In the ever-evolving healthcare industry and the shift to value-based care, post-acute joint ventures and other forms of partnerships are becoming more prevalent; however, not all are created equal.
A successful joint venture requires a post-acute provider willing to take risks, offer innovative solutions to improve the quality of care and reduce hospital readmissions and the overall cost of care.
“A good joint venture partner can help you be more efficient with your core business,” said David Klementz, Chief Strategy and Development Officer for Encompass Health, a national provider of post-acute care. “You want someone who can help improve quality of care and has the systems and tools in place to support better clinical outcomes for patients.”
Though post-acute joint ventures have become more common since the passage of the Affordable Care Act in 2010, partnerships are nothing new to Encompass Health.
Formerly HealthSouth, Encompass Health has been forming inpatient rehabilitation joint ventures in various forms with acute care providers for nearly 30 years. Its first joint venture dates back to 1991 and is still going strong. Encompass Health has more than 45 joint ventures with a variety of acute care providers, including religious, academic and non-profit systems.
When contemplating a joint venture with an inpatient rehabilitation facility, there are several factors to take into account. Klementz, who joined Encompass Health in 2005, said to consider the following when forming a post-acute partnership: