Issue link: https://beckershealthcare.uberflip.com/i/1187260
22 Thought Leadership Outlook on ASC consolidation + 3 things to prepare for in the future By Laura Dyrda M atthew Searles, partner at Merritt Healthcare Advisors, discussed key trends for ASCs today and where the industry is headed. Note: Responses were edited for style. Question: What are the most impor- tant trends you're seeing in the ASC field today? Matthew Searles: ASCs should be prepared: (1) for a move to value based payment models; (2) with strategies to succeed in an increasingly employed physician population; and (3) with initiatives to safely accommodate higher acuity cases as well as other growth areas such as cardiology. Q: What are the key challenges keeping ASC administra- tors up at night? MS: In addition to the issues outlined above, primary concerns should always be patient safety and regulatory compliance. Q: What are the top one or two solutions to the big chal- lenges you're seeing for ASCs today? MS: Invest in systems, align with other providers and seek to expand where feasible. Q: How do you see the ASC and outpatient surgery arena changing in the next 18 to 24 months? What is driving that change? MS: Continued consolidation and elimination of outsized reimburse- ments due to a number of reasons, not the least of which is price transparency, are driving change in the market. Q: Where is the best opportunity for ASCs to thrive in the future? What do they need to do today to set a solid foun- dation for success? MS: e ASC business model is still highly relevant but must adapt to the issues outlined in my previous answers. Q: How will private equity investment change the physi- cian practice and ASC field? MS: PE is acting as a facilitator for consolidation, providing manage- ment and capital to make healthcare organizations larger and more efficient. Not all will succeed, but certainly some will achieve the goal of establishing scalable, competitive integrated healthcare businesses. Q: Do you see a place for solo and small group practitio- ners and centers, or is there more consolidation in the ASC field on the horizon? MS: While there will always be exceptions, I see a diminishing role for solo and small group practitioners, especially in markets where consoli- dation is prevalent. ASCs that can grow compliantly and profitably will always have role because they are the low-cost provider in the market for outpatient surgery. Q: Is the push for price transparency in healthcare good or bad for ASCs? Why? MS: Price transparency is good for consumers and efforts to lower healthcare costs. e cost of any proposed treatments should always be disclosed to the patient, from both an ethical and practical perspective. Price transparency is also good for the ASC industry, where cost is low and quality is generally high. Transparency will also be positive for any larger health system or consolidator that is investing in a shi to value- based care. n Tenet CEO Ron Rittenmeyer: 5 pieces of advice he'd give his younger self By Angie Stewart R on Rittenmeyer, Tenet Health- care's executive chairman and CEO, made the Dallas Business Journal's list of 2019 Most Admired CEOs in North Texas. More than 5,100 readers voted to select the 18 executives they admire the most. During an awards ceremony on Sept. 25, Mr. Ritten- meyer shared advice he'd give to his younger self or someone else in his field. Five tips from Mr. Rittenmeyer: 1. Work with the best team you can find, then as a leader, build a team that's even better. 2. Don't wait on great opportunities. 3. Be resilient, inquisitive and engaged — participation and observation won't cut it. 4. Find solutions; other peoples' lives depend on your deci- sions. 5. Don't take yourself too seriously as a leader. n