Financial Pressures
Industry financial pressures will continue to stress provider organizations absent transformative change.
ECG's Financial and Operational Health Index shows US hospitals continue to struggle.
3%
Peak performers
22%
Strong/ steady
32%
Marginal/ at risk
43%
Technically failing
ambulatory growth
The battle for consumer loyalty and share-of-wallet will be waged across the ambulatory perimeter, including both traditional and digital access points.
The Future
Consumer-centric model Financial performance moves from the hospital to ambulatory, particularly JVs
The PRESENT
Provider-centric model Financial performance driven by acute care and HOPD volumes
The Past
Hospital-centric model Financial performance driven by acute care volumes
A New Era
for Healthcare
insights and opportunities
2024
Exploring key insights and opportunities for the US healthcare provider market for 2024 and the years ahead.
Value-based care
The march toward "value" will continue, slowly; payers prefer to marginalize high-cost providers vs. risk sharing on the premium dollar.
The largest payers are 10 times the size of the largest health systems.
Organizational scale
The need for organizational scale will continue to reshape the provider landscape in the decade ahead.
Top factors driving healthcare M&A:
Market scale and competitive positioning Balance sheet strength Access to clinical program breadth/depth Geographical reach/referral network expansion Industry convergence Declining reimbursement
charting a course
Opportunities that healthcare organizations must grasp to succeed:
secure real value in the physician enterprise
adapt to ambulatory evolution
turn scale into competitive advantage
ASC Joint Ventures
Ambulatory Patient Access
Provider Workforce Planning
Effective Models for Care Redesign
Insights into Health Equity
Partnership and Affiliation Strategies
Insights into New Trends in M&A
Download the Infographic
Exploring key insights and opportunities for the U.S. healthcare provider market for 2025 and the years ahead.
ECG's Financial and Operational Health Index shows U.S. hospitals continue to struggle.
Strong/ ready
Marginal/at risk
value-based care
The march toward 'value' will continue, slowly; payers prefer to marginalize high-cost providers vs. risk sharing on the premium dollar.
organizational scale
Top Factors Driving Healtcare M&A:
Market scale and competitive positioning
Balance sheet strength
Access to clinical program breadth/depth
Geographic reach/referral network expansion
Industry convergence
Declining reimbursement
Opportunities that healthcare organizations must grasp to succeed
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Partnership & Affiliation Strategies
