Massachusetts wants to change the way hospitals are paid. at's why the state's largest health insurer is pursuing in a new three- year pilot with South Weymouth, Mass.-based South Shore Health System. Under the pilot, the health insurer will pay the hospital to work with physicians, whether they're affiliated with the hospital or not, to better coordinate care outside the hospital. Patients are oen treated in hospitals closest to where they live, regardless of whether their primary care physician group is affiliated with a hospital in a different location. However, the new program will reward South Shore Health System for sending patients to an appropriate care setting, whether that be an unaffiliated physician's office, an urgent care center, a hospital or a patient's home, the health insurer said. e program builds off a payment reform BCBS of Massachusetts implemented a decade ago across most of Massachusetts' physician groups. Under the Alternative Quality Con- tract, physicians are financially rewarded for meeting specific quality standards; however, the model has failed to change hospitals' volume-based payment incentives. By moving the global budget payment model to the hospital setting, BCBS of Massachusetts aims to lower emergency department wait times and keep South Shore Health System beds open for patients needing acute or complex care. "What's so encouraging about this partnership is that the provider and the payer are finally coming together at the same table with the same goal: drive down costs without affecting qual- ity of care," South Shore Health System CEO Gene Green, MD, said in a prepared statement. BCBS of Massachusetts intends to expand the program to other hospitals should the pilot succeed. n

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