Several top executives from the former OrNda HealthCorp have moved on to create a new company specializing in the development of outpatient-care centers.
Charles Martin Jr., who had been OrNda's chairman, president and chief executive officer, and William Webb, who had been senior vice president of acquisitions and development, have founded Ambulatory Resource Centres, based in Nashville.
The company officially begins operations this week.
Martin is ARC's board chairman, and Webb is president and CEO.
The executives left OrNda when Tenet Healthcare Corp., Santa Barbara, Calif., bought it earlier this year.
So far, five of ARC's senior executives are former OrNda employees.
Overall, the group has had extensive experience at some of the nation's largest healthcare companies, some of which were acquired or spun off by other chains, including Hospital Corporation of America and Healthtrust (both are now part of Columbia/HCA Healthcare Corp.) and Surgical Care Affiliates, which HealthSouth Surgery Centers acquired last year.
Several executives specialized in operations, acquisitions, finance, information services and clinical services.
John Michael Gould, who was chairman of the architecture firm Gould Turner Group, is vice chairman of the company and will oversee the architectural design of the facilities.
ARC's business objective is to partner with local hospital systems, independent physicians and physician groups, payers or any combination of those groups to develop outpatient-care centers for their budding service networks.
Webb said ARC and the partner then design the service menu for the new facility from the 10 healthcare service lines ARC offers. To date, ARC has signed four deals and has one pending (See chart).
Charles Neal, ARC's chief operating officer, said facilities will start with a base service, such as diagnostics or surgical, and then add services as needed.
"When we go out to a market, we're going to do our homework," said Neal, who used to work for Surgical Care Affiliates. "We'll determine the services needed and the services we can provide."
About a year ago, Webb said, Martin had the idea to create a company that would partner with a local hospital or physician group to develop, operate and manage ambulatory-care facilities. The idea was not to merge the company with OrNda, he said, but to branch out on its own.
Webb said he jumped at the idea because he and others believed outpatient services would be a big part of the future of healthcare.
In 1991, the Society for Ambulatory Care Professionals reported that 21% of all hospital surgeries were performed on an ambulatory basis. Last year, that share jumped to about 66%.
ARC predicts that by the year 2000 ambulatory network systems could provide up to 83% of a community's healthcare needs.